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Strategy Maps: Converting Intangible Assets into Tangible Outcomes by David P. Norton, Robert Kaplan

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C H A P T E R    F O U R

CUSTOMER MANAGEMENT PROCESSES

CUSTOMER MANAGEMENT reflects much of what is new in modern business strategy (see Figure 4-1). In the Industrial Era, strategies were product driven: “If we build it, they will come” was the underlying philosophy. Companies succeeded through efficient operations management processes and product innovation. Operating processes, focused on cost management, scale economies, and quality, enabled products to be delivered at prices that generated attractive profit margins while still being affordable to customers. Innovation processes produced a continual flow of new products that helped to grow market share and revenues. Customer management focused on transactions—promoting and selling the enterprise’s ...

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