yuan ze university - service design basics, 12/6/2012
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TRANSCRIPT
Dr. Stephen K. KwanProfessor, Service Science
Management Information SystemsCollege of Business AdministrationSan José State University, CA, USA
http://www.sjsu.edu/ssme
Contact: [email protected]
Presented at Yuan Ze UniversityDecember 6th, 2012, Taiwan
Download these slides at: http://www.slideshare.net/StephenKwan
Service Design Basics –from System to Business Modeling
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Do you know the way to San José?
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Silicon Valley & Its Environs
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Abstract
This presentation looks at service design from a modeling perspective that incorporates service thinking, system thinking, design thinking, and business thinking. This approach provides an avenue of integration across different disciplines and roles in the service design process. A desirable outcome of this integration would be more effective information and knowledge management from design to engineering of service systems.
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Some Definitions
Service Science is short for Service Science, Management, Engineering and Design (SSMED1).
Service Science is concerned with the study of Service Systems.cf. Computer Science is concerned with the study of Computer Systems.
Service Systems are man-made complex systems designed to improve the quality of life by co-creating value through value propositions among the stake-holders.
1 Spohrer, J., Kwan, S.K. “Service Science, Management, Engineering, and Design (SSMED): An Emerging Discipline – Outline and References”, International Journal of Information Systems in the Service Sector, 1(3), 2009.
ServiceExperience
ServiceProvider
Customer
A Service System and Its Entities
1Kwan, S. K. & Min, J. H. (2008) “An Evolutionary Framework of Service Systems”. Presented at the International Conference on Service Science, Beijing, China, April 17-18.
Service System Worldview1
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ServiceSystem A
ServiceSystem B
ServiceSystem C
ServiceSystem D
ServiceSystem E
ServiceSystem F
Service Interactions
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A Service System Network
ServiceExperience
ServiceProvider
Customer
Society
Community
Competition
Partners
Service System
Employees &Stockholders
Service System Worldview
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ServiceExperience
ServiceProvider
Customer
Society
Community
Competition
Partners
Service System
Employees &Stockholders
Value
Value
Governance
Value
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Value
Value Co-Creation Through Value Propositions
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InformationTechnology
Platform
Service Provider’s Back Stage Support
BackStage
Processes
FrontStage
ProcessesFront Stage
Service Computing(e.g., SOA)
Service Systems, Computing, and IT Services1
1 Kwan, S. K. & Hefley, B., “Service Systems”, 2008.
ITSM – Management of the Processesand Infrastructure of IT Services
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Service System Design (1)
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CustomerServiceSystemDesign Service
SystemEngineering
From:
To:
Service System Design (2)
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CustomerServiceSystemDesign Service
SystemEngineering
SystemThinking
DesignThinking
BusinessThinking
A Multi-disciplinary Approach
Knowledge Management –maintaining integrity of information and
knowledge throughout the lifecycle
ServiceThinking
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What is Design (1)
A conscious effort to create something that is artistic, purposeful, and better.
Not casual, you have to work at it
Creativity is needed here
ObjectProductService
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What is Design (2)
A conscious effort to create something that is artistic, purposeful, and better.
Pure Art
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What is Design (3)
A conscious effort to create something that is artistic, purposeful, and better.
Utilitarian,Commodity
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What is Design (4)
A conscious effort to create something that is artistic, purposeful, and better.
Form Function
Not easilymeasurable
Can apply metricsand measurements
Connection toengineering
Desirable State
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Design and Innovation
A conscious effort to create something that is artistic, purposeful, and better.
New
^
Design
CREATINGSOMETHING
NEW
혁신創新
创新革新
InnovationUnique
DesirableValuable…
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Service System Design aspart of the Service System Life Cycle
Design is an important component inthe study of Service Systems
e.g., SSMED – D is for Design
Conception
Design
EngineeringDevelopment
Operation
Discovery
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Incorporating Multiple Perspectives in Modeling
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Conception
Design
EngineeringDevelopment
Operation
Discovery
External or Internal Forces create impetus for Change
CompetitionStrategy
CustomersRegulations
ObsolescenceTechnologyInnovation
Servitization ..
