Although the figures prove that Britain is a service economy, we seem embarrassed to accept the fact. Natalie Calvert believes that the 2012 Olympics could give us a much needed confidence boost on our way to becoming a proud, world-leading service power.
Ever since the coal mines began closing and manufacturing started to shift to lower cost, overseas destinations, the UK economy has continued its inexorable shift to become a service-based economy. We are regularly reminded of the absolute nature of this transformation by PMI (Purchasing Managers Index) which each month delivers depressing news about industries such as construction and manufacturing, while offering hope in the shape of service-orientated businesses. For example, in December the service sector was rated at 54.0 (any score above 50 indicates growth). This figure, in stark contrast to other industries sectors which continue to slump each month, was up almost two points compared to the previous month. In short, service is the main reason why the UK economy has so far avoided a double-dip recession.
The timing therefore of the London Olympics could not be better. What better way to prove that the UK is a world leader than serving people assembled from around the globe in the biggest imaginable shop window? If we succeed by hosting a visitor friendly games, we will confirm our place as a service-first nation. My hope is that the effects of this will run much deeper and last much longer than the immediate afterglow of a well-received Olympic Games and start to change the perception of our entire industry.
For a long time, I think Britain has been slight embarrassed about its recently acquired status as a service-led economy. There is a pervading feeling that, because it doesn’t produce a tangible product that can literally boxed and exported, service isn’t a legitimate industry. Partly this attitude is fostered by the historical legacy of trade and industry which is built on exchange of goods. Service is intangible and therefore seems less valuable, even though people and businesses pay for it all the time.
The other problem is that service is still seen by many as a subversive undertaking which forces those in its employ to bow down to paymasters. Once again, this is simply not the case and is a hangover from the days of butlers and servants. Providing service and support today in the modern economy is about collaboration, sharing solutions and finding ways for businesses and individuals to work more effectively. The instances where service is about grovelling and patching up organisational failure are reducing, as all departments of the business begin to accept and take responsibility for deciding what experience the customer has.
For those of us passionate about customer service and the power it has to define a brand,
2012 truly is the year in which we take full advantage of the attention poured on our industry. If we lead by example and rise to meet the challenge, we will not only change the way service is viewed, but we could alter how the whole country perceives itself and the pivotal role we will play shaping the global economy.
Natalie Calvert
CEO
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