Question

Based on the IT governance framework guidelines, suggest a key performance indicator for
Orange Enterprises that can measure each of the following:

A) customer satisfaction (are the customers happy with the service provided) and

B) customer retention (customers are not leaving and return for new services).

This the question. There is no other information or details that I didn't add.

Answer 1

Solution:-

A) The Key Performance Indicator(KPI) for Orange Enterprises that can measure customer satisfaction is :

• Improvement in Satisfaction -
• To track changes in customer satisfaction over time one way to measure is customer service.
• For eg, if the customer is not satisfied or the level of satisfaction has gone down then it should be understood that the change is likely in order.
• But if the customer satisfaction us constant or achieving higher levels or its improving then its understood that you are on right track.

B) The Key Performance Indicator(KPI) for Orange Enterprises that can measure customer retention is :

• CLV(CUSTOMER LIFETIME VALUE) -
• Customer Lifetime Value(CLV) is one of the biggest KPI linked to customer retention rate.
• It is used to determine the time duration of value of customer to your brand and over their lifetime how much that customer will give.
• CLV not only tell you the value of the customers to you but also the viability of your business.
• The "lifetime" part of your CLV is extended by improving the retention rate.