Case: Village Volvo

CASE: VILLAGE VOLVO
Operations in Service Industry

Akanksha Gupta PRN: 40

Presented By: y

QUESTION 1
Q ) Q.1) Describe Village Volvo’s service package. g p g Service package: Bundle of goods and services that is provided in some environment. E.g. atmosphere along with meal in any restaurant. restaurant

SOLUTION

Service facility: New butler building- 4 work bays, an office, waiting area, storage room, mechanics Facilitating goods: replacement auto parts Information: schedule appointments, Customer care Vehicle Dossier (CCVD)- Continuing file for each vehicle Explicit services: quality repair on out of warranty Volvos at a reasonable cost, warranty service Implicit services: worry free auto repair, time utilization p y p , during repair, high customer service ( during contact hours & scheduled repair)

QUESTION 2
How are the distinctive characteristics of a service firm illustrated by Village Volvo?

SOLUTION
Customer participation in the service process: waiting room equipped with a TV, comfortable chairs, coffee, a soft drink vending machine, magazines, newspaper Simultaneity: vehicle repaired only when it comes, variation in repairs/day, not only quality but other measures like customer satisfaction Perishability: capacity of Village Volvo, an hour without repair Intangibility: reputation of Village Volvo Heterogeneity: variation of problems from vehicle to vehicle

QUESTION 3
Characterize Village Volvo in regard to the nature of the service act, the relationship with customers, customization and judgment, the nature of demand and supply, and th method of service delivery d l d the th d f i d li

SOLUTION
Nature of Service Act
People Tangible actions Services Directed at people’s bodies Things Services d S directed at goods d d and other physical possessions Services directed at intangible assets

Intangible Services directed at people’s actions mind

SOLUTION
Relationship with the customers p
Membership relationship