Preview

Order-Winners and Order Qualifiers and Its Use in the Establishment of the Relative Importance of Certain Performance Objectives.

Good Essays
Open Document
Open Document
600 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Order-Winners and Order Qualifiers and Its Use in the Establishment of the Relative Importance of Certain Performance Objectives.
Order-winners and order qualifiers and its use in the establishment of the relative importance of certain performance objectives.

Order winner and order qualifier are criteria defined by managers within their operation strategy plan to gain competitive advantage in the market. These terminologies were first introduced by Professor Terry Hill, at The London business school (Encyclopedia of Business, 2nd Ed.) and ever since it’s been used as a measuring tool to assure managers about their product acceptability by the customers.
The success of a company depends greatly on Order-winner factor (Slack, Lewis 2008). It is the most important factor that drives customers to purchase a product or service from a company. When planning the competitive strategies the Order-winning factor should be at the top of priority list, because in the long run it will benefit the company with an increase in business, provided that higher performances on this factor is achieved.
Although order qualifier is not as important as order-winner factor but it plays also an important role as it is used as a “bait” to draw customer’s attention to product or service. Slack, Lewis (2008) states that companies must “be above a particular level” of operation’s performances to draw customer’s attention, but the performance of order-winning factor is what is going to influence the customer’s decision towards a product or service.
Transporting this idea into ocean shipping companies, for a vessel to be considered by chartering companies for loading cargo it must meet certain criteria such as trading pattern, certification of both the vessel and its crew and compliance with local and international regulations, which in this case is the qualifying factor. On the other end, for a vessel to be accepted or win a business the company must prove through its recording keeping both ashore and onboard that it’s fit to carry the cargo safely and make delivery on the agreed schedule. Such records would include



References: Encyclopedia of Business 2nd ed., Reference for Business, http://www.referenceforbusiness.com/management/Ob-Or/Order-Winning-and-Order-Qualifying-Criteria.html#b; Slack,Lewis (2008), Operations Strategy, 2nd ed., Prentice Hall and Financial Times, pp. 45-54;

You May Also Find These Documents Helpful

  • Better Essays

    Unit C187

    • 1193 Words
    • 5 Pages

    Each company needs to ensure that they are not wasting any unnecessary money and that the stock you are ordering is actually needed. The person in charge of ordering needs to think about the delivery costs, quality and quantity costs. They also need to think about applying minimum orders but can still cover everything that will be needed. The value of money is most important because no company wants to be wasting money on products that cant be afforded or on stationary the wont be used. The person who is responsible for all this needs to have a good think about what really needs to be ordered and if it is necessary in the environment. Also to know if it is environmentally friendly before just ordering anything and everything they want…

    • 1193 Words
    • 5 Pages
    Better Essays
  • Better Essays

    Gb540 Unit 1 Assignment

    • 1474 Words
    • 6 Pages

    I am currently self-employed and deal with online sales on a daily basis. My business is based on sales at eBay and Amazon, I have multiple products that I buy wholesale and sell at retail price. I would like to choose the situation where orders are to be prioritized based on the quality of the order and how I decide which order are to be taken cared of first. For example what I mean is when I get order a lot of them can include different quantities of the same product and also they can include different products combined in one order. In the case where I am running out of stock which rarely happens but as we all know sometimes it happens, I have to make the decisions on which orders to cover with the amount of stock that I have in that product. So if I have 20 orders to fill and only have enough product to fill X amounts of orders I would normally prioritize the orders that have the most product in them, per say an order of 6 bottle of the product that I sell which is called Bully Max, I would rather fill the bigger order because of the simple fact that they mean more profit and a more potential customer as well. This behavior causes problems and one that comes to mind is efficiency, when operating at high volumes it is lost. This is because sometimes when having to much to do one looses focus and fails to deliver the best possible customer service ultimately affecting the business. The customers are expecting to be treated equally and if they pay for the product and do not receive it in time they will be…

    • 1474 Words
    • 6 Pages
    Better Essays
  • Good Essays

    Unit 206 Business Admin

    • 1021 Words
    • 5 Pages

    Although it is our goal to be the best and not necessarily the biggest or the most profitable, our success at satisfying customers and motivating employees will bring growth and long-term profitability.…

