Pearson BTEC Level 2 Certificate in Principles

of Customer Service

Assessment Workbook
Unit 1: Customer Service Principles
Unit reference number: K/506/9011

Recommended guided learning hours: 32 hours

QCF level: 2
Credit value: 4

Unit Introduction: When working in a customer service role it is important to

have an understanding of the key principles, concepts and practices of customer
service as they will form the basis of interactions with customers both internally and
externally. Successful organisations are able to offer the right products and services
to their customer at the right time, and are able to retain their customers loyalty over
time. To do this, organisations need to understand their customers individual needs
and expectations in order to tailor their service offer to maximise customer
satisfaction.
By completing this unit, you will develop an understanding of the different types of
customers with which an organisation interacts. You will develop an understanding of
the nature of customer expectations, how they can vary depending on social or
cultural factors and what happens when expectations are not met. You will explore
the importance of customer loyalty and the relationship between customer
satisfaction and the overall reputation and success of an organisation. You will also
understand the methods used to attract new customers and retain their loyalty.
An important component of this unit covers legislation and regulations relating to
health and safety, equality, diversity and data protection, which all shape and provide
the framework within which customer service should be delivered. You will
investigate these laws and regulations and how they may affect customer service
delivery.

Learning outcomes:
Understand the role and function of customer service in an organisation
Understand the different types of customers
Understand the value of customer loyalty to an organisation
Understand how legal and ethical requirements relate to customer service

Last updated: April 2015Version: 1.0

Page 2 of 26

Suggested resources:

Books
Bradley S S/NVQ Level 2 Customer Service (Heinemann 2007) ISBN
9780435465292
HSE Health and Safety Made Simple (HSE Books, 2011) ISBN 9780717664481 Kamin
M 10 Steps to Successful Customer Service (ASTD Press, 2010)
ISBN 9781562865900
Malouf D How to Kiss and Keep your Customers and Kick the Competition (Allan B
Unwin, 2nd Edition) ISBN 9781865089577
McManus S The Customer Service Pocket Book (Management Pocket Books Ltd,
2013) ISBN 978190661055
Timm P R Customer Service: Career Success Through Customer Loyalty, 5th
Edition (Prentice Hall, 2010) ISBN 9780135063972
Watkinson M The Ten Principles Behind Great Customer Experiences
(FT Publishing International, 2013) ISBN 9780273775089

Websites
www.customerserviceexcellence.uk.com - The government's customer service
standard
www.disability.gov.uk - DDA information www.eoc.org.uk - Equal Opportunities
Commission www.hse.gov.uk - Health and Safety Executive
www.informationcommissioner.gov.uk - Data protection information
www.instituteofcustomerservice.com - The professional body for customer service
www.oft.gov.uk - The Office of Fair Trading www.people1st.co.uk - The Sector Skills
Council for Retail www.skillsyouneed.com - Customer service skills and information
www.thecpa.co.uk - Consumer Protection Association www.tradingstandards.gov.uk Trading Standards Office
Last updated: April 2015Version: 1.0

Page 3 of 26

Task 1 Understanding customer service (AC 1.1 to 1.6)

Customer service is the sum total of what an organisation does to meet customer
expectations and produce customer satisfaction. It usually involves service
teamwork and service partnerships (Institute of Customer Service (ICS) 2011)
How much do you know about your own organisation? Do you know its history and
reputation? What are its aims and objectives and how do you and your colleagues fit
in with these?

Task 1a: Why do we need customer service? Using examples from your own
organisation and from research carried out, explain its scope and purpose

Write your answer here

Write your research sources here

Last updated: April 2015Version: 1.0

Page 4 of 26

Every organisation will have a service offer and if this is not met, customer
satisfaction will suffer.

Task 1b: Define the term service offer.

Write your answer here

Task 1c: Consider your own organisations service offer. What are the benefits to
your organisation of having a service offer?
Write your answer here
What is your own organisations service offer?

