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Service Delivery Process - Coggle Diagram

- - - - Stage 1: Available for Service
        
        Operations are viewed as a necessary evil
        
        Operations are at best reactive to the needs of the rest of the organisation & deliver the service as specified
        
        Primary mission is to avoid mistakes
        
        Technological investment, investment in training, and personnel costs are minimised
      - Stage 2: Journeyman
        
        Characterised by the introduction of technologically based systems for the primary purpose of cost savings
        
        Employees are given procedures to follow
        
        Operations become more outward-looking
        
        Management focuses on ensuring that standardised procedures are followed
        
        Prompted by the arrival of competition
      - Stage 3: Distinctive Competencies Achieved
        
        View of technology changes from "cost savings" to "enhancing the effectiveness of service to customers"
        
        Involves a philosophical change of balancing efficiency with effectiveness
        
        The firm has mastered the core service & understands the complexity of changing current operations
        
        Front-line workers may select from alternative procedures
      - Stage 4: World-Class Service Delivery
        
        The company's name is synonymous with service excellence
        
        Operations become adaptive & innovative
        
        Technology provides a means to accomplish tasks that the competition cannot easily duplicate
  - - - capacity planning & long-range sales forecasting
        
        marketing: why don't we have enough capacity?
        
        manufacturing: why didn't we have accurate sales forecasts?
      - production scheduling & short-range sales forecasting
        
        marketing: we need faster response. our lead times are ridiculous
        
        manufacturing: we need realistic customer commitments & sales forecasts that don't change like wind direction
      - delivery & physical distribution
        
        marketing: why don't we ever have the right merchandise in inventory?
        
        manufacturing: we can't keep everything in inventory
      - quality assurance
        
        marketing: why can't we have reasonable quality at reasonable costs?
        
        manufacturing: why myst we always offer options that are too hard to manufacture and that offer little customer utility?
      - breadth of product line
        
        marketing: our customers demand variety
        
        manufacturing: the product line is too broad -- all we get are short, uneconomical runs
      - cost control
        
        marketing: our costs are so high that we are not competitive in the marketplace
        
        manufacturing: we can't provide fast delivery, broad variety, rapid response to change, and high quality at low cost
      - new product introduction
        
        marketing: new products are our life-blood
        
        manufacturing: unneccesary design changes are prohibitively expensive
      - adjunct services such as spare parts, inventory support, installation, and repair
        
        marketing: field service costs are too high
        
        manufacturing: products are being used in ways for which they weren't designed
  - - - An operation that concentrates on performing
        one particular task in one particular location
      - Used for promoting experience and effectiveness through repetition and concentration on one task necessary for success
    - - smoothing, anticipating, rationing
      - The strategy of breaking up large, unfocused plants into smaller units buffered from one another so that each can each be focused separately
      - Organizations seek to buffer environmental influences by surrounding their technical core with input and output components
    - - constant rate, no uncertainty
      - in a perfect world, service firms will be efficient
      - To operate efficiently, a firm must be able to operate “as if the market will absorb the single kind of product at a continuous rate and as if the inputs flowed continuously at a steady rate and with specified quality”
        
        Uncertainty creates inefficiencies
- - - - (Service Blueprinting)
        
        Helps to visualise the process flow of a service delivery system
        
        Identify failure points, areas of improvement and innovation opportunities in a service operation
        
        A process control technique which focuses on the human-to-human (human-to-technology) interfaces
        
        Components of Service Blueprints
        
        Backstage contact person (invisible)
        
        contact employees who play a support role
        
        Support Processes
        
        Non-contact employees who play a support role
        
        Onstage contact person (visible)
        
        involves in customer interaction
        
        Physical Evidence
        
        Tangibles exposed to customers
        
        Customer actions
        
        represents the sequential steps of the customer
        
        Applying Service Blueprinting in practice
        
        in cases where technology is involved (e.g., online shopping), the onstage contact employee can be replaced with onstage technology
        
        going through the process of building a service blueprint is enough to gain important insights & a better understanding of the firm's service delivery system
        
        separate blueprints can be developed for different segments of the customers
    - - helps give a visual picture of the servuction model
      - Servuction Model
        
        illustrates 4 Factors
        that influence the service experience
        
        Servicescape (recall service package)
        
        Contact personnel
        
        Other customers
        
        Invisible organisation & systems
        
        rules, regulations and the processes in the organisation
- - - - types
        
        1 counter for one station
        
        merge stations
        
        as some capacity is untapped
        
        simple - one station for each
- - - - measured by the number & intricacy of the steps in the service blueprint
        
        e.g., clinic is less complex than a general hospital
    - - Amount of discretion or freedom the server is allowed to customise the service
        
        e.g., activities of an attorney contrasted with those of a paralegal
      - how many decisions to make
  - - - Specialisation positioning strategy
        
        reduces complexity
        
        by unbundling the different services offered
      - Penetration positioning strategy
        
        increases complexity
        
        by adding more services and/or enhancing current services to capture more of a market
    - - Volume-oriented positioning strategy
        
        reduces divergence
        
        produces standardised output and reduces costs but does so at the expense of increasing conformity & inflexibility
      - Niche positioning strategy
        
        increases divergence
        
        tailors the service experience to each customer