Service Management Flashcards
a set of specialized organizational
capabilities for enabling value to customers in the form of services.
Service Management
▪Every organization is a service organization
▪ Almost all services today are IT enabled
Service Organization
Developing the specialized organizational capabilities mentioned in the above
definition requires an understanding of:
▪ the nature of value
▪ the nature and scope of the stakeholders involved
▪ how value creation is enabled through services
Value
perceived benefits, usefulness and importance of something.
How is Value Created?
organizations saw their role as delivering value to their
customers in much the way that a package is delivered to a building by a delivery
company
This view treated the relationship between the service provider and the service
consumer as mono-directional and distant
Organizations who deliver services are referred to as
service providers.
Those to whom services are delivered are referred to as
Service Consumers
Providers and Consumers Co-Create Value
Value is co-created through an active
collaboration between providers and consumers, as well as other organizations that
are part of the relevant service relationships.
a person or a group of people that has its own functions with
responsibilities, authorities and relationships to achieve its objectives
Organization
Types of Organization
Organizations vary in size and complexity, and in their relation to legal entities –
from a single person or a team, to a complex network of legal entities united by
common objectives, relationships and authorities.
A person who defines requirements for services and takes responsibility for
outcomes from service consumption
Customer
A person who uses services
User
A person who authorizes the budget for service consumption
Sponsor
Stakeholders
● Shareholders ● Employees ● Community
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.
Service
a configuration of resources, created by the organization, that will be potentially valuable for their customers.
Product
a description of one or more services, designed to address the
needs of a target consumer group.
Service Offering
What includes Service offerings
A service offering may include goods, access to resources, and service actions.
Goods
● Ownership is transferred to the consumer
● Consumer takes responsibility for future use
Access to Resources
● Ownership is not transferred to the consumer
● Access is granted/licensed under agreed terms or conditions
Service Actions
● Performed by the provider to address a consumer need ● Performed according to agreement with the consumer
What are Service Relationships?
o Service provisioning
o Service consumption
o Service relationship management
consists of activities performed by a service provider to provide services.
o Management of provider resources configured to deliver the service
o Provision of access to resources for users
o Fulfillment of the agreed service actions
o Service performance management and continual improvement
Service provisioning
consists of activities performed by a service consumer to
consume services/
o Management of the consumer resources needed to consume the service
o Utilization of the provider’s resources
o Requesting of service actions to fulfill
o Receipt of or acquiring of goods
Service consumption
consists of joint activities performed by a service
provider and a service consumer to ensure continual value co-creation based on agreed and available service offerings.
Service relationship management
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.
A Service
output
a tangible or intangible deliverable of an activity. Examples: ● Report ● Bill (of a consumed service) ● Emails sent (using an email service)
outcome
a result for a stakeholder enabled by one or more outputs.
Examples:
● Being able to get to a destination in time for a meeting (outcome of using a smartphone-enabled travel service)
● Being able to collaborate with remote coworkers (outcome of using an email service)
Costs
the amount of money spent on a specific activity or resource.
Type of Costs
▪There are costs removed from the consumer by the service.
▪ There are costs imposed on the consumer by the service, including charges
by the service provider.
▪ Costs expressed in non-financial terms can be translated into financial costs
refer to possible events that could cause harm or loss, or make it more difficult
to achieve objectives.
Risks
Types of Risks
▪ There are risks removed or reduced for the consumer by the service.
▪ There are risks potentially imposed on the consumer by the service.
The consumer contributes to the reduction of risk through:
▪ Actively participating in the definition of the requirements of the service and the clarification of its required outcomes
▪ Clearly communicating the critical success factors and constraints that apply to the service
▪ Ensuring the provider has access to the necessary resources of the consumer throughout the service relationship
the functionality offered by a product or service to meet a particular need.
▪ What the service does
▪ Can be used to determine whether a service is ‘fit for purpose’
▪ Requires that a service support the performance of the consumer or remove
Utility
the assurance that a product or service will meet agreed requirements.
▪ How the service performs
▪ Can be used to determine whether a service is ‘fit for use’
▪ Typically addresses areas such as availability, capacity, security levels and
continuity
▪ Requires that a service has defined and agreed conditions that are met
Warranty
