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BA 302 Final (delivery process 23-24)
Terms in this set (25)
manage all customer expectations to ensure that the product meets customer needs while providing the delivering firms/supply chain with competitive advantage
(how SC will best meet customer needs)
manage the detailed processes in moving from a customer order to a delivered product
(How the operating plan is put into action for each individual customer order on a day-to-day basis)
manage value-adding customer services
(How the operating plan is presented to customers)
(High quality of goods + high levels of quality service at lowest total system cost)
manage the movement, storage, and safeguarding of product
The more intermediaries in S.C
Higher FC and Lower VC
Total Landed Cost
TLC is the cost of the product (per unit) PLUS all additional logistical cost (per unit)
Elements of Customer Service
- may be somewhat controllable through order management process control
- Trade-off analysis -- important to choose which processes to intensely manage
- controlling variation is more important that closely managing average service instances
- Transactional coordination - ensure processes are working
- Post-transactional coordination - ensure successful process
outcomes, mitigation (returns/maintenance) and process
- the right service package for the right customer
Business Model Comparison
Perfect Order Metric
On-Timex Completex Damage-Freex Accurate-Invoice= perfect order index (ALL %)
That part of the Supply Chain management process that plans, implements, and controls the efficient, effective forward and reverse flow and storage of goods, services, and related information between the point of origin and the point of consumption in order to meet customers' requirements.
add value/utility to a product/service by contributing to one of the 4 types of Utility
the satisfaction of wants and needs obtained from the use or consumption of a good/service
4 types of Utility
changing the nature of the good
(putting it in a more attractive form for the customer)
extending the physical boundaries of the marketplace
(reaching out and creating more competition,usually lowering prices)
making products available when needed
(Timing is crucial in LEAN, Customer Service, Replenishment..etc)
having the products/services in the right quantity available
(bridging the gap between supply and demand)
8 rights of logistics
Inbound v Outbound
Inbound- physical supply&materials management
Outbound- Physical distribution
Node v Link
Node- Fixed facility
Link- connected transportation service
Logistics Channel Analysis
Logistics channel analysis
- study the network of intermediaries engaged in the transfer, storage, handling, communication and other functions contributing to the flow of goods.
• Part of the total distribution channel
• Compare transaction level flow for physical product, cash, & information
Optimize System - not individual parts (Example - the Transportation decision must be coordinated with the other related areas (inventory, warehousing, packaging, etc.) in a trade-off analysis
• Logistics functions work alongside other business processes (production, finance, marketing, etc.)
• Overall goal is to optimize within the framework of the firm - meaning that logistics processes must work within constraints (trade-off analysis with other business functions within the firm)
• Optimality might extend to optimizing at the level of the supply chain rather than the individual firm
Which of the following is a component of customer service?
a. The specific distribution channel that a product takes to reach a customer.
b. The operational plan to ensure the lowest cost delivery of goods and services.
c. A philosophy that minimizes customer satisfaction.
d. Providing services that link a firm's marketing strategy and delivery process
Which of the following is a valid perspective when evaluating customer service?
a. View customer service as a philosophy.
b. View customer service as a performance metric. c. View customer service as a routine business activity.
d. View customer service as anything that impacts the customer.
e. View customer service as all of the above.
. Documenting the exact procedures a firm will follow in accepting a customer order, checking for on-hand inventory, finding the item in the warehouse, pulling, packing and shipping the item to the customer. These steps are most closely associated with which of the following?
a. Order management.
b. Customer service.
c. Demand management. d. Landed cost management.
e. Perfect order management.
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