1. CUSTOMER BASED MARKETING

2. The logical starting point is to understand how logistical competency contributes to marketing performance. Firms guided by market opportunity, view satisfying customer requirements as the motivation behind all activities. The objective of marketing initiatives is to penetrate specific markets and generate profitable transactions.

3. The Marketing Concept  Logistics as a Core Strategic Competency  Life-Cycle Planning Framework – Growth – Saturation-Maturity – Obsolescence-Decline

4. Customer Service Defined Basic Service Capability Availability – Stock out Frequency – Fill Rate – Orders Shipped Complete Operational Performance Operational measures specify the expected performance cycle in terms of (1) Speed, (2) Consistency, (3) Flexibility, and (4) Malfunction / Recovery. Reliability

5. Increasing Customer Expectations An important consideration in determining a firm’s basic service program rests on understanding customer expectations. In almost every industry one or more firms use logistics as a core strategy to gain customer loyalty. The result is a form of competition that is forged in a “catch me if you can” approach to logistical operations that tends to increase overall customer expectations

6. The Perfect Order The ultimate in logistics quality is to do everything right and do it right the first time.

7. Value-added Services Customer-Focused Services Promotion-Focused Services Manufacturing-Focused Services Time-Focused Services Basic Service