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Service Design

Service design involves selecting a service strategy that focuses on the target market and profitability, with key considerations including service variability and customer involvement. It emphasizes the intangible nature of services, their perishability, and the need for effective capacity management. Successful service design requires detailed service package definitions, customer perspective focus, and active management involvement.

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0% found this document useful (0 votes)
19 views

Service Design

Service design involves selecting a service strategy that focuses on the target market and profitability, with key considerations including service variability and customer involvement. It emphasizes the intangible nature of services, their perishability, and the need for effective capacity management. Successful service design requires detailed service package definitions, customer perspective focus, and active management involvement.

Uploaded by

chachashadrack42
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We take content rights seriously. If you suspect this is your content, claim it here.
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SERVICE DESIGN

 Service design begins with the choice of a service strategy, which determines the
nature and focus of the service, and the target market.
 This requires an assessment by top management of the potential market and
profitability (or need, in the case of a nonprofit organization) of a particular service,
 Two key issues in service design are the

 Degree of variation in service requirements


 Degree of customer contact and customer involvement in the delivery system.
These have an impact on the degree to which service can be standardized or must be
customized.
 Service design with no contact and little or no processing variability is very much like
product design
 High variability and high customer contact generally mean the service must be highly
customize
Special Considerations in Service Design
 Services are intangible: design will focus on intangible aspects

 Service output is variable


 Service have higher customer contact
 Services are perishable
 Service inseparable from delivery
 Services tend to be decentralized and dispersed

 Services are consumed more often than products


 Services can be easily emulated
Special Considerations in Service Design
 Cannot be inventoried: capacity decisions become very important
 Services are highly visible to consumers and must be designed with that in mind; this
adds an extra dimension to process design, one that usually is not present in product
 Difficult to describe precisely

 When demand variability is a factor, designers may approach service design from one
of two perspectives.
 A cost and efficiency perspective,
 a customer perspective( Waiting line analysis)
Service Blue Printing
A useful tool for conceptualizing a service delivery system is the service blueprint, which is
a method for describing and analyzing a service process.
A service blueprint is much like an architectural drawing, but instead of showing building
dimensions and other construction features, a service blueprint shows the basic customer
and service actions involved in a service operation
Service Design Process
 Service concept

 purpose of a service; it defines target market and customer experience


 Service package
 mixture of physical items, sensual benefits, and psychological benefits
 Service specifications
 performance specifications

 design specifications
 delivery specifications
Guidelines for Successful Service Design
 Define the service package in detail. A service blueprint may be helpful for this.
 Focus on the operation from the customer’s perspective. Consider how customer
expectations and perceptions are managed during and after the service.
 Consider the image that the service package will present both to customers and to
prospective customers.

 Recognize that designers’ familiarity with the system may give them a quite different
perspective than that of the customer, and take steps to overcome this.

 Make sure that managers are involved and will support the design once it is
implemented.

 Make sure that recruitment, training, and reward policies are consistent with service
expectations.
 Establish procedures to handle both predictable and unpredictable events.
 Establish systems to monitor, maintain, and improve service.

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