CRE8 Center For Realizing Excellence

What is Organizational Friction?  Organizational friction disrupts interactions with customers, operations, and vendors; which can negatively impact revenue, expenses, goodwill, compliance, and risk.   Signs of friction include lost sales, complaints on social media, wasted customer and organization time, lack of coordination between departments, problems created that shouldn’t have happened in the first place, lower profitability, and regulatory/legal penalties. Examples of Organizational Friction include complex on-line order web pages, transferring a customer by phone to numerous areas, lack of after-sale customer service, chargebacks, and refunds, rework, frustration between and within departments, and seeing the customer as a problem.  Root causes and fixes of friction can be found in an organization’s beliefs, processes, automation, and measurement. How to Reduce Friction Find where friction exists, beginning with an inventory of processes and cu...