Customer Service

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Customer Service

Introduction
• Critical success factor

• Customer satisfaction is a key to achieve success

• Importance of logistics management

• Date of manufacturing

• Lack of product differentiation

• Stock out situation

• Customer rentention
Concept

• Who is the customer?

• Customer service and its requirements differ from industry to industry

Definition:

Customer service is a process which takes place between the buyer, seller,
and a third party. The process results in addition of value to the product or
service exchanged. The process might be short term or long term.
Features of customer services
• It is a strategic process for providing value-added services to the
customer.

• It ensures trade of between cost and service

• It keeps customer satisfied and loyal

• It brings harmonious relationship between supply chain members

• It increases sales and improves profit


Components of customer service

• Lalonde and Zinser (1976) categorised the components of customer


service into three groups
• Pre – transaction
• Transaction
• Post – transaction
Pre – transaction components

• Written statement of customer service policy

• Organisational structure

• Method of ordering

• Order size constraints

• Transactional elements
Transaction components

• Order cycle time • Delivery time

• Order preparation • Condition of goods

• Inventory availability • Order status information

• Delivery alternatives • Stock out level


Post – transaction components

• Availability of spears

• Call out time

• Invoice procedure

• Product tracing

• Return policy

• Customer complaints and procedures


Strategic customer service management
Corporate vision about
customer service

Present customer service


strategy
Prevailing
Customer service needed service standard
for product in industry
Development of new
service strategy Service
expectation of
Implementation of new customers
service strategy

Evaluation and appraisal


for further development

CSMC FCSS CC IIWC CFS


Measurement of customer service
• Gap model of service quality

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