Use Human Capital Management to Differentiate Your Customer Service

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however, are best-in-class organizations. Also according to Aberdeen Research, 37 percent of them are standardizing processes; 32 percent of them are automating processes, and 20 percent are better managing data. This leads to positive outcomes in the experience of customers, who benefit from customer service–focused staff willing to extend a provision of care to patrons. And these best-in-class organizations see better year-over-year improvements in revenue per full-time employee (17 percent versus 9 percent) and customer retention (16 percent versus 12 percent), according to Aberdeen.

Modern HCM technology, with the improvements it brings to employees' experience, increases their productivity, their engagement with the company, and their likelihood of staying where they are. As mentioned, improvements in engagement and retention are outcomes of the HCM Wheel that have extra impact on the customer experience. A Gallup-conducted meta-analysis from 2013 reveals a strong correlation between employee engagement and profitability. Across several industries, companies operating in the top quartile in terms of employee engagement have posted a median profitability 22 percent higher than those operating in the bottom quartile. It's a percentage that's crept upward since 2002. For these same companies, Gallup's research shows 21 percent higher employee productivity, 25 percent better retention in high-turnover industries, and 65 percent better retention in low-turnover industries.

HCM Wheel: Hampered by Legacy Tech, Liberated by Modern Tech

Legacy platforms, incapable of providing an accurate, real-time view into the workforce, taint employees' experiences. These experiences bleed into those of the customers. Suffering high turnover, a company struggles to identify where and when specific skills and availability are needed, which breaks the process to source and interview talent qualified for these open positions. The organization habitually hires staff predisposed to fall short of specific needs and goals. Legacy HCM technology sees to it that the cycle continues, and existing employees are inclined to leave. Among those who stay, their day-to-day experience is an exercise in frustration. Sometimes late, sometimes inaccurate, payroll becomes unreliable. Work shifts are a challenge to anticipate and disrupt employees' off-work plans. A clunky system for employee self-service (ESS) leaves employee benefits difficult for staff to self-administrate. An employee assistance program may be in place, but the same ESS powers that.

Ask yourself whether the employee dealing with these frustrations is apt to provide high-quality customer service. The answer is probably no. Modern HCM technology provides the underpinnings for a turnaround. Employees who enjoy the improved communication and flexibility in managing their work and personal responsibilities become more engaged and satisfied in their jobs, according to "When Work Works," a report by the Families and Work Institute. Study after study confirm and reinforce the idea. Organizations whose employees feel most engaged perform better. At best-performing organizations in the Aberdeen report, 85 percent of employees rate themselves as highly engaged, which is more engaged than their counterparts are elsewhere.

Spinning HCM Wheel = Better Employee Experience + Better Customer Service

New ideas in HCM, made possible through breakthroughs in the technology for it, improve the employees' experience to the benefit of the customer. Driving dysfunction out of the employee life cycle, these innovations streamline elements of the HCM Wheel, leading to successful outcomes. Customer service carried out by employees enjoying greater work—life balance is just plain better. Customers notice the difference and reward companies with their repeat business.

John Orr is senior vice president of retail strategy and execution at Ceridian, a provider of human capital management with more than 100,000 clients across the globe, and whose products include  Dayforce HCM platform.  To learn more, visit

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