Alexandr Gritsuk, Digitalbusiness: “We have automated management of 100% KTC.ua orders with Corezoid”

Alexandr Gritsuk, Founder of Digitalbusiness Consulting Agency

Alexandr, please tell us about your work with KTC.ua?

КТС.ua is a retailer of electronics and computer equipment with 25 offline stores, an online store operating throughout Ukraine, with 350 line employees, and processing of more than 1,500 orders daily. Selling equipment online requires organization of fast delivery via courier service and communication with customers in different parts of Ukraine.

What did you start your cooperation with KTC.ua with?

When we started consulting KTS on business process automation, we identified the following weak points:

1. Issues at the point of transfer of responsibility (order taking - processing - delivery - receipt of payments – obtaining feedback on orders).
2. Customer communication policy. How to arrange communication with customers using the most convenient and fast tools so that the customer could receive only important information, on time, and via convenient channel (e-mail, SMS, telephone, messengers, etc.)?
3. Performance monitoring of line employees. The managers lacked resources to monitor performance of each employee and proactively prevent common mistakes.
4. Interaction between departments. Sometimes it took hours, or even whole days, to arrange simple business matters because someone was busy, out of the office, said he would call back and so on.

How did you set up IT architecture in KTC.ua?

We started building own “digital core” for KTC.ua based on the Corezoid Process Engine. We built data analysis using dashboards in Corezoid and Power BI as a base. Viber and Telegram messengers were identified as the main front-ends.

We selected key performance indicators that we want to view and control in the company – ranging from overall chain performance to performance of each individual manager. We developed criteria to measure such performance - what is good and what is bad. We set checkpoints for departments and individual employees. We separately identified key indicators, which affect business profitability.

Using Corezoid, we set up correct format of data handling located in different software systems.

Using Corezoid, we set up correct format of data handling located in different software systems. We launched dashboards that help all managers view the results online in absolute values, dynamics, comparison with the nearest divisions.

How did the work of KTC.ua change following processes automation?

We worked for 12 months debugging each process step by step and simultaneously training employees and management team. Let me give you a few examples on the main business processes.

We moved decision-making logic from the employee level to the level of automated work of algorithms in Corezoid.

We moved decision-making logic from the employee level to the level of automated work of algorithms in Corezoid. For example, the main task in order placement is to determine correctly its type and next steps to fulfill it. We managed to automate this process for 100% of orders. Customer’s order moves to further processing with all the necessary specifications. We set checkpoints for order processing. Responsible units received their SLA and deadlines.

About 80% of orders started going through the company’s internal processes without the need of manual approvals from employees. The call center efficiency has improved four-fold, the speed of delivery increased by 50%.

About 80% of orders started going through the company’s internal processes without the need of manual approvals from employees. The call center efficiency has improved four-fold, the speed of delivery increased by 50%.

How did you resolve the issue of transferring responsibility between departments?

We have taken the entire order management process under control. More than 90% actions within order cycle have been automated. Customers and line managers felt the result immediately: Corezoid always reminded missing actions. Customers contacted if necessary and everything relocated in the right direction. Note it is more than 1,500 orders per day!

Corezoid made it possible to reduce approval and confirmation processes within business workflow to seconds.

Corezoid made it possible to reduce approval and confirmation processes within business workflow to seconds. For example, when manager needs an order approval by the head of department, the order description is sent to the head of department via Telegram, who only needs to make a choice between “approve” and “reject”.

Departments and responsible managers set up receipt of notifications depending on the events occurring in other departments. For example, an employee responsible for product sales receives automatic notification if a customer contacts store with a service issue. Line manager receives an automatic notification if there is a return of goods worth more than 10,000 UAH. Head of department can approve an employee business trip from any location within a few seconds.

People began to receive a completely transparent assessment of their performance and view the results of their performance online.

Did you use Corezoid to monitor employees’ performance?

Yes, we did. We have built a system to monitor employees’ performance using chat bots. This issue could not be solved with manual control for years: fines, penalties, strict monitoring by managers. We solved it with the help of notifications sent to the chat bot. First step - the system prompts an employee that something has gone wrong and needs to be fixed. Second step - if the issue is not addressed, it becomes known to the head of department; and if the issue still remains unresolved, a person in the company who can fix the issue must definitely be informed about it. One, two, three instances, and you can hardly find anyone who still wants to receive a call from the top level.

People began to receive a completely transparent assessment of their performance and view the results of their performance online. Store directors’ salaries were generated online and were visible to all departments. The use of automation systems made it possible to remove routine work and focus only on important things.

Data transparency is when reports are generated automatically instead of being manually prepared by managers, when line managers do not report on their achievements but all their achievements are already visible, when the meetings are called not to discuss what has been done but to set goals or discuss future achievements and actions. Examples of checkpoints for employees

How did you automate customer communication?

We developed a customer communication policy via all channels. The document describes at what point and why the employees should contact customers to make the communication useful. We also developed communication patters for informing customer of delivery proceeding, notifying about important product features, requesting feedback.

As a separate feature, we introduced a customer behavior analysis. We combined data on sales, store visits, service calls, newsletter blockings and many other events into one system and set up personal work with customers.

For example, we started informing store assistants about the need to ask their customers questions like “Did you successfully connect the device that you’d bought from us last week?”, “Is everything all right with the phone that you handed over for repair?” and other questions that help show attention and individual approach.

Examples of customer communication where employees classify each customer request during its processing.

Alexandr, why did you decide to use Corezoid to build the “digital core”?

It was easy for KTC employees to start working with Corezoid. We used internal company resource and the first results of our work came out two weeks following Corezoid introduction.

Corezoid made it possible to work quickly.

Corezoid made it possible to work quickly. Each level of management wanted to make their own adjustments to business processes. With Corezoid, the gap between business desires and IT capabilities has been eliminated and desires could be executed within a few days.

What are you going to do after you complete the KTC.ua project?

I founded my own consulting agency, Digitalbusiness.com.ua. We analyze company’s business processes. We describe the key components of business processes on one sheet of paper. We select the key components of each process affecting the end result and determine responsible department or employee. Then, using Corezoid, we combine data collected from various systems into a single information space. The sources of problems in each process become visible, which enables us to influence processes.

We set checkpoints for key components of each business process so that managers could see critical changes before severe consequences occur. We automate decision-making logic eliminating routine manual work. All answers to the question “what to do in this situation” appear in Corezoid, and only nonstandard cases are processed manually.

We “live through” all the key changes in the course of company’s business process automation together with our client, and when we hand over the finished “digital core” to our client, he is already able to control and further develop his digital business by himself. New event