Chapter 7 Fulfillment and customer Service Flashcards
it includes customer service, A phrase that encompasses both servicing inquiries before an order is consummated and physically distributed providing resolution to service issues.
Fulfillment
a term that includes inventory, warehousing, and transportation issues.
Physical distribution
it ensures that customers will know precisely what it is they are purchasing.
Clarity
involves devices such as separated check off boxes for difference in terms of variations like sizes and colors.
Simplicity
Orders are not the only mail that a direct marketing firm receives.
Mail orders
What is the simplest form in sending message?
Postcard
Categories of mail orders
Function and size
the inventory decision that primarily involves balancing different costs
Stockout costs, order costs, and carrying costs.
are the costs associated with not having an item in stock at the moment it is needed.
Stock out costs
refers to costs that are proportional to the number of orders, without regard to order size.
Order costs
is any cost that varies proportionally with the average or maximum level of inventory. involve cost that levied taxes on inventory.
Carrying costs
is primarily concerned with determining for each item
2 basic systems for managing inventory
Inventory policy
The amount of certain product to be ordered is fixed for every order but the time between orders varies.
Q system
The time between orders is fixed; the amount ordered each time varies.
P system
Involves all the activities connected to the warehouse operations.
Physical Fulfillment
the process in retrieve orders in warehouse
Order Taking
In the warehouse takes place and location is noted for later reference.
Storing
the main factors that need consideration for the location of the facility and warehouse.
Site
The particular unit of the items stored beyond the total throughput volume.
Size
Another term for size
Volume
It first involves determining the best height length and width of the area. it involves a trade-off between materials- handling costs and perimeter construction costs.
Configuration
The basic objective are record arrivals accurately.
Receiving
The particular choice among storing units and the related lift equipment.
Storing and Stock Location
Warehousing Issues
Physical fulfillment
Order Taking
Storing
Site
Size
Volume
Configuration
Receiving
Storing and Stock Location
3 approaches in determining stock location
Heuristic Approach
Algorithmic Approach
Intuitive Approach
The more popular items are located neared the outbound point.
Intuitive Approach
Recognizes the difficulty of finding a truly optimal solution.
Heuristic Approach
refers to a rule for solving a problem that results in an optimal solution. Requires high-speed computer facilities and very accurate knowledge.
Algorithmic Approach
gathering the items for their respective locations. Second in labor intensity only to the packing operation.
Picking
The most labor intensive of the physical fulfillment activities. It includes the boxing and packaging of individual items.
Packing
orders that are received at the warehouse need to be individually packaged.
Prepackaging
The final element in the physical distribution part of fulfillment. getting the packaged deliver to the customer.
Shipping
Their major part is Handling the issues regarding customer complaints.
Customer Service