08: Service Management & Servitization or Productization

Question 1

products & services:

• level of commixture
• trends

Answer 1

• there are few pure products or services; it is rather a continuum
• servitization & productization are the trends to combine them, starting from either products or services

Question 2

services in the modern global economy

Answer 2

• main economic sector in developed countries
• products are still major part of international trade but growing

Question 3

services VS products:

4 dim of differences

but… trend

Answer 3

iiph

• intangibility
• inseparability (of production & delivery)
• perishability
• heterogeneity

but software is changing everything!

Question 4

6 service types

Answer 4

• B2B
• internal (in orgs)
• B2C
• public (G2C)
• not-for-profit
• (C2C)

Question 5

SIPOC for services: peculiarity

Answer 5

The customer is involved not only in output, but also in input & process

Question 6

service operations: suggested separation + border

Answer 6

Separate

• high-contact = front-office work
  => high social skills needed

from

• low-contact = back-office work
  => enable & serve the FO; can be standardized & reused

Border = line of customer visibility

Question 7

Value stream mapping (possible exam Q)

Answer 7

Value stream mapping is a lean-management method for analyzing the current state and designing a future state for the series of events that take a product or service from its beginning through to the customer.

Lean mgmt & Six Sigmas

Question 8

model of customer satisfaction

Answer 8

(mis)match:

expectations

gap 1 –> this gap is easier to manage

service

gap 2

perceptions

=> satisfaction

Question 9

service process matrix (2x2) (possible exam Q)
+ examples & challenges

Answer 9

low customization__high customization

Low labour intensity:
service factory__service shop
hotel hospital
efficient tech QC
emotion incentives

High labour intensity:
mass service__professional service
retail doctor
process design loyalty mgmt
flexible tech ppl mgmt

Question 10

servitization according to Cambridge Prof. Neely

• def=
• 3 key Qs
• similar to…

Answer 10

• def= tendency to sell solutions rather than products
• 3 Qs:
  
  • what outcome does customer values?
  • what capabilities are needed?
  • impact on biz model?
• similar to lean thinking!

Question 11

5 typical ways to servitize

Answer 11

smaft

• spare parts service
• maintenance
• advisory
• fleet mgmt
• training

Question 12

yield management:

• purpose
• tactics
• rel. w. services & why

Answer 12

• purpose = sell the right capacity to the right customer
• some tactics:
  
  • overbooking / overscheduling
  • differential pricing e.g. discounts for early bookers
  • capacity allocation e.g. having alternatives ready
• very important in services because services cannot be stored