Ilke

Operations Management

1

Operations Management

2

Operations Management
For Competitive Advantage
Lecture 6

Product Design and process Selection –Services
 Service

Generalizations  Service Strategy: Focus & Advantage  Service-System Design Matrix  Service Blueprinting  Service Fail-safing  Characteristics of a Well-Designed Service Delivery System
Iba Almajzoub

Product Design & Process Selection - Services
Iba Almajzoub

Operations Management

3

Operations Management

4

Service Generalizations
1. Everyone is an expert on services. 2. Services are personal. 3. Quality of work is not quality of service. 4. Most services contain a mix of tangible and intangible attributes.

Service Generalizations (Continued)
5. High-contact services are experienced, whereas goods are consumed. 6. Effective management of services requires an understanding of marketing and personnel, as well as operations. 7. Services often take the form of cycles of encounters involving face-to-face, phone, internet, electromechanical, and/or mail interactions.
Iba Almajzoub

Iba Almajzoub

Operations Management

5

Operations Management

6

Service Businesses
 Management

Internal Services
 Management

of organizations whose primary business requires interaction with the customer to produce the service (Includes service providers like banks, airlines, law offices) has two major types:
- Facilities-based services
- Customer must go to the service facility

of services required to support activities of the larger organization, Includes data processing, accounting, engineering, maintenance

Internal Supplier Internal Customer External Customer Internal Supplier

- Field-based services
- Production/consumption of service take place in customer’environment s

Iba Almajzoub

Iba Almajzoub

Operations Management

7

Operations Management

8

The Service Triangle
The Service Strategy

Classification of Service: