mba 2013 introduction to the s model
DESCRIPTION
The Model explained in the book and in class.TRANSCRIPT
The “S” Model MBA
Fausto García
Service Innovation & Management
• About Services
Services vs. Products
Service Concept & Service Package
• Our “S” Model of Services
Agenda 1
Business Week, May 17, 2004
"Our customers increasingly want solutions to their document problems . . . they want us to bring
together consulting, services, systems, products, and support to help them be more productive"
Paul Allaire, Chairman
Xerox
(2004)
When products become
commodities…
…Services offer new growth opportunities
Why this interest in Services?
What is a Service ?
• Deeds, processes and performances
• Almost always supported by facilitating goods
• From which is not easy to make a clear
distinction
(Zeithaml and Bitner, 1996 ; Berry and Parasuman 1991)
The Customer
The Service Strategy
The People
The Systems
Performance Priorities • Treatment of the customer • Speed and convenience of service delivery • Price • Variety • Unique skills that constitute the service offering
• About Services
Services vs. Products
Service Concept and Service Package
• The “S” Model of Services
Agenda 1.1
• Intangibility
• Variability
• In Services, Delivery and Production are
contemporary
• Services are perishable
Services vs. Products
What is Service Quality?
Efficient customer satisfaction…
Satisfaction = Perception – Expectations The way in which customer perceptions overcome
expectations…
= -
• About Services
Services vs. Products
Service Concept and Service Package
• The “S” Model of Services
Agenda 1.2
Service Concept
• Defines the how and the what of service design • Key role in design and development • Links customer needs and a firm’s strategic intent • Applies to design planning and recovery design processes
Susan Meyer Goldstein, Robert Johnston, Joann Duffy, Jay Rao,2002
• Many times, the Service Concept requires the additional
definition of a group of components (products and services)
Flight from A to B
Luggage Logistic
Information Services during
the flight
Comfort
Personnel relations towards the client
Cleaning Services check –in
activities
Service Package
Technology and Services
• About Services
Services vs. Products
Service Concept and Service Package
• The “S” Model of Services
Agenda
Our “S” Model for Service Management
“S”
Value Explicitation
Quality and
Conformance
Barriers for
leaving Service
General Model
Model for Service Design and for building Delivery Capabilities
Customer Fidelization
Value for Customers
Customer Satisfaction
Employee Fidelization
Value for Employee
Employee Satisfaction
Value for the Firm
Culture & Leadership Delivery
General Model
Value for the Firm
• Profitability • Positioning • Growth
General Model
Customer Fidelization
Value for the Firm
How do we generate Loyalty ?
Retention (Loyalty)
High
Low
Satisfaction
High Low
Terrorist Mercenary
Hostage Apostle
General Model
Customer Fidelization
Value for Customers
Customer Satisfaction
Value for the Firm
Base Product + Complementary Services
Barriers for Access Cost +
• Access • Contact • Safety • Status / Image • Education
• Response • Flexibility • Reliability • Availability • Variety
Management
Decisions
Professional Services
Management Consultancy
Field Service
Bank - Corporate
Service Shops
Hotel
Rental Service
Retail
Bank – Retail
Mass Services Tobacco News retailer Transportation
Equipment Focus Contact time Customization Discretion Back office Product focus
People / Equipment Contact time Customization Discretion Front/Back office Process / Product
People Focus Contact time Customization Discretion Front/Back office Process Focus
High
Medium
Low
Tinnila and Vepsalainen (1995)
# Customer Processed by a typical unit per day
Define Strategy and Value for Customers
General Model
Customer Fidelization
Value for Customers
Customer Satisfaction
Employee Fidelization
Value for the Firm Delivery
General Model
Employee Fidelization
Retention (Loyalty)
High
Low
Satisfaction
High Low
Terrorist Mercenary
Hostage Apostle
General Model
Customer Fidelization
Value for Customers
Customer Satisfaction
Employee Fidelization
Employee Satisfaction
Value for the Firm Delivery
• Autonomy • Selection, Training, Development • Valuation and Recognition • Communication Channels • Level of Commitment (participation)
General Model
Customer Fidelization
Value for Customers
Customer Satisfaction
Employee Fidelization
Value for Employee
Employee Satisfaction
Value for the Firm Delivery
Salary + Professional Development + Ambience + Image
Time + Effort
General Model
Customer Fidelization
Value for Customers
Customer Satisfaction
Employee Fidelization
Value for Employee
Employee Satisfaction
Value for the Firm
Culture & Leadership Delivery
• Clear and known direction • Personal commitment • Support and fulfillment