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Transcript of Copyright © 2001 by Harcourt, Inc. All rights reserved. 13-1 CHAPTER THIRTEEN MARKETING CHANNELS...
13-1
Copyright © 2001 by Harcourt, Inc. All rights reserved.
CHAPTER THIRTEENCHAPTER THIRTEEN
MARKETING CHANNELS AND MARKETING CHANNELS AND LOGISTICS MANAGEMENTLOGISTICS MANAGEMENT
Text by Profs. Gene Boone & David KurtzText by Profs. Gene Boone & David KurtzMultimedia Presentation byMultimedia Presentation byProf. Milton PressleyProf. Milton PressleyThe University of New OrleansThe University of New Orleans
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CHAPTER OBJECTIVESCHAPTER OBJECTIVESCHAPTER OBJECTIVESCHAPTER OBJECTIVES• Describe the roles that marketing channels
and logistics play in marketing strategy• Describe the various types of distribution
channels available to marketers• Outline the major channel strategy decisions• Describe the concept of management, conflict,
and cooperation within the marketing channel• Identify and compare the major components of
a physical distribution system
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CHAPTER OBJECTIVESCHAPTER OBJECTIVESCHAPTER OBJECTIVESCHAPTER OBJECTIVES• Outline the suboptimization problem in
logistics• Explain the impact of transportation
deregulation on logistics activities• Compare the major transportation alternatives
on the basis of speed, dependability, costs, frequency of shipments, availability in different locations, and flexibility and handling products
• Discuss how transportation intermediaries and combined transportation modes can improve physical distribution
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STRATEGIC IMPLICATIONS: THE STRATEGIC IMPLICATIONS: THE ROLE OF MARKETING CHANNELS IN ROLE OF MARKETING CHANNELS IN MARKETING STRATEGYMARKETING STRATEGY
STRATEGIC IMPLICATIONS: THE STRATEGIC IMPLICATIONS: THE ROLE OF MARKETING CHANNELS IN ROLE OF MARKETING CHANNELS IN MARKETING STRATEGYMARKETING STRATEGY• Channels provide the means by which the firm
moves the goods and services it produces to ultimate users
• Channels perform four important functions. They:• Facilitate the exchange process by cutting the number
of contacts necessary• Adjust for discrepancies in the market’s assortment of
goods and services via sorting• Standardize payment terms, delivery schedules, prices,
and purchase lots• Facilitate searches by both buyers and sellers
© PhotoDisc
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Figure 13.1: Figure 13.1: Marketing Marketing Channels – Channels – Bringing Buyers Bringing Buyers and Sellers and Sellers TogetherTogether
Figure 13.1: Figure 13.1: Marketing Marketing Channels – Channels – Bringing Buyers Bringing Buyers and Sellers and Sellers TogetherTogether
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1-800-flowers.com1-800-flowers.com
One Marketing Channel One Marketing Channel for Flower Buyersfor Flower Buyers
1-800-flowers.com1-800-flowers.com
One Marketing Channel One Marketing Channel for Flower Buyersfor Flower Buyers
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Figure 13.2:Figure 13.2:AlternativeAlternativeMarketingMarketingChannelsChannels
Figure 13.2:Figure 13.2:AlternativeAlternativeMarketingMarketingChannelsChannels
TYPES OF MARKETING CHANNELSTYPES OF MARKETING CHANNELSTYPES OF MARKETING CHANNELSTYPES OF MARKETING CHANNELS
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TYPES OF MARKETING TYPES OF MARKETING CHANNELSCHANNELSTYPES OF MARKETING TYPES OF MARKETING CHANNELSCHANNELS• Marketing channel: system of marketing
institutions that promotes the physical flow of goods and services, along with ownership title, from producers to consumer or business user; also called a distribution channel
• Marketing intermediary: wholesaler or retailer that operates between producers and consumers or business users; also called a middleman
• Wholesaler: marketing intermediary that takes title to goods and then distributes these goods further; also called a jobber or distributor
© PhotoDisc
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U.S. FoodServiceU.S. FoodService
A Wholesaler Is a A Wholesaler Is a Marketing IntermediaryMarketing Intermediary
U.S. FoodServiceU.S. FoodService
A Wholesaler Is a A Wholesaler Is a Marketing IntermediaryMarketing Intermediary
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TYPES OF MARKETING TYPES OF MARKETING CHANNELSCHANNELSTYPES OF MARKETING TYPES OF MARKETING CHANNELSCHANNELS• Logistics: process of coordinating the flow of
information, goods, and services among members of the distribution channel
• Physical distribution: activities to achieve efficient movement of finished goods from the end of the production line to the consumer
© PhotoDisc
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Direct SellingDirect SellingDirect SellingDirect Selling• Direct channel: marketing
channel that moves goods directly from a producer to ultimate user
• Direct selling: strategy designed to establish direct sales contract between producer and final user
© PhotoDisc
