How to Achieve the Ultimate Customer-Focused Company

In May 2007, Ranjay Gulati (Michael Ludwig NemmersCooperation: Here the focus is two-fold. Separate
Distinguished Professor of Strategy and Organizationsbusiness units need to cooperate to support each
at Northwestern University's Kellogg School ofothers activities to achieve measurable customer
Management), wrote an article for the Harvardsatisfaction, and employees who are closest to
Business Review entitled "Silo Busting: How to Executecustomers need the authority to make decisions that
on the Promise of Customer Focus".benefit the customer. This kind of cooperation ensures
Gulati's main point is as true today as it was then --the customer always comes first.
that while many companies claim to be focused onCapability: According to Gulati, companies need more
their customers, they are unable to deliver on these"generalists". These are described as employees who
promises within their current company culture. His basis"have experience in several products or services and
for this argument is that companies continue to focusa deep knowledge of customer needs" as well as
on their own needs versus the customer needs.having the skill and flexibility to cross organizational
Gulati identified four values that companies must adoptboundaries. These people see the big picture and
in order to successfully be customer-focused. Theseresultant are able to produce tailored solutions that
are coordination, cooperation, capability and connection.meet customer needs.
Coordination: Most companies are organized around aConnection: Gulati's research supports aligning with
specific function, product or geographical location.suppliers and partners. The rationale is that it support
However, customers don't think that way, and oftenbetter solutions for the customer as well as provide
the solutions they need do not fit within thosecost-cutting opportunities.
boundaries. Gulati suggests that companies need toGulati's four "C's" make sense, as they provide
create processes or mechanisms that break thesecompanies with a process map that focuses on the
divisions - or silos - so that the customer gets thecustomer. Interesting to note, everything still focuses on
benefit of the entire company.the big 'C' -- the customer.