The Importance of Logistics in Providing

Logistics involves controlling and managing the movement of considerablys and suffices, information and products from the point where they argon produced up to the market place. In other words, it deals with the information and physical flows of the raw materials to the final exam distri andion of finished products. Logistics as well involves the management of information and storage of materials, parts of the finished goods in the chains of supply, through procurement stages, work-in-progress to the final distribution.According to cooper (1994), the goal of logistics is to maximize future and current profitability in browse to procure node satisfaction and also satisfying their orders through the cost effective analysis (Rushton, Oxley & Croucher, 2000). guest answer and LogisticsMajority of nows companies consider node gain as a actually life-and-death phenomenon in their businesses. In the past node go was mainly based on the needs of the guest without taking in c onsideration what real requirements or even the perceptions of these guests. It is therefore necessary to comprehend the node requirements and emolument pull up stakes always take issue not only amid industries and companies but also amid the market segments that a business might seem to hit (Rushton, Oxley & Croucher, 2000).Complexity of the provision of node work is also another grievous requirement that needs to be noted and understood clearly. This is because customer good links the processes of logistics and distribution and many influences relevant to customer work may evolve within these processes such(prenominal) as the range from ease of ordering stock that is available to the reliability of slant.It is also important to isotropy the cost of provision with the level of servicing provided. High costs of providing customer service that is even great than what a customer actually requires has turn uped in the downfall of many service offerings in companies. T herefore, the key to attaining character reference and successful customer service policy is through the development of appropriate policies and objectives which involves liaison with these customers. It is also important to monitor, control and measure all the set up procedures (Rushton, Oxley & Croucher, 2000).The components of the logistics customer service may be place as a dealing related elements with emphasis being placed on specific service that is provided for illustrate on time speech. It may also be viewed as functional attributes related to the intact aspects consisting of the order fulfillment such as taking of orders. In order to reflect the timing and disposition of particular service requirements transaction elements are usually put into three categories Pre-transaction elements, transaction elements and post-transaction elements.Pre-transaction elements consist of customer service factors brought about as a expiry of the actual transaction that takes place. T hey involve accessibility of order personnel, method of ordering, system flexibility, written customer service policy single order contact point, transaction elements make-upal structure and order size constraints.Transaction elements on the other hand are the elements that are related to those other elements mostly concerned with logistics and distribution. These elements include delivery of complete order, delivery time, order preparation, delivery reliability, order troll time, availability of inventory, condition of goods, order status information and delivery alternatives.The post-transaction elements consist of those elements that come after the process of delivery has been fulfilled. These elements include call-out time, returns policy, availability of spares, product tracing, involving procedures, customer complaints and procedures, claims procedures and involving accuracy.Another miscellany of customer service elements is that one of multifunctional dimensions. This cla ssification has the objective of assessing the various components of customer service available crossways a range of the whole functions of the lodge so as to strive to gain a circular-knit service provision. For instance, time is made up of a single requirement which covers the whole range of baffle from the placement of order to the delivery of the order the order cycle.This approach has the impact of enabling the delivery of well-nigh very relevant measures of logistics. The multifunctional dimensions include dependability which means the guaranteed accurate and fixed delivery time, flexibility which is the logistics customer serve ability to identify and respond to the changing needs of customers time that is usually order cycle time and communication which helps in the easy of order taking processes (Rushton, Oxley & Croucher, 2000).There elements of customer service differ and their significance will also vary according to the companion, concerned market and the produc t. Therefore, it is important that a customer service policy exists which will help in the undertaking of the various segments of the market that exists.The customer service policy also involve the awareness of the needs of customers or those of the segmentation identification of clearly defined quantifiable samples available for customer service, understanding any trade off that may exist between the levels of customer service and that of the costs, measuring the service that is provided and lastly liaison with customers so as to enhance an apprehended and understanding of the provided service (Rushton, Oxley & Croucher, 2000).How logistics customer service affect a companys