Customer Information Driven After Sales Service ... - RePub

PARAMETER
1.2. Information Management Trends in After Sales Service
Table 1.2: Characteristics Comparison - Source: Cohen et al. (2006)
MANUFACTURING SUPPLY
CHAIN
AFTER SALES SERVICE
SUPPLY CHAIN
Nature of demand Predictable, can be forecast Always unpredictable, sporadic
Required response Standard, can be scheduled ASAP (same day or next day)
Number of SKUs Limited 15 to 20 times more
Product portfolio Largely homogeneous Always heterogeneous
Delivery Network
Depends on nature of product;
multiple networks necessary
Single network, capable of delivering
different service products
Inventory
ment aim
manage- Maximize the velocity of resources
Pre-position resources
Reverse Logistics Doesn’t handle
Handle returns, repair, and disposaloffailedcomponents
Performance metric Fill rate Product availability (uptime)
Inventory turns Six to 50 a year one to four a year
1.2 Information Management Trends in After Sales
Service
The use of information in planning and execution in supply chain management is considered
an enabler of better performance in supply chains. Jacobs et al. (2007) and
Benton and Shin (1998) record the developments in the IT industry from MRP to MRP
II and ERP systems and how these developments coincide with advances in supply chain
management. Similarly in after sales service, Porter and Millar (1985), Slater (1996),
and Wilson et al. (1999) highlight how the information can give a company the competitive
advantage by enabling it to meet the customer expectations in a better way. In
Figure 1.2, we depict a typical management information system to support spare parts
logistics in after sales service. On the supply side, the service provider needs to collect
and manage information to support supplier selection, management, and collaborative
engineering. The service provider also uses significant information to support various
planning tasks such as service network design, inventory replenishment, transportation
and warehouse management, reverse logistics, and manpower resource planning for field
and hub locations. On the delivery side, the tasks involve service planning and service
execution.
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