service management - answeris defined as a set of specialized organizational
capabilities for enabling value to customers in the form of services
Developing the specialized organizational capabilities of service management requires
the understanding of: - answer the nature of value
the nature and scope of stakeholders involved
how value creation is enabled through services
Value - answeris the perceived benefits, usefulness, and importance of something
How is value created? - answerThere was a time when 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 service conusmer
as mono-directional and distant
Providers and consumers co-create value - answerMore and more, organizations
recognize that value is co-created through an active collaboration between providers
and consumers, as well as other organizations that are part of relevant service
relationships
Organizations who deliver services are referred to as service providers
Those to whom services are delivered are referred to as service consumers
Organizations facilitate value creation - answerAn organization is a person or a group of
people that has its own functions with responsibilities, authorities, and relationships to
achieve its objectives
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 untied by common
objectives, relationships and authorities
Service consumer roles - answerCustomer -- a person who defines requirements for
services and takes responsibility for outcomes from service consumption
User -- a person who uses services
,Sponsor -- A person who authorizes the budget for service consumption
Beyond the consumer and provier roles, there are usually many other stakeholders that
are important to value creation: - answerShareholders
Employees
Community
service - answeris 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
The services an organization provides are based on one or more of its products
product - answeris a configuration of resources, created by the organization, that will be
potentially valuable for their customers
Products are typically complex and not fully visible to the consumer. The portion of a
product that a consumer actually sees does not always represent all of the components
that comprise the product and support its delivery
Organizations define which product components their consumer see, and tailor them to
suit their target consumer groups.
service offering - answeris a 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.
Goods -- ownership is transferred to the customer; 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? - answerService provisioning consists of activities
performed by a service provider to provide services
Service consumption consists of activities performed by a service consumer to consume
services
, Service relationship management 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 Provisioning - answerManagement of provider resources configured to deliver
the service
Provision of access to resources for users
Fulfillment of the agreed service actions
Service performance management and continual improvement
Service Consumption - answerManagement of the customer resources needed to
consume the service
Utilization of the provider's resources
Requesting of service actions to fulfill
Receipt of or acquiring of goods
The Service Relationship Model - answerService providers are also service consumers
Outcomes, costs, and risks - answerA service is 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 Facilitate Outcomes - answer- An output is tangible or intangible deliverable of
an activity
Examples: report, bill (of a consumed service), emails sent (using an email service)
- An outcome is 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 - answerrefer to the amount of money spent on a specific activity or resource
**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
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