I have heard it said, ”Either manage the customers or they will manage you.”  The customer service policy (CSP) is the first step in proactive customer and demand management.  The customer service policy (CSP) is the contract between the logistics organization and the customer.  It defines the service targets and objectives for logistics.  The customer service policy sets the service requirements for each logistics (1) the flow of material, information, and money between consumers and suppliers including the processes of customer service, inventory management, supply, transportation, and warehousing (2) the activiies of customer service, inventory management, supply, transportation, and warehousing process including inventory management, supply, transportation, and warehousing.  The customer service policy is the foundation for logistics master planning.