Syllabus
Customer Relationship Management

Customer Relationship Management

MRKG-1301

Credit Spring 2018
01/16/2018 - 05/13/2018

Course Information

Section 001
Distance Learning
ONL DIL
Nicholas Sarantakes

Office Hours

  • M T W Th
    9am/9am - 1pm/1130am
    HLC / CYP
    On Monday & Wednesday my office hours are at HLC room 1428.05 from 9am to 1pm
    On Tues & Thur my office is at CYP room 2204.04 from 9am to 1130am

Course Requirements

INFORMATION

The information posted on this site addresses the syllabus information required by Texas House Bill 2504.  The complete syllabus will contain more information than is noted here, including the class withdrawal policy, class participation requirements, scholastic dishonesty, and other important information.  The entire syllabus is posted on my webpage at http://www.austincc.edu/sarantak  and the latest version of the syllabus is in the Blackboard site for this course.

  

 MRKG 1301 Customer Relationship Management

 DL Distance Learning Course

 16/12/11 Week Semester

  Updated October 16, 2017 for the 2018 Spring Semester

 

  1. Instructor Information:

 

Professor:             Nick Sarantakes

Office:       Room 1428.05 HLC

                  Austin, TX

Phone:       512.223.7455

                 

E-Mail:       sarantak@austincc.edu

Office Hrs.            See Class Schedule Link and the posting above.

                 

2. Course Description:

MRKG 1301 Customer Relations (3-3-0).  Topics address general principles of customer service including skills, knowledge, attitudes, and behaviors pertinent to the professional development of the student.

3.  Required Text/Materials

Customer Service, by Robert W. Lucas, 6th edition, McGraw Hill Publishers,  Copywrite 2012, ISBN 978-0-07-354546-2

4. Orientation for OLN Customer Relations

 

OPC (formally known as PCM) courses are designed for anyone, who has scheduling problems, work-scheduling that conflict with normal class times, or any reasons they may have.  To be successful in a OPC course you must be disciplined to set a time to study the course and then maintaining that schedule.  If you have an attitude that “I will study when I have the time”, you will find that you will not have the time, since there may be other items that will take priority.  The deadlines are established so you do not think you can do all the work at the end of the semester. 

 

The first step to success in this course is the Mandatory Course Orientation.  You must accomplish this by the date listed in the Class Schedule  The course information is delivered in Blackboard.  If you are not familiar with the Blackboard software, you can to http://www.austincc.edu/acceid/step1.htm  to obtain an ACCeID that you will need as a first step. 

 

The orientation for this course consists of reading this syllabus and the class schedule of dates and deadlines, which can be performed on the Blackboard web site or on my web site at www.austincc.edu/sarantak, however the most up to date syllabus and class schedule and deadlines are on the Blackboard web site.  I might say that it is imperative to use the Blackboard web site in this course.  You can not find out what your tests or assignment scores are without using Blackboard.   

 

I then need for the student to send me an email acknowledging that they have read and understood the syllabus and understand that all the assignments, tests and projects are required. 

 

In all your emails to me, place the following in the Subject section of the email form:  MRKG 1301- (then you can put in a sub-topic if you desire) This will insure that it does not go into a SPAM folder.   Make sure you all ways use your full name to let me know who you are.  peanuts@hotmailI.comdoes not tell me who you are.  Also please do not use text messaging to send me an email.  If you have any questions, please ask them by email or call me at 223-3271.

 

I would strongly recommend that you re-read the syllabus a number of times during the semester and write down the test and project dates so you will not forget them.  Another important date is the date to take test 4 at other than RGC location.  Check the class schedule for all these dates. 

 

5. Instructional Methodology:

 

This section an internet open campus self study course.  The instructor is available for assistance.  You will study the material on your own.  Tests are taken at ACC Testing Centers.  There are deadlines for all tests and projects.

 

The Blackboard software will be used in this course to find out grades and to receive announcements and/or discussions.  This will be mandatory for the 08 Fall Semester.  Students should be checking the Blackboard site once a week for announcements or discussions.  For those students that are not familiar with is software, you can obtain detail instructions on: http://itdl.austincc.edu/blackboard/instrstart.htm

  

6.Course Rationale:

 

The purpose of this course is to prepare the student to understand the importance of customer relations and service in marketing. 

 

While many will argue that customer service is nothing more than basic common sense, it has become increasing clear that it is in fact vital to the success of any business.

 

The harsh reality of the marketing and business world is that consumers hold in their grasp, the success or failure of a business.  Prices will not cut it alone.  The key is focusing on the total customer experience, no matter whether you are running a physical store or an e-commerce site. 

 

Great service is about attitude.  A service attitude leads to a richer quality of life, not only in business to business sector but also in the retail industry.  With competition getting tougher and the economy getting weak, businesses must look at how they can differentiate their activities from other businesses.   

 

This course deals with why and how organizations must reach out and touch the customers and the benefits that can be derived from this course of action.  It is about satisfying the customers, increasing revenue and improving profitability.  The last 2 items come from satisfying the customer.

 

Leonard Berry in his book “On Great Service states in part, ….. “research suggest that 70% of the customers lost by 13 big service and manufacturing companies were lost because of lack of attention from the front line employees.  Customer service/relations is critical to the success of a business.

 

David Kearns and David Nadler state in their book, “People think that customers buy a physical product….  They really don’t.  They buy a total experience.  When that total offering satisfies the requirements and expectations of customers, then you have a happy situation and you have achieved quality”.

 

 

Customer Relations is not just about textbook learning. It challenges students to use their critical/creative skills in all aspects of crucial subject,”

 

Some people will ask, “Is customer service that important?”  After this course you will be able to answer that question.

 

7.  Course Objectives/Outcomes

 

A. Common Course Learning Objectives:

  1.  Understand how customer relations is related to other business functions and its importance to the success of the business entity.

2.     Understand the importance of attitude and customer education as it relates to marketing

4.     Be able to identify, understand, and apply basic marketing concepts to solving marketing challenges.

5.     Understand good marketing practices and techniques and how to apply them.

6.     Be able to develop a sound Integrated Marketing Communications plan.

B. Individual Instructor Objectives/Objectives:

 

Understand the detail chapter objectives that are listed at the beginning of each chapter.

8. Grading System:

A. Testing: There will be 3 tests for this course.  The tests can be taken at the following testing centers:

Higland Learning Center        Riverside Campus                  Eastview Campus

Northridge Campus                Round Rock Campus             Cypress Creek Campus

Pinnacle Campus                   Hays Campus             

South Austin Campus             Elgin Campus

 

  1. The tests will be made up multiple choice and Essay part .  The test multiple choice part will be taken at a testing center.  The essay part will be taken at home and submitted in Blackbaord in the link that I have provided..   The instructor will grade all the questions. 