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Figure 13.3: Avon: Using Direct Selling as a Marketing StrategyFigure 13.3: Avon: Using Direct Selling as a Marketing StrategyFigure 13.3: Avon: Using Direct Selling as a Marketing StrategyFigure 13.3: Avon: Using Direct Selling as a Marketing Strategy
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Tupperware: a Direct SellerTupperware: a Direct SellerTupperware: a Direct SellerTupperware: a Direct Seller
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DellDell
Dell Computer: Dell Computer: A Direct SellerA Direct Sellerof Computersof Computers
DellDell
Dell Computer: Dell Computer: A Direct SellerA Direct Sellerof Computersof Computers
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WinBook: Another Direct Seller of ComputersWinBook: Another Direct Seller of ComputersWinBook: Another Direct Seller of ComputersWinBook: Another Direct Seller of Computers
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Channels Using Marketing Channels Using Marketing IntermediariesIntermediariesChannels Using Marketing Channels Using Marketing IntermediariesIntermediaries• Producer to wholesaler to
retailer to consumer• Producer to wholesaler to
business user• Producer to agent to
wholesaler to retailer to consumer
• Producer to agent to wholesaler to business user
• Producer to agent to business user
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DUAL DISTRIBUTIONDUAL DISTRIBUTIONDUAL DISTRIBUTIONDUAL DISTRIBUTION
• Dual distribution: network that moves products to a firm’s target market through more than one marketing channel
© PhotoDisc
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Class DiscussionClass Discussion
What, if any, problems exist What, if any, problems exist when dual channels are when dual channels are utilized?utilized?
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IBM: An Example of a Firm That Uses Dual IBM: An Example of a Firm That Uses Dual Distribution to Sell Its Personal ComputersDistribution to Sell Its Personal ComputersIBM: An Example of a Firm That Uses Dual IBM: An Example of a Firm That Uses Dual Distribution to Sell Its Personal ComputersDistribution to Sell Its Personal Computers
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REVERSE CHANNELSREVERSE CHANNELSREVERSE CHANNELSREVERSE CHANNELS
• Reverse channels: channels designed to return goods to their producers
© PhotoDisc
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The Environmental Protection Agency WWW The Environmental Protection Agency WWW Site Related to Reducing, Reusing & Site Related to Reducing, Reusing &
Recycling Municipal Solid Waste Recycling Municipal Solid Waste
The Environmental Protection Agency WWW The Environmental Protection Agency WWW Site Related to Reducing, Reusing & Site Related to Reducing, Reusing &
Recycling Municipal Solid Waste Recycling Municipal Solid Waste
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CHANNEL STRATEGY DECISIONSCHANNEL STRATEGY DECISIONSCHANNEL STRATEGY DECISIONSCHANNEL STRATEGY DECISIONS
• Factors which impact the selection of a marketing channel include:• Market factors• Product factors• Organizational factors• Competitive factors
Selection of a Selection of a Marketing ChannelMarketing Channel
Selection of a Selection of a Marketing ChannelMarketing Channel
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Figure 13.4: Figure 13.4: Distribution Distribution Channel Channel Influenced by Influenced by Product FeaturesProduct Features
Figure 13.4: Figure 13.4: Distribution Distribution Channel Channel Influenced by Influenced by Product FeaturesProduct Features
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Cold Care TissueCold Care Tissue
The Product Factor of The Product Factor of Low Product Unit Low Product Unit Values Typically Values Typically Causes Firms to Use Causes Firms to Use Longer Marketing Longer Marketing ChannelsChannels
Cold Care TissueCold Care Tissue
The Product Factor of The Product Factor of Low Product Unit Low Product Unit Values Typically Values Typically Causes Firms to Use Causes Firms to Use Longer Marketing Longer Marketing ChannelsChannels
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Hewlett-Packard, Hewlett-Packard, Which Sells Directly to Consumers Through Its Web Site, Avoids Antagonizing Its Intermediaries by Making Regional Dealers Responsible for Installation and Service After the Sale
Hewlett-Packard, Hewlett-Packard, Which Sells Directly to Consumers Through Its Web Site, Avoids Antagonizing Its Intermediaries by Making Regional Dealers Responsible for Installation and Service After the Sale
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Table 13.1: Factors Influencing Marketing Channel Strategies
Characteristics of Short Channels
Characteristics of Long Channels
Market factors
Business users Consumers
Geographically concentrated
Geographically diverse
Extensive technical knowledge and regular servicing required
Little technical knowledge and regular servicing not required
Large orders Small orders
Product factors
Perishable Durable
Complex Standardized
Expensive Inexpensive
Continued on next slide . . .
