Short-Term Operational

Action Plan Proposal

 Introduction
• Objective: Efficiently setup operations & manage and streamline the entire operations post order
placement to achieve:
• - B2C: 2,000 orders/day average
• - B2B: 1,000 orders/day average
• - Corporate Catering: 500 orders/day average
Business SWOT Analysis

S W O T • Expansion to new

OPPORTUNITIES
• Rising
markets.
STRENGTHS competition

T H R E AT S
• & ease to
• Diversification of penetrate
• Partnerships offerings.
• Dependence on market

WEAKNESSES
with
established third-party • (Other delivery
drivers. • Loyalty programs. apps or coffee
coffee houses.
houses
• Operational • Partnerships with launching their
• Flexibility of multiple last-mile
gig-drivers. complexity. own delivery
delivery companies. services.)
• Technology- • Potential for
driven low driver • Governmental
operations. loyalty. Regulatory
challenges.
• Diverse service • Lack of control
offering. over seller • Fluctuating
quality. demand.

• Economic
downturns.
 Operational Structure
• Central Operations Team:
➢ Operations Director.
➢ Order Processing, Follow up & Vendors On-Boarding Team.
➢ Customer Service Team ( Contact center team & online support channel team ).
➢ Logistics Coordination Team ( Dedicated drivers co-ordination & gig-drivers recruitment & training team).
➢ Delivery Team ( Dedicated & Gig-Drivers ).

• Size of each team can be decided upon real figures and business load gradually.
• Team & structure would be modified upon real-world business needs & situation.
 Infrastructure Setup
• Infrastructure Setup:
- Develop an efficient Order Management System (OMS) that is integrated with the app.
- Set up a CRM to handle queries, complaints, and feedback.
- Ensure robust data collection mechanisms for real-time analytics.(Reporting Module, Live
Dashboard KPI’s,…..).
- Arrange dedicated logistics coordination team for delivery operations.
 Recruitment & Training
• Recruitment & Training:
❖ Hiring Strategy: Focus on multifunctional staff for flexibility.
Develop a comprehensive training module for all teams, emphasizing:
- Order handling efficiency.
- Customer service etiquette.
- App & technical usage.
- Health and safety protocols, especially for delivery teams.
- Cost-saving measures understanding
- Documented SOPs manual based on team role (including the CS knowledge base).
 Order & Delivery Operations
• Efficient order processing.
• Route optimization for deliveries.
• Event coordination for corporate catering.
 Customer Service Operations
➢ Feedback & Continuous Improvement:
• Customer Feedback: Regularly gather feedback from customers to identify pain points and areas
of improvement, which can often lead to cost savings.
• Employee Feedback: Employees on the ground often have practical insights into inefficiencies.
Create a culture where they feel empowered to suggest improvements.
• Continuous Improvement: Adopt a mindset of continuous improvement, using methodologies like
Kaizen, to constantly refine and optimize processes.

➢ Loyalty Rewards scheme for customers.

 Supply Chain & Partnerships
• Strategies:
• Seek volume discounts & renegotiate contracts.
• Engage with local suppliers.
• Conduct monthly reviews for feedback & improvements.
 Cost Optimization Strategies
• Dynamic delivery pricing.
• Bulk delivery scheduling & local sourcing.
• Cross-training & performance monitoring.
• Feedback-driven continuous improvement.
 Service-Oriented KPIs Introduction
• Key Message: For a delivery service, service KPIs are vital. They gauge service quality & efficiency.
 Driver Utilization Rate (Gig-drivers)
• Definition: Hours spent on deliveries divided by total working hours.
• Importance: Indicates driver efficiency.

Delivery Cost per Order

• Definition: Total delivery costs divided by total deliveries.
• Importance: Indicates delivery cost efficiency.
 Customer Complaint Rate
• Definition: Percentage of orders resulting in customer complaints.
• Importance: Indicates service quality.

Average Customer Rating

• Definition: Average rating given by customers.
• Importance: Indicates overall customer satisfaction.
 Delivery Density by area
• Definition: Total deliveries divided by total area covered.
• Importance: Helps in route optimization.
• Using geofencing mapping tools in order to have geographical-based decisions.

Delivery Density by vendor

• Definition: Total deliveries categorized by vendor branch per area.

• Importance: Helps in route optimization & drivers allocation.

 First-Time Delivery Success Rate
• Definition: Percentage of successful first-attempt deliveries.
• Importance: Indicates delivery efficiency.

Peak Time Order Volume

• Definition: Number of orders during peak times.
• Importance: Helps in resource allocation during high-demand periods.
 Customer Retention Rate
• Definition: The percentage of customers who continue using the app over a specific time frame.
• Importance: High retention rates suggest that customers are satisfied with both the product and
the support received.

First Response Time

• Definition: Measures the average time taken for a customer service representative to respond to a
customer inquiry or complaint.
• Importance: Speedy first responses can enhance customer satisfaction, especially if there's an
issue with an order.
 Average Resolution Time
• Definition: The average time taken to completely resolve a customer's inquiry or complaint.
• Importance: Efficient resolutions lead to better customer experiences and can prevent further
issues or escalations.

