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Table of Contents
1. Introduction 2
2. Service Systems in Hotels 3
3. Models of Service System Architecture 4
3.1 Value Constellation 4
3.2 Service-Profit Chain 5
4. Service System Processes and Workflows 6
5. Challenges of Structuring Service Systems 9
5.1 Legacy Systems 9
5.2 Addressing New Demands 10
6. Conclusion 10
References 11
Appendix A 14
1. Introduction
As economies shift away from manufacturing towards a service-oriented environment, there is a growing demand from consumers for better service. The perishable nature of services and the rise of consumer demand imply that service providers need to work in parallel with other service providers and end consumers in order to co-create customer value. Such a scenario is prevalent in the hospitality industry and in particular the hotel sector, where provisions of services are customer-centric, immersive and interactive.
According to the Singapore Tourism Board, total receipts from the hotel industry reached $1.1 billion in the first half of the year 2012, showing a 6.6% y-o-y growth (Rikvin.com, 2012). A report from Singapore Business Review in 2012 reported that, tourism, especially the hotel industry, is an important contributor to Singapore’s economy and continues to enjoy growth in 2012, despite the economic slowdown.
Given the boost of tourism and the emergence of co-creation as a service provision, service providers seek to revise and optimize their operations to maintain a competitive advantage in the hotel sector. Service providers need to tailor services to the needs of customers, and exceed their expectations. Today, service domains and interactions are vastly more complex. This gave rise to the emergence of service systems that fulfill such
References: Abdullah, R. B., Musa, M., Zahari, H., Rahman, R., & Khalid, K. (January). The Study of Employee Satisfaction and its Effects towards Loyalty in Hotel Industry in Klang Valley, Malaysia. International Journal of Business and Social Science, 2011. Brooks, R. (2000). Why loyal employees and customers improve the bottom line, Journal of Quality and Participation, Vol Cathay A. Enz. (2010). Hospitality Strategic Management: Concepts and Cases: Page 120. CNBC. (2012, September 5). As Singapore Reinvents Itself, Hoteliers Reap Windfall. Retrieved from: http://www.cnbc.com/id/48921896/As_Singapore_Reinvents_Itself_Hoteliers_Reap_Windfall Emerging Markets Direct Maglio, P. P. (2011). Modelling Complex Service Systems. Service Science, i-ii. Peter E. Murphy, Ann E. Murphy. (2004). Strategic Management for Tourism Communities: Briding the Gaps: Chapter 8. M. Brown. (2012). Top 5 hurdles in Singapore’s hospitality industry. Retrieved from: http://sbr.com.sg/hr-education/commentary/top-5-hurdles-in-singapores-hospitality-industry MTech. (2009). MTech | Hotel Service Optimization System for multi-hotel enterprises. | Newmarket International. Retrieved from: http://www.m-tech.com/products/hotsos/ Normann, R. & Ramirez, R. (1993). From value chain to value constellation: Designing interactive strategy Rikvin. (2012, September 13). Singapore’s Hotel Industry Prospers Through Tourism Boost. Retrieved from: http://www.rikvin.com/press-releases/singapore-hotel-industry-prospers/ Singapore Business Review. (2012, November 27). Hotel room supply to outpace tourist arrivals in 2013. Retrieved from: http://sbr.com.sg/hotels-tourism/news/hotel-room-supply-outpace-tourist-arrivals-in-2013 Singapore Business Review (2012, December 03). Top 5 hurdles in Singapore 's hospitality industry. Retrieved from: http://sbr.com.sg/hr-education/commentary/top-5-hurdles-in-singapores-hospitality-industry Singtel. (2012, September). CASE STUDY: Washing Smarter, Faster & Better – Zero Spot Laundry. Retrieved from: https://mybusiness.singtel.com/techblog/5521#sthash.a81l39rH.QpAld80D.dpbs Singtel. (2010). Singtel Business on Hospitality360. Retrieved from: http://business.singtel.com/industry_solutions/downloads/Hospitality%20brochure_FINAL.pdf Tax, S. S., & Stuart, I. (1997). Designing and Implementing New Services: The Challenges of Integrated Service Systems. Journal of Retailing, 105-134. V