What are the benefits to your organisation of having a service offer?

Last updated: April 2015Version: 1.0

Page 5 of 26

Delivering reliable customer service means not just doing so every now and then, but
doing it consistently no matter what is happening around you. This will include giving
excellent service during situations when:
The unexpected happens
Customers change their minds
You are personally unable to help
You are very busy in your job
People, systems or resources have let you down

According to a recent report carried out by the ICS, excellent service organisations
are those that are easy to do business with (ICS, Your guide to achieving, the
national customer service guide).

Task 1d: Using 2 examples from your own organisation, and others that you have
read about or seen in recent news articles, explain how the reputation and brand
image of an organisation affects customers perceptions of its products and/or
services.
Write your answer here
Example 1:

Example 2:

Last updated: April 2015Version: 1.0

Page 6 of 26

Task 1e: Give 3 examples of the importance of delivering consistently high quality
customer service to your organisation.
Write your answer here
Example 1:

Example 2:

Example 3:

Last updated: April 2015Version: 1.0

Page 7 of 26

Every organisation has competitors. Do you know who yours are? What can you
offer your customers that is better than your competitors?

Task 1f: Please outline how your organisation keeps up to date with activity among
your competitors.
Write your answer here

Task 1g: Explain the importance of keeping up to date with knowledge of

competitors activities. Please provide at least 2 reasons.
Write your answer here
Reason 1:

Reason 2:

Last updated: April 2015Version: 1.0

Page 8 of 26

Following up after a sale is an important part of providing good customer service.

Not only is it an important part of developing a good relationship with your customer,
but it will also enable you to introduce your new products and services.
Follow up could be via a telephone call, a request for feedback, after-sales service
and so on.

Task 1h: Describe the features of effective follow-up service in the box below
Write your answer here

Write your research sources here

Last updated: April 2015Version: 1.0

Page 9 of 26

Task 2 Internal and external customers (AC 2.1 to 2.3)

Task 2a:
Case Study:

Maria works for a relatively small company as a customer service adviser. She deals
with members of the public who visit the company and deals with their requests.
Sometimes Maria is required to provide information to other departments within the
business and she uses her customer service skills to help these colleagues.

Consider Marias and your own workplace, and explain the difference between an
external and an internal customer. Give two examples for each type of customer.

An external customer is
An internal customer is

The effect of cultural values on customer expectations

Cultural factors such as language, nationality, age, beliefs, social attitudes and
behaviours and values, can have a significant impact on customer expectations, and
in order to stay competitive, organisations must take these expectations into account
and adapt their products and / or services accordingly. For example, all ingredients
used by McDonalds in Arabic and Muslim countries are certified halal.

Last updated: April 2015Version: 1.0

Page 10 of 26

Task 2b: Consider each of the following cultural factors, and explain how these
might affect, or have affected your own customers expectations. Wherever possible,
give examples of how this expectation has caused changes to occur. For example, is
your marketing material available in different languages, and are your packaging
materials recyclable? You could also refer to other organisations that you have read
about or seen in recent news articles to illustrate your answer.
Cultural

Effect on customers expectations

Social attitudes and behaviours

Age

Nationality

Values and beliefs

Languages

Last updated: April 2015Version: 1.0

Page 11 of 26

Write your research sources here

Challenging and dissatisfied customers

No matter how good you are at providing consistent and reliable customer service, there
will be times when customers want and expect more. Customers will show this in various
ways and when they do, you must know how to help them. Sometimes customers will
ask difficult questions or expect special treatment or become challenging.
Inevitably, some customers will be dissatisfied with the products and / or service
provided and may present a
problem that you need to resolve. Your job is to recognise that there is a problem
and to deal with it appropriately thus ensuring customer satisfaction.