sales and customer truenessCustomer service involves ways in which an organization deals with its customers and it is mostly seen in sales and after-sale service. Customer service in logistics should also include all the processes that are involved in the value chain. To pay back customer focus, there is need to obtain a good customer service. Poor customer relations on the other hand are as a result of the availability of inadequate customer service (Peck & Christopher, 2003).Increasing levels of warring pressure and difficulty with the aim of maintaining and increasing profitability is what most of todays companies face. The management of these companies are being faced with the challenges of innovating and seeking strategies that could help in the advancement of the competitive advantage and profitability of their awareness of the significance of logistics in their organizations hence the need for a specialist.Logistics customer service plays a very crucial role in the overall outcome of a companys sales and customer loyalty. The outcome could be negative or positive depending on the quality of the customer service that is being provided by an organization. Poor customer service in logistics could result in poor customer loyal. The poor services include high costs, poor deliver y time, and poor goods that the company could be offering, lack of enough inventory among other things. This not only affects customer relations and loyalty but also the sales of the company (Peck & Christopher, 2003).The earlier on discussed elements of logistics customer service play a very crucial role to the buyers of the products in the company. Lack of adherence to these elements by an organization often leads to the fall in the overall companys sales and customer loyalty. Profitability of the firm depends on how a company handles carriers out these elements.An organization is bound to gain loyalty from its customers when it strives to strengthen the relationship between them as this will enhance the companys sales hence profitability is increased. This relationship involves good communication and money plant from the logistics customer worry service loyalty can only be enhanced through good customer service provision. Customer loyalty is bound to deteriorate if they are off ered with poor services or the companys sales are such that they are too high as compared to their expectations of the goods and services that a company provides (Peck & Christopher, 2003).Customer service plays a vital role in logistics hence its major concern. The level and quality of logistic customer service provided will directly impact on the companys cost and implication, its profitability and the market share. Poor logistic customer service will result in the companys lose of customer hence losing their loyalty as well. The end result therefore means that the company will have to incur high costs in trying to shape its image and also in the recruitment of other personnel.The company has also got to strive in order to increase its market share. On the other hand effective logistic customer care will result in the improved market share, profitability and low cost incurred by an organization (Peck & Christopher, 2003).Customer service in logistics and be viewed as an activity which means what a company actually provides for its customer service department that mostly handles special orders, billing, complaints among other things. Similarly the provision of customer service can also be viewed as a measure of a companys performance. For instance if a company can deliver completed orders at least 24 hours of the receipt and 95% on time, this means that this company provides good customer service.It is therefore, important that the logistics customer service provides quality service in the manner in which they handle customers complaints, handling their orders and the speed of delivery. This will have a positive impact on the companys sale and customer loyalty (Gourdin, 2006).In addition, if the logistics customer service system is managed in a way that it can provide the customers the level and standard of services that they require, this will result into customer satisfaction hence accompany is able to reap maximal benefits and at the same time retain th e loyalty of its customers.Another factor that determines how logistic customer service impacts on companys sales and customer loyalty is honesty. Honesty means that an organization should be able to fulfill its promises to its customers. If a company pledges more than what it can guarantee, it means that the customers will get dissatisfied. This as a result, will lead to the fall of the number of customers that a company has hence, losing the customers loyalty and this eventually leads to a fall in the companys sales. It is therefore important that manager do not overstate the services they intend to offer their customers (Gourdin, 2006)To conclude, in todays market, competition is substantial and customers are more demanding with regards to goods and services that are offered by companies. The expectations concerning service provisions and this therefore calls for the understanding of what is cute by the customers and also a company needs to focus on the processes so that this v alue is delivery consistently.ReferencesGourdin, K., (2006) Glogal Logistics Management A Competitive Advantage for the 21st Century. Blackwell Publishing, ISBN 1405127139.Peak, H. & Christopher, M. (2003) Marketing Logistics. Elsevier. ISBN 0750652241.Rushton, A., Oxley, J., & Croucher, P., (2000). The Handbook of Logistics and Distribution Manage. Kogan Page. ISBN 0749433655.