 

  1. The exam will be made up have approximately 60 Multiple-Choice questions. Each will be worth 3 points.  If there are fewer questions, the value of the questions will be greater.  

 

  1. In additional there will be approximately 10 to 12 short answer questions in which you will be required to answer 5.  Each of will be worth 4 points.  You may answer 2 additional questions for extra or bonus credit (4 points maximum per extra bonus questions.) 

 

  1. The student may obtain exam grades by going to Blackboard and looking up their exam grade in My Grades.  All multiple choice exams must be completed prior to the posted closing times of the testing centers, so give you ample time to complete the exam.

 

 

Exam

Text Chapters

Value of the test

Test dates are listed in the class schedule

1

Chapters 1-4

200 Points

 

2

Chapters 5-7

200 Points

 

3

Chapter 8-10

200 Points

 

 

 

 

 

 Students taking the exams by the deadline will earn a bonus of 5 points per exam.

The tests are made up of True False, multiple choice and /or short answer questions.

B. Projects: There will be 3 graded projects in this course.  All are requiredand are discussed below:

C. Grading:

Each test is worth 200 points                                                                                        600 points

Chapter Assignments Questions Project 50 Pt. each                                             150 points

Case Study Project Nordstrom                                                                                    125 points       

Case Study Project I Face to Face Section (see para 16                                         50 points

Case Study Project II Face to Face Section (see para 16)                                       75 points

Total Value of course                                                                                                      1000 points

D. Test letter grades: (combine the M/C part with the Essay part)

A= 200 to 180 points

B= 179 to 160 points

C= 159 to 140 points

D= 130 to 120 points

F= Below 120 points

E. Semester letter grades will be earned based on the following points structure:

A = 1000 to 900 points

B =  899 to 800 points

C = 799 to 700 points

D = 699 to 600 points

F = below 600 points
 

You can obtain your grades by logging on the grade section of the Blackboard site and follow the instructions provided.  Due to the Federal Privacy Act, I can not give you your grades over the phone or in an email.  They are available in Blackboard or in person in my office.

9. Testing Center Policy

 

A. Generally, you should know the hours of operation for all the campus testing centers.   Tests must be completed by the closing time of the testing center.  Testing centers locations and hours of operation are at www.austincc.edu/testctr/

 

B. You will need a student ID to take tests at the ACC testing Centers.  Previous semester students may continue to use ACC ID that was previously issued.  New students must go to an Admissions Office to have an ID card made.  To take the exams you will need the ACC Student ID card.

 

You will not be able to take a test at an ACC Testing Center without an ACC ID Care.  Alternate forms of ID are NOT accepted.

 

10 Due Dates:

See Class Schedule on the class schedule link.

 

11. Test Review and Practice Exams:

 

 There are chapter review exams on the publisher’s web site.  The web site is http://www.mhhe.com/lucas09.  Students have stated these are very helpful.  There is no charge for access to this web site.  Link on student edition when you get to the home page and then select a chapter.

 

12. Course Outline

 

See Table of Contents on page 10

 

13. Change of Address/Phone:

 

 It is imperative that you keep the instructor informed of any changes in your address and or phone number.  Without this information, the instructor will not be able to contact you.

 

14. Withdrawals:

It is the student’s responsibility to withdraw from the course if the situation so dictates.  You should initiate the withdrawal from in accordance with the procedures at any Admissions Office at any campus.  The last day to withdraw from this course is  Failure to successfully comp0lete the course or withdraw from the course will result in a grade of  “F” which will become part of the student’s permanent record.

 

15. Chapter Assignments:

 

You must complete the following chapter assignments and submit them no later than the date indicated as listed in the Class Schedule.  These questions are found in the section titled “Review Questions”.

 

This assignment is design to aid you to prepare for the exam.  There are 3 segments of this project and each is valued at 50 points for a total of 150 points for this complete project. Due to the nature of this assignment, they will not be accepted after the due date.  The assignments will be submitted on Blackboard

 

 

 

Chapters         Segment

Assignment

Due Date See Class Schedule for due dates

1                           1

Page 41  question 5

Page 41  question 9

 

2                           1

Page 82 question 1

Page 82  question 3

Page 82  question 8

 

3                            1

Page 124  question 1

Page 124  question 4

Page 124  question 8

 

4                            1

Page 161 question 2

Page 161 question 3

Page 161 questions 9

 

5                            2

 

Page 196 question 4

Page 196 question 6

Page 196 question 9

 

 

6                           2

                           

Page 228 question 3

Page 228 question 4

Page 228 question 10

Page 228 question 10

 

 

7                            2

Page 269 question 2

Page 269 question 3

Page 269 question 6

Page 269 question 8

 

8                           3

Page 309 question 2

Page 309 question 8

Page 309 question 10

 

9                          3

Page 359 question 4

Page 359 question 6

 

10                        3

Page 407 question 1

Page 407 question 2

Page 407 question 5

Page 407 question 7

 

16. Case Studies

A. Handling an Irate Customer at Regal Florists Case Study I Project:

You are required to analyze the above listed case that appears in the Face to Face section of the Text on page 197 (Chapter 5).  This case will be worth 75 points and see the Class schedule for the due date.

Answer the questions at the end of the case.  Use the case situation and the chapter material in providing your complete and detail replies.   I have found that the best format is to write down the question and then answer it.  This will ensure that you have replied to each part.

B. Working through Technology and People Problems at Child's Play Toy Company Case Study II Project.

You are required to analyze the abouve listed case that appears in the Face to Face Section of the Text on page 229 (Chapter 6)  This case will be worth 75 points and see the Class Schedule and Deadlines for Due Dates.

Answer the questions at the end of the case. 

 17. Nordstrom Case Study Project:

You are required to analyze a case that is located at end of this syllabus on page 10.  The case has a number of questions.  Answer the questions in detail and thoroughly, completely and in detail.  This project will be worth 125 points.  See the Class Schedule for the due date.

In answering these questions, you are providing me with your ideas and analysis based on the text material.  Normally there are not right or wrong ideas, but you must support your answers.

For those that are unfamiliar with the case method of instruction or analysis, the following is provided:

Generally, the case method of instruction  or analysis is a real world situation in which you are asked to answer specific questions or to resolve unspecified questions that you may think are present.   You must apply knowledge to answer the questions.  You will not find the answers specific questions in the text. 

I have found that the best format to insure that all aspects of the questions have been answered, is to write the question down and then answer the question.

In your replies to case studies, make sure that you address the questions in detail and provide a complete and through reply.

This is like a final exam for the course.  Use as much of the material discussed in your  text as possible.

