lesson 2 putting the end customer first

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© Alan Harrison and Remko van Hoek 2008 Slide 2.1 Logistics with focus on the customer

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Page 1: Lesson 2 putting the end customer first

© Alan Harrison and Remko van Hoek 2008

Slide 2.1

Logistics with focus on the customer

Page 2: Lesson 2 putting the end customer first

© Alan Harrison and Remko van Hoek 2008

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

Page 3: Lesson 2 putting the end customer first

© Alan Harrison and Remko van Hoek 2008

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.

Page 4: Lesson 2 putting the end customer first

© Alan Harrison and Remko van Hoek 2008

Slide 2.4

Types of customers

• BtB

• BtC

• Consumers

• Customers

Page 5: Lesson 2 putting the end customer first

© Alan Harrison and Remko van Hoek 2008

Slide 2.5

Table 2.2 Comparison between consumer and industrial marketing

Page 6: Lesson 2 putting the end customer first

© Alan Harrison and Remko van Hoek 2008

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

Page 7: Lesson 2 putting the end customer first

© Alan Harrison and Remko van Hoek 2008

Slide 2.7

The marketing in brief

• Place contains logistics

Page 8: Lesson 2 putting the end customer first

© Alan Harrison and Remko van Hoek 2008

Slide 2.8

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

Page 9: Lesson 2 putting the end customer first

© Alan Harrison and Remko van Hoek 2008

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

Page 10: Lesson 2 putting the end customer first

© Alan Harrison and Remko van Hoek 2008

Slide 2.10

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

Page 11: Lesson 2 putting the end customer first

© Alan Harrison and Remko van Hoek 2008

Slide 2.11

Table 2.6 Selected service level measurementsSource: After Rafele, 2004

Page 12: Lesson 2 putting the end customer first

© Alan Harrison and Remko van Hoek 2008

Slide 2.12

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

Page 13: Lesson 2 putting the end customer first

© Alan Harrison and Remko van Hoek 2008

Slide 2.13

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

Page 14: Lesson 2 putting the end customer first

© Alan Harrison and Remko van Hoek 2008

Slide 2.14

Figure 2.7 Customer segmentation using order winners

Page 15: Lesson 2 putting the end customer first

© Alan Harrison and Remko van Hoek 2008

Slide 2.15

Figure 2.9 Strategy drivers and their implications for logistics strategy

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© Alan Harrison and Remko van Hoek 2008

Slide 2.16

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

Page 17: Lesson 2 putting the end customer first

© Alan Harrison and Remko van Hoek 2008

Slide 2.17

Figure 2.11 The four-phase plan for supplier improvement

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© Alan Harrison and Remko van Hoek 2008

Slide 2.18

Figure 2.12 Restructuring the supplier base