Blog Post
Have you heard of the 1 X 10 X 100 Rule?
Cost increase by a factor of 10 each time a problem escapes detection.
by Ed Murphy
“The rule highlights the importance of root cause analysis. Do you have a process to monitor customer issues, conduct root cause analysis and monitor progress on action plans?”

Have you heard of the 1 x 10 x 100 Rule?

It states that:

๐ŸŒŸ Detecting quality problems early in the process is less costly than catching a quality challenge later.
๐ŸŒŸ Finding a mistake in product development costs less than in production.
๐ŸŒŸ Finding an issue in production costs less than post-launch.

๐€๐ง๐ ๐œ๐จ๐ฌ๐ญ๐ฌ ๐›๐š๐ฅ๐ฅ๐จ๐จ๐ง–๐š๐ฌ ๐ญ๐ก๐ž ๐Ÿ๐จ๐ซ๐ฆ๐ฎ๐ฅ๐š ๐ข๐ง๐๐ข๐œ๐š๐ญ๐ž๐ฌ–๐›๐ฒ ๐š ๐Ÿ๐š๐œ๐ญ๐จ๐ซ ๐จ๐Ÿ ๐Ÿ๐ŸŽ ๐ž๐š๐œ๐ก ๐ญ๐ข๐ฆ๐ž ๐š ๐ฉ๐ซ๐จ๐›๐ฅ๐ž๐ฆ ๐ž๐ฌ๐œ๐š๐ฉ๐ž๐ฌ ๐๐ž๐ญ๐ž๐œ๐ญ๐ข๐จ๐ง.

The rule is from the manufacturing industry, but it applies to customer experience.

It goes like this.

๐“๐ก๐ž ๐Ÿ๐— ๐ฅ๐จ๐จ๐ค๐ฌ ๐ฅ๐ข๐ค๐ž:
A customer has an issue, it looks like a one-off thing and your able to figure it out. Problem-solved, not a big deal.

๐‚๐— ๐ˆ๐ฆ๐ฉ๐š๐œ๐ญ: One customer.
๐„๐ฆ๐ฉ๐ฅ๐จ๐ฒ๐ž๐ž ๐„๐ฑ๐ฉ๐ž๐ซ๐ข๐ž๐ง๐œ๐ž: Gratification for job well done.
๐–๐ก๐š๐ญโ€™๐ฌ ๐’๐จ ๐–๐ซ๐จ๐ง๐ : Youโ€™re perceiving the issue as single incident and the best data available for evaluation. It may be, but how do you know?

๐“๐ก๐ž ๐Ÿ๐ŸŽ๐— ๐ฅ๐จ๐จ๐ค๐ฌ ๐ฅ๐ข๐ค๐ž:
An issue occasionally happens. You to fix it with a workaround, so no problem. Thereโ€™s inefficiency in the process, but you ignore it.

๐‚๐— ๐ˆ๐ฆ๐ฉ๐š๐œ๐ญ: Hundreds of customers.
๐„๐ฆ๐ฉ๐ฅ๐จ๐ฒ๐ž๐ž ๐„๐ฑ๐ฉ๐ž๐ซ๐ข๐ž๐ง๐œ๐ž: Employees get frustrated with the process inefficiencies and deliver inconsistent poor customer experiences.
๐–๐ก๐š๐ญโ€™๐ฌ ๐’๐จ ๐–๐ซ๐จ๐ง๐ : Youโ€™re STILL perceiving the issue as one-off incidents. Delivering an inconsistent customer experience. Those impacted may be more negative of the interaction, post negative reviews, and share the poor experience with others.

๐“๐ก๐ž ๐Ÿ๐ŸŽ๐ŸŽ๐— ๐ฅ๐จ๐จ๐ค๐ฌ ๐ฅ๐ข๐ค๐ž:
The spread of a problem. Lots of old, worn-out band-aids. But employees donโ€™t even see them anymore. Theyโ€™re part of the system. Technically only a small percentage of customers actually complain about this. Whatโ€™s the big deal?

๐‚๐ฎ๐ฌ๐ญ๐จ๐ฆ๐ž๐ซ ๐ˆ๐ฆ๐ฉ๐š๐œ๐ญ: Thousands of customers.
๐„๐ฆ๐ฉ๐ฅ๐จ๐ฒ๐ž๐ž ๐„๐ฑ๐ฉ๐ž๐ซ๐ข๐ž๐ง๐œ๐ž: Acceptance and denial. This is just part of our system. Itโ€™s not perfect, but what is?
๐–๐ก๐š๐ญโ€™๐ฌ ๐’๐จ ๐–๐ซ๐จ๐ง๐ : Itโ€™s become part of your unintended customer experience.
The issue has fallen off your radar entirely because employees and customers are so accustomed to it. Theyโ€™ve adapted to your issues and accept them.

The rule highlights the importance of root cause analysis. Do you have a process to monitor customer issues, conduct root cause analysis and monitor progress on action plans?

๐‚๐ฎ๐ฌ๐ญ๐จ๐ฆ๐ž๐ซ-๐œ๐ž๐ง๐ญ๐ซ๐ข๐œ๐ข๐ญ๐ฒ ๐ข๐ฌ ๐š ๐ฆ๐ข๐ง๐๐ฌ๐ž๐ญ ๐€๐๐ƒ ๐š ๐ฉ๐š๐ญ๐ก ๐ญ๐จ ๐ฉ๐ซ๐จ๐Ÿ๐ข๐ญ๐š๐›๐ข๐ฅ๐ข๐ญ๐ฒ. ๐ˆ๐Ÿ ๐ญ๐ก๐ข๐ฌ ๐ซ๐ž๐ฌ๐จ๐ง๐š๐ญ๐ž๐ฌ, ๐ฅ๐ž๐ญโ€™๐ฌ ๐ญ๐š๐ฅ๐ค.