CUSTOMER SERVICE AND THE PERSONAL TOUCH

How far can technology go in the campaign to meet customer needs? Too far, is the answer coming back from one Lloyds TSB experiment.

Some time ago, the bank replaced staff in key Reading branches with automatic teller machines. Customer reactions were mixed, however, with significant numbers being sufficiently upset that they threatened to close their accounts. The ATMs are now set to come out and the staff will go back in.

Banks and similar organisations operating branch networks face the same problem - how to cut costs yet maintain service levels. Research recently carried out by Deloitte Consulting concluded that as many as a third of high street bank offices could close within six years in moves towards increasing efficiency.

These are set to be replaced by a combination of ATMs and telephone or internet access. "A useful learning experience," said Lloyds TSB's Gordon Pell, describing the Reading experiment. But not entirely successful, one might add.

Technology is great for many business functions, including large parts of FM. But we skip 'the personal touch' at our peril.

Elliott Chase