J. Bradford Jensen
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Incorporating Multiple Perspectives in Modeling
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Conception
Design
EngineeringDevelopment
Operation
Discovery
Service Thinkingfor example:
ServitizationPlatformtization
Open Service Innovation
(S-D) Logic -Service Dominant Logic
Vargo & Lusch
and many more!
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Foundational Premises of Service Dominant Logic
MicroeconomicConsiderations
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Incorporating Multiple Perspectives in Modeling
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Conception
Design
EngineeringDevelopment
Operation
Discovery
System Thinkingfor example:
C. West Churchman Russell L. Ackoff
and many more!
Kwan, S. K. & Min, J. H. (2008) “An Evolutionary Framework of Service Systems”. Presented at the International Conference on Service Science, Beijing, China, April 17-18.
Herbert Simon’s
The Sciencesof the Artificial
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Incorporating Multiple Perspectives in Modeling
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Conception
Design
EngineeringDevelopment
Operation
Discovery
Design Thinking
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Design Thinking – some resources
Technology(Feasibility)
Business(Viability)
People(Desirability)
ProcessInnovationFunctional
Innovation
EmotionalInnovation
ExperienceInnovation
DesignThinking
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Design Thinking – some resources
Stickhorn & Schneider
Peter G. Rowe
Thomas Lockwood
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Design Thinking – some resources
© Cockayne and Carleton
DivergentThinking
Convergent
Thinking
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Incorporating Multiple Perspectives in Modeling
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Conception
Design
EngineeringDevelopment
Operation
Discovery
Business Thinking
ServiceExperience
ServiceProvider
Customer
Society
Community
Competition
Partners
Service System
Employees &Stockholders
Business Thinking - Service System Worldview1
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1Kwan, S. K. & Min, J. H. (2008) “An Evolutionary Framework of Service Systems”. Presented at the International Conference on Service Science, Beijing, China, April 17-18.Duplicate
Slide
ServiceExperience
ServiceProvider
Customer
Society
Community
Competition
Partners
Service System
Employees &Stockholders
Value
Value
Governance
Value
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Value
Business Thinking -Value Co-Creation Through Value Propositions
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Customer
ServiceExperience
ServiceProvider
Stage 1: Value Chain
FocalRelationship
Value Proposition
Stages in Customer Empowermentin Value Co-Creation
5 Kwan, S. K. & Yuan, S. T. ”Customer-Driven Value Co-Creation in Service Networks”, to appear in Demirkan, H., Spohrer, J.C. and Krishna, V. ed., The Science of Service Systems, volume in Service Science: Research and Innovation (SSRI) in the Service Economy series, Springer, 2010.
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Stage 2: Traditional Service Value Network
Customer
ServiceExperience
ServiceProvider
Value Proposition
Provider PartnerNetwork
FocalRelationship
Value Proposition
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cf. ICT-enabled service networks,mobile applications, etc.
Stage 3 – Improved Value Chain
Customer’sSocial
Network
Customer
ServiceExperience
ServiceProvider
Value Proposition
FocalRelationship
Value Proposition
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Stage 4: Customer Driven Service Value Network
Customer’sSocial
Network
Customer
ServiceExperience
ServiceProvider
Value Proposition
FocalRelationship
Value Proposition
Provider PartnerNetwork
Value Proposition
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cf. “Resource Integrators” in Service Dominant Logic literature
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Sta
keh
old
ers
Service Provider
Society
Community
Employees
Stockholders
Partners
Customers
Value Dimensions
Maslow’sHierarchyOf Needs
HedonicSpiritualCulturalCorporal
EmotionalIntellectualFamilial….
A point in this 3-D space is a potential Value Proposition e.g. Service
Provider / Society / Environmental
Intrinsic
Social
Societal
Political
Functional
Environm
ental
Econom
ic
Ser
vice
Pro
vide
r
Soc
iety
C
omm
unity
Em
ploy
ees
Sto
ckho
lder
s
P
artn
ers
C
usto
mer
s
Stakeholders
Variety of Value Propositions
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Maslow’s Hierarchy of Needs
Disposable Income &Desire forServices
Needsvs.
