Cha#8 S Mkt. S. Design & Dev Google Class.ppt

Business

1. 26-1

11. June 20 , 2020

14. Aug 30, 2018

19. July 24, 2018

23. The new N700S model for the TokaidoShinkansen line is unveiled to the media during
a test run at Central Japan Railway Co.'s rail yard in Hamamatsu, Shizuoka
Prefecture, in October 2018. | KYODO
BUSINESS/TECH
Central Japan Railway's test shinkansen hits 360 kph
KYODO
•MAY 25, 2019
A prototype shinkansen of Central Japan Railway Co. (JR Tokai) reached the highest
speed ever for the model hitting 360 kilometers per hour, the operator said Saturday,
hoping to promote it in overseas markets such as the United States and Taiwan.
It was the fastest speed for the N700S train, which is scheduled to commence
commercial service in July on the TokaidoShinkansen line linking Tokyo to Osaka, the
company said.
Among other railway operators, East Japan Railway Co. also plans a commercial
bullet train service with a maximum speed of 360 kph by the spring of 2031.
The test was conducted Friday night on a track between the western cities of Maibara
and Kyoto, JR Tokai said.
The N700S’s maximum speed in commercial operation in Japan will be 285 kph, the
same as currently operating models, according to the railway firm

27. HTTPS://WWW.YOUTUBE.COM/WATCH?TIME_CONTINUE=464&V=TOKLW0NHMPI&FE ATURE=EMB_
LOGO
InnovationinGOVTLandOffice

28. Service
Innovation/Development &
Design
Ch#8

29. Introduction 1/1
29
Introduction:
An analysis of more than 60 studies on new product and service success
showed that the dominant and most reliable predictors of success for new
introductions relate to
Success Factors of New Introduction
•Product/ServiceCharacteristics
•Productmeetingcustomerneeds
•Productadvantageovercompetingproduct
•Technologicalsophistication
•StrategyCharacteristics
•DedicatedHRtosupportinitiative
•DedicatedR&DfocusedonNewProductinitiative
•ProcessCharacteristics
•Marketingproficiencies
•Predevelopmentproficiencies
•Technologicalproficiencies
•Launchproficiencies
•MarketplaceCharacteristics(MarketPotential)

30. [A] CHALLENGES OF SERVICE INNOVATION &
DESIGN
Because services are largely intangible and process oriented

31. Challenges of Service Design 2/2
31
Risks of Narrow Description of Service
FOURrisksofattemptingtodescribeservicesinwordsalone:
1.Oversimplification:Simpledescriptionofaservicein
wordsisnotenoughtoreflectthecomplexservicesystem.
Ex:PortfolioMgt:Buying&sellingstocks
2.Incompleteness:Peopleinvolvedinaserviceprocesscan
easilyomitdetailsorelementsoftheservicewithwhich
theyarenotfamiliar.
3.Subjectivity:Eachperson’sdescriptionofaserviceis
resultsfromindividualexperiencesanddegreeofexposure
totheservice.
4.BiasedInterpretation:Differentpeopletendtointerpretthesame
pointindifferentways.Ex:Responsive,quick&flexibleseemsdifferent
foreveryperson

32. New Service Development 1/1
32
Characteristics of Service Development
Sinceeveryserviceisequippedwithintangibility
andothercharacteristics,anewservice
developmentsystemshouldfollow4basic
characteristics:
•Itmustbeobjective,notsubjective.
•Itmustbeprecise,notvague.
•Itmustbefactdriven,notopiniondriven.
•Itmustbemethodological,notphilosophical.

33. [B] IMPORTANT CONSIDERATIONS FOR SERVICE
INNOVATION
•i]InvolveCustomersandEmployees
•ii]EmployServiceDesignThinkingandTechniques
•Given the interdisciplinary and interactional nature of service design and its focus
on customer experiences, a set of five principles has been proposed as central to
service design thinking:
•User-centered: Services should be experienced and designed through the
customer’s eyes.
•Cocreative: All stakeholders should be included in the service design process.
•Sequencing: A service should be visualized as a sequence of interrelated actions.
•Evidencing: Intangible services should be visualized in terms of physical artifacts.
•Holistic: The entire environment of a service should be considered.

34. The Most Innovative Companies Ranking over Time
by BCG

36. • "D:\SSDEEEPCNov16,14selective\SevicesMkt\Day#7Innovation\InnovationReport2020\gii-full-report-2020.pdf"

39. [C] TYPES OF SERVICE INNOVATION

40. Through three key steps (THINK-STRATEGIZE-ACT), you can
build a strategy whether it is for innovation, intellectual property
distribution, partnering, commercializing inventions, creating
business models, or customizing and simplifying legal
documents.

41. Types of New Services 1/3
41
Service Offering Innovation:
Radical Innovations
•MajorInnovations:Newservicesformarketsasyet
undefined.Ex:MobileBanking,UBER
•Start-upBusiness:Newservicesforexistingmarket
servedbyotherfirms.Ex:airbnb.
•NewServicesfortheMarketPresentlyServed:New
servicestocustomersofanorganization
(Telecommunicationoffersdataorbankingorcontent)
Incremental Innovations
•ServiceLineExtensions:Augmentationsofexisting
serviceline(e.g.Newroutes)
•ServiceImprovements:Changesinfeaturesof
currentlyofferedservice(24hoursbanking)
•StyleChanges:Modestvisiblechangesin
appearances(Livery,designtheAircraft).

42. Innovation Matrix, (Davila et al., 2006)

46. A Matrix presents possible strategies that can be adopted by an organization for an innovation project or a
particular product or service. It serves as a guide to finding an approach towards innovation partners, distribution
and sharing of intellectual property, possible business models, and identifying key components for contractual
terms and conditions.

