Service and Operation Management
Service Strategy
McGraw-Hill/Irwin
Copyright © 2011 by The McGraw-Hill Companies, Inc. All rights reserved.
Learning Objectives
Formulate a strategic service vision. Discuss the competitive environment of services. Describe how a service competes using the three generic service strategies. Explain what is meant by qualifiers, service winners, and service losers. Discuss the competitive role of information in services. Explain the concept of the virtual value chain and its role in service innovation. Identify potential limits in the use of information as a competitive strategy. Categorize a service firm according to its stage of 3-2 competitiveness.
Strategic Service Vision
Target Market Segments
What are common characteristics of important market segments? What dimensions can be used to segment the market, demographic, psychographic? How important are various segments? What needs does each have? How well are these needs being served, in what manner, by whom?
3-3
Strategic Service Vision
Service Concept
What are important elements of the service to be provided, stated in terms of results produced for customers? How are these elements supposed to be perceived by the target market segment, by the market in general, by employees, by others? How do customers perceive the service concept? What efforts does this suggest in terms of the manner in which the service is designed, delivered, marketed?
3-4
Strategic Service Vision
Operating Strategy
What are important elements of the strategy: operations, financing, marketing, organization, human resources, control? On which will the most effort be concentrated? Where will investments be made? How will quality and cost be controlled: measures, incentives, rewards? What results will be expected versus competition in terms of, quality of service, cost profile, productivity, morale/loyalty of servers?
3-5
Strategic Service Vision
Service Delivery System
What are important features of the
McGraw-Hill/Irwin
Copyright © 2011 by The McGraw-Hill Companies, Inc. All rights reserved.
Learning Objectives
Formulate a strategic service vision. Discuss the competitive environment of services. Describe how a service competes using the three generic service strategies. Explain what is meant by qualifiers, service winners, and service losers. Discuss the competitive role of information in services. Explain the concept of the virtual value chain and its role in service innovation. Identify potential limits in the use of information as a competitive strategy. Categorize a service firm according to its stage of 3-2 competitiveness.
Strategic Service Vision
Target Market Segments
What are common characteristics of important market segments? What dimensions can be used to segment the market, demographic, psychographic? How important are various segments? What needs does each have? How well are these needs being served, in what manner, by whom?
3-3
Strategic Service Vision
Service Concept
What are important elements of the service to be provided, stated in terms of results produced for customers? How are these elements supposed to be perceived by the target market segment, by the market in general, by employees, by others? How do customers perceive the service concept? What efforts does this suggest in terms of the manner in which the service is designed, delivered, marketed?
3-4
Strategic Service Vision
Operating Strategy
What are important elements of the strategy: operations, financing, marketing, organization, human resources, control? On which will the most effort be concentrated? Where will investments be made? How will quality and cost be controlled: measures, incentives, rewards? What results will be expected versus competition in terms of, quality of service, cost profile, productivity, morale/loyalty of servers?
3-5
Strategic Service Vision
Service Delivery System
What are important features of the