Poor customer relationship quality at company A

Abstract

Nowadays, the business environment has become more competitive and dynamic that requires every firm needs to create their own competitive advantage to win over their rivals, otherwise they are losers in the market. One of the indispensable factors that they need to pay attention is the product and services. The product serves customers’ needs and the service presented during the exchange facilitates the product to be delivered promptly and conveniently. While there have been companies having deep awareness of the very complex marketplace and take actions, the others are struggling with their performance due to some reasons. Specifically, to Vietnam natural rubber market, Company A ’s performance has encountered some issues during three recent years. A’s results at signing long-term contracts (LTC) below the target of the parent company with the consequences of the increasingly growing percentage between cost of goods sold (COGS) and revenue. Realizing that this symptom existed is an urgent warning to A, the author decided to discover whether A has made mistakes towards its usual practice. Through interviews as well as the guideline of scholar theories, A’s problem is identified as poor customer relationship quality with the main cause is due to A’s poor service quality to customers. Although they have been loyal customers of A due to long working time, A has treated them without any support and enthusiasm when having troubles. To be more specific, A’s employees are not good at customer-service skills to satisfy customers, especially when they are most difficult. Moreover, the company’s performance scale is not realistic and imperfect enough for employees to become motivated and engaged in taking care of customers. Therefore, it is suggested that the company should provide employees training sessions to perceive the important role of service quality and customers. That’s also a good chance for employees to learn how to demonstrate professional customer-service skills to customers. Moreover, the performance appraisal system is also recommended to be updated for employees to feel that they are highly recognized for supporting customers in any case. The detail action plan finalizing the thesis contains what A should do step by step to recover its performance and regain customers’ trusts.