A SERVICE DESIGN FOR AIR CARGO BUSINESS

Abstract

The aim of this research is to design service elements to be offered by a case company providing air cargo services. The study begins with the grouping of ninety-two air cargo customers in the electronic industry using the K-mean methodology. The segmentation results in two customer groups; four larger customers falling into group 1 while the remaining eight-eight smaller customers in group 2. Experts of the case company are consulted to check the validity of the segmentation results. The study then applies the AHP method to determine the relative importance of service elements with the inputs from four customers in group 1 and a selected group of customers in group 2. Finally, the QFD method is performed to design logistics services specifically for each customer group.