Simplifying Fulfillment To Keep Costs Down

[mandy]

The “Why” method in practice

Here’s how we implemented the “Why” method:

  1.      Write down why customers call you. Categorize reasons and make a page-size graph.
  2.      Ask Why-Why-Why to identify underlying issues. For example, if the product did not arrive on time, ask “Why?” Perhaps, for example, it was because the warehouse was supposed to send FedEx Overnight but shipped FedEx Ground. If so, ask “Why?” Perhaps the warehouse shipped everything by default with FedEx Ground and requires you to call for a change of service. Why? There is no API between your system and their system and you fax all the orders.
  3.      List underlying issues and assign cost to fix each of them.
  4.      Eliminate unnecessary services and policies that make your life a misery and do not drive your profits...

full article: http://www.practicalecommerce.com/articl...-The-Costs