Ticket Volume
• Definition: The number of customer inquiries, complaints, or feedback tickets generated in a
specific time frame.
• Importance: Helps gauge the volume of customer interactions and can indicate potential issues in
the ordering or delivery process.
 Customer Satisfaction Score (CSAT)
• Definition: A metric derived from post-interaction surveys asking customers to rate their
satisfaction with the service received.
• Importance: Directly reflects the effectiveness and quality of customer service.

Net Promoter Score (NPS)

• Definition: Measures the likelihood of customers recommending the app to others.
• Importance: A high NPS can indicate overall satisfaction with both the product and the service.
 First Contact Resolution Rate
• Definition: The percentage of issues resolved during the first interaction without the need for
follow-ups.
• Importance: Resolving issues promptly enhances customer satisfaction and reduces operational
costs.

Escalation Rate
• Definition: The percentage of customer service tickets that need to be escalated to higher-level
support or management.
• Importance: A high escalation rate might indicate that frontline representatives need more
training or there are systemic issues in the process.
 Knowledge Base Usage
• Definition: The number of customers who utilize self-help resources, FAQs, or knowledge bases
before or instead of contacting customer service.
• Importance: Can indicate the effectiveness of self-help resources and potentially reduce the load
on customer service representatives.

Chatbot Efficiency
• Definition: If using chatbots for initial customer interactions, this metric gauges the percentage of
queries resolved without human intervention.
• Importance: Efficient chatbots can enhance customer experience and reduce operational costs.
 Customer Acquisition Cost (CAC)
• Definition: The cost associated with acquiring a new customer, including all aspects of marketing
and sales.
• Importance: It's essential to understand how much it costs to gain a new customer, especially in
comparison to the lifetime value of the customer.

Customer Lifetime Value (CLTV)

• Definition: The net profit attributed to the entire future relationship with a customer.
• Importance: When compared with CAC, it provides insights into the actual value a customer
brings over their lifetime, helping in strategic decision-making.
 Key Performance Indicators (KPI) & Key
Result Areas (KRA) Per Unit for Management
➢ B2C Unit:
• KPI: Order fulfillment rate, Delivery time, Customer satisfaction score.
• KRA: Efficient order processing, Prompt delivery, High customer retention.
➢ Vertical Corporate Catering Unit:
• KPI: Event success rate, On-time delivery for events, Corporate feedback score.
• KRA: Successful event catering, Building & retaining corporate relationships.
Cont. Key Performance Indicators (KPI) & Key
Result Areas (KRA) Per Unit for Management
➢ B2B Unit:
• KPI: Order consistency from partners, Delivery accuracy, B2B client satisfaction score.
• KRA: Maintaining healthy partnerships, Accurate and timely deliveries.
➢ Customer Service Unit:
• KPI: Query resolution time, Customer feedback & reviews, Return customer rate.
• KRA: Quick and efficient query resolution, Maintaining a high customer satisfaction rate.
➢ Overall:
• KPI: Daily order count (for each unit), Operational cost vs revenue, Customer satisfaction, Driver
Satisfaction & Seller Satisfaction.
• KRA: Achieving daily order targets, Maintaining operational efficiency, Employee retention and growth.
 KPI Conclusion
• Key Message: Continuous improvement is crucial. Regular KPI reviews will adjust strategies. The
goal is to achieve daily order targets and cost-saving goals.
 Quality Controlled Gig-Drivers
• As per the information given through my interview that the current delivery
fleet is divided as following:
- Dedicated Drivers: 80% of the fleet.
- Gig-Drivers: 20% of the fleet.
These percentages can be changed gradually if we followed a quality controlled
gig-driver which can minimize the cost and increase profitability.
 Notes to be considered:
▪ Building and optimizing the used mapping solution as it is crucial part for app performance and reducing the cost.
▪ Cross-training: Train employees in multiple roles. This ensures flexibility in allocating resources where they're needed
most.
▪ Operational Audits: Regularly review and analyze all operational processes to identify inefficiencies and areas for cost
savings.
▪ Feedback Loops: Create mechanisms that include all parties since Mazaj has three products: customer app, driver app
& seller app and ensure to include employees to suggest cost-saving measures. They often have hands-on insights into
wasteful practices.
▪ Automate Manual Processes: Automate order processing and billing to reduce errors and administrative overheads.
▪ Chatbots for Customer Service: Implement chatbots to handle basic customer service inquiries, reducing the need for
a large customer service team.
▪ Collaboration between operations & different business units specially marketing & sales teams is essential to keep the
efforts harmonized so business goals can be achieved.
 Conclusion
Following this action plan will provide a clear roadmap for the operations department to achieve its
objectives. Regular review and feedback mechanisms will ensure that the operations stay agile and
can adapt to the changing needs of the market and business.
 Thank You & Q/A
• Open the floor for questions and feedback.
Thank You!
Khaled Y. Jaradat
Khaled.yousev86@gmail.com
+962777711355