Task 2c: Think about a time when you had to deal with a challenging customer.
Explain the situation below and describe at least three characteristics that identified
the customer as challenging e.g. body language, tone of voice and behaviour.
Write your answer here
Explain the situation:

Last updated: April 2015Version: 1.0

Page 12 of 26

Write your answer here

Example 1:

Example 2:

Example 3:

Last updated: April 2015Version: 1.0

Page 13 of 26

Task 3 The Value of Customer Loyalty (AC 3.1 to 3.4)

Task 3a: Using examples from your own organisation and job role, describe your
customer service offer and how the achievement of this offer contributes to
enhancing customer loyalty. Please give at least 2 examples.
Write your answer here
Description:

Example 1:

Example 2:

Last updated: April 2015Version: 1.0

Page 14 of 26

Task 3b: Customer satisfaction is the degree to which there is a match between
the customers expectations of the product and/or service and actual
performance/provision. Using the 2 examples you gave in Task 3a, explain the
relationship between customer satisfaction and organisational performance.
Write your answer here
Example 1:

Example 2:

Reputation, image and customer loyalty

Reputation and image is becoming increasingly important to customers perception

of products and services. Why, for example, do more people buy more Apple
products than any other, despite cheaper alternatives and why as a nation do we
continue to drink Coca Cola whilst evidence suggests that alternative brands prove
more palatable in taste tests?

Last updated: April 2015Version: 1.0

Page 15 of 26

Task 3c: Using examples from your own organisation, and others that you have
read about or seen in recent news articles, explain how the reputation and image of
an organisation affects customers perceptions of its products and/or services.
Write your answer here

Write your research sources here

Task 3d: Organisations rely on their reputation and repeat business, and a
dissatisfied customer will share their experience with family and friends. What are
the potential consequences of customer dissatisfaction to your own organisation?
Please give at least three examples.

Write your answer here

1.

Last updated: April 2015Version: 1.0

Page 16 of 26

Write your answer here

2.

3.

Write your research sources here

Last updated: April 2015Version: 1.0

Page 17 of 26

Task 4 Legal and ethical requirements (AC 4.1 to 4.5)

The government have introduced legislation to help protect consumers against unfair
selling practices. The key legislation which may affect the way in which you and your
organisation operate is:
Sale of Goods Act 1979
Consumer Credit Act 1974, amended 2008
Trade Descriptions Act 1968, amended 2008
Supply of Goods and Services Act 1982
Consumer Protection Act 1987
Consumer Contracts Regulations 2014
The Consumer Protection from Unfair Trading Regulations 2008
Consumer Protection (Distance Selling) Regulations 2000

Task 4a: Research each of the Acts listed above and outline how each Act is
designed to protect the consumer. Explain how it affects what you must do and not
do in your job. Wherever possible, give examples from your own organisation. Use
the table below to record your answers.
Legislation
Outline of requirements
Impact on own job role

Sale of
Goods Act 1979

Consumer

Credit Act 1974, amended 2008

Last updated: April 2015Version: 1.0

Page 18 of 26

Legislation
Outline of requirements
Impact on own job role

Trade

Descriptions

Act 1968,

amended

2008

Supply of

Goods and

Services

Act 1982

Consumer

Protection

Act 1987

Consumer

Contracts

Regulations

2014

Consumer

Protection

from Unfair

Trading

Regulations

2008

Last updated: April 2015

Version: 1.0
Page 19 of 26

Write your research sources here

The Health and Safety at Work Act 1974 (HASAWA) aims to protect the health and
safety of everyone in the workplace, and to ensure that adequate welfare facilities
are provided for people at work. Employers have a duty of care under HASAWA to
ensure, so far as is reasonably practicable, the health, safety and welfare of their
employees and other visitors to their premises.
The duty of care described in HASAWA applies to employees as well as employers
and you as an employee are expected to take reasonable steps to safeguard your
own safety. You also need to know about specific health and safety regulations and
codes of practice that apply to your workplace and job. The key legislation which
may affect the way in which you and your organisation operate is:
The Health and Safety at Work Act 1974 (HASAWA)
Control of Substances Hazardous to Health Regulations 2002 (COSHH)
Reporting of Injuries, Diseases and Dangerous Occurrences
Regulations 2013 (RIDDOR)
Manual Handling Operations Regulations 1992
Environmental Protection Act 1990
Waste (England and Wales) Regulations 2014
Waste Electrical and Electronic Equipment Regulations (WEEE)

