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Outlines the policies of Southern Electric in implementing a quality service through a customer‐oriented culture, describing a strategy designed to develop internal and external quality measurements for continuous improvement. Discusses market opportunities, regulation, the City, Southern Electric staff and customers in respect of the company′s quality strategy and identifies five key steps as important for success in this quality strategy. Stresses the importance of setting the scene, building a disciplines framework, developing staff ownership of the culture, initiating customer‐oriented procedures and recording process/measuring success. Suggests that the customer‐oriented culture is a fundamental feature of achieving continuous improvement in service quality in an environment of changing market conditions.