In previous newsletter articles we have discussed the customer service level. This is a measurement of the number of line items on sales orders shipped complete in one shipment on or before the date the material was promised to the customer. The customer service level is a great tool for determining how well you are servicing your customers. But some companies make it even better! They know that just having a product in stock doesn’t ensure a satisfied customer. They want to be sure that each order completely meets the customer’s expectations. They utilize a tool that is often called customer satisfaction analysis. This analysis reflects the percentage of customer orders that are filled correctly and completely, on or before the promise date. In addition to inadequate stock, the customer satisfaction analysis reflects situations where:
- The customer received the wrong item even though the correct item was listed on the packing slip and invoice
- The wrong quantity was shipped even though the correct quantity was listed on the packing list and invoice
- The material was delivered to the wrong address
- The customer received damaged material
- The paperwork was incomplete, or necessary documentation, such as Material Safety Data Sheets (MSDS), was not sent with the shipment
- The customer was charged the incorrect price for the item
Inside sales people and customer service representatives carefully record every customer call reporting a problem. Here is a sample incident report:
Customer_________________Date_______Order #______
Line Item #_________Item #________________________
____ Customer received the wrong item
____ Wrong quantity was shipped
____ Damaged/Defective Goods
____ Material was delivered to the wrong address
____ Paperwork was incomplete
____ Incorrect price
____ Other
Details:
Customer Contact:_______________________________
Customer Service Representative_____________________
Like stock line items whose order quantity cannot be completely shipped by the promise date, each problem is considered a missed opportunity to please the customer or simply a “miss.” Each month, the system reports the percentage of customer orders without any type of miss for each customer and warehouse. Management carefully reviews each problem sheet to ascertain if action can be taken to prevent the same problem from reoccurring in the future. Not only is this system a great measure of customer satisfaction, but also a fantastic tool for identifying opportunities for improvement!