My clients and colleagues know that I frequently talk about the value of people and especially engaged employees. I even have a newsletter, Profit through PeopleSM sharing tips about how to leverage all aspects of your organization to improve overall company performance. Why stress people so much? Because they are going to be critical to you and your company in raising the bar so that you can meet, and more importantly surpass an entirely new and elevated set of customer expectations, what I call The Amazon Effect. I define The Amazon Effect as:
The pressure put on companies to provide superior customer service, rapid deliveries, and higher accessibility to products/services is known as the Amazon Effect. Achievement of these factors can lead to higher growth, more loyal customers and opportunities for margin improvement, but not meeting these ‘Amazonian’ standards can quickly lead to a company’s downfall. Think of this as a game of poker, the ante to just get in the game is 24/7 service, easy-to-use ecommerce Website, same / next day shipping and easy return processes.
It’s not enough to just survive any longer, businesses need to thrive. My research tells us that customers want products and services delivered immediately (24 hour turnaround is no longer sufficient) with a 24/7 viewpoint, increased levels of customization, and extra mile service. Manufacturers need to create a ‘sweet spot’ of people, processes, plans, profit drivers and priorities to create a customer service edge.
Attending APICS 2015 in Las Vegas, October 5-7, 2015?
Plan on joining my session entitled Priming Your Supply Chain for The Amazon Effect on Tues., Oct. 6 at 8:00 a.m. at the Mirage Hotel in Las Vegas, Nevada. Ideal for attendees from manufacturing, operations, distribution and supply chain, I will be sharing key strategies on where and how to make improvements to stay competitive and relevant to customers. I will also share case studies on how companies were able to re-focus their energies on a more customer-centric operation netting more sales at higher yields.
Learn more about APICS 2015 or register for my session.
Can’t Make the APICS 2015 Conference?
I am currently working on a book entitled “The Amazon Effect” detailing the business roadmap to thriving in an ultra-competitive marketplace. I share with readers how to make meaningful business transformations to focus on customer service, improve planning with SIOP and ERP, leverage technology and profit through the people in your organization and supply chain. Sign-up in advance for “The Amazon Effect” and I will notify you when it is released.
Learn more about The Amazon Effect with these other articles:
Slashing Lead Times to Counter the ‘Amazon Effect’
The Amazon Effect: Which Came First? Service or Product Offering?
The Amazon Effect: Create a Customer Service Edge