This is a major project.  Do not repeat NOT answer a question with one sentence.  This project should be 2 to 3 pages in length.

18. Incomplete Grades

 

You are encouraged to complete this course successfully, therefore incomplete grades are rarely granted.  Past experience reflects students who do not complete the necessary work during the semester they are registered in will not complete the course even if additional time is given.  In these cases the incomplete grade of “I” becomes a “F” grade.  However if the situations exist, I may grand the grade of incomplete, “I”.   To receive this temporary grade of “I” you must:

 

  • Have completed 2 exams with at grade of C or better and 1 of the 3 projects.
  • Request the “I” grade to the instructor and complete the necessary forms.
  • Complete the course in the time allowed by the instructor.  Failure to complete the material in the allowed time will result in the “I” grade being changed to a grade of “F”.

19. Extra Credit or Bonus Credit:

Every student can earn up to 50 points of extra credit.  This can be accomplished by:

  • Readingand summarizing articles about Customer Service from the Annual Edition of Marketing that is on reserve at the RGC, NRG, CYP, PIN libraries.  The summary is to be 2 to 3 double spaced typed pages and will be worth a maximum of 15 points each.
  • OR you may interview a manager at a retail business concerning their customer service.  In the interview give full name and business name and title of the individual.  Include discussion of the company’s background in customer service and if they have had to change it from time to time.  Include employee training also.  This interview should be from 2 to 3 pages in length.
  • OR Read a  book titled "Raaving Fans, A Revollutionary Approach to Customer Service" by Ken Blanchard and Sheldon Bowles.  This is a delightful little book of 132 pages and is written in a parable style of "The One Minute Manaager". 
  • This will be valued at a maximum of 50 points and is to be a minimum of 4 to 5 typed double spaced pages.

  Extra credit should be labeled extra credit and see the Class Schedule for due dates.

20. Course Policies: Departmental and College Policies

Concealed Hand Gun Policy:

There is a new pjolicy and a short video that appears on the botton right hand side of the Blackboard site for this course.  All should view this short 4.5 minute video  so they may become familiar with this new policy. This policy ensures compliance with the Texas Government  Code while maintaining ACC's commitment to providea safe environment for its sugudents, faculty and visitors.

A. Incomplete Policy:  An incomplete (I) will be granted to a student in rare circumstances. Generally, to receive a grade of  I, a student must have completed all examinations and assignments to date, be passing, and have personal circumstances that prevent course completion that occur after the deadline to withdraw with a grade of W.

 

B. Attendance Policy:  Since this is an Open Campus course, this police are not applicable.  However, tests and other projects will have deadlines and they are expected to be taken or submitted on time.

 

C. Withdrawal Policy:  It is the student’s responsibility to withdraw from a course.  Instructors are allowed to withdraw students but students must not rely on their instructor to withdraw them if they wish to withdraw.

 

D. Academic Freedom Statement:  Each student is strongly encouraged to participate in class. In any classroom situation that includes discussion and critical thinking, there are bound to be many differing viewpoints.  In the OLN courses this can be via the internet or Blackboard.  These differences enhance the learning experience and create an atmosphere where students and instructors alike will be encouraged to think and learn. On sensitive and volatile topics, students may sometimes disagree not only with each other but also with the instructor. It is expected that faculty and students will respect the views of others when expressed in classroom discussions.

 

E. Scholastic Dishonesty Statement:Acts prohibited by the College for which discipline may be administered include scholastic dishonesty, including but not limited to cheating on an exam or quiz, plagiarizing, and unauthorized collaboration with another in preparing outside work. Academic work submitted by students shall be the result of their thought, research or self-expression. Academic work is defined as, but not limited to tests, quizzes, whether taken electronically or on paper; projects, either individual or group; classroom presentations, and homework” (Student Handbook.  Penalties for scholastic dishonesty will depend upon the nature of the violation and may range from lowering a grade on one assignment to an F in the course and/or expulsion from this institution.

 

F. Student Discipline Statement:  Classroom behavior should support and enhance learning. Behavior that disrupts the learning process will be dealt with appropriately, which may include having the student leave class for the rest of that day. In serious cases, disruptive behavior may lead to a student being withdrawn from the class. ACC's policy on student discipline can be found in the Student Handbook.

 

G. Students with Disabilities Statement:Each ACC campus offers support services for students with documented physical or psychological disabilities.  Students with disabilities must request reasonable accommodations through the Office for Students with Disabilities on the campus where they expect to take the majority of their classes. Students are encouraged to do this three weeks before the start of the semester” (Student Handbook.

 

H.  Rule of Three:  Per state law, effective Spring 2006, any student taking a class for the 3rd time or more may be charged an additional $60 per credit hour unless exempted.  The Texas Higher Education Coordinating Board has mandated that all publicly funded higher education institutions will not receive funding for courses a student takes for the 3rd time.  Without the state funding for those affected classes, ACC will charge additional tuition cover the cost for these classes.  The new Rule of Tree tuition will not apply to developmental courses and special studies courses.

 

K. Serious Consequences for Receiving “W”in a Course:  The Texas Legislature has now, for the second session in a row, instituted some substantial consequences for students who withdraw from courses.  Students have traditionally thought of a “W” as a non-penalty grade, thus it is very important that students understand the direction that the state is going about withdrawals so that they can avoid substantial negative consequences later.

 

The consequences instituted by the state in 2007 states that for freshmen in Fall 2007 and later, there will be a limit of 6 “W’s” that will be permitted in the overall  student’s college career.

 

Course Outline:

 

Test Dates See Class Schedule

Chapter

 

Chapter 1 The Customer Service Profession

 

Chapter 2 Contributing to the Service Culture

 

Chapter 3 Verbal Communication Skills

 

Chapter 4 Nonverbal Communication Skills

 

Test 1

 

 

           

 

 

Chapter 5 Listening to the Customer

 

Chapter 6 Customer Service and Behavior

 

Chapter 7 Service Breakdowns and Service Recovery

 

        Test 2

 

 

Chapter 8 Customer Service in a Diverse World

 

Chapter 9 Customer Service via Technology

 

Chapter 10 Encouraging Customer Loyalty

 

        Test 3

 

                       

 

           

CASE STUDY  The Nordstrom Case

 

 

Following these instructions, you will find the case study Customer Service and Relationship Management at Nordstrom.  Read the case situations carefully, then answer the questions that are at the end  of the case study.  You may use your text, the information in the case, or articles that you have come across. 

 

You should incorporate as much of the points made in the text as possible in your replies to the questions.  This is a major project and replies must be in detail and fully discussed.

 You may want to visit the Austin’s Nordstrom store and walk around and see if it is different from other type of department stores.  You may want to go also to the Nordstrom web page and review it and comment on this as it relates to customer service.

