Customer Service Operations Certification Track Glossary

Question 1

3PL

Answer 1

Third-Party Logistics Providers

Question 2

After-Sale Warranty Process

Answer 2

This process includes inspecting, sorting, handling disposition, and managing the enforcement of the warranty program for returned products. In some cases, companies use third-party logistics providers to perform some or all of these procedures.

Question 3

B2B

Answer 3

Business to Business

Question 4

B2C

Answer 4

Business to Consumer

Question 5

Barcode

Answer 5

A symbol consisting of a series of printed bars representing values that power a system of optical character reading, scanning, and tracking of units by translating these bars into a numeric or alphanumeric identification code. A popular example is the Universal Product Code (UPC) used on retail packaging.

Question 6

Best Practice

Answer 6

A specific process or group of processes that have been recognized as the best method for conducting an action. Best practices may vary by industry or geography, depending on the context. Best practices methodology may be applied with respect to resources, activities, cost objectives, or processes. Note: Best practices that are generally available from any source should be analyzed to determine their applicability to given situations before being used as a guideline or benchmark.

Question 7

Business to Business (B2B)

Answer 7

See also Business to Consumer (B2C). Many companies are now focusing on this strategy, with websites aimed directly at businesses; only other businesses can access or buy products on those sites.

Question 8

Business to Consumer (B2C)

Answer 8

See also Business to Business (B2B). The hundreds of ecommerce websites that sell goods directly to consumers are called B2C sites. This distinction is important when comparing them with B2B websites as the entire business model, strategy, execution, and fulfillment are different.

Question 9

Call Center

Answer 9

A centralized office used to receive and transmit a large volume of requests by telephone. A call center is operated by a company to administer incoming product support or information enquiries from consumers and outgoing calls for telemarketing, client relations, product services, and accounts payable.

Question 10

CLC

Answer 10

See Customer Life Cycle.

Question 11

CLM

Answer 11

See Customer Life Cycle Management.

Question 12

Communication

Answer 12

Communication involves the transfer of information among people and places. There are various methods of communication, and more than one may occur at a time. Communication involves sending and receiving information through different methods: written communication, oral communication, nonverbal communication, and visual communication.

Question 13

Communication Channel

Answer 13

Describes methods of communication used. The many methods of communication in business today include emails, voice mails, phones, and texts.

Question 14

CRM

Answer 14

See Customer Relationship Management.

Question 15

Customer Intelligence

Answer 15

Information about customers in the supply chain.

Question 16

Customer Life Cycle (CLC)

Answer 16

A term used to describe the steps that firms follow in identifying, gaining, managing, and keeping customers.

Question 17

Customer Life Cycle Management (CLM)

Answer 17

The management of all the aspects of the customer life cycle.

Question 18

Customer Order Fulfillment*

Answer 18

The typical business process that includes receiving and processing customer orders all the way through delivery.

Question 19

Customer Order Receipt

Answer 19

Involves customers receiving and accepting orders. During this process, customers check the quantity and quality of delivered products; if they have incomplete or damaged orders, details are recorded and suppliers notified.

Question 20

Customer Relationship Management (CRM)*

Answer 20

Term given to developing different strategies to serve most effectively the full range of customers that interact with a company. This concept also includes the technologies that companies use to manage and analyze these customer interactions and the data generated throughout the customer life cycle.

Question 21

Customer Request/Arrival

Answer 21

The order management cycle begins with customers requesting information or making another request from potential suppliers. These enquiries might involve pricing, product specifications, availability, or delivery timelines (e.g., a customer either enters a clothing store, calls the clothing company to inquire about a shirt, or uses the Internet to order clothes online).

Question 22

Customer Return Process

Answer 22

The customer returns process can include repairing products and returning them to customers, placing the material back into stock, or refurbishing items for resale. The returns process is an important part of the various functions that typically occur in warehouses.

Question 23

Customer Service*

Answer 23

Activities between buyers and sellers that enhance or facilitate the sale or use of sellers’ products or services.

Question 24

Customer Service Assistants

Answer 24

Entry-level positions that are typically responsible for answering basic customer questions and helping customers find products or services. Assistants usually report to customer representatives or customer service managers.

Question 25

Customer Service Managers

Answer 25

Typically responsible for monitoring team performance, training and developing staff, hiring staff, mentoring and coaching staff, and performing similar tasks. Managers typically report to executives like directors and vice presidents in operational departments such as customer service, customer care, or sales.

Question 26

Customer Service Representatives

Answer 26

Employee responsible for maintaining a good relationship between a business and its customers by providing customer support in person, via telephone in call center environments, or electronically via chat, email, or social media.

Question 27

Customer Service Stations

Answer 27

Customers can go to these stations and return or exchange goods they have purchased, ask questions, discuss issues, and ask for help with shopping.

Question 28

Customer Service Supervisors

Answer 28

Responsible for delegating work, instructing customer service team members, resolving more complex customer issues, and accomplishing similar tasks. Supervisors typically report to customer service managers.

Question 29

EDI*

Answer 29

See Electronic Data Interchange.

Question 30

See Electronic Data Interchange.

Answer 30

Intercompany, computer-to -computer transmission of business information in a standard format.

Question 31

Ethical Standards*

Answer 31

Principles that when followed promote values such as trust, good behavior, fairness, and kindness.

Question 32

Fulfillment*

Answer 32

The act of fulfilling customer orders. Fulfillment includes order managing, picking, packaging, and shipping.

