pgbm03 mba operation management session 02 service operations management
TRANSCRIPT
PGBM03 Operations Management
Session 02 Service Operations
Management
Module Leader: Peter Coleman
The Operations Management System
INPUTS TheTransformation
Process
OUTPUTS
•Staff•Materials•Energy•Capital•Information
•Tasks•Flows•Storage
•Volume•Variety•Variation•Visibility
•Customer contact
Production Customer
Manufacturing operation
Service operation
Service operation
Customer
The organisation
Service operation
Service operation
Customer
The organisation
Service operation
Service operation
Customerexperience
VALUE
Customer
The organisation
Service product
Inputs OutcomeProcess
Service operation
Service operation
Customerexperience
VALUE
Customer
The organisation
Service product
Inputs OutcomeProcess
Back Office
Front office
. .??
. .!!. . . .
. .
“Front Office”
“Back Office”
“Contact Staff”
“Support Staff”
ResourcesInformationEquipment
+problem
+solution
INPUTS TRANSFORMATION PROCESS
PRODUCTS
Tangible goods
The Service Model
plus
“SERVICE” A WORKING DEFINITION
• A service is the product of the interaction between a provider and a client or the client’s facilities, in order to relieve the client of a problem, or to enable him to resolve it in a satisfactory manner.
• KEY WORDS– PRODUCT; INTERACTION; RELIEVE; ENABLE;
RESOLUTION; SATISFACTORY
• the product of an experience
Service concept
Serviceconcept
Organisation
Customer
Businessproposition
Perceptionof service
The concept is thepicture held by
•the customers•the employeesof the organisation
It is comprised of:•the service experience•the service outcome•the service operation•the value of the service
The airport
Airport -contact area
Different destinations
Arrivals by plane
Different destinationson landing
Arrivals to use plane
Differentusers
Differentusers
The airport
Core ServiceCONTACT WITH AIR
TRANSPORT
The airport
Core ServiceCONTACT WITH AIR
TRANSPORT
Supporting services
Police CustomsTickets Duty-freeFuel
FoodBaggage
ParkingAccess
Maintenance
Air trafficcontrol Shops
AgentsAdmin.
Need goods and facilities to provide these services
The Service Package
Intangibles Tangible Items
Service Package
The Service Package
Intangibles
Supporting goods
Tangible Items
Service Package
The Service Package
Intangibles
Supporting goods
Supporting facilities
Tangible Items
Service Package
The Service Package
Intangibles
ExplicitService
Supporting goods
Supporting facilities
Tangible Items
Service Package
The Service Package
Intangibles
ExplicitService
Supporting services
Supporting goods
Supporting facilities
Tangible Items
Service Package
The Service Package
Intangibles
ExplicitService
Supporting services
Supporting goods
Implicit Service
Supporting facilities
Tangible Items
Service Package
The Service Package
Service Package
The process
The experience
outcome
ExplicitService
Implicit Service
Supporting services
Supporting goods
Supporting facilities
THE SERVICE PACKAGE
What you get • Explicit service (core service)
The means to deliver it• Supporting services • Supporting goods & facilities
How you get it• Implicit service (additional benefits)
• the psychological benefits
Characteristics of Services
•A service is
• Intangible
• Inseparable from the customer
• Variable with each customer (heterogeneous)
• Perishable and immediately consumed by the customer
•These points raise distinctive issues for the delivery of the service during the SERVICE ENCOUNTER.
Consequences for Service management
1. Intangibility
•can only be experienced when delivered•can’t be produced ahead of use and stored•can’t sample/ evaluate before use
•can’t display•difficult to communicate•element of “risk”
•difficult to make unique•easy to modify/copy • difficult to maintain control of delivery
Consequences for Service management
2. Inseparability
•customer is present during “production”•involved in design•need to understand role•can do some of the work•layout suits customer
•use on demand - or control delivery•capacity management issues
Consequences for Service management
3. Variability
•depends on the individuals in the service encounter•both the customer and the provider
•depends on the circumstances of delivery•number of customers•type/ mood of customers•situational factors
•quality is difficult to assess precisely
Consequences for Service management
4. Perishability
•produce on demand
•difficult to synchronise supply and demand•need to manage demand easily
•can’t manage quality easily•defective service is used immediately (.....too late!!)•“recovery” issues
•can’t be returned or resold
Thank you