The Compound Effect In Service Design

The idea is from the book 50 Activities For Achieving Excellent Customer Service by Darryl Doane.

I love compounding. The quote 'Compound interest is the eighth wonder of the world' is attributed to Einstein. Until recently, I thought of it merely in terms of finance or rather growing money. When you think of it in terms of life, productivity, personal, team or business growth, it is even more potent. 

3 lines of What The Idea Is

• The compound effect is the strategy of reaping huge rewards from small, seemingly insignificant actions.

• Small choices + consistency + time = significant results #formulasforlife

• Using learning from each interaction, each incident, to shape future interactions and responses.

Why is it relevant to Hospitality & Service Industries

The number of interactions one of your guests has with your team over a 24 hour period could vary from type of service to type of guest, but for simplicity let's say it is just 2. Just 2 interactions, in 24 hours, per guest.

If you serve 100 guests a day, that is 200 interactions, which is 73,000 interactions in a year.

Imagine if you could record the learning from each of those interactions, and keep improving all future moments of truth.

Real-World Example

A guest asks a steward if there are any vegan options because he can't find them on the menu. You may not have vegan options or the options may not be visible easily. This is a service design flaw.

First, the steward helps the guest, if he can himself or by talking to the chef/manager.  

He makes a note of the request.

At the end of the shift, he hands over that to the manager or adds it to an online list.

A vegan menu is then created by the chef/manager.

When other guests inquire about a vegan menu, instead of pointing to some dishes on the menu, the guest is offered a special, standalone vegan menu.

If every interaction that is warranted a new, different response from the standard operating practices is recorded and actioned, you get a compound effect.

Actionable Insights

1. Ensure your team captures any situation, request, demand, question, that is not already framed and featured in your SOPs.

2. It could be as simple as where is the restaurant to who owns this place? No management judgement should be used to document. No filtering. 

3. Make it simple for your team to record all such incidents. Create a voicemail box, a simple email address, pen & paper, anything that they can do to capture the details where they work. If there is too much effort required to do so, it will not happen.

4. Create a Chief-Moment-Of-Truth Officer position to ensure that all such records are accessed, actioned and added to SOPs. p.s. Your SOPs are supposed to be living, breathing entities and not something that is filled away in vaults. 

 5. Reward the people who add/create more knowledge for everyone. 

Want to make this WOW? 

• Have a competition. See who can add the maximum new service intentions.

• Create customer personas to go through all your SOPs and see how to improve the experience.

The 5-second rule! - Do something about this right now!

Look at the last customer complaint you got. Was it something new? If it was, make sure you create a response for it and add it to your SOP.

We love creating amazing service processes. If you want to ideate on any of your processes write to me at p.bedi@eclathospitality.com. It's free coz it is fun for us.

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