Issues of contemporary logistics in Handy Andy

1. Is this a customer service problem? Why or why not?

A well designed customer service that is satisfactory is essential in business progress. Customers are driven by the satisfaction of their need from the market. In the scenario, indeed, there is a customer service problem. For the first reason that the customers are not supplied with homogenous products across the market of the Handy Andy company. Some customers are charged more for similar products sold at lesser prices in different states. This can bring customer-company mistrust which is not good for success of business.

The second issue is that the personnel handed the responsibility of installing the acquired compactor by the customers are very impolite and unprofessional in the manner that they conduct their duties. It is the realm of their role to satisfactorily make the customers aware of how to operate the compactor to avoid any misuse. They have failed to perform this duty.
Lastly, the retailers gave misleading information about the kind of compactor available for sale. This was meant to draw undue benefit from the customer. This is against business ethics and customer service norms. It is also against the Handy Andy way of conducting its business for the retailers to enter into unauthorized business dealing.

2. It appears that the factory distributors are exploiting the licensed retailers. Yet from what we can tell, Handy Andy in St. Louis has heard no complaints from the licensed retailers. Why wouldn’t they complain?

The failure of the licensed retailers to contact Handy Andy as regards issues of exploitation can be attributed to failure to enjoy proper channel of communication. This is occasioned by the misrepresentation of significant information by the distributors concerning their link with Handy Andy. At a point distributors indicated that they stood behind the one-year warranty and not Handy Andy. The second reason is that they could be having benefits dealing with the distributors than when dealing with Handy Andy.

3. What should Handy Andy’s marketing vice president do? Why

The vice president has options of solutions to remedy the situation. It is important to note that the situation is not out of control as any customers have not met the troubles by the retailers and distributors. A large number of customers are satisfied. However this should not exclude the vice president from doing an effective public relation designed to inform the market on the methods of operations of Handy Andy and provide easily accessible channels of reporting any suspected misconduct from its agents.

The vice president can also constitute a team to investigate and research on the allegation brought forward all over their market because this information was unexpected and more information should be collected to get the real image of what is happening. The team will make recommendation on how to align the company operations which include sacking culpable officials to restore the integrity of the business process.

4. In the case is the statement, “The factory distributors in these few cities indicated that they, not Handy Andy, Inc., stood behind the one-year warranty.” Is this a problem for Handy Andy? Why or why not?

Handy Andy can take share in the responsibility of its distributors putting out misleading and untrue statements regarding the one year warranty. Handy Andy having known the kind of chain in its business operation ought to have acted with due diligence and taken any necessary steps to avoid misleading information about it. This could be done through issuing business circulars, conducting impromptu inspections and doing regular open door policy for its customers where they can hear the customer experiences and expectations.

5. Bixby, Booher, and Ortega recognize that Handy Andy needs a better way to learn about the buyer’s installation experience. One alternative is to add an open-ended question, dealing with the installation experience, to the warranty activation form. Another alternative is to e-mail a brief survey about the installation experience within three to five days of receiving a warranty activation form. Which of these alternatives should Handy Andy choose? Why?

The best method to utilize is to use the open ended question which will allow the customers to explain the installation experience. This provides a one on one interaction with the customer thus giving an environment which allows the customer to vest emotionally and physical bringing out the real and authentic frustration they might have gone through. Emails, however, cannot offer the opportunity and the customers can casually reply back not putting in the real experience.

6. Discuss the pros and cons to allowing Handy Andy trash compactors to be sold only through licensed retailers (i.e., factory distributors would no longer be able to sell to consumers).

The retailers take a keen interest and work very hard to sell the products of the company because failure to sell any product means no commission for them. To earn a wage, the retailers thus put much effort to get the best which in turn work in the best interest of Handy Andy.

Two, the retailers own the products once the said products are handed over to them, if the good go out of season, stolen, damage or expires the risk lies with the retailer. Handy Andy is thus not affected and extinguished from facing any losses in any case the situations stated arise.

One of the disadvantages of selling through the retailers is the Handy Andy will lack direct contact with its customers. It will rely on retailers to establish and maintain the relationship between it and its ideal customers. These can create a fertile ground for exploitation of the customers in the name of the company.
The second issue is that the profit margins may be lowered. The retailers must draw commission from the final sales for the work done and so the profits realized by the company may not be as much as in situations when retailers are absent.

7. Is it too late for Handy Andy to attempt service recovery with customers who reported a less-than-satisfactory installation experience? Why or why not?

Handy Andy still has the best opportunity to save its image. The best way to approach this is to craft an effective public relations message and approach to make sure the customers under serviced have restored confidence in them. It can do this for instance by recalling the offered products and commencing installation afresh.





References
Andrews J., (2014). Importance of Supply Chain Collaboration. Retrieved 20 September 2017, 2017 from http://www.supplytechnologies.com/blog/the-importance-of-supply-chain-collaboration
Robertson T., (2017). What Are “Verticals In Business? Retrieved 20 September, 2017 from http://smallbusiness.chron.com/verticals-business-26157.html
Handfield, R.B., Straube, F., Pfohl, H.C. & Wieland, A., (2013). Trends and Strategies in Logistics and Supply Chain Management: Embracing Global Logistics Complexity to Drive Market Advantage. Retrieved 20 September 2017 from www.bvl.de/misc/filePush.php?id=21777&name=BVL_TrendsandStrategies_SCM_Logistics_2013.pdf