IT leads CX initiatives in most organizations in India, more than their global counterparts

Indian findings are enouraging

Organizations are twice as likely to turn to IT to lead their customer experience (CX) initiatives.. In India, the practice is even more prevalent, with more than three of the four organizations, entrusting their CX initiatives to IT teams, according to a new global research by Pegasystems, conducted in 12 countries, across seven industries.  

While 77% of CX projects in India are currently led by IT, 9% are led by general management, 2% by dedicated CX functions, 2% by marketing, and just 1% by retention and loyalty specialists.

The research points to this heavy dependence on IT, as a possible reason for organizations citing ‘people issues’ as the key CX rollout challenge.  

“While IT is critical to supporting these projects, problems can arise when they are forced to make business decisions that require those in other departments – many of whom are measured by a different set of metrics – to buy in and adopt a new approach, or a new technology solution,” it says.

However, despite a greater dominance of IT in leading CX initiatives, the people issues are seen as top challenge by lesser number of Indian respondents—52%—as compared to 81% respondents globally.

And the reason may lie in larger C level sponsorships in Indian organizations, which is a critical success factor for such initiatives. In India, 43% of CX projects have C level sponsorship, as compared to only 35% of projects globally which have top level sponsors.

The study uncovers what it calls ‘the four false narratives’— Global Customer Experience Study, spanning 5,000 CX practitioners in 12 countries, across 7 different industries.

“To have a successful CX program, it’s not enough to have the right technology; companies have been investing in the “right” tech for 20 years. It’s a constantly moving target, and the half-life of most software is less than 24 months,” says the report.

“For years, the market talked about data management platforms, data warehouses, and data lakes, but those just provided ways to collect data, not truly action it,” the report adds.

“The critical aspects of successful CX – painless interactions, speed of service, customer empathy, relevant info, consistency across channels, etc., require new types of technologies that can be used to personalize experiences at tremendous speed and scale,” says the research report.

According to the survey, among the most the most innovative, future- looking solutions companies are investing are Customer data platforms (53%) and Real-time decision engines (43%).

CDPs pull multiple data sources into a single customer profile, unify it, and make it accessible directly by CX/marketing practitioners. Real-time decision engines evaluate a customer’s profile in real time, while the interaction is taking place and recommend a course of action for that customer.

While the India press statement builds a similar narrative as Pegasystem's global report, the differences are significant, if not huge, going by the data points it presents, such as higher C level sponsorship and lesser complaint about people issues. It shows a more—if only slightly—mature approach. Considering that India is just beginning the journey and is a growth market, as compared to an efficiency led market like mature regions, Indian organizations’ CX journeys could chart a completely different path from what we have seen globally.

 

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