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Service - Coggle Diagram

- - - - = Experience
    - - only buy the ticket for that particular day
    - - the loss feeling, you can’t touch it
    - - e.g., keychain
    - - If customer don’t go to the theme park, they can’t have the service
      - customers need to be involved in the process
- - - - Theme park - customers need to be there to enjoy the experience
      - Ya Kun - Ordering (Long queue), Dining (limited seats)
    - - The customer is involved in the production process
      - “Other customers” are involved in the production process
      - The service provider is physically connected to the service
      - The mass production of services is especially challenging
      - Possible Solutions
        
        Effectively managing consumers
        
        The use of multisite locations
        
        Strategic selection and training of public contact personnel
  - - - Theme park - Can’t touch the experience
      - Ya Kun - Dining experience
    - - Services cannot be inventoried
      - Services lack patent protection and can be easily copied
      - Services are difficult to display and/or explain to customers
      - The pricing of services is difficult
      - Possible Solutions
        
        The use of tangible clues to help “tangibilize” the service
        
        Create a strong organisational image
        
        Use personal sources of information to market services
        
        Utilize an activity-based costing approach
  - - - Theme park - ticket for that particular day only
      - Ya Sun - Food (made per order, not in advance)
    - - super crowded during holidays but there’s limited rides
      - But just have to face it. It’s like lunch time
    - - Demand exceeds supply of service available
        
        Possible Solutions
        
        For supply:
        
        Use part-time employees to increase supply of service
        
        For demand:
        
        Utilize creative pricing strategies to shift demand
      - Demand exceeds optimal levels of supply
        
        Possible Solutions
        
        For demand:
        
        Implement a reservation system
        
        For supply:
        
        Share capacity with other providers
      - Lower demand than optimal supply levels
        
        Possible Solutions
        
        For demand:
        
        Shift demand to complimentary services
        
        Utilise nonpeak demand periods to prepare for peak periods of demand
        
        For supply:
        
        Utilize third parties to increase sources of supply
        
        Increase customer participation
        
        Prepare for expansion in advance
  - - - Theme park - visitors are different
      - Ya Kun - Different customers (preferences e.g., smoking, taste – sweetness)
    - - Service standardisation and quality control are difficult to achieve
      - Possible Solutions
        
        Pursue a customisation strategy
        
        Pursue a standardisation strategy
- - - - Examples
        
        Airlines
        
        Trucking
        
        Hotels
        
        Resorts & recreation
      - Degree of labour intensity
        
        Low
      - Degree of interaction & customisation
        
        Low
    - - Examples
        
        Auto repair
        
        Other repair services
        
        Hospitals
      - Degree of interaction & customisation
        
        High
      - Degree of labour intensity
        
        Low
    - - Degree of labour intensity
        
        High
      - Examples
        
        Lawyers
        
        Accountants
        
        Doctors (clinics)
        
        Architects
      - Degree of interaction & customisation
        
        High
    - - Degree of interaction & customisation
        
        Low
      - Degree of labour intensity
        
        High
      - Examples
        
        Wholesaling
        
        Retail aspects of commercial banking
        
        Retailing
  - - - Making service "warm"
      - Attention to physical surroundings
      - Marketing
      - Managing fairly rigid hierarchy with need for standard operating procedure
    - - Maintaining quality
      - Reacting to consumer intervention in process
      - Fighting cost increases
      - Managing advancement of people delivering service
      - Gaining employee loyalty
      - Managing flat hierarchy with loose subordinate-superior relationships
    - - Capital decisions
      - Technological advancements
      - Managing demand to avoid peaks & to promote off-peaks
      - Scheduling service delivery
    - - Training
      - Methods development & control
      - Employees' welfare
      - Scheduling workforces
      - Hiring
      - Control of far-flung geographical locations
      - Start-up of new units
      - Managing growth
  - - - High = customised
      - Low = standardised