 

See Class Schedule for due date and it will have a value of 100 points toward your final course grade

 

  Customer Service and Relationship Management at Nordstrom

 

Nordstrom’s unwavering customer focused philosophy traces it roots to founder Johan Nordstrom’s values.  He believed in people and realized that consistently exceeding their expectations led to success and good conscience.  He built his organization around a customer oriented philosophy.  The organization focuses on people and its policies and selections are designed to satisfy people.  As simples as this philosophy sounds, few of Nordstrom’s competitors truly have been able to grasp it.
 

 

Nordstrom’s treats customers like royalty.  Employees are instructed to do whatever is in the customer’s best interest.  Customer delight drives the values of the company.  Customers are taken seriously and are at the heart of the business.  Customers are even at the top of the Nordstrom’s so called organization chart, which is an inverted pyramid.  Following customers from the top of the inverted pyramid are salespeople, department managers, and general managers.  Finally at the bottom is the board of directors.  All lower levels work toward supporting the salespeople, who in turn work  to serve the customer.

 

Employee incentives are tied to customer service.  Salespeople are given personalized business cards to help them build relationships with customers.  Uniquely, salespeople are not tied to their respective departments but to the customer.  Salespeople can travel from department to department within the store to assist their customer, if that is needed.  For example, a Nordstrom salesperson assisting a woman shopping for business apparel helps her shop for suits, blouses, shoes, hosiery, and accessories.  The sales person becomes the personal shopper  of the customer to show her merchandise and provide fashion expertise.  This is also conducive to building of a long term relationship with the customer.  Over time, the salesperson understands the customer’s fashion sense and personality.

 

The opportunity to sell across departments enables salespeople to maximize sales and commissions while providing superior customer service.  A comment on a 60 Minutes segment  not service like it used to be, but service as it never was.

 

 

Despite the obsession with customer service at Nordstrom, ironically, the customer comes second.  Nordstrom understands that customer will be treated well by its employees only if the employees themselves are treated well by the company.  Nordstrom employee are treated almost like the extended Nordstrom family, and employee satisfaction is a closely watched business variable.

 

Nordstrom is known for promoting employees from within its ranks.  The fundamental traits of a successful Nordstrom salesperson (such as commitment to excellence and customer service) are the same traits emphasized in successful Nordstrom executives.

 

Nordstrom hires people with a positive attitude, a sense of ownership, initiative, heroism, and the ability to handle high expectations.  This sense of ownership is reflected in Nordstrom’s low rate of shrinkage.  Shrinkage, or loss due to theft and record keeping errors at Nordstrom is under 1.5% of sales…roughly one half the industry average.  The low shrinkage can be attributed in large part to the diligence of salespeople caring for the merchandise as it were their own.

 

Employees at all levels are treated like businesspeople and empowered to make independent decisions.  They are give the latitude to do whatever they believe is the right thing with the customers’ best interest at heart.  All employees are given the tools and authority to do whatever is necessary to satisfy customers, and management almost always backs subordinates’ decisions.

 

In summary, Nordstrom’s product is its people.  The loyal Nordstrom shopper goes to Nordstrom for the service received…not the products.  Of course, Nordstrom does offer quality merchandise, but that is secondary for many customers.

 

One of the most famous examples of Nordstrom customer service occurred in 1975 when a Nordstrom salesperson gladly took back a ser of used automobile tires and gave the customer a refund even though Nordstrom had never sold tires.  The customer has purchased the tires from a Northern Commercial Company store, whose retail space Nordstrom had since acquired.  Not wanting the customer to leave the Nordstrom store unhappy, the salesperson refunded the price of the tires.

 

Nordstrom’s policies focus on the concept of the Lifetime Value of the Customer.   Although little money is made on the first sale, when the lifetime value of a customer is calculated, the positive dollar amount of a loyal customer is staggering.  The lifetime value of a customer is the sum of all sales generated from that customer, directly or indirectly.  To keep a customer for a lifetime, Nordstrom goes to incredible lengths.  In the Nordstrom store in Seattle, a customer wanted to buy a pair of brand name slacks that had gone on sale.  The store was out of her size and the salesperson was unable to locate a pair at other Nordstrom stores.  Knowing that the same slacks were available at a competitor nearby, the sales clerk went to the rival, purchased the slacks at full price, using petty cash from her department and sold the slacks to the customer at Nordstrom’s sale price.  Although this sales resulted in an immediate loss for the store, the investment in promoting the loyalty of the happy customer went a long way.

 

Nordstrom’s employees try to never say no to a customer.  Nordstrom has an unconditional return policy.  If a customer is not fully satisfied he or she can return the new and generally even heavily used merchandise at any time for a full refund.  Ironically this is not a company policy, rather it is implemented at the discretion of the salesperson to maximize customer satisfaction.  Nordstrom’s advice to its employees is simply , Use good judgment in all situations.  Employees are given the freedom, support, and resources to make the best decision to enhance customer satisfaction.  The cost of Nordstrom’s service, such as its return policy, coupled with it competitive pricing would, on the surface, seem to cut into profit margins.  This cost is recouped through increased sales from repeat customers,   markdowns, and if necessary, the squeezing of suppliers.

 

Nordstrom’s up channel policies also focus on maximizing customer satisfaction.  According to former CEO Bruce Nordstrom, know that we are liberal with our customers.  And if you are going to do business with us, then there should be a liberal influence on their return policies.  If somebody has worn a shoe and it doesn’t wear satisfactorily for  them, and we think the person is being honest about it, we will send it back.   Nordstrom realized some customers will abuse the unconditional return policy, but  Nordstrom refuses to impose that abuse back onto their vendors.  Here again, doing what is right comes into play.

 

 

Nordstrom’s merchandising and purchasing policies are also extremely customer focused.  A full selection of merchandise, in a wide variety of sizes is seen as a measure of customer service.  An average Nordstrom store carries roughly 150,000 pairs of shoes with a variety of sizes, widths, colors, and models.  Typical shoe sizes for women range 2-1/2 to 14  in widths of A to EEE.  Nordstrom is fanatical about stocking only high quality merchandise.  Once when the upper parts of some women’s shoes were separating from the soles, every shoe from that delivery was shipped back to the manufacturer.

 

 

Questions for case study: 

 

Please insure that your replies to these questions are detailed.

 

1. What steps does Nordstrom take to implement its strategy providing outstanding customer service?  According to the text, are there any actions or steps that are discussed in the text that Nordstrom does not implement?

 

2. How do these activities enable Nordstrom to reduce the gaps between perceived service and customer expectations?

 

3. What are the pros and cons of Nordstrom’s approach to developing a competitive advantage through customer service?

 

4. Can Nordstrom’s philosophy of customer service be used businesses other than retail service businesses?  Educational institutions?  Lower end retailers   like Walmart, Target, or Steinmart or Kohls? 