Last updated: April 2015Version: 1.0

Page 20 of 26

Task 4b: Research each of the Acts listed above and explain how they affect
customer service delivery. Wherever possible, give examples from your own
organisation and / or job role.

Legislation
Effect on customer service
Example

delivery

The Health

and Safety at

Work Act

1974

(HASAWA)

Control of

Substances

Hazardous to

Health

Regulations

2002

(COSHH)

Reporting of

Injuries,

Disesases

and

Dangerous

Occurences

Regulations

2013

(RIDDOR)

Manual

Handling

Operations

Regulations

1992

Environmental

Protection Act

1990

Last updated: April 2015

Version: 1.0
Page 21 of 26

Legislation
Effect on customer service
Example

delivery

Waste

(England and

Wales)

Regulations

2014

Waste

Electrical and

Electronic

Equipment

Regulations

(WEEE)

Write your research sources here

The ethical standards of an organisation influence its policies, procedures and the

behaviour of staff towards customers. Some organisations may have their own
ethical standards which affect what you can and cannot do for customers. These
ethical standards may be written and influenced by professional sector standards.
Ethical considerations include fairness, respecting equality and diversity, following
approved codes of practice; links to charitable organisations and fair trade partnerships;
using local produce and suppliers, and the size of carbon footprint.

Last updated: April 2015Version: 1.0

Page 22 of 26

Task 4c: Find out about your own or other organisations ethical policies and
explain how ethical considerations affect customer service. Use examples from your
own work role where appropriate.
Write your answer here

It is important to treat people fairly and equally regardless of who they are, where
they live or how much you like or dislike them. In other words, while you should treat
people as individuals, what makes one person different from another does not mean
he or she should have any advantage or disadvantage over anybody else in relation
to customer service delivery.
All your customers should be treated fairly regardless of age, gender, race, sexual
orientation, disability, gender reassignment, religion or belief.

Task 4d: The Equality Act 2010 is one the most important pieces of legislation you
are likely to need to know about regarding discrimination and equal rights. Explain
how equality legislation affects customer service, giving six examples below of things
that you must and must not do in your customer service role.
Things I must do
Things I must not do

1.

2.

Last updated: April 2015Version: 1.0

Page 23 of 26

Things I must do

Things I must not do

3.

4.

5.

6.

The information stored by an organisation must be kept safe and secure at all times
in order to ensure that legal requirements are met. Over and above legal
requirements however, the organisation has a duty of care to safeguard the
information it holds. This is to protect the security of customers as well as staff.
The Data Protection Act 1998 requires organisations to take certain actions to
ensure that all personal data held on file is:
Accurate and up to date
Not kept for longer than is necessary
Protected by security measures
Protected against loss or damage
Protected from unauthorised processing

The Act covers both paper files and electronic data, which means that the security
measures adopted by organisations must include both:
Physical security for paper files for example, locked cabinets and limited staff access
Technological security for electronic data such as password protection and data
encryption

Last updated: April 2015Version: 1.0

Page 24 of 26

Task 4e: Based on your own organisation and research carried out, explain how
legislation affects the use and storage of customer information.
Write your answer here

Write your research sources here

Last updated: April 2015Version: 1.0

Page 25 of 26

Learner comments and declaration: I certify that the work submitted for this
assignment is my own and research sources have been fully acknowledged.

Learner signature: Date:

Trainer Assessor summative feedback

Signature:

Date:
RQA signature (if sampled):
Date:

Last updated: April 2015Version: 1.0

Page 26 of 26