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Characteristics of Short Channels
Characteristics of Long Channels
Producer factors
Manufacturer has adequate resources to perform channel functions
Manufacturer lacks adequate resources to perform channel functions
Broad product line Channel control important
Limited product line Channel control not important
Competitive factors
Manufacturing feels satisfied with marketing intermediaries’ performance in promoting products
Manufacturer feels dissatisfied with marketing intermediaries’ performance in promoting products
Table 13.1: Factors Influencing Marketing Channel Table 13.1: Factors Influencing Marketing Channel Strategies Strategies (Continued)(Continued)
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CHANNEL STRATEGY DECISIONSCHANNEL STRATEGY DECISIONSCHANNEL STRATEGY DECISIONSCHANNEL STRATEGY DECISIONS
• Distribution intensity: number of intermediaries through which a manufacturer distributes its goods
• Intensive distribution: channel policy in which a manufacturer of a convenience product attempts to saturate the market
• Selective distribution: channel policy in which a firm chooses only a limited number of retailers to handle its product line
Selection of a Selection of a Marketing ChannelMarketing Channel
DeterminingDeterminingDistribution IntensityDistribution Intensity
DeterminingDeterminingDistribution IntensityDistribution Intensity
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SchickSchick
Warner-Lambert Uses Warner-Lambert Uses an Intensive Distribution an Intensive Distribution Strategy for Its Shaving Strategy for Its Shaving ProductsProducts
SchickSchick
Warner-Lambert Uses Warner-Lambert Uses an Intensive Distribution an Intensive Distribution Strategy for Its Shaving Strategy for Its Shaving ProductsProducts
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Figure 13.5: Using a Selective Distribution StrategyFigure 13.5: Using a Selective Distribution StrategyFigure 13.5: Using a Selective Distribution StrategyFigure 13.5: Using a Selective Distribution Strategy
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CHANNEL STRATEGY DECISIONSCHANNEL STRATEGY DECISIONSCHANNEL STRATEGY DECISIONSCHANNEL STRATEGY DECISIONS
• Exclusive distribution: channel policy in which a firm grants exclusive rights to a single wholesaler or retailer to sell its products and a particular geographic area
Selection of a Selection of a Marketing ChannelMarketing Channel
DeterminingDeterminingDistribution IntensityDistribution Intensity
DeterminingDeterminingDistribution IntensityDistribution Intensity
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RedkenRedken
Exclusive Distribution Exclusive Distribution Used for Redken Hair-Used for Redken Hair-Care ProductsCare Products
RedkenRedken
Exclusive Distribution Exclusive Distribution Used for Redken Hair-Used for Redken Hair-Care ProductsCare Products
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CHANNEL STRATEGY DECISIONSCHANNEL STRATEGY DECISIONSCHANNEL STRATEGY DECISIONSCHANNEL STRATEGY DECISIONS• Legal problems of exclusive
distribution• Exclusive-dealing
agreement: arrangement between manufacturer and e-marketing intermediary that prohibits the intermediary from handling competing product lines
• Closed sales territories: exclusive geographic selling region of a distributor
Selection of a Selection of a Marketing ChannelMarketing Channel
DeterminingDeterminingDistribution IntensityDistribution Intensity
DeterminingDeterminingDistribution IntensityDistribution Intensity
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CHANNEL STRATEGY DECISIONSCHANNEL STRATEGY DECISIONSCHANNEL STRATEGY DECISIONSCHANNEL STRATEGY DECISIONS
• Legal problems of exclusive distribution (continued)
• Tying agreement: Arrangement that requires a marketing intermediary to carry items other than those they want to sell
Selection of a Selection of a Marketing ChannelMarketing Channel
DeterminingDeterminingDistribution IntensityDistribution Intensity
DeterminingDeterminingDistribution IntensityDistribution Intensity
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CHANNEL STRATEGY DECISIONSCHANNEL STRATEGY DECISIONSCHANNEL STRATEGY DECISIONSCHANNEL STRATEGY DECISIONS
• Fundamental principle that governs channel decisions:Channel members can shift responsibilities for the performance of certain marketing functions, but they cannot eliminate central functions
