-
service businesses
management of organizations whose primary business requires interaction with the customer to produce the service ; two types: facilities based and field based
-
facilities based
where the customer must go to the service facility
-
field-based
where the production and consumption of the service takes place in the customer's environment
-
internal services
management of services required to support the activities of the larger organizations. services including supply chain functions that add value in getting the goods to the customer
-
service triangle
- philosophical view that suggests the organization exists to serve the customer, and the systems and the employees exist to facilitate the process of service
- -4 circles on each point of triangle (service strategy, the systems, the people)
- -all connect to circle inside (the customer)
-
applying behavioral science to service encounters (6)
- 1. front end and back end of the encounter aren't equal
- 2. segment the pleasure, combine the pain
- 3. let the customer control the process
- 4. people are easier to blame than systems
- 5. pay attention to norms and rituals
- 6. let punishment fit the crime
-
performance priorities (6)
- 1. treatment of customer
- 2. speed and convenience of service delivery
- 3. Price
- 4. variety
- 5. quality of goods
- 6. unique skills that constitute the service offering
-
in the service system design matrix 3 types of degrees of customer/server contact
- buffered core (none)
- permeable system (some) - penetrable by customer via phone or face-to-face contract
- reactive system (much)- both penetrable and reactive to customer's requirements
-
if sales opportunity is high than production efficiency
is low and vise versa
-
service fail-safing (Poka-Yokes = a productive approach)
- keeping a mistake from being a service defect
- task, treatment, tangibles
-
three contrasting service designs
- production line approach (McDonalds)
- Self-service approach (automatic teller machines)
- personal attention approach (Ritz-Carlton)
-
7 characteristics of a well-designed service system
- 1 each element of service system is consistent with the operating focus of the firm
- 2. user-friendly
- 3. robust
- 4. structured for consisten performance by people and easily maintained
- 5. provides effective links between back office and front office
- 6. manages the evidence of service quality in such a way that customers see the value of the service provided
- 7. cost effective
-
4 accommodation strategies
- 1. classic accommodation (extra employees/additional skills)
- 2. low cost accommodation (use-cost labor, outsourcing, self-service)
- 3. classic reduction (customers to engage in more self-service, use reservation systems, or adjust expectations)
- 4. uncompromised reduction (uses knowledge of the customer to develop procedures that enable good service, while minimizing variation impact on the service delivery system
-
5 types of variability
- 1. arrival (too few clerks to provide prompt service)
- 2. request (travelers requesting room with window at crowded hotel)
- 3. capability (patient being unable to explain symptoms to doctor)
- 4. effort (shoppers not bothering top put shopping carts in designated area in parking lot)
- 5. subjective preference (one bank customer interpreting a teller addressing him by his first name as a sign of warmth, while another customer feels it isn't business like)
-
the customer should be
the focal point of all decisions and actions of the service organization
-
customer contact
physical presence of the customer in the system
-
creation of the service
work process involved in providing the service itself
-
extent of contact
percentage of time the customer must in the system relative to the total time it takes to perform the customer service
-
services with a high degree of customer are
more difficult to control and rationalize than those with a low degree of customer contact. in high customer contact the customer can affect the time of demand, exact nature of the service, quality of service b/c the customer is involved in the process
-
can't inventory
services; the process is the product
-
service blueprint
process design flowchart
-
service guarantees
marketing tool designed to provide a peace of mind for customer unsure about trying their service
|
|