How to measure and enhance customer service level ?

The rules of calculation

Indicator objective, measures & definitions , Calculation rules, What are the clues to enhance the service rate , Display and discuss the rate, Success stories with figures, Want to know if the rate is good enough and how to enhance it ?

1. Indicator Objectives

 To satisfy customer demand in terms of leadtime
 To make savings in transport costs through better forecasting
 To forecast the load

2. Measure and definitions

Customer satisfaction is measured by a "rate of service".

There are 2 LEVELS OF SERVICE (On-Time-Delivery=OTD):

  1. / Rate of orders delivered on time to customer’s request (OTD-R On Time Delivery to Request)
  2. / Rate of orders delivered on time to a promised date (OTD-C : On Time Delivery to Commit).

In general, it is the 2nd example that is used: OTD-C, or just "OTD".

3. Calculation rules

  • Weekly tracking indicator
  • The confirmation date corresponds to the exact date of departure from the factory.
  • 1 order = 1 line in the planning
  • The promised ship date must allow for delivery on the date promised to the client
  • Calculation:
    • Performance index = ship date [1]-company commitment
    • OTD = (number of orders where the performance index <= 0) / (Total number of orders delivered in the week).

Now measure your own on time delivery rate and compare it against the scale above. Call us if you want to do better!

4. How to manage manually the improvement of the service rate in the factory or office in practice

  1. use the dry-erase indicator background provided for this purpose ("Tracking of day-to-week deliveries") and place it at the shipments,
    If you have any questions, please contact your local office or your local supplier. -# If you have any questions, please contact your local office or supplier.
  2. You can also use the same method to calculate the number of crosses for each order, and the number of crosses for each day.
  3. example in pictures : indicateur des livraisons à temps, graphique, manuel

5. Display and share: use of performance indicators, dashboard (PKI)

Indicator tables are often requested in Quality approaches, but their use extends well beyond that: for example during a "reorganisation of the company necessary to safeguard its competitiveness" a shared diagnosis under the Labour law (law applicable in December 2016).

Indeed, the fact that the performance indicators were "shared" well in advance of economic problems indicates a shared self-diagnosis in the sense of the Labour Law in order to prepare a reorganisation.

In order to save you time, as an indicator is usually long to put in place at the first attempt, we have designed a set of dry eraseable indicators at very attractive prices, including the service rate in order to monitor the rate of each team per day, per week, per semester.
(models to get to the point quickly & measure to do better and prepare a possible reorganisation)

6. Measurement application for Android

As of May 2021, we have done even better! We have designed a cost effective application on Android that allows you to record the departures and arrivals of orders and differences with an immediate calculation of rates per week, per month:Application for calculating the service rate and recording shipping dates

7. How to improve your service rate?

Other manners to make the good work organization diagnosis that will enable the rapid enhancement of the situation :

7. Want to know if the rate is good enough and how to enhance it ?

You have calculated your service rate ?
Contact us to enhance it !

[1or availabilty of the products

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