Selection of a Selection of a Marketing ChannelMarketing Channel
DeterminingDeterminingDistribution IntensityDistribution Intensity
Who Should PerformWho Should PerformChannel Functions?Channel Functions?
Who Should PerformWho Should PerformChannel Functions?Channel Functions?
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CHANNEL MANAGEMENT CHANNEL MANAGEMENT AND LEADERSHIPAND LEADERSHIPCHANNEL MANAGEMENT CHANNEL MANAGEMENT AND LEADERSHIPAND LEADERSHIP• Channel Captain: a dominant
and controlling member of a marketing channel
© PhotoDisc
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Figure 13.6:Figure 13.6:Channel Channel LeadershipLeadership
Figure 13.6:Figure 13.6:Channel Channel LeadershipLeadership
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Channel ConflictChannel ConflictChannel ConflictChannel Conflict
• Most often, horizontal conflict causes sparks between different types of marketing intermediaries that handle similar products
• Sometimes results from disagreements among channel members at the same level
Horizontal ConflictVertical ConflictThe Gray Market
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Channel ConflictChannel ConflictChannel ConflictChannel Conflict
• Channel members at different levels find many reasons for disputes
• Example: when retailers develop private brands to compete with producers’ brands or when producers establish their own retail outlets or WWW Sites
Horizontal ConflictVertical ConflictThe Gray Market
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Channel ConflictChannel ConflictChannel ConflictChannel Conflict
• Grey Good: product made abroad under license from a U.S. firm and then sold in the U.S. market in competition with that firm’s own domestic output
• Viewed by producers as undesired competition
Horizontal ConflictVertical Conflict
The Gray Market
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Achieving Channel Achieving Channel CooperationCooperationAchieving Channel Achieving Channel CooperationCooperation• Channel Cooperation, achieved via
effective cooperation among channel members,is the desired antidote to channel conflict
• It is Best achieved when all channel members regard themselves as components of the same organization
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VERTICAL MARKETING VERTICAL MARKETING SYSTEMSSYSTEMSVERTICAL MARKETING VERTICAL MARKETING SYSTEMSSYSTEMS• Vertical marketing system (VMS):
planned channel system designed to improve distribution efficiency and cost effectiveness by integrating various functions throughout the distribution chain
© PhotoDisc
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VERTICAL MARKETING VERTICAL MARKETING SYSTEMSSYSTEMSVERTICAL MARKETING VERTICAL MARKETING SYSTEMSSYSTEMS
• Corporate marketing system: a VMS in which a single owner operates at each stage in its marketing channel
• Example: Hartmarx markets its Hart Schaffner and Marx suits through company-owned stores and selected independent retailers
CorporateSystems
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Figure 13.7:Figure 13.7:A Corporate A Corporate Vertical Vertical Marketing Marketing System System
Figure 13.7:Figure 13.7:A Corporate A Corporate Vertical Vertical Marketing Marketing System System
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VERTICAL MARKETING VERTICAL MARKETING SYSTEMSSYSTEMSVERTICAL MARKETING VERTICAL MARKETING SYSTEMSSYSTEMS • Administered marketing
system: VMS that achieves channel coordination when a dominant channel member exercises its power
• Example: Goodyear sells tires through independently owned dealers, but controls the stock that the dealers carry
AdministeredSystems
CorporateCorporateSystemsSystems
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Contractual Systems
VERTICAL MARKETING VERTICAL MARKETING SYSTEMSSYSTEMSVERTICAL MARKETING VERTICAL MARKETING SYSTEMSSYSTEMS • Contractual marketing
system: VMS that coordinates channel activities through formal agreements among channel members like:• Wholesaler-Sponsored
Voluntary Chains• Retail Cooperatives• Franchises
CorporateCorporateSystemsSystems
Administered Administered SystemsSystems
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Figure 13.8:Figure 13.8:Duraclean – A Duraclean – A Franchised Franchised Cleaning and Cleaning and Maintenance Maintenance Service Service