5.       Why or why not?  If not how could these retailers improve their customer service and relations, give examples

6. . Discuss the inventory policies of Nordstrom to that of other department or retail stores.  Does this policy impact customer service? 

 

 

    

 

 


 

  

MRKG 1301 Customer Relations

                             PCM Distance Learning Course

                             16/12/11 Week Semester

                             Updated July 30, 2010

 

  1. Instructor Information:

 

Professor:             Nick Sarantakes

Office:       Room 3252 Building 3000, RGC

                  Austin, TX 78701

Phone:       512.223.3271

                  512.223.3427 (Fax)

E-Mail:       sarantak@austincc.edu

Office Hrs.            See Class Schedule Link

                 

2. Course Description:

MRKG 1301 Customer Relations (3-3-0).  Topics address general principles of customer service including skills, knowledge, attitudes, and behaviors pertinent to the professional development of the student.

3.  Required Text/Materials

Customer Service, by Robert W. Lucas, 4th edition, McGraw Hill Publishers, 2009 ISBN 978-0-07-354544-8

4. Orientation for OLN Customer Relations

 

OPC (formally known as PCM) courses are designed for anyone, who has scheduling problems, work-scheduling that conflict with normal class times, or any reasons they may have.  To be successful in a OPC course you must be disciplined to set a time to study the course and then maintaining that schedule.  If you have an attitude that “I will study when I have the time”, you will find that you will not have the time, since there may be other items that will take priority.  The deadlines are established so you do not think you can do all the work at the end of the semester. 

 

The first step to success in this course is the Mandatory Course Orientation.  You must accomplish this by the date listed in the Class Schedule  The course information is delivered in Blackboard.  If you are not familiar with the Blackboard software, you can to http://www.austincc.edu/acceid/step1.htm  to obtain an ACCeID that you will need as a first step. 

 

The orientation for this course consists of reading this syllabus and the class schedule of dates and deadlines, which can be performed on the Blackboard web site or on my web site at www.austincc.edu/sarantak, however the most up to date syllabus and class schedule and deadlines are on the Blackboard web site.  I might say that it is imperative to use the Blackboard web site in this course.  You can not find out what your tests or assignment scores are without using Blackboard.   

 

I then need for the student to send me an email acknowledging that they have read and understood the syllabus and understand that all the assignments, tests and projects are required. 

 

In all your emails to me, place the following in the Subject section of the email form:  MRKG 1301- (then you can put in a sub-topic if you desire) This will insure that it does not go into a SPAM folder.   Make sure you all ways use your full name to let me know who you are.  peanuts@hotmailI.comdoes not tell me who you are.  Also please do not use text messaging to send me an email.  If you have any questions, please ask them by email or call me at 223-3271.

 

I would strongly recommend that you re-read the syllabus a number of times during the semester and write down the test and project dates so you will not forget them.  Another important date is the date to take test 4 at other than RGC location.  Check the class schedule for all these dates. 

 

5. Instructional Methodology:

 

This section an internet open campus self study course.  The instructor is available for assistance.  You will study the material on your own.  Tests are taken at ACC Testing Centers.  There are deadlines for all tests and projects.

 

The Blackboard software will be used in this course to find out grades and to receive announcements and/or discussions.  This will be mandatory for the 08 Fall Semester.  Students should be checking the Blackboard site once a week for announcements or discussions.  For those students that are not familiar with is software, you can obtain detail instructions on: http://itdl.austincc.edu/blackboard/instrstart.htm

  

6.Course Rationale:

 

The purpose of this course is to prepare the student to understand the importance of customer relations and service in marketing. 

 

While many will argue that customer service is nothing more than basic common sense, it has become increasing clear that it is in fact vital to the success of any business.

 

The harsh reality of the marketing and business world is that consumers hold in their grasp, the success or failure of a business.  Prices will not cut it alone.  The key is focusing on the total customer experience, no matter whether you are running a physical store or an e-commerce site. 

 

Great service is about attitude.  A service attitude leads to a richer quality of life, not only in business to business sector but also in the retail industry.  With competition getting tougher and the economy getting weak, businesses must look at how they can differentiate their activities from other businesses.   

 

This course deals with why and how organizations must reach out and touch the customers and the benefits that can be derived from this course of action.  It is about satisfying the customers, increasing revenue and improving profitability.  The last 2 items come from satisfying the customer.

 

Leonard Berry in his book “On Great Service states in part, ….. “research suggest that 70% of the customers lost by 13 big service and manufacturing companies were lost because of lack of attention from the front line employees.  Customer service/relations is critical to the success of a business.

 

David Kearns and David Nadler state in their book, “People think that customers buy a physical product….  They really don’t.  They buy a total experience.  When that total offering satisfies the requirements and expectations of customers, then you have a happy situation and you have achieved quality”.

 

 

Customer Relations is not just about textbook learning. It challenges students to use their critical/creative skills in all aspects of crucial subject,”

 

Some people will ask, “Is customer service that important?”  After this course you will be able to answer that question.

 

7.  Course Objectives/Outcomes

 

A. Common Course Learning Objectives:

  1.  Understand how customer relations is related to other business functions and its importance to the success of the business entity.

2.     Understand the importance of attitude and customer education as it relates to marketing

4.     Be able to identify, understand, and apply basic marketing concepts to solving marketing challenges.

5.     Understand good marketing practices and techniques and how to apply them.

6.     Be able to develop a sound Integrated Marketing Communications plan.

B. Individual Instructor Objectives/Objectives:

 

Understand the detail chapter objectives that are listed at the beginning of each chapter.

8. Grading System:

A. Testing: There will be 3 tests for this course.  The tests can be taken at the following testing centers:

Rio Grande Campus               Riverside Campus                  Eastview Campus

Northridge Campus                Round Rock Campus             Cypress Creek Campus

Pinnacle Campus                   San Marcos Campus              Fredricksburg Campus

South Austin Campus

Note: The testing centers will have types of 2 Scantron forms.  You should insure that you take these tests on   Form Number 882-E.  This form is green in color.

 

  1. The tests will be made up multiple choice and there may be some additional short answer questions.   The instructor will grade all the questions.  If you make less than 70% (140 points) on a test, you may retake the exam; however the highest grade you can receive on the retest is 140 points.  Retest will be taken in my office.  You must make arrangements to take the retest within 5 days after you have taken the exam.  No retake for exam 3.  Many of the questions will be taken from the practice quizzes on the publisher’s web site listed above. 

