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...
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