Describe HOW your organization determines requirements, expectations, and preferences of CUSTOMERS and markets to ensure the continuing relevance of your products and services and to develop new opportunities.

Within your response, include answers to the following questions:

3.1a.Customer and Market Knowledge

(1) HOW do you identify CUSTOMERS, CUSTOMER groups, and market SEGMENTS?

HOW do you determine which CUSTOMERS, CUSTOMER groups, and market SEGMENTS to pursue for current and future products and services?

HOW do you include CUSTOMERS of competitors and other potential CUSTOMERS and markets in this determination?

(2) HOW do you listen and learn to determine KEY CUSTOMER requirements and changing expectations (including product and service features) and their relative IMPORTANCE to CUSTOMERS’ purchasing decisions?

HOW do your determination methods vary for different CUSTOMERS or CUSTOMER groups?

HOW do you use relevant information and feedback from current and former CUSTOMERS, including marketing and sales information, CUSTOMER loyalty and retention data, win/loss ANALYSIS, and complaint data for PURPOSES of product and service planning, marketing, PROCESS improvements, and other business development?

HOW do you use this information and feedback to become more CUSTOMER focused and to better satisfy CUSTOMER needs?

(3) HOW do you keep your listening and LEARNING methods current with business needs and directions, including changes in your marketplace?

Notes:

N1. Your responses to this Item should include the CUSTOMER groups and market SEGMENTS identified in P.1b(2).

N2. If your products and services are sold or delivered to end-use CUSTOMERS via other businesses (e.g., those businesses that are part of your “VALUE chain” such as retail stores or dealers), CUSTOMER groups (3.1a[1]) should include both the end users and these intermediate businesses.

N3. “Product and service features” (3.1a[2]) refers to all the important characteristics of products and services and to their PERFORMANCE throughout their full life cycle and the full “consumption chain.” This includes all CUSTOMERS’ purchase experiences and other interactions with your organization that influence purchase decisions. The focus should be on features that affect CUSTOMER preference and repeat business—for example, those features that differentiate your products and services from competing offerings. Those features might include price, reliability, VALUE, delivery, requirements for hazardous materials use and disposal, CUSTOMER or technical support, and the sales relationship. KEY product and service features and purchasing decisions (3.1a[2]) might take into account HOW transactions occur and factors such as confidentiality and security.

N4. Listening and LEARNING (3.1a[2]) might include gathering and integrating surveys, focus group findings, Web-based data, and other data and information that bear upon CUSTOMERS’ purchasing decisions. Keeping your listening and LEARNING methods current with business needs and directions (3.1a[3]) also might include use of newer technology, such as Web-based data gathering.

For additional description of this Item, see 3.1 Customer and Market Knowledge Item Description.

2005 Criteria Items (English): 1.1 - 1.2 - 2.1 - 2.2 - 3.1 - 3.2 - 4.1 - 4.2 - 5.1 - 5.2 - 5.3 - 6.1 - 6.2 - 7.1 - 7.2 - 7.3 - 7.4 - 7.5 - 7.6 - P.1 - P.2