 

  1. The exam will be made up have approximately 80 Multiple-Choice questions. Each will be worth 2 points.  If there are fewer questions, the value of the questions will be greater.  

 

  1. In additional there may be approximately 8 or 10 short answer questions in which you will be required to answer 5.  Each of will be worth 8 points.  You may answer 3 additional questions for extra or bonus credit (4 points maximum per extra bonus questions.) 

 

  1. The student may obtain exam grades by going to Blackboard and looking up their exam grade.  All exams must be completed prior to the posted closing times of the testing centers, so give you ample time to complete the exam.

 

Exam

Text Chapters

Value of the test

Test dates are listed in the class schedule

1

Chapters 1-4

200 Points

 

2

Chapters 5-7

200 Points

 

3

Chapter 8-10

200 Points

 

 

 

 

 

 Students taking the exams by the deadline will earn a bonus of 5 points per exam.

The tests are made up of True False, multiple choice and /or short answer questions.

B. Projects: There will be 3 graded projects in this course.  All are requiredand are discussed below:

C. Grading:

Each test is worth 200 points                                                  600 points

Chapter Assignments Questions Project 75 Pt. each            225 points

Case Study Project Nordstrom                                              100 points       

Case Study Project Face to Face                                            75 points

Total Value of course                                                              1000 points

D. Test letter grades:

A= 200 to 180 points

B= 179 to 160 points

C= 159 to 140 points

D= 130 to 120 points

F= Below 120 points

E. Semester letter grades will be earned based on the following points structure:

A = 1000 to 900 points

B =  899 to 800 points

C = 799 to 700 points

D = 699 to 600 points

F = below 600 points
 

You can obtain your grades by logging on the grade section of the Blackboard site and follow the instructions provided.  Due to the Federal Privacy Act, I can not give you your grades over the phone or in an email.  They are available in Blackboard or in person in my office.

9. Testing Center Policy

 

A. Generally, you should know the hours of operation for all the campus testing centers.   Tests must be completed by the closing time of the testing center.  Testing centers locations and hours of operation are at www.austincc.edu/testctr/

 

B. You will need a student ID to take tests at the ACC testing Centers.  Previous semester students may continue to use ACC ID that was previously issued.  New students must go to an Admissions Office to have an ID card made.  To take the exams you will need the ACC Student ID card.

 

You will not be able to take a test at an ACC Testing Center without an ACC ID Care.  Alternate forms of ID are NOT accepted.

 

10 Due Dates:

See Class Schedule on the class schedule link.

 

11. Test Review and Practice Exams:

 

 There are chapter review exams on the publisher’s web site.  The web site is http://www.mhhe.com/lucas09.  Students have stated these are very helpful.  There is no charge for access to this web site.  Link on student edition when you get to the home page and then select a chapter.

 

12. Course Outline

 

See Table of Contents on page 10

 

13. Change of Address/Phone:

 

 It is imperative that you keep the instructor informed of any changes in your address and or phone number.  Without this information, the instructor will not be able to contact you.

 

14. Withdrawals:

It is the student’s responsibility to withdraw from the course if the situation so dictates.  You should initiate the withdrawal from in accordance with the procedures at any Admissions Office at any campus.  The last day to withdraw from this course is  Failure to successfully comp0lete the course or withdraw from the course will result in a grade of  “F” which will become part of the student’s permanent record.

 

15. Chapter Assignments:

 

You must complete the following chapter assignments and submit them no later than the date indicated as listed in the Class Schedule.  These questions are found in the section titled “Review Questions”.

 

This assignment is design to aid you to prepare for the exam.  There are 3 segments of this project and each is valued at 75 points for a total of 225 points for this complete project. Due to the nature of this assignment, they will not be accepted after the due date.  The assignments will be submitted on Blackboard or they be emailed to me as a regular email.  Submit this project in the Assignments link of Blackboard

 

I do not repeat not use the Digital drop box.  Please note the announcement, I do Not Open attachments to regular emails.

 

Chapters         Segment

Assignment

Due Date See Class Schedule for due dates

1                           1

Page 27  question 5

Page 27  question 9

 

2                           1

Page 55  question 1

Page 55  question 3

Page 55  question 5

Page 55  question 8

 

3                            1

Page 81  question 1

Page 81  question 4

Page 81  question 8

 

4                            1

Page 108 question 2

Page 108 question 3

Page 108 questions 9

Page 108 question 10

 

5                            2

 

Page 133 question 2

Page 133 question 4

Page 133 question 6

Page 133 question 9

 

 

6                           2

                           

Page 160 question 3

Page 160 question 4

Page 160 question 9

Page 160 question 10

 

 

7                            2

Page 188 question 2

Page 188 question 3

Page 188 question 6

Page 188 question 8

Page 188 question 12

 

8                           3

Page 213 question 2

Page 213 question 4

Page 213 question 10

 

9                          3

Page 242 question 1

Page 242 question 2

Page 242 question 5

Page 242 question 6

 

10                        3

Page 273 question 1

Page 273 question 2

Page 273 question 5

Page 273 question 7

 

16. Handling an Irate Customer at Regal Florists Case Study I Project:

You are required to analyze the above listed case that appears in the Face to Face section of the Text on page 134 (Chapter 5).  This case will be worth 75 points and see the Class schedule for the due date.

Answer the questions at the end of the case.  Use the case situation and the chapter material in providing your complete and detail replies.   I have found that the best format is to write down the question and then answer it.  This will ensure that you have replied to each part.

 

 

17. Nordstrom Case Study Project:

You are required to analyze a case that is located at end of this syllabus on page 10.  The case has a number of questions.  Answer the questions in detail and thoroughly, completely and in detail.  This project will be worth 100 points.  See the Class Schedule for the due date.

In answering these questions, you are providing me with your ideas and analysis based on the text material.  Normally there are not right or wrong ideas, but you must support your answers.

For those that are unfamiliar with the case method of instruction or analysis, the following is provided:

Generally, the case method of instruction  or analysis is a real world situation in which you are asked to answer specific questions or to resolve unspecified questions that you may think are present.   You must apply knowledge to answer the questions.  You will not find the answers specific questions in the text. 

I have found that the best format to insure that all aspects of the questions have been answered, is to write the question down and then answer the question.

In your replies to case studies, make sure that you address the questions in detail and provide a complete and through reply.

This is like a final exam for the course.  Use as much of the material discussed in your  text as possible.

This is a major project.  Do not repeat NOT answer a question with one sentence.  This project should be 2 to 3 pages in length.

