The challenges of implementing the perfect order concept

Robert Alexander Novack, Douglas J. Thomas

Research output: Contribution to journalArticlepeer-review

25 Scopus citations

Abstract

Advances in both information technology and the practice of logistics performance measurement have enabled firms to more directly tie logistics performance measures to customer satisfaction. Implementing perfect order measurement is one approach for making this connection. The perfect order rate is the percentage of orders that precisely meet customer expectations. Measuring perfect order performance typically requires coordination across a variety of functional areas such as transportation, distribution, and accounting. This article presents challenges encountered by a variety of firms attempting to implement perfect order measurement. Three basic questions are addressed: What should be the definition of a perfect order, once a definition is determined; What are the challenges in implementing perfect order measurement; and finally, How should firms use perfect order measurement to analyze and improve performance? For each challenge presented, potential remedies are discussed.

Original languageEnglish (US)
Pages (from-to)5-16
Number of pages12
JournalTransportation Journal
Volume43
Issue number1
StatePublished - Dec 2004

All Science Journal Classification (ASJC) codes

  • Transportation

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