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S. M. Part 3. ALIGNING STRATEGY, SERVICE DESIGN AND STANDARDS. © 2000 The McGraw-Hill Companies. McGraw-Hill. Provider GAP 2. CUSTOMER. Customer-Driven Service Designs and Standards. COMPANY. GAP 2. Company Perceptions of Consumer Expectations. Part 3 Opener. S. M.

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S

M

Part 3

ALIGNING STRATEGY, SERVICE DESIGN AND STANDARDS

© 2000 The McGraw-Hill Companies

McGraw-Hill


Provider GAP 2

CUSTOMER

Customer-Driven

Service Designs and Standards

COMPANY

GAP 2

Company Perceptions of Consumer Expectations

Part 3 Opener


S

M

Chapter 8

SERVICE DEVELOPMENT AND DESIGN

© 2000 The McGraw-Hill Companies

McGraw-Hill


Objectives for chapter 8 service development and design
Objectives for Chapter 8:Service Development and Design

  • Describe the challenges inherent in service design

  • Present steps in the new service development process

  • Show the value of service blueprinting and quality function deployment (QFD) in new service design and service improvement

  • Present lessons learned in choosing and implementing high-performance service innovations


Figure 8 1 risks of relying on words alone to describe services
Figure 8-1Risks of Relying on Words Alone to Describe Services

  • Oversimplification

  • Incompleteness

  • Subjectivity

  • Biased Interpretation


Figure 8-2

New Service Development Process

  • Business Strategy Development or Review

  • New Service Strategy Development

Front End Planning

  • Idea Generation

Screen ideas against new service strategy

  • Concept Development and Evaluation

Test concept with customers and employees

  • Business Analysis

Test for profitability and feasibility

  • Service Development and Testing

Conduct service prototype test

  • Market Testing

Implementation

Test service and other marketing-mix elements

  • Commercialization

  • Postintroduction Evaluation

Source: Booz-Allen & Hamilton, 1982; Bowers, 1985; Cooper, 1993; Khurana & Rosenthal 1997.


Figure 8 3 new service strategy matrix for identifying growth opportunities
Figure 8-3New Service Strategy Matrix for Identifying Growth Opportunities

Markets

Offerings

Current Customers

New Customers

Existing

Services

SHARE BUILDING

MARKETDEVELOPMENT

New

Services

SERVICEDEVELOPMENT

DIVERSIFICATION


Figure 8 4 service mapping blueprinting
Figure 8-4Service Mapping/Blueprinting

A tool for simultaneously depicting the service process, the points of customer contact, and the evidence of service from the customer’s point of view.

Process

Service

Mapping

Points of Contact

Evidence

McGraw-Hill

© 2000 The McGraw-Hill Companies


Service blueprint components
Service Blueprint Components

CUSTOMER ACTIONS

line of interaction

“ONSTAGE” CONTACT EMPLOYEE ACTIONS

line of visibility

“BACKSTAGE” CONTACT EMPLOYEE ACTIONS

line of internal interaction

SUPPORT PROCESSES


Express mail delivery service
Express Mail Delivery Service

Truck

Packaging

Forms

Hand-held Computer

Uniform

Truck

Packaging

Forms

Hand-held Computer

Uniform

PHYSICAL

EVIDENCE

Customer

Calls

Customer

Gives

Package

Receive

Package

CUSTOMER

Driver

Picks

Up Pkg.

(On Stage)

Deliver

Package

CONTACT PERSON

(Back Stage)

Customer

Service

Order

Airport

Receives

& Loads

Fly to

Sort

Center

Load

On

Truck

Dispatch

Driver

Unload

&

Sort

Fly to

Destination

SUPPORT PROCESS

Load on

Airplane

Sort

Packages


Overnight hotel stay
Overnight Hotel Stay

Bill

Desk

Lobby

Hotel

Exterior

Parking

Hotel

Exterior

Parking

Cart for

Bags

Desk

Registration

Papers

Lobby

Key

Elevators

Hallways

Room

Cart for

Bags

Room

Amenities

Bath

Menu

Delivery

Tray

Food

Appearance

Food

PHYSICAL

EVIDENCE

Arrive

at

Hotel

Give Bags

to

Bellperson

Call

Room

Service

Check out

and

Leave

CUSTOMER

Receive

Bags

Sleep

Shower

Go to

Room

Receive

Food

Eat

Check in

Greet and

Take

Bags

Deliver

Bags

Deliver

Food

Process

Registration

Process

Check Out

(On Stage)

CONTACT PERSON

Take

Food

Order

(Back Stage)

Take Bags

to Room

Registration

System

Registration

System

Prepare

Food

SUPPORT PROCESS


Figure 8-8

Building a Service Blueprint

Step 6

Add evidence of service at each customer action step.

Step 4

Map contact employee actions, onstage and back-stage.

Step 3

Map the process from the customer’s point of view.

Step 1

Identify the process to be blue-printed.

Step 2

Identify the customer or customer segment.

Step 5

Link customer

and contact person activities to needed support functions.


Application of service blueprints
Application of Service Blueprints

  • New Service Development

    • concept development

    • market testing

  • Supporting a “Zero Defects” Culture

    • managing reliability

    • identifying empowerment issues

  • Service Recovery Strategies

    • identifying service problems

    • conducting root cause analysis

    • modifying processes


  • Blueprints can be used by

    Service Marketers

    creating realistic customer expectations

    service system design

    promotion

    Operations Management

    rendering the service as promised

    managing fail points

    training systems

    quality control

    Human Resources

    empowering the human element

    job descriptions

    selection criteria

    appraisal systems

    System Technology

    providing necessary tools:

    system specifications

    personal preference databases

    Blueprints Can Be Used By:


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