Wants
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Customer’s Value System
Provider’s Value System
Opportunities forValue Co-Creation
His Customer’s Value System
★
★
★★★★★
★
Value Systems and Value Dimensions
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Kwan, S.K., Hottom, P., Kieliszewski, C. “Moving from B2X to B2X2Y Value Propositions in Service System Networks”, 1st International Conference on Human Side of Service Engineering, HSSE 2012, San Francisco, 24 July, 2012.
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ServiceExperience
Benefits
Costs
Probabilityof Success
Quality
Schema for DataExchange
StakeholderRoles
PerformanceMetrics
** Expected ** VPj = [SE,B,C,P,Q,Sc,R,M]j
will do
will do for
+$
will not do
Constructing a Value Proposition
The Customer have a lot of VP’s
to choose from
Kwan, S.K., Muller-Gorchs, M. (2011). "Constructing Effective Value Propositions for Stakeholders in Service System Networks," Proceedings > Proceedings of SIGSVC Workshop . Sprouts: Working Papers on Information Systems, 11(160). http://sprouts.aisnet.org/11-160
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Business Thinking – some resources
Osterwalder & Pigneur
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Foresight and Innovation Method
Service System Framework& Service System Networks
Business Model, Value Propositions& Service Patterns
© Cockayne and Carleton
4141
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Foresight and Innovation Method
BPMN
UML – Use Cases
Story Boards
UI Prototyping
Service Blueprint
MANGA
WorkSystem
© Cockayne and Carleton
ProcessChain
NetworkDiagram
Looking for the right tools to
connect to the next stage
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From Design to Engineering
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Conception
Design
EngineeringDevelopment
Operation
Discovery
Engineering Discipline
& MethodologyService Design Engineer?
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InformationTechnology
Platform
Service Provider’s Back Stage Support
BackStage
Processes
FrontStage
ProcessesFront Stage
Service Computing(e.g., SOA)
Some aspects of Service System Engineering
1 Kwan, S. K. & Hefley, B., “Service Systems”, 2008.
ITSM – Management of the Processesand Infrastructure of IT Services
Kwan 2012
DuplicateSlide
45
Incorporating Multiple Perspectives in Modeling
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Conception
Design
EngineeringDevelopment
Operation
Discovery
DevelopmentDiscipline
& Methodology
and RAD, Agile, Extreme Programming, etc.
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Incorporating Multiple Perspectives in Modeling
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Conception
Design
EngineeringDevelopment
Operation
Discovery
OperationsManagement
ServiceExperience
ServiceProvider
Customer
Society
Community
Competition
Partners
Employees &Stockholders
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MarketSegmentation
ServiceConceptRealized
CustomerFlow &ServiceDelivery
OperatingStrategy
FacilityLocation& Design
Capacity& Manpower
Planning,Training
CompetitiveStrategy
SocialNetworking
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Service ManagementFitzsimmons & Fitzsimmons
Service System Operational Worldview (1)
DuplicateSlide
Customer’sSocial
Network
Customer
ServiceExperience
ServiceProvider
Value Proposition
FocalRelationship
Value Proposition
Provider PartnerNetwork
Value Proposition
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Service System Operational Worldview (2)
Information &Knowledge ManagementDuplicate
Slide 48
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Information & Knowledge Management
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2008 Olympic GamesBoth US teams dropped the baton
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Poor (Communication and) Information & Knowledge Management
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Information & Knowledge Management
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2012 Olympic GamesUS men’s won silver
US women’s won gold
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Information &Knowledge Management
How can we effectively define, capture, share and maintain the information and knowledge
from the different stages of the Service System Life Cycle?
From: To:
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Information & Knowledge Management- Sharing the Canvas
Designer
ManagerEngineer
Customer
DeveloperOperator
• Service Thinking• System Thinking• Design Thinking• Business Thinking• Engineering Discipline• Development Discipline• Operations Management
Who are these artists?
