Case Study #1: People, Service, and Profit at Jyske Bank
People, Service, and Profit at Jyske Bank
1. Jyske Bank’s core values are rooted in treating its "three groups of stakeholders-shareholders, customers, and employees-with equal respect.” Jyske bank does this through: Common Sense, Being Open and Honest, Being Different and Unpretentious, Displaying Genuine Interest and Equal Respect for People, and Being Efficient and Persevering.
2. “First, you tell people what’s expected. Second, you check on their behavior. If they are buying expensive wine, you ask, “Why?” You explain what makes ...view middle of the document...
The last component was that Jyske realized they would not service everyone. Jyske differentiated themselves by charging a premium for its services to reduce some credit risk while also having a personality. The personality is something that Jyske developed to attract specific customers that preferred that kind of style.
5. Tangible changes made by the bank include: Account Teams, Branch Design, and Details. Intangible changes include: Training, Empowering the Branches, Empowering the Bank, Management Style, Human Resources, Metrics and Financial Results, and Communication.
6. Beginning with the tangible changes made by Jyske, there are many connections between these changes and the 7 P’s of the marketing mix. Account Teams relate to “People” as these teams are there for individual customers to develop relationships and fully service customer needs. Branch Design and Details are classified as “Physical Evidence”. Designing the branches to make the customer feel comfortable while also adjusting business cards to add more detail has everything to do with what the customer sees as professional. The intangible changes had a lot to do with process and people. Employees must be trained to deliver the core values of Jyske Bank, which involves communication with customers. Human Resources has to focus on hiring the correct people who embody the Jyske Differences. Metrics and Financial Results focus on “Product” and “Process” as it provides feedback on whether the service is being effectively delivered. The changes all have aspects of the marketing mix.
7,8. The Customer Gap is the most important for Jyske Bank to close because equal customer expectations and perceptions will usually lead to higher satisfaction assuming the expectations are high. We can analyze the Customer Gap through the four Provider Gaps. Jyske sought to close the Listening Gap through market research conducted by a Dutch consultant. This market research lead Jyske to focus on hard factors such as price and product but also soft factors focused on relationships with the customer. The Service Design and Standards Gap was closed with the tangible changes discussed before. The Branch Design, Account...