Figure 13.8:Figure 13.8:Duraclean – A Duraclean – A Franchised Franchised Cleaning and Cleaning and Maintenance Maintenance Service Service
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Snap-onSnap-on
Snap-on: A Franchise Snap-on: A Franchise Marketer of Hand ToolsMarketer of Hand Tools
Snap-onSnap-on
Snap-on: A Franchise Snap-on: A Franchise Marketer of Hand ToolsMarketer of Hand Tools
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THE ROLE OF LOGISTICS IN THE ROLE OF LOGISTICS IN DISTRIBUTION STRATEGYDISTRIBUTION STRATEGYTHE ROLE OF LOGISTICS IN THE ROLE OF LOGISTICS IN DISTRIBUTION STRATEGYDISTRIBUTION STRATEGY• Supply (value) chain: sequence of
suppliers that contributes to the creation and delivery of a good or service
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RyderRyder
Ryder, a Member of the Ryder, a Member of the Supply Chain, HelpsSupply Chain, HelpsFirms Control Their Firms Control Their Delivery CostsDelivery Costs
RyderRyder
Ryder, a Member of the Ryder, a Member of the Supply Chain, HelpsSupply Chain, HelpsFirms Control Their Firms Control Their Delivery CostsDelivery Costs
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THE ROLE OF LOGISTICS IN THE ROLE OF LOGISTICS IN DISTRIBUTION STRATEGYDISTRIBUTION STRATEGYTHE ROLE OF LOGISTICS IN THE ROLE OF LOGISTICS IN DISTRIBUTION STRATEGYDISTRIBUTION STRATEGY• Enterprise resource
planning: software system that moves data among a firm’s units
© PhotoDisc
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Logistical Cost ControlLogistical Cost ControlLogistical Cost ControlLogistical Cost Control
• Third party (contract) logistics firm: company that specializes in handling logistics activities for other firms
© PhotoDisc
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Figure 13.9:Figure 13.9:Penske – A Third Penske – A Third Party Logistics Party Logistics Firm Firm
Figure 13.9:Figure 13.9:Penske – A Third Penske – A Third Party Logistics Party Logistics Firm Firm
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BAX GlobalBAX Global
A Specialized Logistics A Specialized Logistics FirmFirm
BAX GlobalBAX Global
A Specialized Logistics A Specialized Logistics FirmFirm
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Loglink Has Catalogs and Databases Containing Links Loglink Has Catalogs and Databases Containing Links and Abstracts of Over 100,000 Internet Websites and Abstracts of Over 100,000 Internet Websites Including These Third Party Logistics WebsitesIncluding These Third Party Logistics Websites
Loglink Has Catalogs and Databases Containing Links Loglink Has Catalogs and Databases Containing Links and Abstracts of Over 100,000 Internet Websites and Abstracts of Over 100,000 Internet Websites Including These Third Party Logistics WebsitesIncluding These Third Party Logistics Websites
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PHYSICAL DISTRIBUTIONPHYSICAL DISTRIBUTIONPHYSICAL DISTRIBUTIONPHYSICAL DISTRIBUTION• System: Organized group of components linked
according to a plan for achieving specific objectives
• A company’s physical distribution system contains the following elements:• Customer Service• Transportation• Inventory Control• Protective packaging and materials handling• Order Processing• Warehousing
© PhotoDisc
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The Problem of The Problem of SuboptimizationSuboptimizationThe Problem of The Problem of SuboptimizationSuboptimization• Suboptimization: condition that
results when individual operations achieve their objectives but interfere with progress toward broader organizational goals
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Customer Service Customer Service StandardsStandards• Customer Service Standard:Customer Service Standard: statement
of goals and acceptable performance for the quality of service that a firm expects to deliver to its customers
© PhotoDisc
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Figure 13.10: Allocation of Physical Distribution Figure 13.10: Allocation of Physical Distribution Expenditures, 2000-2003Expenditures, 2000-2003
Figure 13.10: Allocation of Physical Distribution Figure 13.10: Allocation of Physical Distribution Expenditures, 2000-2003Expenditures, 2000-2003
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TransportationTransportationTransportationTransportation
