Something that could be helpful to your situation. Case study Customer Centric Materials Management Logistics Management

1. February 24, 2020 Logistics
Management
A Case Study about Customer
Centric Materials Management

2. I. Introduction
This case study focuses on how customer centric approach by focusing on providing
a positive customer experience both at the point of sale and after the sale in order to
drive profit and gain competitive advantage. It provides positive experience for the
customer by maximizing service and/or product offerings and building relationships.
II. Background Information
The post-liberalization period refers to a relaxation of previous government
restrictions, usually in areas of social or economic policy. By the year of 1997 to 1999,
Electronics Corporation of India Ltd. (ECIL) experienced a loss of 10 crore and a
substantial loss of 60 crore. So, the company was badly eroded and they had to be
reported to Board for Industrial and Financial Reconstruction (BIFR).
III. Alternatives
Alternatives have provided thought leadership to the marketing community. Here are
some alternatives for the customer centric and digital era, we have seen the growth of
roles that are customer oriented. At alternatives, we call this talent pool simple
“customer talent”. These roles includes the product development and management,
proposition development, and customer experience.
Product Management
Product management is the practice of strategically driving the development,
market launch, and continual support and improvement of a company’s products.
Customer Experience
It refers to the total of all experiences the customer has with the business, based
on all interactions and thoughts about the business.
Product Development
Product development typically refers to all of the stages involved in bringing a
product from concept or idea, through market release and beyond.
Digital Customer Experience
Digital customer experience management is understanding how people interact
with your brand online. Organizations today must find a way to create emotional
connections with their users on their mobile devices, let their customers provide
feedback, and respond to those issues.

3. Change Management
Change management is the discipline that guides how we prepare, equip and
support individuals to successfully adopt change in order to drive organizational
success and outcomes.
IV. Solutions
Prepare and qualify
Treat sales like customer services. This means anticipating customers’ needs
and having a greater understanding of their issues and challenges than they do. To
properly implement a solution-selling methodology, every member of the sales team
needs specialized knowledge and expertise.
Offer the buyer new ideas and perspectives
A pervasive myth in sales is that the more knowledgeable clients are, the more
likely they are to shop around and find an alternative. Improving customer knowledge
has the inverse effect, fostering trust in a company and its products. By assuming a
teaching role, the “solution representative” becomes a trusted partner in a collaborative
process.
Shifting the Mindset
Transforming organization’s approach to selling solutions requires a shift in
mindset from just pushing products to creating genuine connections with people.
V. Recommendation
Focusing more on customer experience and customer satisfaction is a smart goal
for any sales organization. The customer journey from start to finish should be designed
so that all sales activities and communication are aimed at helping the customer
achieve short and long-term success. To be fully effective, customer-centric selling
should undergo beyond the sales department – to your customer service, marketing,
and account management team as well. When you have a customer-focused company,
you’ll gain customer loyalty, improve retention rates, and increase referrals – making it a
win-win for both of you and your clients.

4. Questions:
1. Explain the term inventory control.
Inventory control is also known as stock control, is regulating and maximizing your
company’s warehouse inventory. The goal of inventory control is to generate the
maximum profit from the least amount of inventory investment without intruding upon
customer satisfaction levels. Some of the more common areas in which to exercise
inventory control are:
 Raw materials availability. There must be enough raw materials inventory on
hand to ensure that new jobs are launched in the production process in timely
manner, but not so much that the company is investing in an ordinate amount of
inventory.
 Finished goods availability. A company may be able to charge a higher price
for its products if it can reliably ship them to customers at once.
 Work in process. It is possible to reduce the amount of inventory that is being
worked in the production process, which further reduces the inventory
investment.
 Reorder point. A key part of inventory control is deciding upon the best
inventory level at which to reorder additional inventory.
 Bottleneck enhancement. There is nearly always a bottleneck somewhere in
the production process that interferes with the ability of the entire operation to
increase its output.
 Outsourcing. Inventory control can also involve decisions to outsource some
activities to suppliers, thereby shifting the inventory control burden to the supplier
(though usually in exchange for reduced level of profitability.)
2. What do you understand by the initiatives of material management?
Based upon the common areas which exercise the inventory control, understanding
the initiatives of material management was first felt by manufacturing undertakings. The
needs of control is based on the servicing of each organizations who provide materials
for inventory control from the availability of raw materials to outsourcing and making
decisions about the product. Material management is also starts with planning, directing
controlling and coordination of all those activities that is concerned with material and
inventory requirements, from the point of their inception to their introduction into
manufacturing process.