Essay on Outline Of An Organization 's Growth And Success

Essay on Outline Of An Organization 's Growth And Success

Length: 2518 words (7.2 double-spaced pages)

Rating: Better Essays

Open Document

Essay Preview

Title: How to Identify and Keep Your Most Powerful Customers
Introduction
The most important part of an organization’s growth and success is its customers. A loyal customer of an organization is the one who cost less to serve, usually pays more than what other customers do and entice more customers through their personal account i.e. word of mouth. If you also agree to these three claims, then it is the right time to revisit them thus finding about them being true. This research reveals that loyal customers have experienced their worth to the organization and look for premium services. They also feel that services given to them should be cost effective and they would only do positive publicity if they feel that organization has been loyal to them.
Here in this article we will be discussing about why companies chivy the claims mentioned above and also what is the logic behind it? There is a simple answer to this. In short words loyalty equals profitability. It is a general phenomenon that if you are loyal to somebody then he or she should be loyal to you. In the similar way when company wants customers to be loyal with them, then they have to do the same with its customers. Keeping this phenomenon in mind an organization maximizes its backward looking metrics like:
1. Share of wallet (SOW)
2. Past customer value (PCV)
3. Recency, Frequency and monetary value of Purchases (RFM)
However it is not important the loyal customer management would lead you to profits. Loyalty and profitability link can be advocated simultaneously. It can be achieved by maximizing and measuring CLV i.e. customer life value. Using CLV exemplar helps companies in making logical decisions about customers and various presumptions to retain and acquire, and a...


... middle of paper ...


...is not limited to selling but making new customers thus increasing the sale and profits of the firm. In this way a firm can communicate with its customers very nicely. This is called interaction orientation. It helps a lot in developing a business owner form overall aspects. In short we can say that all the strategies based on CLV would be omnipotent and omnipresent worldwide.
The above mentioned information clearly reveals the importance of customer lifetime value on a business owner; in addition to this how it influences very organization and its owner. You can be sure of using such techniques for increasing customers, increasing product sale and thus increasing profits. Future profit estimation can also be done with the help of these strategies.
Link used for resourcing the data: http://www.imanet.org/docs/default-source/maq/2009maq_spring_kumar-pdf.pdf?sfvrsn=0

Need Writing Help?

Get feedback on grammar, clarity, concision and logic instantly.

Check your paper »

The Leadership Challenge Of An Organization Essay

- The Leadership Challenge Leadership skills are essential for those who wish to lead change in an organisation. According to Kouzes and Posner leadership is a relationship between those who aspire to lead and those who choose to follow (2007). How this relationship works can be a determining factor in the success of a project or indeed an organisation. Not everyone is a born leader, but leadership skills can be developed and many theorists have come up with strategies and processes that can be followed to achieve this goal....   [tags: Leadership, Management, Organization, Sociology]

Better Essays
962 words (2.7 pages)

The DeLone and Mclean Model of Information Systems Success: A Ten-Year Update

- The D&M IS Success Model was created having the desire to understand the impacts of IS. This study was a follow-up to the previous model in 1992 which was used as the framework and model for assessing the complex dependent variable in IS research. Three components were identified in the process models; “creation of the system, use of the system and the consequences of the system use, (DeLone & McLean, 2003). The article serves to outline the authors’ beliefs that “the measurement of IS success or effectiveness is critical to our understanding of the value and efficacy of IS management actions and IS investments” (DeLone & McLean, 2003)....   [tags: IS, taxonomy, success]

Better Essays
1205 words (3.4 pages)

Description of Nurse Organization Meeting Essay

- A professional nursing practice is predicated on many tenets, which ensure optimal functionality and growth. A successful organization requires the systematic employment of ethical values, as well as structural, organizational and relational leadership. In essence, a nursing practice must fortify its corporate structure, productivity, operational flow, and professional relationships in order to thrive. The purpose of an organizational meeting is to address the foundational elements of a successful practice....   [tags: nursing practice, structural organization, nurses]

