THE SECRET behind all these is when companies puts its employees and customer first a radical Measures occurs to them regarding their service excellence and how they measure and manage success.
the front line workers and customers need to be the focal center of the management investment.
and you can never focus only on one side and leave the other side of the balance
great leaders need to focus on investment on people, technology that supports front line workers revamping the recruiting and the training practices, compensation and motivation methods regarding the performances to every level and not only in paper but that are practiced.
The service profit chain establishes the relationships between profitability ,Customer loyalty and Employee( satisfaction and productivity , loyalty and Retention)
The propositions of the Profit and Growth are stipulated by customer loyalty in theses we are looking into the quality share of the market while the attention to quantity of it results to customer satisfaction which is related to value of the service and product received from the employees who are in face to face with the customers thus customer satisfaction drives customer loyalty.
Employee productivity drives Value and its employee loyalty that drives productivity and employee satisfaction drives loyalty where internal quality drives employees productivity ,here we are talking with the relation between the low employee turnover the higher the customer retention , the higher rate of customer loyalty and he very satisfied customers and is all achieved through having very satisfied employees in all aspects of wellness , compensation towards performance: people love recognition , people love to be challenged , people love to be promoted , people love inspirations, and having all the company policies being followed in practice to the later.all theses results to employee satisfaction which drives finally flows back to the customers. and when it does flow back to them you will find that the financial growth and profit is exceeded.
The reverse is true ,when there is a High employee turnover ,low customer retention, low customer customer loyalty which in the end affects the profit , revenue flow and the financial performances rates low.