MGT - CH. 7
Services
Cannot be stored, time dependent
What is a consequence of the virtualization of services?
Customer interaction with other customers
Technological innovations _______________ worker requirements
De-emphasize
Production efficiency ____________ as customer has more contact with the system
Decreases
Classifying services differs from classifying manufacturing processes in that one must account for the
Degree of customer contact
Which restaurant operation should definitely be below the "line of visibility" in a service blueprint?
Dishwashing
Line of visibility
Divides service blueprint into activities that are seem by customer and those that are not
True or False? - A service system with a high degree of customer contact is less difficult to control than a low degree of customer contact service system
False
True or False? - Customer balking occurs when a customer gets into a line and waits a while, then walks away
False
True or False? - When the service rate equals the arrival rate, the service system is perfectly balanced
False
Poka-yoke roughly translates as
Avoid mistakes
Polka Yokes
Procedures that prevent mistakes from becoming defects
Service blueprint
A flowchart of all activities and processes required to fulfill a service
Example of: Face to face tight specs
Fast food
Is service capacity fixed or variable?
Fixed
Pure virtual customer contact
Free form, interaction in an open enviornment
The ____________ the customer contact, the ____________ the sales opportunity
Greater, greater
Example of: Face to face loose specs
Haircut, restaurant
What are examples of the virtualization of services
Knowledge database, decision support systems
Zone of nonservice
Mean arrival rate > mean service rate - many customers never served
Mixed virtual and actual
Moderated, must manage technology and police encounters
What is the trade off with capacity challenges?
Must balance the added cost of providing more rapid service against inherent cost of waiting
Reactive System
Penetrable and reactive to customer/server
Permeable Core
Penetrable via phone
Buffered Core
Physically separated from the customer/server
As the degree of customer/server contact goes up
Sales opportunity increases
Ways to improve waiting experience
Segment customers Train servers to be friendly Inform customers what to expect Divert customers attention Encourage coming during slack periods
Critical zone
Service quality declines - mean service rate = mean arrival rate
Example of: Face to face total customization
Spa, attorney services
Zone of service
Sufficient capacity to provide quality service - mean service rate > mean arrival rate
Controllability
The degree to which customers are able to affect the system
Degree of customer contact & sales opportunity
The more contact the customer has with the system the greater the likelihood of increased sales
Degree of customer contact & efficiency
The more contact the customer has with the system the less efficient the system is
Degree of customer contact & controllability
The more contact the customer has with the system the more it can be tailor to there needs, this in turn decreases efficiency
Degree of customer contact & training and skills of personel
The more contact the customer has with the system the work requirements increase in complexity
What is the purpose of a service blueprint?
To identify possible mistakes
