2. Basic concepts of service management Flashcards
What is service management ?
A set of specialised organisational capabilities to enable value to the customers through services
services
The services are the main way that organisations create value for themselves and their customers
governance
the means by which an organisation is directed and controlled
Value
The perceived benefits , usefulness and importance of something
Organisation
A person or group of people that has its own functions with responsibilities , authorities , and relationships to achieve its objectives
Service consumption
Activities performed by an organisation to consume services. It includes the management of the customer ‘s resources needed to use the service , service actions performed by users and the receiving of goods
Sponsor
The role that authorises budget for the service consumption. The organisation or the individual that provide financial support for the business
Customer
The role that defines the requirements for service and takes responsibility for the outcomes of service consumption
User
The role that uses services
Sponsor
The role that authorises budget
Services
A means of enabling value co-creation by facilitating outcomes that customers want to achieve , without the customer having to manage specific costs and risks
Product
A configuration of an organisation’s resources designed to offer value for a customer
Service offering
A formal description of one or more services , designed to address the needs of a target consumer group. A service offering may include goods , access to resources and service actions
Key message on service relationships
Service Relationships are established between two or more organisations to co-create value. In a service relationship , organisations will.take on the roles of service providers or service consumers. The two roles are not mutually exclusive and organisations typically both provide and consume a number services at any given time
Service Relationship
A cooperation between a service provider and service consumer. Service relationships include service provision , service consumption and service relationship management
Service Provision
Activities performed by an organization to provide services. Service provision includes:
*management of the provider’s resources, configured to deliver the service
*ensuring access to these resources for users
*fulfilment of the agreed service actions
*service level management and continual improvement.
Service consumption
Activities performed by an organization to consume services. Service consumption includes:
*management of the consumer’s resources needed to use the service
*service actions performed by users, including utilizing the provider’s resources, and requesting service actions to be fulfilled.
Service consumption may also include the receiving (acquiring) of goods.
Service relationship management
Joint activities performed by a service provider and a service consumer to ensure continual value co-creation based on agreed and available service offerings.
Output
A tangible or intangible deliverable of an activity.
Outcome
A result for a stakeholder enabled by one or more outputs.
Cost
The amount of money spent on a specific activity or resource.
Risk
The amount of money spent on a specific activity or resource.
Utility
The functionality offered by a product or service to meet a particular need. Utility can be summarized as ‘what the service does’ and can be used to determine whether a service is ‘fit for purpose’. To have utility, a service must either support the performance of the consumer or remove constraints from the consumer. Many services do both.
Warranty
Assurance that a product or service will meet agreed requirements. Warranty can be summarized as ‘how the service performs’ and can be used to determine whether a service is ‘fit for use’. Warranty often relates to service levels aligned with the needs of service consumers. This may be based on a formal agreement, or it may be a marketing message or brand image. Warranty typically addresses such areas as the availability of the service, its capacity, levels of security and continuity. A service may be said to provide acceptable assurance, or ‘warranty’, if all defined and agreed conditions are met.
