Customary POP Deficiencies Weaken Their Value

No Exception Handling Cost Measures: Business executives need visibility relative to the impact of handling order exceptions. If ‘every-day heroes’ in the company are going over and above the call of duty to make trading partners happy and performing outside the standard process to mitigate exceptions, then these heroic efforts come at a cost to the company’s bottom line. Business executives who want to improve their company’s perfect order condition must not only identify what is causing order imperfection, but they also must expose the costs associated with it. Without exception handling cost measures, it is impossible for business executives to have an accurate picture of perfect order profitability, and for that matter, imperfect order costs. Without an understanding of exception handling costs, it becomes very easy for the company’s operations to be misaligned with its business strategy. Hence, another key deficiency in customary Perfect Order Programs is that they are void of exception handling cost measures.