Forget “Failure”: Innovation As The Path To CX Transformation
John Abou is President of TTEC, a global CX technology and services company, with nearly three decades of industry leadership.
gettyWe’ve all heard the reports about AI tools falling short of expectations. It’s hard to escape the statistics: 95% of organizations have failed to make any return on their GenAI investments; Gartner predicts that more than 40% of agentic AI projects will be canceled by the end of 2027; and organizations are abandoning 46% of their proof-of-concept projects before they ever hit production.
It’s easy to read doom and gloom into these stats, especially when businesses are under mounting pressure to drive ROI, accomplish more with fewer resources and prove AI’s worth to senior leadership. But what if all these AI shortcomings aren’t really “failures” at all? What if they’re necessary stops on the path to transformation?
With so many AI tools to choose from, many brands aren’t sure where or how to start. They have pain points they want to solve and an idea of how AI could help, but they’re usually uncertain what will work and what won’t.
And that’s okay.
As a leader in customer service technology, I’ve found that in order to truly transform customer experience (CX), it’s important to start fostering a culture of innovation. Don’t just say you’re going to support experimentation—take steps to make it a reality. Employees, from the bottom up, should be encouraged and empowered to ideate and explore new ways of thinking.
The only way to learn which tools really work for your business is to try out a lot that don’t, to experiment and, yes, to fail. In an era when efficiency is prized above all else, this may be tough to hear, but over the course of my career, I’ve learned that taking the time to experiment is the best path to transformation.
Inaction isn’t an option.Embracing an experimental mindset can be daunting. It’s difficult to go all-in on innovation when experimenting costs time, money and uncertainty. And keeping your brand’s reputation intact is still paramount, which makes innovating even more challenging.
But encouraging members of your organization—from associates to senior executives—to try new tools, test new processes and explore new ways of thinking can help you uncover what really works best for your organization.
Without innovation, CX often remains stuck in the status quo, which isn’t an option for brands that want to thrive. The stakes are too high for inaction. Customer expectations are evolving quickly, and customers have little to no patience for brands that don’t get CX right. According to recent research, 72% of consumers will switch to a competitor after just one bad experience, while Zendesk Benchmark data found that 60% have purchased from a brand solely based on the service they expect to receive.
That’s why I believe a pioneering spirit is the best way to exceed these rising expectations. Real breakthroughs rarely come without some stumbles and failures.
Some leading brands have entwined experimenting deeply into their corporate structure. Chick-fil-A’s “Hatch” innovation center, the Capital One Garage innovation accelerator, and retailer John Lewis’ “Room Y” experimentation lab are prime examples. But an experimental mindset doesn’t have to be large-scale or intimidating. It’s okay to start small.
Innovative employees are empowered employees.Begin by making space for experimentation—literally and figuratively. Create physical workspaces where employees can come together to brainstorm, talk through ideas and give each other feedback. Getting them away from their desks and typical work environments can unlock creativity.
Workers who feel a sense of pride and energy in their work are better equipped to deliver the type of seamless experiences customers expect. In my experience, running your CX like a lab is a great way to invigorate and empower employees. But they won’t feel free to innovate if the stakes feel too high; they need to feel safe while they’re trying out new things. Create places, such as internal innovation labs or small pilots, where people can ideate and experiment without failure being detrimental. With proper guardrails in place, they should feel more comfortable pushing boundaries. I’ve found that that is when real innovation happens.
In a regimented industry like CX, where scheduling logistics and compliance mandates bring a certain rigidity, it’s also important to create space within employees’ days for innovation. Build time into their workday (or week) where they can unplug from the other demands of their jobs and focus on experimenting.
Remember to let employees know that proofs of concept and testing that don’t deliver the intended outcomes are okay. They’re not failures; they’re just part of the learning process. Not only can this lead to increased innovation, but it can also result in greater employee engagement. Gallup research found employees who have a strong sense of purpose are 5.6 times as likely to be engaged in their work as those with a low sense of purpose.
Accelerated innovation and happier employees? That’s a win-win for any CX organization.
Intention is important.While a culture that fosters innovation is important, experimenting simply for experimentation’s sake is unlikely to be effective. Don’t try new tools and processes just to try them; do it because it’s in the best interest of your employees and customers.
Determine that tools have a potential value-add before giving employees the green light to play around with them. There are new technologies flooding the market almost daily. Just because they’re out there doesn’t mean you need to try them.
Be intentional in how you experiment. Explore things that have strong potential to improve your CX and employee experience. And as you experiment, ask yourself: What does success look like? Finding the right tools that meet your exact needs could happen quickly—or, more likely, it may be a winding path that forces you to eliminate some options before finding the best fit.
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