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The Ultimate Question: Driving Good Profits and True Growth
Fred Reichheld

Harvard Business School Press, 2006 - 210 pages

average customer review:based on 64 reviews
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   highly recommended  highly recommended





Excellent!

The concepts in this book are compelling and surely here to stay. This material survives in the real world!


GREAT!!!

This is a great book. I have referenced this book in meetings to my team at work, and it has proven to be very useful. I highly recommend this book to anyone with leadership aspirations.









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Closed Loop

I recently read a book called, The Ultimate Question, Driving Good Profits and True Growth by Fred Reichheld. He also wrote the the Loyalty Effect. Reichheld is a huge advocate of offering premium customer service and measuring this as one of the driving forces of any company.

Most of the points that he makes in the book are that there are bad profits and good profits. Bad profits are those that are short term and can detract from and strangle a company. Good profits are those that are sustainable.

Lately, I have been thinking a lot about strategy and mission statements. He really points to what the ultimate mission statement is for customer service organizations and that is simply the golden rule -- how do you want to be treated?

His book talks about the ultimate question to ask customers which is, how likely is it that you would recommend company X to a friend or colleague? This tends to be a more accurate indicator of customer satisfaction than just asking them how satisfied they are with a customer.

He also talks about closed loop feedback. Whenever there is error or a problem, closing the loop very quickly makes total sense. Although I dislike the paperwork in ISO9000, closed loop is one of its positive attributes.



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CEOs regularly announce ambitious growth targets, then fail to achieve them. The reason? Their growing addiction to bad profits. These corporate steroids boost short-term earnings but alienate customers. They undermine growth by creating legions of detractors?customers who complain loudly about the company and switch to competitors at the earliest opportunity.

Based on extensive research, The Ultimate Question shows how companies can rigorously measure Net Promoter statistics, help managers improve them, and create communities of passionate advocates that stimulate innovation. Vivid stories from leading-edge organizations illustrate the ideas in practice.

Practical and compelling, this is the one book?and the one tool?no growth-minded leader can afford to miss.


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