Monday 28 October 2013

The organsiational cost of getting it wrong for customers

This is a direct quote from "utilityweek". "Following the revelation that Scottish Power mis-sold energy deals through door-to-door salespeople and telesales. UK regulator Ofgem has fined it £8.5m. Ofgem says "today's announcement is a clear sign to energy suppliers of the consequences of breaching licence obligations and of the importance of taking action to put things right for consumers when they go wrong".

This, and the £10.5m fine to SSE energy company earlier in the year, provides further evidence of the monetary cost of failing to instill genuine customer focus and commitment within organisations and the reputational damage (which is much harder to evaluate) to the organisations involved and their industry.There is clear need here for cultural change to improve ethical behaviours throughout the organisation.

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