    • 1021 Words
    • 5 Pages
    Good Essays
  • Powerful Essays

    Chapter 2 Quiz

    • 8053 Words
    • 33 Pages

    An order winner is a set of criteria that differentiates the products or services of one firm from another. True False…

    • 8053 Words
    • 33 Pages
    Powerful Essays
  • Good Essays

    Lawn Care Case

    • 817 Words
    • 4 Pages

    B) The company perceives the quality of their products, and their direct delivery to be the order winner for the company. They provide what is expected, in terms of high quality seed and fertilizer, making this also an order qualifier. Another company, such as their competitor may consider the installation they proved to be the order winner,…

    • 817 Words
    • 4 Pages
    Good Essays
  • Satisfactory Essays

    Performance Management Tactics; first step is to review the category, make sure both the retailer and vendor agree on a source for data and that both understand terminology and methodology. A. - Agree on the goal of the project, be it volume increase or profit gain. B. - Assess the category's unit and dollar volume growth rates over the past two years, both by retail trade channel and on a national basis. C. - Determine the market shares for brands in the category and identify any areas ripe for cannibalization. Specifically, Gellish recommended that partners aggregate UPCs by vendor to gauge impact. For instance, the top brand could be from a small vendor, while the next four brands could be from a megacorporation. D. - Be aware of which products are trending up and which are slowing down. "Maintain objectivity. Be ready to pull your items if the data suggests they are performing poorly--don't just try to delist your competition," Gellish.…

    • 369 Words
    • 2 Pages
    Satisfactory Essays
  • Better Essays

    Performance Segment has Reliability, Mean Time before Failure (MTBF) as the most important customer buying criteria at 43% and Ideal Positioning at 29%.…

    • 1771 Words
    • 8 Pages
    Better Essays
  • Powerful Essays

    Advice on Links Simulation

    • 2181 Words
    • 9 Pages

    * Although your team might have high customer satisfaction or a high stock price, your performance in regards to the overall competition is determined via a multi-dimensional scorecard that takes the following criteria into account:…

    • 2181 Words
    • 9 Pages
    Powerful Essays
  • Better Essays

    Sprint

    • 1166 Words
    • 3 Pages

    “It is important for operations managers to know what product features and delivery terms critical customers consider important, what they are willing to pay, and what they consider acceptable” (Swink et al., 2011, p. 29).…

    • 1166 Words
    • 3 Pages
    Better Essays
  • Best Essays

    It also focuses heavily on the delivery speed and the fresh products for customers in a competitive market (Tongue et al., 2012).…

    • 3034 Words
    • 13 Pages
    Best Essays
  • Powerful Essays

    Local Improvement Project

    • 1938 Words
    • 8 Pages

    Qualifying factors are not as important as order-winning factors to the company’s competitive success but are important for the company’s existence. Qualifying factor is simply the level of quality that the product or service…

    • 1938 Words
    • 8 Pages
    Powerful Essays
  • Good Essays

    Competitiveness In Canada

    • 4388 Words
    • 18 Pages

    unit of capital, given a fixed supply of labour, will generate a smaller yield than…

    • 4388 Words
    • 18 Pages
    Good Essays
  • Powerful Essays

    in turn offering exceptional service delivery to their customers, are very likely to be ahead…

    • 2954 Words
    • 11 Pages
    Powerful Essays
  • Good Essays

    In today’s world customers look for not only price, but also the quality, and service and value of the items as well. The book also talks about Loss Leaders Lose. This is items that are sold at a cheap price to try and get customer to buy other items at a higher price, therefore increasing revenue. Companies must be cautions to not appear to customers a way that they are not intending.…

    • 1371 Words
    • 6 Pages
    Good Essays
  • Powerful Essays

    Definition of Oder Winners

    • 1354 Words
    • 6 Pages

    Order winners are "those competitive characteristics that cause a firm 's customers to choose that firm 's goods and services over those of its competitors. Order winners can be considered to be competitive advantages for the firm. Order winners usually focus on one rarely more than two) of the following strategic initiatives: price/cost, quality, delivery speed, delivery reliability, product design, flexibility, after-market service, and image." (APICS Dictionary 2008).…

    • 1354 Words
    • 6 Pages
    Powerful Essays