18. Incomplete Grades

 

You are encouraged to complete this course successfully, therefore incomplete grades are rarely granted.  Past experience reflects students who do not complete the necessary work during the semester they are registered in will not complete the course even if additional time is given.  In these cases the incomplete grade of “I” becomes a “F” grade.  However if the situations exist, I may grand the grade of incomplete, “I”.   To receive this temporary grade of “I” you must:

 

  • Have completed 2 exams with at grade of C or better and 1 of the 3 projects.
  • Request the “I” grade to the instructor and complete the necessary forms.
  • Complete the course in the time allowed by the instructor.  Failure to complete the material in the allowed time will result in the “I” grade being changed to a grade of “F”.

19. Extra Credit or Bonus Credit:

Every student can earn up to 50 points of extra credit.  This can be accomplished by:

  • Readingand summarizing articles about Customer Service from the Annual Edition of Marketing that is on reserve at the RGC, NRG, CYP, PIN libraries.  The summary is to be 2 to 3 double spaced typed pages and will be worth a maximum of 15 points each.
  • OR you may interview a manager at a retail business concerning their customer service.  In the interview give full name and business name and title of the individual.  Include discussion of the company’s background in customer service and if they have had to change it from time to time.  Include employee training also.  This interview should be from 2 to 3 pages in length.
  • OR Read a trade book on Customer Service.  This will be valued at a maximum of 50 points and is to be a minimum of 4 to 5 typed pages. A number of books appear in the Lucas text on page 288 titled Bibliography.  If other books are selected please contact me first for approval.

  Extra credit should be labeled extra credit and see the Class Schedule for due dates.

20. Course Policies: Departmental and College Policies

A. Incomplete Policy:  An incomplete (I) will be granted to a student in rare circumstances. Generally, to receive a grade of  I, a student must have completed all examinations and assignments to date, be passing, and have personal circumstances that prevent course completion that occur after the deadline to withdraw with a grade of W.

 

B. Attendance Policy:  Since this is an Open Campus course, this police are not applicable.  However, tests and other projects will have deadlines and they are expected to be taken or submitted on time.

 

C. Withdrawal Policy:  It is the student’s responsibility to withdraw from a course.  Instructors are allowed to withdraw students but students must not rely on their instructor to withdraw them if they wish to withdraw.

 

D. Academic Freedom Statement:  Each student is strongly encouraged to participate in class. In any classroom situation that includes discussion and critical thinking, there are bound to be many differing viewpoints.  In the OLN courses this can be via the internet or Blackboard.  These differences enhance the learning experience and create an atmosphere where students and instructors alike will be encouraged to think and learn. On sensitive and volatile topics, students may sometimes disagree not only with each other but also with the instructor. It is expected that faculty and students will respect the views of others when expressed in classroom discussions.

 

E. Scholastic Dishonesty Statement:Acts prohibited by the College for which discipline may be administered include scholastic dishonesty, including but not limited to cheating on an exam or quiz, plagiarizing, and unauthorized collaboration with another in preparing outside work. Academic work submitted by students shall be the result of their thought, research or self-expression. Academic work is defined as, but not limited to tests, quizzes, whether taken electronically or on paper; projects, either individual or group; classroom presentations, and homework” (Student Handbook.  Penalties for scholastic dishonesty will depend upon the nature of the violation and may range from lowering a grade on one assignment to an F in the course and/or expulsion from this institution.

 

F. Student Discipline Statement:  Classroom behavior should support and enhance learning. Behavior that disrupts the learning process will be dealt with appropriately, which may include having the student leave class for the rest of that day. In serious cases, disruptive behavior may lead to a student being withdrawn from the class. ACC's policy on student discipline can be found in the Student Handbook.

 

G. Students with Disabilities Statement:Each ACC campus offers support services for students with documented physical or psychological disabilities.  Students with disabilities must request reasonable accommodations through the Office for Students with Disabilities on the campus where they expect to take the majority of their classes. Students are encouraged to do this three weeks before the start of the semester” (Student Handbook.

 

H.  Rule of Three:  Per state law, effective Spring 2006, any student taking a class for the 3rd time or more may be charged an additional $60 per credit hour unless exempted.  The Texas Higher Education Coordinating Board has mandated that all publicly funded higher education institutions will not receive funding for courses a student takes for the 3rd time.  Without the state funding for those affected classes, ACC will charge additional tuition cover the cost for these classes.  The new Rule of Tree tuition will not apply to developmental courses and special studies courses.

 

K. Serious Consequences for Receiving “W”in a Course:  The Texas Legislature has now, for the second session in a row, instituted some substantial consequences for students who withdraw from courses.  Students have traditionally thought of a “W” as a non-penalty grade, thus it is very important that students understand the direction that the state is going about withdrawals so that they can avoid substantial negative consequences later.

 

The consequences instituted by the state in 2007 states that for freshmen in Fall 2007 and later, there will be a limit of 6 “W’s” that will be permitted in the overall  student’s college career.

 

Course Outline:

Test Dates See Class Schedule

Chapter

 

Chapter 1 The Customer Service Profession

 

Chapter 2 Contributing to the Service Culture

 

Chapter 3 Verbal Communication Skills

 

Chapter 4 Nonverbal Communication Skills

 

Test 1

 

 

           

 

Chapter 5 Listening to the Customer

 

Chapter 6 Customer Service and Behavior

 

Chapter 7 Service Breakdowns and Service Recovery

 

        Test 2

 

 

Chapter 8 Customer Service in a Diverse World

 

Chapter 9 Customer Service via Technology

 

Chapter 10 Encouraging Customer Loyalty

 

        Test 3

 

                       

 

           

CASE STUDY

 

Following these instructions, you will find the case study Customer Service and Relationship Management at Nordstrom.  Read the case situations carefully, then answer the questions that are at the end  of the case study.  You may use your text, the information in the case, or articles that you have come across. 

 

You should incorporate as much of the points made in the text as possible in your replies to the questions.  This is a major project and replies must be in detail and fully discussed.

 You may want to visit the Austin’s Nordstrom store and walk around and see if it is different from other type of department stores.  You may want to go also to the Nordstrom web page and review it and comment on this as it relates to customer service.

 

See Class Schedule for due date and it will have a value of 100 points toward your final course grade

 

  Customer Service and Relationship Management at Nordstrom

 

Nordstrom’s unwavering customer focused philosophy traces it roots to founder Johan Nordstrom’s values.  He believed in people and realized that consistently exceeding their expectations led to success and good conscience.  He built his organization around a customer oriented philosophy.  The organization focuses on people and its policies and selections are designed to satisfy people.  As simples as this philosophy sounds, few of Nordstrom’s competitors truly have been able to grasp it.
 

