This is a AIR FORCE INST OF TECH WRIGHT-PATTERSONAFB OH report procured by the Pentagon and made available for public release. It has been reproduced in the best form available to the Pentagon. It is not spiral-bound, but rather assembled with Velobinding in a soft, white linen cover. The Storming Media report number is A010324. The abstract provided by the Pentagon follows: This thesis evaluates a variety of documented cases of customer- focused business practice initiatives to discern common principles of implementation within the private and public sectors. The business practices Quality, Activity-Based Costing (ABC), Customer Profitability Analysis (CPA), and Customer Relationship Management (CRM) were found to be the major techniques utilized over the past three decades. Cases were collected which documented implementation of these customer-focused business practices in the private and public sectors. Using grounded theory methodology, the implementations were analyzed for emerging concepts. The concepts uncovered in this study were further analyzed through a comparison of private and public sector implementations. This research revealed similarities and differences between the implementations in the private and public sectors and provides a framework of common generalizable principles for further testing. The concepts which emerged are of particular interest to government managers seeking improvement in their organization. Managers can use the information discovered in this research to increase their knowledge of a basic conceptual framework in which implementations of customer-focused business practices were conducted.