Designing_the_Service_Enterprise_Presentation-unit-2.pptx

Designing Service

1. Unit-2 Designing the Service Enterprise: From Concept to Blueprint Strategizing the People, Processes, and Physical Evidence for Service Excellence

2. Introduction: What is Service Design? Definition: Service Design is the activity of planning and organizing a business's resources (people, infrastructure, communication) to improve the employee experience and directly enhance the customer experience. Goal: To create a seamless, consistent, and user-friendly service across all touchpoints. Why it Matters: A well-designed service ensures efficiency (cost) and effectiveness (customer satisfaction), minimizing variability and errors.

3. The Three P's of Service Design The service enterprise must strategically design these three interacting elements: 1. People: Employees and customers involved in the service delivery. Focus Areas: Employee training, motivation, empowerment, and defining customer contact level. 2. Processes: Activities, workflows, and procedures for service delivery. Focus Areas: Standardization vs. customization, capacity planning, waiting line management. 3. Props (Physical Evidence): Tangible items, environment, and communication materials customers see. Focus Areas: Servicescape, uniforms, websites, signage, and receipts.

4. Key Steps in the Service Design Process A customer-centric methodology includes: • Define the Service Concept: Purpose, target market, and experience. • Specify Performance Standards: Translate customer needs into measurable attributes. • Generate and Evaluate Design Ideas: Brainstorm and prototype. • Create the Service Package: Mix of goods, explicit, and implicit services. • Develop Delivery Specifications: Use Service Blueprint for process and layout.

5. Tool Focus: The Service Blueprint The Service Blueprint visualizes the entire process. Key Components: 1. Customer Actions 2. Physical Evidence 3. Frontstage Employee Actions 4. Backstage Employee Actions 5. Support Processes Lines of Separation: • Line of Interaction • Line of Visibility

6. Service Design Strategy: High vs. Low Contact Customer contact affects design: High-Contact Services (e.g., Healthcare, Consulting) • Location: Centralized in market area • Skills: Interpersonal, empathy • Process: Customized • Control: Relies on employee training Low-Contact Services (e.g., Online Banking, App Support) • Location: Centralized/remote • Skills: Product knowledge, quick resolution • Process: Standardized • Control: Relies on technology

7. Designing for Operational Effectiveness Effective design requires: • Capacity Planning: Match capacity with demand. • Queuing Theory: Analyze arrival and service times. • Psychology of Waiting: Manage perceived wait times. • Technology Integration: Automate and move tasks backstage.

8. The Service Design Imperative Summary: Service design blends human-centered design with operational excellence. Key Takeaway: Design must be user-centric, co-creative, and iterative. Final Statement: Superior service design ensures long-term competitive advantage and customer loyalty.