With 2011 replicating last year's market turbulence, it's clear the coming months will require an invigorated approach and perhaps even a change in thinking. For many organisations the idea of developing strategic growth plans, at this time, may seem more alien than ever. But remember, today in Northern Ireland, market obstacles will play their part in shaping a new generation of businesses and managers.

Far from a problem to ignore or 'fire fight', facing the outcomes of recession could strengthen many companies who think proactively about staff development, performance measurement and customer interfacing. With large-scale hospitality developments forging ahead province wide, greater local competition is coming fast – but how does this account for new customer beliefs created by the recession, increased customer choice and the technological surge that's grown to service this.

Fact is, we can no longer limit our view of competition to a local scale. This is an age where customers have a vast choice of products and services and through the internet the capability to quickly build knowledge and compare options on a global scale never before seen.
 

Many believe, the recession simply fuels the hunt for better deals and increases competition by reinforcing the 'bargain time' mentality in customers. Recognising competition on this vast level and planning for it, is one of the biggest challenges we face. But it's only the first step. With the annual pool of customers remaining static, if not declining and local supply steadily increasing – there's a danger the future intensity of localised competitive tactics could mask the bigger picture. That is, our wider role in the global tourism market and a shared responsibility to attract more customers to Northern Ireland.

Of course, Government plays a part – but clearly it's the face-to-face customer experiences on the ground that are most powerful in forming positive opinions, controlling word-of-mouth and building real loyalty. Getting this part right requires commitment, but the rewards outweigh the investment. Implementing a service philosophy which translates hospitality excellence to front-line employees will help Northern Ireland's hospitality sector compete effectively on the world stage.

We only have to look ahead to the 2012 Olympics to put this into context and consider the opportunities. London 2012 could be a major catalyst for a culture shift in our attitudes to customer service. Far from a remote, one-off event, 2012 will interface with every part of the UK’s customer management and service offering and that includes N. Ireland.

Training will be at the heart of delivering the very highest standards of customer service and will be essential to encourage future trips and holidays to Northern Ireland. Adding £2 billion to the UK's inbound visitor economy, two-thirds of which is likely to be generated post-games (2013-2017) and with an extra 500,000 visits to the UK in 2012 alone, it's clear the games represent an opportunity for Northern Ireland.

Taking a generous slice of the action will be at the forefront of everyones' mind, but how many of us are thinking proactively and putting in place the training strategies that will attract new customers and deliver world class service?

Ignoring the opportunity isn't really an option, it's worth remembering that dissatisfied customers will tell up to ten other people about their experiences. Even worse, the avid use of social networking is enabling customers to distribute their reviews quickly and widely. In the NITB draft corporate plan 2008, reference is made to a statistic that over 83% of customers booking a holiday online would trust a user review over a travel writer. This says a lot about how customers gather and respect the opinions of their fellow travellers and underlines how little margin for error there is. In an age where even loyal customers are more liable to move to a competitor offering marginally better service – it's more important than ever businesses make critical investment decisions aimed at improving the customer experience.

But it can work both ways. For companies serious about engaging with customers, the internet is becoming a place where marketing is inextricably linked with social networking and where getting close to the customer means communicating with them through a multitude of online channels. This forces a re-think of traditional communication tactics based on interruption marketing.

In an age where competition and technology has handed the customer greater power than ever
before – permission marketing is the new paradigm. Today, customers choose the information they receive - so being different and finding unique messages has become more critical than ever. With this in mind, grasping the opportunity and making time to engage with customers through new media, using fresh, relevant and dynamic content seems no longer optional.

Investing in customer service and building new marketing practices is one thing, but it too poses a new challenge. How can we be sure our systems, and practices are the best? It's often tempting to feel satisfied measuring ourselves in isolation, against local competitors using ad hoc methods. Right now, Northern Ireland’s in the market for customers who've travelled widely, experienced 'world class' and who now have higher expectations than ever.

Operating in this league, it's more critical than ever we benchmark performance against world leaders – adapting and adopting best practice as appropriate. Benchmarking boosts performance because it provides a process for measuring performance in key areas like finance, staff retention, customer satisfaction and employee motivation. The ability to 'snapshot' employee satisfaction and respond proactively is completely linked with the delivery of world class service.

Organisational continuity is one obvious benefit, but there's no doubt motivated employees adds multiple value to the customer experience and enhances their loyalty. With more than a nod to both employee development and customer satisfaction, benchmarking is the employers ally in recessionary times and can form part of a healthy growth plan.

It's true, in a recession the temptation to downsize and cost-cut is never far away, but faced with the current market threats and opportunities many believe an investment in talent is more appropriate than ever. A recent report revealed that organisations who make strategic, rather than operational staff development decisions are best placed to save money, improve staff motivation and increase employee retention.

However, despite the obvious benefits - not least for the customer, only a fraction of employers have a formal training strategy. With a shrinking pipeline of talent and increased competition for skilled workers, it's vital organisations nurture talent from within to solve skills gaps. People 1st (the Sector Skills Council for the hospitality, leisure, travel and tourism industries) recently identified several barriers to the development of Northern Ireland's tourist sector, stemming from a lack of workforce skills.

Among the issues highlighted was poor labour productivity, poor retention rates and skills shortages – particularly in management chefs and customer service. This highlights the conundrum managers of today are faced with - the challenge to beat off competition by developing unique services and yet sustain high customer delivery levels, while simultaneously cutting costs and improving productivity.

One thing's for sure, organisations depend more and more on fewer people - people whose loyalty can no longer be assumed but rather must be earned and retained. We should be concerned about how employees are utilised, developed, rewarded and promoted. The high cost of recruitment is a viable argument for developing internal talent, but of equal importance is the retention of employees whose knowledge and experience could represent a huge loss when the upturn finally comes.

Growth strategies that seek to address the issues of global competition, skills shortages and customer relationships can help establish a solid foundation for the short-term recessionary upheavals and the opportunities on the horizon.

Focusing more closely on customer relations is at the heart of the challenge ahead. This means looking carefully at new ways of getting closer to the customer, improving their overall experience and most importantly nurturing the talent we have to deliver these improved services.