Lesson 2 putting the end customer first

© Alan Harrison and Remko van Hoek 2008

Slide 2.1

Logistics with focus on the customer


Slide 2.2

Today

• Discuss marketing shortly• Marketing strategy into logistics strategy• Discuss a model for prioritize logistics strategy• Order winners, order qualifiers and less important

factors• Analyse the logistic service


Slide 2.3

Marketing

• It is what marketing is all about…..

Marketing is the philosophy that integrates the disparate activities and functions that take place within a network. Satisfied (end) customers are seen as the only source of profit, growth and security.


Slide 2.4

Types of customers

• BtB

• BtC

• Consumers

• Customers


Slide 2.5

Table 2.2 Comparison between consumer and industrial marketing


Slide 2.6

The marketing in brief

• Potential market

• Segments – measurable, economically viable, accessible, actionable

• Target groups

• Positioning

• 4 p´s product, price, place and promotion


Slide 2.7

The marketing in brief

• Place contains logistics


Slide 2.8

Figure 2.3 Key drivers of customer loyaltySource: After Parasuraman and Grewal, 2000


Slide 2.9

Order winners, order qualifiers and less important factors

• Order qualifiers act as approval factors.

• Order winners are the customers central criteria for choise

• Less important factors i.e. for some color of a car or the leasing opportunity for finance


Slide 2.10

Figure 2.4 Customer relationship management: bow-tie and diamondSource: After Payne et al., 1995


Slide 2.11

Table 2.6 Selected service level measurementsSource: After Rafele, 2004


Slide 2.12

Table 2.6 Selected service level measurements (Continued)Source: After Rafele, 2004


Slide 2.13

Figure 2.6 Creating logistics advantage: a four-step processSource: Harrison et al., 2007


Slide 2.14

Figure 2.7 Customer segmentation using order winners


Slide 2.15

Figure 2.9 Strategy drivers and their implications for logistics strategy


Slide 2.16

Figure 2.10 Strategy drivers and their implications for segmentationSource: Harrison et al., 2007


Slide 2.17

Figure 2.11 The four-phase plan for supplier improvement


Slide 2.18

Figure 2.12 Restructuring the supplier base

Lesson 2 putting the end customer first

Marketing

alan harrison

remko van hoek

marketing strategy

order qualifiers

strategy drivers

segmentation source

industrial marketing

diamond source