Recent studies show that enterprises who deliver perfect orders have a direct correlation to positive customer satisfaction scores. Despite the stakes, success in consistently delivering a perfect order continues to elude many enterprises because existing systems lack the flexibility to move orders across the order management cycle.
Process views should trump functional fiefdoms
One source of confusion stems from the lack of clarity in what the components of a perfect order should entail. Confusion often stems from a functional perspective which may be predisposted from an ERP, CRM, eCommerce, or Supply chain heritage. Tossing out the three letter acronyms, order management hubs are about 4 key business processes:
- Opportunity to order capture - all the stuff to capture information for the order and send it on to the next step
- Order capture to order fulfillment - the guts and logistics of fulfilling an order from pick,pack, ship to TMS, WMS.
- Order fulfillment to order completion - the processes that may occur before an order is satisified such as returns, after market service, installation scheduling, and warranty claims.
- Order completion to order settlement - invoicing, AP/AR, financial stuff.
Moving from 10 steps to 20 steps towards a Perfect Order
The basic notion is a stakeholder gets an order and they have their expectations to have this filled every time, without question and with minimal effort. In previous discussions on Perfect Orders, 10 steps were identified. The definition has now been expanded to cover 20 key steps which include the delivery of an order:
| 1. | Through any channel at any time | |
| 2 | . | Multiple types of stakeholders can |
| 3 | . | Engage in a consistent brand experience by |
| 4 | . | Selecting the right product or service with |
| 5 | . | The correct quantity and configuration that |
| 6 | . | Meets the acceptable levels of quality for |
| 7 | . | The stakeholder's entitled pricing policy |
| 8 | . | Supplied from the agreed upon sources |
| 9 | . | Delivered to or installed with the right customer within |
| 10 | . | An agreed upon period of time to |
| 11 | . | The correct locations in |
| 12 | . | The most appropriate packaging that |
| 13 | . | Includes the right documentation over |
| 14 | . | The right frequency with |
| 15 | . | An accurate invoice that can be |
| 16 | . | Collected and efficiently settled and/or |
| 17 | . | Returned via any channel for |
| 18 | . | Warranty claims against defects and/or |
| 19 | . | Scheduled for repair based on |
| 20 | . | Agreed upon service contracts |
The bottom line for end users
Achieving a perfect order requires enterprises to revisit how existing order processes support multiple selling channels, multiple fulfillment scenarios, across functional areas. Ultimately, these business processes must be measured against metrics and key performance indicators (KPIs) such as:
- Availability to promise visibility
- Order status across all stages
- Picking error rate
- On-time delivery percentage
- Cases shipped vs. ordered ratios
- Type and percentage of unsellables
- Days of supply
- Order cycle time
- Shelf level service ratios
- Warehouse to store fill rate
- Order accuracy percentages
- Accurate and timely invoices percentages
- Percentage of data synchronization
- Stakeholder satisfaction
- Lifetime monetary value of stakeholder.
(The personal contents in this blog do not reflect the opinions, ideas, thoughts, points of view, and any other potential attribution of my current, past, or future employers.)
Copyrighted 2008 by R "Ray" Wang. All rights reserved
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If a village is the principal settlement of a civil parish, then any administrative body that administers it at parish level should be called a parish council or parish meeting, and not a town council or city council. However, some civil parishes have no functioning parish, town, or city council nor a functioning parish meeting.
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The first official party convention was held on July 6, 1854 in Jackson, Michigan. By 1858, the Republicans dominated nearly all northern states. The Republican Party first came to power in 1860 with the election of Lincoln to the Presidency and Republicans in control of Congress and the northern states.
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An equatorial climate characterizes much of northern Brazil. There is no real dry season, but there are some variations in the period of the year when most rain falls.[149] Temperatures average 25 °C (77 °F),[151] with more significant temperature variation between night and day than between seasons.
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Robinson was signed by the National League's Brooklyn Dodgers—where Branch Rickey had become general manager—and began playing for their minor league team in Montreal.[41] In 1947, Robinson broke the major leagues' color barrier when he debuted with the Dodgers. Larry Doby debuted with the American League's Cleveland Indians the lannexe
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