Customer Service and Logistics: How Are They Related?

Although not ideal, the message lets customers know what to expect and helps them understand why they may experience delays. When supply chain hurdles arise, organizations can create customer-centric communication systems that inform customers of shipment delays and other updates. Transparency and communication can help organizations satisfy customers despite long lead times and unexpected delays. Customers may never see your trucks, your warehouse, your committed drivers and packers, or even their own products.

Efficient logistics management provides clear visibility of transportation activities involved in ensuring smooth supply chain operations. By analyzing the transportation data, companies can implement better route optimization to avoid potential disruptions and also save on operational and fuel costs. The exact relationship between sales and customer service varies by industry and specific business.

It helps build an impactful brand image

The term user-friendly is sometimes applied; the firm wants to develop a reputation as being easy to do business with. Firms continually monitor the levels of customer service they—and their competitors—offer. They might use machines to record how many times customer-service telephones ring before being answered or what percentage of requested repair parts they can deliver within a certain time span. Logistics experience refers to the quality and efficiency how is customer service related to logistics management of the delivery process of a product or service. Transportation logistics management is a subset of logistics management that specifically focuses on the planning, implementation, and control of the movement of goods from one location to another. It involves selecting the most efficient mode of transportation, arranging the routing and scheduling of deliveries, and ensuring the timely and safe delivery of goods to their intended destination.

Mail questionnaires and personal interviews are frequently used because a large sample of information can be obtained at a relatively low cost. The questions must be carefully designed so as not to lead the respondents or to bias their answers and yet capture the essence of service that the buyers find important. The finding of survey can be used to model the relationship between the cost and the customer service level. The logistics industry is time-sensitive, with as much as 64% of customers saying that speed is as essential as price.

Take advantage of many communication channels

The challenge lies in mitigating the impact of future global supply chain disruptions on your services’ reliability and efficiency. Otherwise, you may suffer from delivery delays and damage customer satisfaction and loyalty. Uncertainty from such interruptions also makes it difficult to provide accurate delivery estimates and maintain the level of transparency modern shoppers have come to expect. As you navigate supply chains and transportation networks, addressing customer needs becomes a defining factor for your operations. After all, satisfied buyers are more than clientele — they often translate into repeat buyers and advocates who recommend your products and services,  making them an invaluable asset to your brand. Supply chain is an umbrella concept encompassing all the processes required for a seamless flow between consumer demand and the delivery of finished products.

Now it is Christmas Eve and you do not have your package and your unhappiness is growing with every moment. The package arrives on December 27, and looks like it was dropped from the truck on the way. In this situation, your transportation costs expectations were met but your expected service quality was not met. It is very critical that business identify the root causes of bad customer service and address them before it is too late. Before doing anything, business need to be more informed about the situation and underlying causes. They can connect with the employees and customers involved to identify the problems.

In case of negative feedback, you can solve the problem by creating a strategy to decrease the number of unsatisfied customers. You can analyse the feedback further to create a customer service strategy to improve the problem redressal. By combining exceptional logistical capabilities with a customer-centric approach, logistics companies have the opportunity to differentiate themselves in a crowded market. Embracing technology, nurturing a customer-centric culture, and investing in employee well-being are all essential components of providing a comprehensive customer service experience.

In short, there are several ways to fix a bad customer service situation but arguably the best way is to prevent them from happening altogether. Make sure the businesses have the right customer support infrastructure and consistently improve their customer experiences. In the corporate business climate, all these elements are considered individual components of the larger overall customer service. Innis and LaLonde concluded that as much as 60% of desirable customer service attributes can be directly attributed to logistics (Innis & LaLonde, 1994).

It is obvious that low-quality customer service has tremendous side effects in any sort of business. Additionally, a business could lose the loyalty of the valued customers and there are risks of losing the best employees because whenever companies have a customer service problem. The best employees are obliged to fill up the slack for other employees, so they search for better opportunities for their talents. An industry survey revealed many penalties of bad customer service and their significance on businesses. For instance, reduction of the business volume contributed to almost one-third of the entire customer service related failures.