Download Air Force Service Procurement: Approaches for Measurement by Laura H. Baldwin PDF

By Laura H. Baldwin

To help the Air strength within the strategy of altering how it purchases prone, this document studies comparable advertisement region practices and indicates metrics to trace growth and refine providers procurement efforts through the years.

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Extra resources for Air Force Service Procurement: Approaches for Measurement and Management

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Drucker as saying that acquiring a customer comes first, then retaining the customer, and finally maximizing profitability from the relationship with the customer. High quality is important for retaining a customer, and though Krowinski and Steiber focus on the benefits of high customer satisfaction in the health care business, other organizations find analogous benefits in high-quality service. 7 Smeltzer terials. and Ogden (2002) discuss measuring the quality of purchased services versus ma- 26 Air Force Service Procurement: Approaches for Measurement and Management dicator of service continuity is the number of days before a key position is filled, for example, in a facilities call center operation.

One interviewee suggested that the optimal range for customer satisfaction with purchasing was 80 to 90 percent. In his opinion, rankings below 80 percent indicate that there is some failure within the purchasing organization that needs to be addressed. In order to correct the problem, the survey should also provide an opportunity for respondents to describe the reason for their dissatisfaction. Otherwise, unsatisfactory ratings must be investigated to determine the cause. Rankings above 90 percent suggest a different sort of problem.

In this chapter, we discuss measures that our study participants recommended as providing the information they need to better manage their service expenditures. The firms we interviewed emphasized the use of results-oriented metrics for purchased services rather than process metrics. They focus on how the outcomes of their purchasing and supply management activities for services support corporate objectives, and they are less concerned about the implementation of specific practices. Some metrics are retrospective assessments of past performance.

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