chapter 8 Flashcards
From the customer’s perspective, services are experiences, such as calling a customer contact center or visiting a library.
SERVICE PROCESS
From the organization’s perspective, services are processes that have to be designed and managed to create the desired customer experience.
SERVICE PROCESS
describe the method and sequence in which service operating systems work and specify how they link together to create the value proposition promised to customers.
Processes
are likely to annoy customers because they often result in slow, frustrating, and poor-quality service delivery.
Badly designed processes
They also make it difficult for front-line
employees to do their jobs well, resulting in low productivity, and increasing the risk of service failures.
Badly designed processes
DESIGNING AND DOCUMENTING SERVICE PROCESSES
what are the Two key tools that are used for documenting and redesigning existing service processes and designing new ones:
2 TOOLS?
FLOWCHARTING
BLUEPRINTING
is a technique for displaying the nature and sequence of the different steps involved when a customer “flows” through the service process.
Flowcharting
By _____________ the sequence of encounters that customers have with a service organization, we can gain valuable insights into the nature of an existing service.
flowcharting
___________- describes an existing process, often in a fairly simple form
Flowchart
- is a more complex form of flowcharting and specifies in detail how a service process is constructed Including what is visible to the customer and all that
goes on in the back-office.
Blueprinting
It is the key tool in service designing.
Blueprinting
map customer, employee, and service-system interactions. They show the full customer journey from service initiation to final delivery of the desired benefit, which can include many steps and service employees from different departments.
Service blueprints
show the key customer actions, how customers and employees from different departments interact (called the line of interaction), the frontstage actions by those service employees, and how these are supported by back-stage activities and systems.
Blueprints
These maps the overall customer experience, the
desired inputs and outputs, and the sequence in which the delivery of that
output should take place.
Front-stage activities.
This is what the customer
can see and use to assess service quality.
Physical evidence of front-stage activities.
clearly separates what customers experience and can see front-stage, and the back-stage processes customers can’t see.
Line of visibility
These must be performed to support a particular
front-stage step.
Back-stage activities.
where support processes are typically provided by the information system, and supplies are needed for both front- and back-stage steps.
Support processes and supplies
are where there is a risk of things going wrong and affecting service quality.
Fail points
_____________ should be designed out of a process (e.g., via the use of poka-yokes), and firms should have backup plans for failures that are not preventable.
Fail points
—. These can then either be designed out of the process, or if that is not always possible, firms can implement strategies to make waits less unpleasant for customers.
Identifying customer waits
should be established for each activity to reflect customer expectations. They include specific times set for the completion of each task and the acceptable wait between each customer
activity.
Service standards and targets
DIVISION OF SERVICE PROCESS
Most service processes can be divided into three main steps:
Pre-process stage
In-process stage
Post-process stage
is where the preliminaries occur, such as making a reservation, parking the car, getting seated, and being presented with the menu.
Pre-process stage
where the main purpose of the service encounter
is accomplished, such as enjoying the food and drinks in a restaurant.
In-process stage
is where the activities necessary for the
closing of the encounter happens, such as getting the check and
paying for dinner.
Post-process stage
A good __________ should draw attention to the points in service delivery
where things are particularly at risk of going wrong.
blueprint
IDENTIFYING FAIL POINTS
From a customer’s perspective, the most serious fail points, marked in our blueprint by an F in a _____, are those that will result in the failure to access or enjoy the core product.
They involve items such as the reservation 1.(“Could the customer get
through by phone?”, 2.“Was a table available at the desired time and
date?,” or 3.“Was the reservation recorded accurately?”) 4.and seating (“Was a table available when promised?”).
circle
Since service delivery takes place over time, there is the possibility of
delays between specific actions, requiring the customers to ________.
Common locations for such waits are identified on the blueprint by _______
wait
ON A TRIANGLE
IDENTIFYING FAIL POINTS
Excessive _____ will annoy customers.
In practice, every step in the process both front-stage and back-stage has
some potential failures and delays.
waits
___________ WHO coined the acronym OTSU (“opportunity to screw up”)
David Maister
WHAT IS THE MEANING OF ‘OTSU’
(“opportunity to screw up”)
stress the importance of thinking through all the things that might go
wrong in the delivery of a particular service.
OTSU (“opportunity to screw up”)
It’s only by identifying all the possible ________ associated with a particular process that service managers can
put together a delivery system that is designed to avoid such problems
OTSU (“opportunity to screw up”)
Design high standards for each step to satisfy and delight
Time parameters, correct performance, prescriptions for style and
demeanor.
SETTING SERVICE STANDARDS
First impressions affect customer’s evaluations of quality during later
stages of service delivery
SETTING SERVICE STANDARDS
Customer perceptions of service experiences tend to be cumulative
SETTING SERVICE STANDARDS
For low-contact service, a single failure committed front stage is
relatively more serious than a high-contact service.
SETTING SERVICE STANDARDS
often reveals opportunities for failure
proofing to reduce/eliminate the risk of errors
Analysis of reasons for failure
— human failures during contact with customers
treatment errors
— failures in physical elements of service
tangible errors
— include measures to prevent omission of tasks
or performance of tasks in the wrong order, incorrectly and too slowly.
Also doing work that wasn’t requested in the first place.
