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‡ The Nature of Services
‡ Service Strategy: Focus & Advantage
‡ Service-System Design Matrix
‡ Service Blueprinting
‡ Service Fail-safing
‡ Characteristics of a Well-Designed Service
Delivery System
 The Nature of Services
1. Everyone is an expert on services

2. Services are idiosyncratic

3. Quality of work is not quality of service

4. Most services contain a mix of tangible and

intangible attributes
 The Nature of Services
5. High-contact services are experienced, whereas
goods are consumed
6. Effective management of services requires an
understanding of marketing and personnel, as
well as operations
7. Services often take the form of cycles of
encounters involving face-to-face, phone,
Internet, electromechanical, and/or mail
interactions
Service Businesses & Internal Services
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‡ Facilities-based services: Where the customer
must go to the service facility
‡ Field-based services: Where the production and
consumption of the service takes place in the
customer͛s environment
Internal Services
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‡ Internal services is the
management of services required
to support the activities of the
larger organization. Services
including data processing,
accounting, etc.
Internal Supplier

Internal
Customer

External
Internal Supplier Customer
 The Customer Centered View

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 An Operational Classification of Services
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- Who is the customer? 
  

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- The extent of the customer contact in the creation of the service.

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 Service Strategy: Focus and Advantage.
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‡ Unique skills that constitute the service offering a



 
   

 Service-System Design Matrix

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‡ The application of Poka-yokes to the services can be classified into:
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 Characteristics of a Well-Designed Service
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 Characteristics of a Well-Designed Service
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 Applying Behavioral Science To Service
Encounters
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 Service Guarantees as Design Drivers

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± Any guarantee is better than no guarantee
± Involve the customer as well as employees in the design
± Avoid complexity or legalistic language
± Do not quibble or wriggle when a customer invokes a
guarantee
± Make it clear that you are happy for customers to invoke
the guarantee