Chapter 3 Flashcards
(22 cards)
concerns the item itself:
the technical content, the product features,
the ease of use, the style, and the quality.
The core product
which can be called
the ‘___ _____’, represent the
product’s availability, the ease of ordering,
the speed of delivery, and after-sales
support.
The service elements
product surround
- 80/20 rule, also known as the Pareto principle,
suggests that a small number of causes often lead to a large portion
of the effects.
PARETO RULE
Paretoi rule It’s also known as the “
law of the vital few” or the “principle of
factor sparsity”.
The phrase_______ refers to the Pareto Principle or 80/20 rule,
which states that roughly 80% of outcomes come from 20% of
causes, highlighting the importance of focusing on a small number of
key factors.
“vital few”
The Origins of the Pareto Principle
The Pareto principle originated from the observations of_________ in the late
_______century.
Vilfredo Pareto
19th
a pioneer in quality management, played a crucial role in
popularizing the Pareto principle.
He recognized its potential in improving business processes and quality control.
Juran’s contributions helped integrate the Pareto principle into Six Sigma
Dr. Joseph Juran
In business management, the 80/20 rule is a valuable tool for improving
efficiency and effectiveness. It suggests that 80% of a company’s profits
often come from 20% of its customers or products.
Applying the 80/20 Rule in Business Management
SEVEN RIGHTS OF CUSTOMER SERVICE
Right customer
Right Goods a d service
Right of price
Right of quality
Right of quantity
Right of time
Right of place
The first fundamental right is understanding and identifying the right customer.
Not all customers require the same level of service, and businesses must
segment their customer base effectively to tailor services accordingly.
Right Customer
Customer service should ensure that the right goods or services are being
provided to meet customer needs.
Right Goods and Services
Customers expect fair pricing for the goods and services they purchase, and
the customer service team must be empowered to address pricing concerns
effectively.
Right Price
Delivering goods and services of the right quality is fundamental to customer
satisfaction.
Right Quality
Ensuring customers receive the correct quantity of goods or services is another
vital aspect of customer service. Over-delivering or under-delivering can cause
dissatisfaction and operational inefficiencies.
Right Quantity
Timeliness is a core element of excellent customer service. The right service at
the wrong time can lead to customer dissatisfaction, even if the quality is
excellent.
Right Time
Providing goods or services at the right place is critical, especially for
businesses that rely on logistics and delivery.
Right Place
•They may be seen as _____-______ ______, where the emphasis is on the specific
service provided, such as on-time delivery.
•They may also be seen as _____ ______ related to overall aspects of order fulfillment,
such as ease of order taking.
transaction-related elements
functional attributes
These are customer service factors that arise before the
actual transaction taking place. They include:
– written customer service policy
– accessibility of order personnel
– single order contact point
– organizational structure
Pre-transaction elements:
These are the elements directly related to the physical
transaction and are those that are most commonly concerned with distribution and
logistics. Under this heading would be included:
• order cycle time
• order preparation
• inventory availability
Transaction elements:
: These involve those elements that occur after the
delivery has taken place, such as:
•availability of spares
•call-out time
• invoicing procedures
Post-transaction elements