Fail-safe procedure
Need for fail-safe methods for both _________and __________
employees
customers
One of the most useful Total Quality Management (TQM) methods in manufacturing is the application of _______________________ to
prevent errors in the manufacturing processes.
poka-yokes or fail-safe methods
The term ___________ is derived from the Japanese words poka (inadvertent errors) and yokeru (to prevent)
poka-yokes
The term poka-yokes is derived from the Japanese words______ (inadvertent errors) and ________(to prevent)
poka
yokeru
__________ roughly means “avoid unexpected surprises” or “avoid blunders” in Japanese. In English, a poka-yoke is sometimes referred to as “mistake-proof” or “foolproof.”
Poka-yokes
Essentially, a ___________ is a safeguard that prevents a process from proceeding to the next step until the proper
conditions have been met.
poka-yoke
Server _____________ ensure that service employees do things correctly, as
asked, in the right order and at the right speed.
poka-yokes
____________________________________ Who introduced this concept to fail-safe service processes.
Richard Chase and Douglas Steward
Online banking system incorporate validation checks at various stages of the transaction process e.g
providing real-time feedback such as displaying the recipients name associated with the entered number
allowing users to verify the accuracy before confirming the transaction.
POKA-YOKES DESIGN USED BY FIRMS
Some firms place mirrors at the exits of staff areas and frontline staff can then automatically check their
appearance before greeting a customer
POKA-YOKES DESIGN USED BY FIRMS
Restaurants digital ordering systems can help reduce the likelihood or getting an order wrong
POKA-YOKES DESIGN USED BY FIRMS
Starbucks barristers are trained to repeat their customers’ orders to ensure that the correct coffee is
served.
POKA-YOKES DESIGN USED BY FIRMS
*Revitalize the process that has become outdated.
*Changes in the external environment make existing practices obsolete and require
redesign of underlying processing.
*Rusting occurs internally
*Opportunity exists to achieve a quantum leap in productivity and service quality.
REDESIGN
KEY MEASUREMENT OF REDESIGN (4)
- Reduce cycle failures
- Reduce cycle time
- Enhance productivity
- Increase customer satisfaction
*Examining the service blueprint with key stakeholders — customers, frontline employees, support staff and IT teams are invited to review
the blueprint and to brainstorm for ideas on how to improve the process.
- Elimination of non-value adding steps.
- Reducing bottlenecks and balancing process capacity.
- Shifting to self-service.
PROCESS REDESIGN: APPROACHES
refers to the actions and resources supplied by customers during service production, including mental, physical, and even emotional inputs.
Customer participation
Levels of Customer Participation (3)
1.Low Participation Level
2. Moderate Participation Level
3.High Participation Level
employees and systems do all the work. Service products
tend to be standardized. In situations where customers come to the service factory, all
that is needed is the customers’ physical presence e.g visiting a movie theater or
taking a bus
Low Participation Level
customers’ inputs are required to assist the firm in
creating and delivering the service, and in providing a degree of customization. These
inputs may include the provision of information, personal effort, or even physical possessions e.g when getting their hair washed and cut, customers must let the stylist know what they want and cooperate during the different steps in the process.
Moderate Participation Level
_________________ customers work actively with the provider to co-produce the service.
High Participation Level
Service cannot be created without the customer’s active participation e.g
marriage counseling and educational services
High Participation Level
____________ is the ultimate form of customer involvement in service production
Self-service
OR SELF SERVICE TECHNOLOGIES (SSTS)
Customer directly uses the system and facilities available and avail the services
thereby
SELF SERVICE TECHNOLOGIES (SSTS)
Internet-based services are also part of self-service to divert customers from
direct contact of the customers
SELF SERVICE TECHNOLOGIES (SSTS)
“A customer who behaves in a
thoughtless or abusive fashion,
causing problems for the firm itself, employees, or other customers”.
“Jaycustomer”
________________________
Can disrupt processes.
Affect service quality.
May spoil experience of other
customers.
JAYCUSTOMER
seeks to avoid paying for
service/ manipulates
The Thief
– ignores rules of social behavior and/or procedures for safe, efficient use of service.
The Rule breaker
– fails to pay bills on time
The Deadbeat
Finding out various ways how people can steal – then prosecuting them. But in severe check should not overlook the genuine ones
WHAT TYPE OF JAY CUSTOMERS?
The Thief
ACTIONS:
Depends upon which type of rule has been broken
If legally supported one then can be punished.
If health and safety related then needs to be educated.
If social, then needs to be guided and warned.
WHAT TYPE OF JAY CUSTOMERS?
The Rule breaker
ACTIONS;
Ask for Pre-payments
Present the bill immediately to the customer
If sending the bill then send it sooner when the service is still fresh in the minds of customers
WHAT TYPE OF JAY CUSTOMERS?
The Deadbeat
– angrily abuses service personnel (and sometimes other customers) physically and/or emotionally
The Belligerent
– a sub-category of belligerents who get into arguments with other customers mostly their own
family members, and spoil the scene around
The Family Feuders
– consciously damages
physical facilities, furnishings, and equipment
The Vandal
ACTIONS:
Move away such customers from public
Bring a third party in between
Break for reflection (telephone
conversation)
WHAT ARE THE TYPES OF JAY CUSTOMERS?
The Belligerent
Employee intervention may either spoil the situation or even solve so should give a trial-error-based effort
Detailed analysis of the situation needs to be taken & managers need to take a quick respond If no other option then warn your customer.
WHAT ARE THE TYPE OF JAY CUSTOMERS?
The Family Feuders
ACTIONS:
Improved Security
Security deposits
Sign an agreement
Warnings about fragile objects
WHAT ARE THE TYPES OF JAY CUSTOMERS?
The Vandal
