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Customer Service:
The Logistics/Marketing Interface Customer service is often the key link
between logistics and marketing.
Examine the traditional logistics- marketinginterface in Figure
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Customer Service:
The Logistics/Marketing Interface
In terms of levels of product In terms of types of customer support/service In terms of levels of involvement In terms of complexity of customer service
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Customer Service:
The Logistics/Marketing Interface
Time Dependability
Cycle time Safe delivery Correct orders
Communications Convenience
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Customer Service:
Performance Measures
% availability in base units
Speed and consistency Response time to special
requests Speed, accuracy, and
message detail of response
Response and recovery timerequirements
Response time, quality of response
Orders received on
time Orders received
complete Orders received
damage free Orders filled accurately Orders billed
accurately
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Customer Service:
Implementation of Standards Set standards at realistic levels. Quality levels set below 100% can be problematic.
Consult customers on policies and standards. Communicate standards to customers. Measure, monitor, and control customer service
standards.
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Customer Service: Overview If the basics of customer service are not in
place, nothing else matters.
Customers may define service differently. All customer accounts are not the same. Relationships are not one dimensional. Partnerships and added value can “lock up”
customers.
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Customer Service Issues
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Stockouts
Customers wait Back orders Lost sales
Lost customers
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Outsourcing Outsourcing involves the transfer or sub-
contracting of the management and/or day-
to-day execution of an entire businessfunction to an external service provider Advantages
Allows to focus the resources on their core business
Acquire technology easily from the vendors Save time & money while improving efficiencies Improves the services level to their employees Reduces overall costs over the longer term
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3 PL and 4 PLs• 3 PLs have led the way in logistics outsourcing
• They provide for forwarding, trucking and warehousing
•
A 4PL is an integrator that assembles the resources,capabilities, and technology of its own organization andother organizations to design, build and runcomprehensive supply chain solutions
•
A good 4PL has a better understanding of thecomplexity of the customer’s requirements