Question 33

Internet*

Answer 33

A computer term that refers to an interconnected group of computer networks from all parts of the world (i.e., a network of networks). Accessed via a variety of methods, it contains a wealth of information resources and acts as a global electronic message routing system.

Question 34

Inventory Accuracy Indicators

Answer 34

These indicate when the on-hand quantity is equivalent to the perpetual balance (plus or minus the designated count tolerances). It is often rendered as a percentage showing the variance between book inventory and actual count. This is a major performance metric for any organization that manages large inventories

Question 35

Inventory Control

Answer 35

The output of processes and procedures that ensure that the amount of material on hand equals the amount of material recorded in computer systems.

Question 36

Invoice*

Answer 36

A detailed statement showing goods sold and amounts owed for orders. The invoice is prepared by sellers and acts as the document that buyers use to make payments.

Question 37

Issue Management Plan

Answer 37

Specifies how issue escalations will be managed with supervisors and managers and how customers will be handled throughout the issue management cycle. This cycle includes all steps from identifying an issue to resolving that issue.

Question 38

Issue Resolution

Answer 38

The process and actions taken within companies when issues arise among customers, businesses, suppliers, and others in the supply chain.

Question 39

Key Performance Indicators (KPI)*

Answer 39

A measure that is of strategic importance to companies or departments.

Question 40

OMS*

Answer 40

See Order Management Systems.

Question 41

See Order Management Systems.

Answer 41

A measure of customer service. All items on any given order must be delivered on time for the order to be considered as complete and on time.

Question 42

Order Cycle Time

Answer 42

Total time from when orders are received by suppliers until orders are shipped to customers.

Question 43

Order Entry

Answer 43

The process of receiving orders from customers and entering them into companies’ order processing systems. Orders can be received through phone, fax, or electronic media. Activities may include technically examining orders to ensure an orderable configuration and provide accurate price, checking customers’ credit and accepting payment (optionally), identifying and reserving inventory (both on hand and scheduled), and scheduling a delivery date.

Question 44

Order Fill Rate

Answer 44

An indicator that provides insights into achieving the perfect order and into the fulfillment process, satisfied from stock at hand.

Question 45

Order Fulfillment Lead times*

Answer 45

An average of the consistently achieved lead-time from customer order origination to customer order receipt for a manufacturing process strategy (Make-To-Stock, Make-To-Order, Package-To-Order, and Engineer-To-Order).

Question 46

Order Management*

Answer 46

The process of managing activities involved in customer orders, manufacturing orders, and purchase orders. For customer orders, this includes order entry, picking, packing, shipping, and billing. For manufacturing, this includes order release, routing, production monitoring, and receipt to inventory.

Question 47

Order Management Systems (OMS)

Answer 47

Used to support order processing by automating and streamlining the processes involved in the placement and management of customer orders.

Question 48

Order Process*

Answer 48

Activities associated with accepting and filling customer orders.

Question 49

Order-to -Cash Cycle Time

Answer 49

A set of business processes involving receiving and fulfilling customers order for goods and services ending when the payment is received and recorded.

Question 50

PCards

Answer 50

See Purchasing Cards

Question 51

Point of Sale (POS)*

Answer 51

The time and place at which sales occur, such as at cash registers in retail operations or order confirmation screens in online sessions. Supply chain partners are interested in capturing data at the POS because it is a true record of sales and is not derived from other information, such as inventory movement.

Question 52

POS*

Answer 52

See Point of Sale.

Question 53

Purchasing Cards (PCards)

Answer 53

Company charge cards that allow goods and services to be purchased without using traditional purchasing processes, avoiding the need to issue invoices.

Question 54

Return

Answer 54

Material that has been rejected by end customers or buyers’ inspection department and is awaiting shipment back to the supplier for repair or replacement.

Question 55

Return Material Authorization (RMA)*

Answer 55

A reference number produced to recognize and give authority for a product to be returned to a distribution center or manufacturer. This form typically needs to be accompanied by a warranty or return, which helps the company identify the original product and the reason for the return. The RMA number often acts as an order for the work required in repair situations or as the reference for credit approval.

Question 56

Returns Management Systems

Answer 56

Processes involved with returning goods from customers to manufacturers. Products may be returned because of performance problems or because customers do not like the products.

Question 57

Reverse Flows*

Answer 57

A specialized segment of logistics focusing on the movement and management of products and resources after the sale and after delivery to customers. Includes product returns for repair or credit.

Question 58

RMA*

Answer 58

See Return Material Authorization.

Question 59

SCM*

Answer 59

See Supply Chain Management.

Question 60

Strategic Alliance*

Answer 60

Business relationship in which two or more independent organizations cooperate and willingly modify their business objectives and practices to help achieve mutually beneficial long-term goals and objectives.

Question 61

Supply Chain Management*

Answer 61

The design and management of all activities involved in sourcing and procurement, conversion, and all logistics management activities. Notably, it also includes coordination and collaboration with channel partners, which can be suppliers, intermediaries, third-party logistics providers, and end customers.

Question 62

Technical Customer Service

Answer 62

This service involves company workers who can answer technical questions related to products and address issues by repairing or replacing products.

Question 63

Third-Party Logistics Providers (3PL)*

Answer 63

A firm that provides multiple logistics services for use by customers. Ideally, these services are integrated, or “bundled” together, by the provider. These firms facilitate the movement of parts and materials from suppliers to manufacturers and the movement of finished products from manufacturers to distributors and retailers. Among the services they provide are transportation, warehousing, cross-docking, inventory management, packaging, and freight forwarding.