Fast delivery - customers needs for a product, Operation Management

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Fast delivery - Customers Needs For a Product

The time between a customer placing an order and receiving the product or service. The Royal Bank of Scotland's Direct Line insurance division revolutionised the UK's motor insurance industry, and in the process proceeded from start-up in 1986 to become the largest motor insurer in less than ten years. This was achieved by introducing an operation which cut out the insurance broker traditionally employed, and the associated delay in providing quotations. Instead, the customer transaction is conducted directly by telephone, and, following the answering of a short series of questions, a competitive quotation is given immediately. If the quotation is acceptable to the customer, the provision of a credit card number allows insurance cover to begin without further delay. 

 


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