Write your insights on the following questions below to help you in constructing your

thoughts.

1. Describe a customer experience you have personally encountered where the goods and
services or both were unsatisfactory. How might the organization have handled it better, and
how could operations management have helped?

Last year during our second semester we have this marketing subject “Supply Chain
Management” which requires us to sell products that is manufactured by the affiliated businesses
of our college: College of Business Administration and Accountancy (CBAA) to help them
market their products and also to increase their sales by applying our own knowledge in
marketing. We have four product suppliers Aling Maria for rice products, Mom’s best for spread
products, Homemade Embutido and J&R for meat products. As we aiming for our quota, we
experience a lot of struggles not only about marketing the product but also to the supply that was
handed to us.

We receive products that is unlabeled, unsealed, inadequate order amount, and also the major
part is spoiled products. It was the time that I personally encountered this unsatisfactory service
and goods which I receive four kilos spoiled meat products named “Binabad” from one of our
supplier and manufacturer the J&R Meat Products that cause me a bad feedback from my
valuable customers. The customers are demanding for a refund or replacement of their ordered
products, after that I immediately contacted them by stating the encountered problem and asking
for immediate actions for it, but it takes a one or two more days before we hear any response
from them, they said that it will be replaced as soon as possible and will collect the spoiled
products to examine the problem to the product. But after the response it takes more days before
the products was replaced and refunded which made the customers more disappointed about it
after that the customers won’t ever ordered any products to the mentioned manufacturer.

If the organization just responded immediately and replaced the products maybe we can sell lot
more than we sold that time that may helped them to increase their sales also gain more trust to
the customers the problem is they are lacked of communication towards their seller they should
enhanced their communications aspect. Also, their operations management should have done
their job properly so they won’t manufacture any spoiled product like this and this issue won’t
happen again I suggest they also do some compensation other than replacing the product or
refunding it.

2. Select an organization you are familiar with, then draw and describe its supply chain.
The representation of the Supply Chain Model of R-Kin Hardware Enterprise. R-Kin is
considered as retailing industry. In this kind of industry, they are implementing the Supply Chain
Management. This process is being use to act as one of the strategies of the R-Kin.

Choosing the business suppliers is critical because they are the one delivering the
supplies that you need in order for the business to operate. R-Kin Hardware Enterprise have 3
different suppliers (firsts - tier) namely the Pampanga Steel Manufacturing, Firefly and KFS.
Their suppliers are coming from Manila and Pampanga. The business decided to have direct
supplies for them to get the supplies in low cost. This is one of the strategies being done by the
firm. The schedule of the delivery is depending on the situation but mostly their supplier is
already had the schedule for the delivery of the supplies. Sometimes, they need to call their
supplier especially if they are running out of stocks.

 The R-Kin is currently supplying different hardware materials in different institutions, both
Public and Private institutions and the people of Science City of Munoz. The biggest customers
of the business are the institutions in Science City of Munoz. In Private Institutions, their
particular customers are the Oliver Enterprise and Tierre De Ferrand; while in public institutions,
it includes the Philippine Carabao Center (PCC) and Philippine Rice Research Institute
(PhilRice). They are also accommodating or selling their product in public and usually their
customers are Engineer, Farmers, Architects and etc. Those said customers are considered as the
first-tier customers of the business.

Customer Relationship Management and Supplier Relationship Management is very

important to R-Kin Enterprise. They are building relationship with their customers by giving
discounts, incentives and gifts. Benefits are being given to the customers who bought large
quantity, loyal customers and to their relatives. Also, in terms of their operation, they ensure that
they deliver the product as much as possible because sometimes they cannot deliver their
products on time. This problem occurred because some of their supplies are not yet delivered,
they are waiting for the other customers who request delivery and also due to bad weather. While
in maintaining their relationship with their supplier they are given discounts, freebies, and print
ads. by their suppliers. R-Kin can give feedbacks to their suppliers and return the defective
products; the customers can also return broken or defective products to the R-Kin.
         Warehouse is very important in the business because they are supplying large firm or
institutions that usually buys large quantity of hardware supplies. The supplies of the business
are being stored in their warehouse the first one is located in Bakal 2 and the other one is located
in their store in the city proper. In terms of R-Kin logistics, they offered delivery service and
they use ten-wheeler truck, “kolong-kolong” and elf for the delivery. The transportation of the
product depends on the volume of the orders. In addition, transportation cost or delivery cost
depends on the distance and quantity of the orders and also, they are delivering the product after
they gather all the orders; sometimes if the customer is in rush, they are making adjustments.

           Throughout the operation of the business, R-Kin enterprises faces different problems with
regards to their customers and suppliers. The following are the problems being encountered by
the firm:

 Delayed delivery of supplies

 Impatient customers
 Some customers are insisting that they have much knowledge about the product than the
seller
 Some employees are not creating good rapport with the customers.

But they manage to overcome those problems by giving training and educate their
employees, talking to the customers and make them calm and say sorry for the inconvenience.
They think that those problems can happen again because they believe that those problems are
part of the business and cannot be eradicate and get rid of.