 

Nordstrom’s treats customers like royalty.  Employees are instructed to do whatever is in the customer’s best interest.  Customer delight drives the values of the company.  Customers are taken seriously and are at the heart of the business.  Customers are even at the top of the Nordstrom’s so called organization chart, which is an inverted pyramid.  Following customers from the top of the inverted pyramid are salespeople, department managers, and general managers.  Finally at the bottom is the board of directors.  All lower levels work toward supporting the salespeople, who in turn work  to serve the customer.

 

Employee incentives are tied to customer service.  Salespeople are given personalized business cards to help them build relationships with customers.  Uniquely, salespeople are not tied to their respective departments but to the customer.  Salespeople can travel from department to department within the store to assist their customer, if that is needed.  For example, a Nordstrom salesperson assisting a woman shopping for business apparel helps her shop for suits, blouses, shoes, hosiery, and accessories.  The sales person becomes the personal shopper  of the customer to show her merchandise and provide fashion expertise.  This is also conducive to building of a long term relationship with the customer.  Over time, the salesperson understands the customer’s fashion sense and personality.

 

The opportunity to sell across departments enables salespeople to maximize sales and commissions while providing superior customer service.  A comment on a 60 Minutes segment  not service like it used to be, but service as it never was.

 

 

Despite the obsession with customer service at Nordstrom, ironically, the customer comes second.  Nordstrom understands that customer will be treated well by its employees only if the employees themselves are treated well by the company.  Nordstrom employee are treated almost like the extended Nordstrom family, and employee satisfaction is a closely watched business variable.

 

Nordstrom is known for promoting employees from within its ranks.  The fundamental traits of a successful Nordstrom salesperson (such as commitment to excellence and customer service) are the same traits emphasized in successful Nordstrom executives.

 

Nordstrom hires people with a positive attitude, a sense of ownership, initiative, heroism, and the ability to handle high expectations.  This sense of ownership is reflected in Nordstrom’s low rate of shrinkage.  Shrinkage, or loss due to theft and record keeping errors at Nordstrom is under 1.5% of sales…roughly one half the industry average.  The low shrinkage can be attributed in large part to the diligence of salespeople caring for the merchandise as it were their own.

 

Employees at all levels are treated like businesspeople and empowered to make independent decisions.  They are give the latitude to do whatever they believe is the right thing with the customers’ best interest at heart.  All employees are given the tools and authority to do whatever is necessary to satisfy customers, and management almost always backs subordinates’ decisions.

 

In summary, Nordstrom’s product is its people.  The loyal Nordstrom shopper goes to Nordstrom for the service received…not the products.  Of course, Nordstrom does offer quality merchandise, but that is secondary for many customers.

 

One of the most famous examples of Nordstrom customer service occurred in 1975 when a Nordstrom salesperson gladly took back a ser of used automobile tires and gave the customer a refund even though Nordstrom had never sold tires.  The customer has purchased the tires from a Northern Commercial Company store, whose retail space Nordstrom had since acquired.  Not wanting the customer to leave the Nordstrom store unhappy, the salesperson refunded the price of the tires.

 

Nordstrom’s policies focus on the concept of the Lifetime Value of the Customer.   Although little money is made on the first sale, when the lifetime value of a customer is calculated, the positive dollar amount of a loyal customer is staggering.  The lifetime value of a customer is the sum of all sales generated from that customer, directly or indirectly.  To keep a customer for a lifetime, Nordstrom goes to incredible lengths.  In the Nordstrom store in Seattle, a customer wanted to buy a pair of brand name slacks that had gone on sale.  The store was out of her size and the salesperson was unable to locate a pair at other Nordstrom stores.  Knowing that the same slacks were available at a competitor nearby, the sales clerk went to the rival, purchased the slacks at full price, using petty cash from her department and sold the slacks to the customer at Nordstrom’s sale price.  Although this sales resulted in an immediate loss for the store, the investment in promoting the loyalty of the happy customer went a long way.

 

Nordstrom’s employees try to never say no to a customer.  Nordstrom has an unconditional return policy.  If a customer is not fully satisfied he or she can return the new and generally even heavily used merchandise at any time for a full refund.  Ironically this is not a company policy, rather it is implemented at the discretion of the salesperson to maximize customer satisfaction.  Nordstrom’s advice to its employees is simply , Use good judgment in all situations.  Employees are given the freedom, support, and resources to make the best decision to enhance customer satisfaction.  The cost of Nordstrom’s service, such as its return policy, coupled with it competitive pricing would, on the surface, seem to cut into profit margins.  This cost is recouped through increased sales from repeat customers,   markdowns, and if necessary, the squeezing of suppliers.

 

Nordstrom’s up channel policies also focus on maximizing customer satisfaction.  According to former CEO Bruce Nordstrom, know that we are liberal with our customers.  And if you are going to do business with us, then there should be a liberal influence on their return policies.  If somebody has worn a shoe and it doesn’t wear satisfactorily for  them, and we think the person is being honest about it, we will send it back.   Nordstrom realized some customers will abuse the unconditional return policy, but  Nordstrom refuses to impose that abuse back onto their vendors.  Here again, doing what is right comes into play.

 

 

Nordstrom’s merchandising and purchasing policies are also extremely customer focused.  A full selection of merchandise, in a wide variety of sizes is seen as a measure of customer service.  An average Nordstrom store carries roughly 150,000 pairs of shoes with a variety of sizes, widths, colors, and models.  Typical shoe sizes for women range 2-1/2 to 14  in widths of A to EEE.  Nordstrom is fanatical about stocking only high quality merchandise.  Once when the upper parts of some women’s shoes were separating from the soles, every shoe from that delivery was shipped back to the manufacturer.

 

 

Questions for case study: 

 

Please insure that your replies to these questions are detailed.

 

1. What steps does Nordstrom take to implement its strategy providing outstanding customer service?  According to the text, are there any actions or steps that are discussed in the text that Nordstrom does not implement?

 

2. How do these activities enable Nordstrom to reduce the gaps between perceived service and customer expectations?

 

3. What are the pros and cons of Nordstrom’s approach to developing a competitive advantage through customer service?

 

4. Can Nordstrom’s philosophy of customer service be used businesses other than retail service businesses?  Educational institutions?  Lower end retailers   like Walmart, Target, or Steinmart or Kohls? Why or why not?  If not how could these retailers improve their customer service and relations, give examples

 

5. Discuss the inventory policies of Nordstrom to that of other department or retail stores.  Does this policy impact customer service? 

 

 

    

 

 

 

 

  

 

 

 

 

 

 

 

 

 

Readings

Please refer to the reading requirements section of the syllabus in paragraph 3.  All information is located there.

Course Subjects

Please refer to the course requirements Table of Contents section of the syllabus.  All infomration is located there.

Student Learning Outcomes/Learning Objectives

Please refer to the course requirements Objectives section of the syllabus in paragraph 7.  All information and objectives are listed there.