EXERCISE 4

Team 3 Joy Merkel, Donald Stralkus, Teresita Rojas, Donte Whitehead, Zanyang chen


1,The three elements of the service bundle for Allen Flavors are


Tangible Service- The actual process of the customer introducing a concept to the formulation of a specific product

Psychological Benefits- working with proffesionals who provide a secure feeling of experience and knowledge base

Pysical Goods- The actual product or flavoring. Edison, New Jersey

• Executive Administrative and Operations Offices
• Preproduction and Support Offices
• 40,000 sq ft Manufacturing Center
• Flavor Laboratory
• Research and Development Laboratory
• Analytical Laboratory
• Quality Assurance Operations
• Technical Support Office
South Plainfield, New Jersey
• Executive Sales Offices
• State of the Art Quality Assurance Laboratory
• Analytical Laboratory
• QA Laboratory
• QC Laboratory
• 85, 000 sq ft Manufacturing Center
• Nestle Distribution Center
• Allen Flavors, Inc. Distribution Center


2 On the Service Matrix, Allen Flavors falls into the customer routed cell. Allen Flavors is dedicated to the customer's needs and trys to satisfy those needs. The business processes revolve around the customer, and products are not exactly the same.

3 and 4,

Allen Flavors works under a permeable system with some customer contact. Many customers, especially ones ordering make-to-stock items, send their purchase orders in via fax or email, and do not typically meet directly with staff. Customers with ‘custom made’ beverages and flavors are encouraged to visit the facility, tour the lab, and meet the staff. The face-to-face interaction with staff may also be at the customer’s facility as our sales staff visit customer’s plants and offices as well as trade shows. Many times a representative from Allen Flavors is sent to a ‘bottling run’ for first time products. This is often a member of the laboratory staff and office staff. Members of the quality assurance department head out to bottling plants to test products as they are completed for bottling.

Regarding technology in customer care, Allen Flavors is still ‘old fashioned’ in many ways. It is not a large enough facility that you are talking to a different person each time you call in. Most employees know that they are going to speak to the same person each time that is familiar with their product and their requests. As the company grows, it is increasingly difficult for one person to manage this service; however, it does lend itself to achieving customer satisfaction. This is not a company where a customer comes in once and spends a small amount of money; Allen Flavors is a company with loyal customers that are spending a hefty penny on their product and require personal attention. In 1991 when the company began, a husband and wife team handled all aspects of the company. As it has grown to the size it is today, the same husband and wife team oversee company function. They like the idea of having a small company mentality in that sense.

Internally, the company does have focused operations. They continue to focus on customization, and this seems to be very appealing to customers as there is a high satisfaction rate with products made there.

Allen Flavors employees show great pride in their work and the products produced in the facility. One human resource manager helps to welcome employees and begin to train them on the specifics of the job. The manager then instills the importance of customer care in a facility such as this. The company offers excellent benefits and creates a comfortable work environment to keep employees happy. Allen Flavors has had customers stay with them from the beginning and customer loyalty is very important. It is easy for someone to take their finished product to another developer and have them create something very close to the original. Allen Flavors customers very rarely do that, and part of the reason is the treatment of customers by the employees.

Customers coming to Allen Flavors spend a lot of money on their raw materials blended there. They not only have to pay for that material, but also further blending and bottling. If Allen Flavors does not come through on their end, it could cost the customers even more money and aggravation. Allen Flavors takes each service recovery situation seriously and has always been able to keep customers that may not have a less than stellar experience. They guarantee products with testing by quality control employees, but if something slips through the cracks, they always take personal care to correct the problem and financially take care of the problems as well.