Customer service driven supply chain segmentation

Abstract

The objective of this thesis is to develop a supply chain segmentation model for Company X, which is in the chemical and construction materials industry. The company sells products in an expanding Southeast Asia market. At the same time, it innovates and launches new products to these markets. A major issue for the company to consider is services offered to its customers. The company has to address customer needs, analyze them, and design the products and services that will fulfill those selective demands. This thesis leverages this concern for the company by developing a model to segment the company's supply chain based upon customer services. Company Y, a subsidiary company of Company X, is selected to be a case study for the model developed in this thesis. Quantitatively, the thesis examines collected data such as customer including portions of revenue and margin from each customer; and a customer's profile potential from the size of the firm. Qualitatively, the data and information collected from interviewing relevant people, such as sales and marketing personnel, is used to characterize the company's future customer prospects. Furthermore, some selected current practices in the industry will be reviewed and benchmarked for formulating the model.