当代物流学 第四章 Order Management, and Customer Service

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Order Management
Order
management is the activities that take place in the period between the time a firm receives an order and the time a warehouse is notified to ship the goods to fill that order
– Use of field salespeople – Use of phone salespeople – Price discounts to customers placing regular orders
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Order Management
Order
transmittal is the series of events that occur between the time a customer places or sends an order and the time the seller receives the order
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Order Management and Customer Service
Key
Terms
Key
Terms
– Order picking and assembly – Order processing – Order transmittal
– Quick Response (QR) – Replenishment cycle
Order
cycle defined by the seller: time from when an order is received to when the goods arrive at the customer’s dock Order cycle defined by the buyer: time from when an order is placed to when the goods are received. Also called replenishment cycle
1. Customer places order 6. Order delivered to customer 5. Order shipped to customer
2. Order received
3. Order processed
4. Order picked and packed
Key: 1. Order preparation and transmittal 2. Order received and entered into system 3. Order processed 4. Order picking/production and packing 5. Transit time 6. Warehouse receiving and placing into storage Total order cycle time
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Figure 4-3: Flowchart of Order Handling (Order Processing) System
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Order Management
Order processing – Four possible outcomes from a stockout Customers wait Back orders Lost sales Lost customers – If there is a stockout Notify the customer as soon as possible of stockout Notify when shipment will occur Give the customer the option of accepting in-stock, similar products
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Order Management
Order
processing includes:
– – – – –
Checking for completeness and accuracy A customer credit check Order entry into the computer system Accounting department records transaction Inventory department locates nearest warehouse to customer and advises them to pick the order – Transportation department arranges for shipment
Express order delivery
FACTORY Order processing, assembly from stock, or production if no stock
Total Order Cycle with Variability
1. Order preparation and transmittal
Frequency: Frequency:
2. Order entry and processing
3. Order picking or production
Frequency:
1
2
3
1
2
3
1
9
5. Transportation
Frequency:
6. Customer receiving
Frequency: Frequency:
– – – – – Order planning-connected to sales forecasting Order transmittal Order processing Order picking and assembly Order delivery
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Typical Elements of Order Processing
TOTAL
1
3
5
.5
1
1.5
3.5 days
8
20 days
Order Management
Order
planning
– Needs an efficient order handling system to prevent bunching
Methods
to reduce bunching
To
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Order Management and Customer Service
Key
Terms
Key
Terms
– Customer service – Efficient Consumer Response (ECR) – Load planning – Order cycle
– Order delivery – Order entry – Order handling – Order management
CHAPTER 4
Order Management, and Customer Service
Learning Objectives
To
understand how a firm processes incoming orders understand the importance of customer service to a firm’s marketing activities relate the role of logistics in the customer service area
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Components of a Customer Order Cycle
WAREHOUSE Order processing and assembly Transmittal of backorder items Order delivery
Customer order transmittal CUSTOMER Retail outlet
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The Path of a Customer’s Order
Customer order Customer delivery Ship customer order
Order transmittal Inventory available Enter customer order Back order Invoice
– – – – Getting shorter More precise delivery times Customer can track orders Quality is important and is benchmarked
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Total Order Cycle: A Customer's Perspective
Check credit Production schedule
Inventory file
Process order
Warehouse withdrawal
Production
Shipping documentation
Transportation scheduling
Order Management
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To
To
Learning Objectives
To
examine why customer service standards should be specific and measurable describe how a customer service program is established and maintained