Many make-to-order companies equate their
demand with their customers’ aggregate orders. They rank their customers by
the size of their annual orders. The largest customers are typically
considered to be the best. In reality, traditional customer ranking by using
revenue only may not generate the best value for the business. Only a few
businesses consider the true value created by each order by considering
capacity requirements and alternative uses of the available capacity. There
is a new approach for selecting the best customers and realigning company
resources to maximize stakeholders’ value by increasing business with these
customers. The main objective of this approach is to rank customers,
products, and markets according to their value to the company and determine
whether this added value is above a target level. This workshop will show
you how to prepare a value adding measure to be used in separating desired
demand from undesired demand and increase the long-term profitability of the
company. A case study will be used to compare traditional demand management
practices with the new approach
Dr. Savas
Ozatalay
Dr. Savas Ozatalay is the Dean of the School of Business Administration
at Widener University. He has a B.S. degree from the Middle East Technical
University and M.A. and Ph.D. degrees from Northwestern University. His
pre-Widener career includes teaching and research positions at Middle East
Technical University, University of Illinois at Chicago, and the University
of Chicago. He has many consulting projects with major international
companies. He is a Certified Fellow in Production and Inventory Management.
Dr. Ozatalay has an extensive list of presentations and journal publications
in the field of operations and process management. He presented papers in
four APICS International Conferences.