51. Types of New Services 3/3
51
Example of Service Categories
Grameenphone’s Logo
redesignisanexample
ofStyleChangeunder
IncrementalInnovation
strategy
DHL’strackingsystemis
anexampleofMajor
Innovationinthedelivery
serviceindustry.

52. [D] Stages of New Service Development

53. Stages of New Service Development 1/3
53
1.Stagesofnewservicedevelopmentarequite
similartothatofthenewproduct
development.
2.Thenewservicedevelopmentprocess
assumesthatnewserviceideascanbe
droppedatanystageoftheprocess.
3.Newservicedevelopmentisrarelya
completelinearprocess.
4.Simultaneousdevelopmentofdifferent
servicestagesiscalled“FlexibleProduct
Development”.Itispracticedmorein
technology-basedserviceindustries.
Stages of New Service Development

54. Stages of New Service Development 2/3
54
Stages of New Service Development
Business Strategy Development or Review
New Service Strategy Development
Idea Generation
Concept Development and Evaluation
Business Analysis
Service Development and Testing
Postintroduction Evaluation
Commercialization
Market Testing
Screen ideas against new service strategy
Test concept with customers and employees
Test for profitability and feasibility
Conduct service prototype test
Test service and other marketing-mix elements
Front End
Planning
Implementation

55. Stages of New Service Development 3/3
55
New Service Strategy Development
Offerings
Markets
Current
Customers
New Customers
Existing
Services
Share Building/
Market
Penetration
Market
Development
New Services Service
Development
Diversification

56. [E] Service Blueprinting

57. Service Blueprinting 1/11
57
What is Service Blueprinting?
AServiceBlueprintisapictureormapthat
accuratelyportraystheservicesystemsothat
thedifferentpeopleinvolvedinprovidingitcan
understandanddealwithitobjectively
regardlessoftheirrolesortheirindividualpoints
ofview.
Inotherwords,serviceblueprintisatoolfor
simultaneouslydepictingtheserviceprocess,
thepointsofcustomercontactandtheevidence
fromthecustomer’spointofview.

58. Service Blueprinting 2/11
58
Blueprint

59. Service Blueprinting 3/11
59
Service Blueprint (Continued)
Process
Points of Contact
Evidence
Service
Blueprint

60. Service Blueprinting 4/11
60
Service Blueprint Components

61. Service Blueprinting 5 /11
61
Components of Service Blueprint
ServiceBlueprintcomprisesoffourcomponents:
1.CustomerActions:Itcoversthesteps,choices,
activitiesandinteractionsthatthecustomerperforms
intheprocessofpurchasing,consumingand
evaluatingtheservice.Takinghealthservice.
2.OnstageContactEmployeeActions:The
actionsoractivitiesofcontactemployeesthatare
visibletothecustomer.Doctor’sChamber.
3.BackstageContactEmployeeActions:
Employeeactionsbehindthescenetodeliverthe
service.(Anythingdonebeforemeetingthepatient)
4.SupportProcesses:Internalservices,stepsand
interactionstosupportthecontactemployees(Asking
fortest,preparationofgivingmedicine…etc.).

62. Service Blueprinting 6/11
62
Components of Service Blueprint(Contd.)
ThefourcomponentsofServiceBlueprintare
separatedbythreehorizontallines.
1.LineofInteraction:Itrepresentsthedirect
interactionbetweenthecustomerandthe
organization.
2.LineofVisibility:Thislineseparatesall
serviceactivitiesthatarevisibletothe
customerfromthosethatarenotvisible.
3.LineofInternalInteraction:Thisline
separatescontactemployeesactivitiesfrom
thoseofotherservicesupportactivitiesand
people.

63. Service Blueprinting 7/11
63
Components of Service Blueprint(Contd.)
•Whenaverticallinecrossesthehorizontalline
ofinteraction,aserviceencounteroccurs.
•Thequestionwhethertheconsumeris
providedwithmuchvisibleevidenceofservice
canbereachedbyanalyzinghowmuchofthe
serviceoccursabovethelineofvisibilityversus
theactivitiescarriedoutbelowtheline.
•Whenaverticallinecrossesthelineofinternal
interaction,aninternalserviceencounteroccurs.

65. Service Blueprinting 8/11
65
Service Blueprint of a Luxury Hotel

67. Service Blueprinting 9/11
67
Benefits of Service Blueprinting
ServiceBlueprintoffersthefollowingbenefitsor
advantages:
•Developscustomer-orientedfocusamongthe
employees.
•IdentifiestheFailPoints.
•Lineofinternalinteractionclarifiesinterfaces
acrossdepartmentallines.
•Providesabasisforidentifyingandassessingcost,
revenueandcapitalinvestedintheelementsof
service.
•Constitutesarationalbasisforbothexternaland
internalmarketing.
•Facilitatestop-downandbottom-upapproachto
qualityimprovement.

68. Service Blueprinting 11/11
68
Building a Service Blueprint
Step 1
Identify
the
process
to be
blue-
printed.
Step 2
Identify
the
customer
or
customer
segment.
Step 3
Map the
process
from the
customer
’s point
of view.
Step 4
Map
contact
employee
actions,
onstage
and back-
stage.
Step 5
Link
customer
and
contact
person
activities
to needed
support
functions.
Step 6
Add
evidence
of
service
at each
customer
action
step.

69. High Performance Service Innovations 1/1
69
High Performance Service Innovations
Aserviceinnovationcanbeatop-ratedoneifit
isbasedonthefollowingprinciples:
1.ChooseRightProjects.
2.IntegrateNewServices.
3.ConsiderMultipleMeasuresofSuccess.
4.LearnfromMajorSuccesses.
5.MaintainSomeFlexibility.