Chapt13

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Chapt13

  1. 1. Managing Engineering and Technology Third Edition Babcock and Morse Engineers in Market and Service Activities Chapter 13
  2. 2. Advanced Organizer
  3. 3. Chapter Objectives <ul><li>Describe the need for engineers in marketing </li></ul><ul><li>Describe the various ways engineers work in the service industry </li></ul>
  4. 4. What is Marketing? <ul><li>Marketing is the interface between a firm and its customers. </li></ul>
  5. 5. Relationships <ul><li>Transaction-based </li></ul><ul><li>More sustained </li></ul><ul><li>Highly committed </li></ul>
  6. 6. Types of Industrial Products <ul><li>Installation </li></ul><ul><li>Accessories </li></ul><ul><li>Raw Materials </li></ul><ul><li>Process Materials </li></ul><ul><li>Component Parts </li></ul><ul><li>Fabricated Items </li></ul><ul><li>Maintenance/Repair/Op-erations </li></ul><ul><li>Service </li></ul>
  7. 7. After Sale Service <ul><li>Selling is easy. Maintaining customer service is the hard part </li></ul>
  8. 8. Importance of a Satisfied Customer <ul><li>Average service business loses 10% of volume due to poor or inattentive service </li></ul><ul><li>96% of unhappy customers never complain, but 90% never return, each one tells at least nine others, and 13% tell more than 20 others </li></ul>
  9. 9. Importance of a Satisfied Customer, cont. <ul><li>Best opportunity to increase sales and market share is through your present customer base, it costs five times as much to attract a new customer as it does to maintain an existing one. </li></ul>
  10. 10. Importance of a Satisfied Customer, cont. <ul><li>Each happy customer tells at least five others, some of whom will become your customers </li></ul><ul><li>Best indication of an organization’s long-term financial success is the customer’s perception of the relative quality of service. </li></ul>
  11. 11. Technical Employment <ul><li>Manufacturing decreased </li></ul><ul><li>Service increased </li></ul>
  12. 12. Service Industry Examples <ul><li>Computer applications Changing Information technology </li></ul><ul><li>Government Transportation Department of Defense </li></ul><ul><li>College teaching and research </li></ul><ul><li>Biomedical and health services </li></ul>

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