7. Order Cycle
Order processing
Net inventory
Delivery reliability
Productcondition
Delivery alternatives
Delivery time
Order Status
Transaction Variables
16. Step 1
Sort customers into profitability tiers
Depending upon the accounting practices in an organization, one of
three methods is commonly used to determine customer profitability
17. Step 2
Determine service level(s)
How to bundle value added services for each customer segment
There are tow options:
18. 2A. Identify what each customer segment values
2B. Categorize service components
2C. Prioritize the element of customer service by segment or customer level
2D. Benchmark against competitors to establish relative service level
2E. Perform a gap analysis
2F. Design product/service packages that will meet or exceed minimum service requirements
2G. Establish service level metrics, targets, monitoring and controlling procedures
2H. Monitor and control
Determining the proper customer service levels involves the following
substeps: