Service Management

Question 1

a set of specialized organizational

capabilities for enabling value to customers in the form of services.

Answer 1

Service Management

Question 2

▪Every organization is a service organization

▪ Almost all services today are IT enabled

Answer 2

Service Organization

Question 3

Developing the specialized organizational capabilities mentioned in the above
definition requires an understanding of:

Answer 3

▪ the nature of value
▪ the nature and scope of the stakeholders involved
▪ how value creation is enabled through services

Question 4

Value

Answer 4

perceived benefits, usefulness and importance of something.

Question 5

How is Value Created?

Answer 5

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

Question 6

Organizations who deliver services are referred to as

Answer 6

service providers.

Question 7

Those to whom services are delivered are referred to as

Answer 7

Service Consumers

Question 8

Providers and Consumers Co-Create Value

Answer 8

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.

Question 9

a person or a group of people that has its own functions with
responsibilities, authorities and relationships to achieve its objectives

Answer 9

Organization

Question 10

Types of Organization

Answer 10

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.

Question 11

A person who defines requirements for services and takes responsibility for
outcomes from service consumption

Answer 11

Customer

Question 12

A person who uses services

Answer 12

User

Question 13

A person who authorizes the budget for service consumption

Answer 13

Sponsor

Question 14

Stakeholders

Answer 14

● Shareholders ● Employees ● Community

Question 15

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.

Answer 15

Service

Question 16

a configuration of resources, created by the organization, that will be potentially valuable for their customers.

Answer 16

Product

Question 17

a description of one or more services, designed to address the
needs of a target consumer group.

Answer 17

Service Offering

Question 18

What includes Service offerings

Answer 18

A service offering may include goods, access to resources, and service actions.

Question 19

Goods

Answer 19

● Ownership is transferred to the consumer

● Consumer takes responsibility for future use

Question 20

Access to Resources

Answer 20

● Ownership is not transferred to the consumer

● Access is granted/licensed under agreed terms or conditions

Question 21

Service Actions

Answer 21

● Performed by the provider to address a consumer need ● Performed according to agreement with the consumer

Question 22

What are Service Relationships?

Answer 22

o Service provisioning
o Service consumption
o Service relationship management

Question 23

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

Answer 23

Service provisioning

Question 24

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

Answer 24

Service consumption

Question 25

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.

Answer 25

Service relationship management

Question 26

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.

Answer 26

A Service

Question 27

output

Answer 27

a tangible or intangible deliverable of an activity.
Examples:
● Report
● Bill (of a consumed service)
● Emails sent (using an email service)

Question 28

outcome

Answer 28

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)

Question 29

Costs

Answer 29

the amount of money spent on a specific activity or resource.

Question 30

Type of Costs

Answer 30

▪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

Question 31

refer to possible events that could cause harm or loss, or make it more difficult
to achieve objectives.

Answer 31

Risks

Question 32

Types of Risks

Answer 32

▪ There are risks removed or reduced for the consumer by the service.
▪ There are risks potentially imposed on the consumer by the service.

Question 33

The consumer contributes to the reduction of risk through:

Answer 33

▪ 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

Question 34

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

Answer 34

Utility

Question 35

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

Answer 35

Warranty