• Class Rate: standard transportation rate established for shipments of a specific commodity between any pair of destinations
• Commodity Rate: special, favorable transportation rate granted by a carrier to a selected shipper as a reward for either business or a large quantity shipment
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• Began in 1977 with removal of air cargo carrier regulation
• 1978: Airline Deregulation Act
• 1980: Motor Carrier Act and Staggers Rail act deregulated trucking and railroad industries
Transportation Deregulation
Classes ofCarriers
Major Modes ofTransportation
TransportationTransportationTransportationTransportation
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• Common carriers move freight via all modes of transportation for the general public
• Contract carriers do not serve the general public
• Private carriers do not offer services for hire, but provide transportation services solely for internally generated freight
Transportation Deregulation
Classes ofCarriers
Major Modes ofTransportation
TransportationTransportationTransportationTransportation
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• Railroads• Motor
Carriers• Water
Carriers• Pipelines• Air Freight
• Freight Forwarders and Supplemental Carriers
• Intermodal Coordination
Transportation Deregulation
Classes ofCarriers
Major Modes ofTransportation
TransportationTransportationTransportationTransportation
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Figure 13.11: Railroads – Efficient Transportation for Commodities Figure 13.11: Railroads – Efficient Transportation for Commodities Figure 13.11: Railroads – Efficient Transportation for Commodities Figure 13.11: Railroads – Efficient Transportation for Commodities
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FedExFedEx
FedEx: Now Offering a FedEx: Now Offering a Form of Multinational Form of Multinational Intermodal Coordination Intermodal Coordination for Freight When Speed for Freight When Speed Is NeededIs Needed
FedExFedEx
FedEx: Now Offering a FedEx: Now Offering a Form of Multinational Form of Multinational Intermodal Coordination Intermodal Coordination for Freight When Speed for Freight When Speed Is NeededIs Needed
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Table 13.2: Comparison of Transport ModesTable 13.2: Comparison of Transport Modes
Mode Speed Depend-ability in Meeting
Schedules
Frequency of
Shipments
Availabil-ity in
Different Locations
Flexibility in
Handling
Cost
Rail Average Average Low Low High Average
Water Very slow Average Very low Limited Very high Very low
Truck Fast High High Very extensive
Average High
Pipeline Slow High High Very limited
Very low Low
Air Very fast High Average Average Low Very high
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European Rail Shuttle B.V. - Operates Daily Container Trains Throughout Europe
European Rail Shuttle B.V. - Operates Daily Container Trains Throughout Europe
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WarehousingWarehousingWarehousingWarehousing• Storage Warehouse:
warehouse that holds goods for moderate to long periods prior to shipment, usually to buffer seasonal demand
• Distribution Warehouse: facility designed to assemble and then redistribute goods in a way that facilitates rapid movement to purchasers
© PhotoDisc
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WarehousingWarehousingWarehousingWarehousing Automated
Warehouse Technology• Distribution costs can
be cut and customer service improved by automating warehouse systems
© PhotoDisc
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Figure 13.12: Goods Moving Through a Break-Bulk Distribution Center Figure 13.12: Goods Moving Through a Break-Bulk Distribution Center Figure 13.12: Goods Moving Through a Break-Bulk Distribution Center Figure 13.12: Goods Moving Through a Break-Bulk Distribution Center
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Integrated Systems Technology, Inc., a leading Integrated Systems Technology, Inc., a leading software provider to the distribution industrysoftware provider to the distribution industry
Integrated Systems Technology, Inc., a leading Integrated Systems Technology, Inc., a leading software provider to the distribution industrysoftware provider to the distribution industry
