F's of Business Marketing by Vijay Wankhede
1. Fitness: This refers to whether a product or service is fit for the purpose of the customer. This is essentially about quality and ensuring that defect-free products reach the customers. Examples of product and service quality metrics are: per cent defectives, error percentage, etc.
2. Fulfilment: This measures the organization's ability to meet the quantity requirements of customer within the committed time. One common metric that is commonly used here is percentage of deliveries "on time in full".
3. Fast: This is how quickly a business can meet the customer's orders. This is the lead time between the customer placing an order and when it gets delivered to him.
4.. Flexibility: This is the ability to meet the varying needs of the customer and the operations teams' ability to make it happen.
5. Fare: One of the meanings of the word "fare" is money paid for taking a journey in a public transport. Well, here the word "fare" represents the cost towards producing goods and service. The objective of any business is to do things cheaply and price it aptly so that it's competitive in the marketplace.
Having installed the 5Fs, small business owners may realize that they are not performing as desired. So, on which metrics should a small business owner focus? It may not be possible to work on improving all the metrics at the same time. So, the primary focus should be to improve Fitness or Quality of products that are going to the market. Once this problem is in control, the focus should be on improving Fast and Fulfilment metrics. Having got these three metrics in order, the focus should be on improving on Flexibility of the operations.