Exam 8: Order Management and Customer Service

Those customers who are in the "Danger Zone" segment are:

The traditional role of customer service at the interface between marketing and logistics manifests itself through the _____ dimension of the marketing mix.

The term replenishment cycle refers to:

Shelly's data shows that out of the last 100 orders shipped, 92 orders were filled completely and correctly. Of these, 89 were reported as being received on time, but one of them had an inaccurate invoice enclosed. What is Shelly's perfect order rate?

Customer service is anything that touches the customer.

Define and discuss Activity-Based Costing (ABC), including its impact on profitability.

Taylor's company has been growing rapidly, and she now recognizes that she can no longer serve all of her customers personally. In determining which customer relationships to maintain herself and which to reassign to her new sales assistant, she has recognized that some customers have bought a lot of her products because they allowed her to become deeply involved in their businesses, while other customers don't want a lot of attention and just want to place a few small orders occasionally. Taylor must be taking which step in implementing a CRM process?

"Order to cash" and "order cycle" are the same.

There are ten principal activities to the OTC model.

Firms today are beginning to use techniques such as activity-based costing to more accurately allocate costs to customers based on the specific costs of servicing a customer's orders relative to how, how much, what, and when a customer orders.

Customer service is often viewed as the primary interface between logistics and marketing. Discuss the nature of this interface and how it might be changing.

As the level of substitutability for a product increases, its stockout costs to the manufacturer:

Customer service is of equal importance to both logistics and marketing.

Compare and contrast the concepts of order-to-cash cycle time and order cycle time.

Explain the impacts of order cycle time length and variability on both buyers and sellers.

From a marketing perspective, logistics customer service can be thought of as a feature of the augmented product that adds value for the customer.

Define and discuss the Order Management System.

What are the steps in the CRM process?

EnviroTech manufactures equipment used for drilling oil. If EnviroTech equipment belonging to one of the firm's customers breaks down on the job, the customer could lose hundreds of thousands of dollars while waiting for the equipment to get back up and running. Thus, an important part of EnviroTech's business is providing replacement parts for the equipment it sells as quickly as possible. Which of the following would be an important metric for EnviroTech to measure?

With the proper information on how a customer's interaction with the shipper drives the firm's costs, the firm can then segment its customers by profitability.