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In-depth knowledge of a specific discipline
Complex Communications Across FieldsAcross industriesAcross cultures
Across functionsAcross disciplines
=More experienced
More adaptiveMore collaborative
BroadenWith
GlobalEducational
program
“We need to hire more T-shaped people!”Industry says:
“We need to hire more T–shaped faculty!”Academia says:
DevelopNew
KnowledgeWith
ResearchBased on slides byJean Paul Jacob
of IBM
T-shaped People (1)
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Paul Harris, “Help Wanted: ‘T-Shaped’ Skills to meet 21st Century Needs”, T&D, September 2009
T-shaped People (2)
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We need T-shaped PeopleWho can work together as a Team
T
TT
T
T
TTT
TT T
Using Design Thinking as the basis of Project-based Team Building
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Design Thinking for Managers
Some Business Schools are teaching Design Thinking:
TorontoNorthwestern
MaastrichtBerkeleyVirginia
St. Gallen ……….
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T-shaped People (3)
Dr. Stephen K. KwanProfessor, Service Science
Management Information SystemsCollege of Business AdministrationSan José State University, CA, USA
http://www.sjsu.edu/ssme
Contact: [email protected]
Download these slides at: http://www.slideshare.net/StephenKwan
Service Design Basics –from System to Business Modeling
FinPresented at Yuan Ze University
December 6th, 2012, Taiwan
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ServiceExperience
ServiceProvider
Customer
Value Proposition Model (VPM)Starting with the Service System
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ServiceExperience
ServiceProvider
Customer
ServiceExperience
Customer
ServiceExperience
Customer
Value Proposition
VPM – a common example
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ServiceExperience
ServiceProviderCustomer
ServiceExperience
Customer
ServiceExperience
Customer
A SharedExperience
Community/Social
Network
Value Proposition
VPM – individuals and community
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ServiceExperience
ServiceProviderCustomer
ServiceExperience
Customer
ServiceExperience
Customer
A SharedExperience
Community/Social
Network
Value Proposition
VPM – individuals and Facebook community
Over 1 Billion !!
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ServiceExperience
ServiceProviderCustomer
ServiceExperience
Customer
Value Proposition
ServiceExperience
Vendor
ValueProposition
ServiceExperience
VPM – service provider partners
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ServiceExperience
ServiceProviderCustomer
ServiceExperience
Customer
ServiceExperience
Vendor
ServiceExperience
ServiceExperience
VPM – partner’s acquistion of customer
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ServiceExperience
ServiceProviderCustomer
ServiceExperience
Customer
ServiceExperience
Vendor
ServiceExperience
Example 1 of 4
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ServiceExperience
ServiceProviderCustomer
ServiceExperience
Customer
ServiceExperience
Vendor
ServiceExperience
ServiceExperience
VendorService
Experience
Example 2 of 4
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ServiceExperience
ServiceProviderCustomer
ServiceExperience
Customer
ServiceExperience
Vendor
ServiceExperience
ServiceExperience
VendorService
Experience
Example 3 of 4
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ServiceExperience
ServiceProviderCustomer
ServiceExperience
Customer
ServiceExperience
Vendor
ServiceExperience
ServiceExperience
Example 4 of 4
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Amazon.comBookcloseout_us
nengland4
theBookGrinder
Customer
Example: E-Commerce
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Customer
Amazon.comSP0
Bookcloseout_usSP1
theBookGrinderSP2
negland4SP3
S0
S4
S1
S5
S2
S6
S3
Se0
Se1
Se2
Se3
SE0
SP4
VP0
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Customer
SE0
SP0
Time
SE0 = Service Experience provided by SP0
SP0 = Service Provider of the Focal Relationship (the basis of the Value Proposition from Kwan & Yuan 2011)VP0 = Value Proposition offered by SP0 to Customer for SE0
FocalRelationship
VP0
Instantiationof the Service
Experience at aparticular point
In time
Service Pattern 1 – Single Service Episode
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Customer
SE0
SP0
Time
VP0
Pattern 2 – Continuous Service over a Period of Time
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Customer
Se0
SP2
Time
VP0
Se1
Se2
SP1SP0Instantiation of the Service
Experience at a particular point In time
Service Pattern 3 – Service in Parallel
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SE0
75
Customer
Se0
SP0
Time
Se1 Se2
VP0
Pattern 3 – Continuous Service with Occasional Service Episodes
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SE0
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Customer
SE0
SP0
Time
SE1 SE2
SP1 SP2
SE4
SE5
SP3
SE6
SE3
VP1
VP2
VP3
VP0
Pattern 4 – Service provided by more than one Partner Service Providers