Resolve Customers' Complaints - Knowledge Questions and Answers

This document provides knowledge questions and answers related to resolving customers' complaints. It covers topics such as assessing complaints, identifying issues, negotiating techniques, conflict management, organizational procedures, and escalation of complaints. The document also discusses the cost and regulatory implications of admitting liability, advantages and limitations of offering compensation or replacement products/services, and different complaint response options for both customers and organizations.

Unit 54 RESOLVE CUSTOMERS’ COMPLAINTS
Record Knowledge Questions and Answers
NCFE Level 3 Diploma in Business Administration (QCF)
Candidate name ……………………………………………
Unit amplification
AC1.1: Assess the
suitability of a
range of monitoring
techniques for
customers’
complaints
In order to monitor the customer complaints the use of customer feedback
cards, online surveys for customer satisfaction, social media feedback etc.
can be done so that the reviews of customers on company products and
services can be known. The strategy chosen must be suitable for customers
so that they can easily give their feedbacks.
AC1.2: Explain how
to identify those
complaints that
should prompt a
review of the service
offer and service
delivery
It is important that the complaints are identified based on various grounds
like delay in delivery, inappropriate products, health and safety products
etc. so that prompt actions can be taken which can help in preventing
damage to company reputation in market.
AC1.3: Explain
negotiating
techniques used to
resolve customers’
complaints
Based on the bargaining power of customers negotiating techniques can be
applied like understanding and allowing allowable concessions, use of
empathy, alternate options available for customers etc. so that their problems
can be resolved.

AC 1.4: Explain
conflict
management
techniques used in
dealing with upset
customers
Conflicts can be managed with customers by using empathy and remaining
calm so that the customers can be understood and best possible solutions
can be made available to them. Also offering complementary services or
products can be done.
AC1.5: Explain
organisational
procedures for
dealing with
customer
complaints
The complaints are received via various ways like e-mails, calls at the
customer service centres etc. The complaints are then analysed so that best
possible solutions or alternatives can be given to customers which can help in
protecting company image.
AC1.6: Explain
when to escalate
customers’
complaints The customer complaints can be escalated when the solutions are not under
the authority limits or the executive lack knowledge related with the matter
or the situation is not under the control. In such situations higher authorities
can eb consulted so that customer problems can be dealt.
AC1.7: Explain the
cost and regulatory
implications of
admitting liability
on the basis of a
customer complaint
The financial cost which can be incurred due to customer complaints can be
dealt through individual compensation claims, class action claims etc. The
regulatory implications of customer companies can lead to investigation in
company under various departments.
AC1.8: Explain the
advantages and
limitations of
offering
compensation or
replacement
products and/or
services
By compensating the customers they can be retained in company and
company’s image can be improved in market through finding efficiently
solutions for resolving issues.
Limitations can be that customers might not trust the company again, the
company cost can increase so that such issues do not arise again.
2.4. Explain the By giving different complaint response options to customers better options

advantages and
limitations of
different complaint
response options to
customers
can be given to customers so that they can post about their reviews so that
necessary improvement can be made.
Limitation can be that it can increase the cost of company and also all the
options need monitoring.
2.5. Explain the
advantages and
limitations of
different complaint
response options to
the organisation
The organisation can make improvements as various customers can give their
responses so that improvement in products and services can be made.
Limitation can be increased cost of monitoring and controlling all the options
and also difficulty in dealing with all the customer complaints.
Candidate Signature…………………………………….Date………………................
Assessor signature …………………………….…..... Date …................…………
Internal Verifier signature (if sampled): ………….....Date …..........................

References
Books and journals
Goodman, J., 2019. Strategic customer service: Managing the customer experience to
increase positive word of mouth, build loyalty, and maximize profits. Amacom.
Baker, M.A., 2016. Managing customer experiences in hotel chains. The Routledge handbook
of hotel chain management, pp.240-250.
Bhat, S.A. and Darzi, M.A., 2016. Customer relationship management. International Journal
of Bank Marketing.
Hsiao, Y.H., Chen, L.F., Choy, Y.L. and Su, C.T., 2016. A novel framework for customer
complaint management. The Service Industries Journal, 36(13-14), pp.675-698.