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The importance of logistics and supply chain management in a customer oriented company

Importance of Customer Service in Supply Chain Management Importance of Customer Service in Supply Chain Management Supply chain is basically considered as a strategic concept that involves understanding and managing the sequence of activities -from supplier to customer-that add value to the product supply pipeline.

  • Coordination is achieved by two types of decisions;
  • The authors conclude with recommendations and predictions in the near future, which could serve as tools businesses could use to determine if cloud computing is the right step in meeting their technology and business needs, especially in supply chains where small suppliers are laggards in adopting integrating software;
  • The mistake that too many companies make is employing the tools and techniques of SCM without having first established collaborative relationships with their customers and suppliers;
  • The focus of supply chain on the customers can be studied more explicitly using the Quick Response concept, which means identifying the demands and reacting to its changes as quickly as possible;
  • Using a case study in the agriculture sector of New Zealand companies in the horticulture industry, various elements of the supply chain are examined from both strategic and operational perspectives.

The role of customer service in the supply chain management is not incidental. This century marks the end of monopolies and therefore customers can make an array of choices.

When customers decide not to buy products in a particular supply chain, then no doubt the company would collapse without earning any revenue for the expenses incurred in launching the product on the stage of saturation and decline stage.

So, the supply chain should be structured in such a manner that there is a common link between the products as such and the end customer.

One Reply to “Importance of Customer Service in Supply Chain Management”

Thus the importation must be put on conducting effective market analysis to know the needs of different groups of customers to whom the offer is to be made. Its main aim is to polish its contact with the customers. The rationale behind this strategy is to improve services provided directly or indirectly to its customers and to use the information in the system for targeted marketing and sales purposes. Other researches can be conducted to find out the reason for not delivering the products on the due date.

There is no compromise for an act of negligence in meeting customer satisfaction as it is the customers who ultimately judge the life span of the company.

  • Simulation was used to test the proposed approach and to compare it with classical dynamical scheduling approaches;
  • Only submissions with strong and favorable reviews were chosen as entries for this book;
  • In the traditional supply chain with multiple tiers of suppliers and customers, each operation plans production or distribution requirements based on forecasted demand;
  • The above factors tend to make the shipment reach the customers more quickly and which therefore has a direct impact on their satisfaction levels;
  • Prior to that he was professor and chair for the Department of Computer Information Systems, school of business, at the same university.

Below are mentioned seven steps to reduce the fulfillment costs by improving customer service at the same time. The following points are important with regard to supply chains, Integrate with order entry system: Most of them placed through Internets are managed poorly and which end in resulting distorting customer satisfaction due to delay in product delivery.

Integrating a systematic order fulfillment process tends to reduce manual labor that saves time, increases profitability and customer satisfaction E. Order received in night and make delivery in the day time.

Companies can meet this challenge by proving to be adaptable with the customer wants makes changes in their orders right from the purchase and even up to and after shipment.

  1. Managing the supply chain has become more challenging and requires innovative thinking to reduce the total cost of the chain.
  2. Collaborative relationships start with trust, honesty, mutual interests, and mutual benefits.
  3. Below are mentioned seven steps to reduce the fulfillment costs by improving customer service at the same time. Only when you truly understand the needs and strategic objectives of your customer can you set operational strategies for your company and the suppliers in your supply chain.
  4. It is not the tools that make you successful in SCM; it is the relationships.

This can prove to be successful as the customers can get what they want even if their product changes from the market. Tailor made transportation system like packaging facility as per weather.

Confirm with bar codes: By changing the bar coding into an automated one ,the company can save a large amount of its time and energy and even implement perfection in planning as it presents real time data instead of mere projections.

In the ware house material arranged with bar-code easy to locate particular product with the bar-code system we can easily shift goods as per priority of delivery and delivery places.

Description

Automated technologies are easily fulfills the needs of customer thereby increasing customer satisfaction and bringing in repeated business in a shorter time span. Using automated shipping plan the workers can pick to a predesigned way of stacking the containers without going for trial and error methods. This saves a lot of time and energy of the workers engaged in stacking the containers and speeding the delivery with less expense than without automated shipping plan.

  1. Managing the supply chain has become more challenging and requires innovative thinking to reduce the total cost of the chain. Currently, there are few good books addressing a vast array of global supply chain theories and practices.
  2. The QR nature is such that it assume in close cooperation with the supply chains by providing maximum satisfaction to its customers by reducing the costs to its minimum.
  3. The role of a diverse workforce, particularly women, is reexamined from the perspective of maximizing the bottom-line and profit sharing in the logistics industry. Most of them placed through Internets are managed poorly and which end in resulting distorting customer satisfaction due to delay in product delivery.
  4. The relationship between the project manager and suppliers, according to them, has the potential to impact planning, project costs, time management, quality management, technical expertise, and product availability. The strategy of CFSCM is to establish collaborative relationships up and down the supply chain; from upstream raw material suppliers to downstream final users of the product or service.
  5. In many cases, submissions were sent back for several revisions prior to final acceptance.

Bar-code system on containers and on the area of ware house which easily track the goods and easily stacking and speeding the delivery. By applying automated verification together with automated picking and using bar codes, more time can be saved on packing, verifying and shipping process.

Sourcing orders based on facility workload: Logistic managers should use the method of best utilize of space when multiple warehousing and distribution facilities are available in order to improve responsiveness and maximize flexibility.

Importance of Customer Service in Supply Chain Management

The above factors tend to make the shipment reach the customers more quickly and which therefore has a direct impact on their satisfaction levels. The standards of service provided to end customers should be determined and mentioned on top of the list. The remaining strategic decisions should also be taken considering the customers interests. Organization has to adjusting the supply chain as such to meet the market demand and product features, Determining the relation model among the supply chain participants, Selecting the suppliers, Determining on the distribution channels, Adopting a specific method of stock holding, Determining the location and nature of the warehouse, Formulating guidelines in selecting the transportation.

Taking a decision on any of the above mentioned factors without giving due consideration to the customer needs may seriously affect the implementation of the general strategies of the supply chain, as the strategies of the supply chain are competitive in nature that aimed at end customer satisfaction. The focus of supply chain on the customers can be studied more explicitly using the Quick Response concept, which means identifying the demands and reacting to its changes as quickly as possible.

This concept was developed in relation to textile industry in order to avoid losses due to change in demand.

  • This has contributed to increase costs in transportation systems, which are highly dependent on fossil fuels;
  • Other researches can be conducted to find out the reason for not delivering the products on the due date;
  • Establish functional interfaces between your companies;
  • Companies can meet this challenge by proving to be adaptable with the customer wants makes changes in their orders right from the purchase and even up to and after shipment;
  • This example is one of the many ways that a customer focused approach to Supply Chain Management will improve customer service and profitability.

The QR nature is such that it assume in close cooperation with the supply chains by providing maximum satisfaction to its customers by reducing the costs to its minimum.

This becomes material if the customers provide timely information to the suppliers regarding their demands and they make timely supply of the demand.

This method would no doubt increase sales by reducing the costs by bringing in profit to all the supply chains involved.