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WarehousingWarehousingWarehousingWarehousingWarehouse Locations• Major logistics decision involving the
number and location(s) of storage facilities• Two cost categories influence the choice:
• Warehousing and materials-handling costs• Delivery costs from warehouse to
customers
© PhotoDisc
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Inventory Control Inventory Control SystemsSystemsInventory Control Inventory Control SystemsSystems• Important since firms need to maintain enough
inventory to meet customer demand without incurring unneeded costs for carrying excess inventory
• Some firms attempt to keep inventory levels under control by implementing just-in-time (JIT) production
© PhotoDisc
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Traker Systems Offers a Comprehensive Traker Systems Offers a Comprehensive Inventory Control, Inventory Management and Inventory Control, Inventory Management and
Inventory Tracking Software Application,Inventory Tracking Software Application,
Traker Systems Offers a Comprehensive Traker Systems Offers a Comprehensive Inventory Control, Inventory Management and Inventory Control, Inventory Management and
Inventory Tracking Software Application,Inventory Tracking Software Application,
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• Stockout: order for a product that is unavailable for shipment or sale
Order ProcessingOrder ProcessingOrder ProcessingOrder Processing
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Mobile Dyne’s Order Processing Combines Three Mobile Dyne’s Order Processing Combines Three Techniques, Plus the Actual Work Performed at Techniques, Plus the Actual Work Performed at
Each Step: 1. Workflow Routing, 2. Handoff Each Step: 1. Workflow Routing, 2. Handoff Management, and 3. System Integration Management, and 3. System Integration
Mobile Dyne’s Order Processing Combines Three Mobile Dyne’s Order Processing Combines Three Techniques, Plus the Actual Work Performed at Techniques, Plus the Actual Work Performed at
Each Step: 1. Workflow Routing, 2. Handoff Each Step: 1. Workflow Routing, 2. Handoff Management, and 3. System Integration Management, and 3. System Integration
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Protective Packaging and Protective Packaging and Materials HandlingMaterials HandlingProtective Packaging and Protective Packaging and Materials HandlingMaterials Handling• Materials Handling: set
of activities that move production inputs and other goods within plants, warehouses, and transportation terminals
© PhotoDisc
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Protective Packaging and Protective Packaging and Materials HandlingMaterials HandlingProtective Packaging and Protective Packaging and Materials HandlingMaterials Handling• Unitizing: process of
combining individual materials into large loads for easy handling
• Containeriztion: process of combining several unitized loads into a single, well-protected load
© PhotoDisc
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Packaging Technologies Provides Packaging Material Such As Packaging Technologies Provides Packaging Material Such As Corrugated Cartons; Polyethylene, Static-shield Bags; Corrugated Cartons; Polyethylene, Static-shield Bags;
Protective Foam and Bubble Wrap; Poly and Steel StrappingProtective Foam and Bubble Wrap; Poly and Steel Strapping
Packaging Technologies Provides Packaging Material Such As Packaging Technologies Provides Packaging Material Such As Corrugated Cartons; Polyethylene, Static-shield Bags; Corrugated Cartons; Polyethylene, Static-shield Bags;
Protective Foam and Bubble Wrap; Poly and Steel StrappingProtective Foam and Bubble Wrap; Poly and Steel Strapping
Copyright © 2001 by Harcourt, Inc. All rights reserved.
13-80
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Material Handling Equipment Distributors Material Handling Equipment Distributors Association: Information for the Trade Association: Information for the Trade
Association for the Material Handling IndustryAssociation for the Material Handling Industry
Material Handling Equipment Distributors Material Handling Equipment Distributors Association: Information for the Trade Association: Information for the Trade
Association for the Material Handling IndustryAssociation for the Material Handling Industry
Copyright © 2001 by Harcourt, Inc. All rights reserved.