Better Essays
856 words (2.4 pages)

An Effective Leader I Must Plan For Success And Growth Essay

- As an effective leader I must plan for success and growth. My reflective leadership plan will include my personal plan for improvement as well as my professional plan. This paper will highlight my personal strengths and weaknesses as a leader, identify the areas needed for improvement, and classify the leadership skills and practices that I will use to become an effective leader. This paper will outline my goals that I consider a priority and a timeline for this development. The overall result will be an inclusive leadership plan of development that I will use to grow myself as well as any organization that I work for in the future, With completing the StrengthsFinder survey, it narrowed do...   [tags: Leadership, Management, Psychology, Better]

Better Essays
1069 words (3.1 pages)

An Outline And Issues With Human Resource Management Essay

- An outline and issues with human resource Introduction: My organization over the years have relied on its Human Resource (HR) department to recruit the best employees, design appropriate and effective training programs and institute successful retention programs that will give this City a competitive advantage in the 21st century. This practice of allowing HR to play an integral role in our workforce development has helped my organization maintain an experience and motivated workforce while focusing on productivity and the delivery of better services to its citizens....   [tags: Employment, Human resource management]

Better Essays
944 words (2.7 pages)

Outline a Professional Foundation to Plan the Goals of a Company Essay example

- Woodco Millwork has grown fast in the past year, making it obvious that clear direction and purpose needs communicated to move the business forward on the right track. It is also clear that to continue the upward trend that the staff needs to be empowered to achieve long-term results. The purpose of this report is to outline a professional foundation that will plan the goals of the company, how they can be implemented and the results it will produce. Introduction: “A well designed Professional Foundations is made up of three independent components: mission, vision and values” (UBT)....   [tags: woodoco millwork, mission, vision]

Better Essays
1012 words (2.9 pages)

Essay about Total Quality Management : An Organization

- Total quality management is a transformation in the way an organization manages (Caudron, 1993). It is a mindset and a set of procedures that have been developed to enhance the quality of an organizations goods and services and the efficiency with which they are produced (George and Jones, 2012). Total quality management involves focusing management’s strategies on the continuous improvement of all operations, functions, and above all processes of work. Quality is basically meeting the needs of the customers....   [tags: Management, Decision making, Decision theory]

Better Essays
1226 words (3.5 pages)

Expansion of Apple Organization Essay

- Introduction: Apple organization was recognized in 1976 as a computer organization. However, in the last several years, Apple organization has extended into a complicated organization that focuses primarily on much more than just computer systems. In 2001, Apple organization split the hurdle with the iPod, gradually becoming the prominent market innovator in music gamers. In following, Apple organization signed up with the phone market in 2007 with the iPhone, which has also been widely successful....   [tags: electronics, employees, management]

Better Essays
1398 words (4 pages)

The DeLone and McLean Model of Information Systems Success: A ten-year update

- This DeLone and McLean Model of Information Systems Success: A ten-year update was a follow-up to their previous model. The creation of the D&M IS Success Model was driven by a process understanding of IS and their impacts. Three components were identified in the process models; the creation of the system, the use of the system and the consequences of this system use. In 1992 the D&M model was presented to as a framework and model for measuring the complex dependent variable in IS research. However this paper serves to discuss the several important IS research contributions that have that occurred since the 1992 model....   [tags: technology, D&M IS]

Better Essays
1185 words (3.4 pages)

Essay on Achieving Success For Successful Organizations

- Striving for Successful I believe that making a organizational successful is to being able to meet the needs of the organization. The strength of any organization depends on the strength of the management and workforce. The organization needs to have unique and strong cultures with values of the same in order to provide excellent performance. Managing people with respect, from the time they are being interviewed for possible hire, to the time of their leaving the organization, is the hallmark of modern, successful organizations....   [tags: Management, Leadership, Organization, ManaGeR]

Better Essays
1099 words (3.1 pages)