Process configurations - services, Operation Management

Assignment Help:

Process Configurations - Services

Schmenner's service - process matrix was introduced, categorising service operations by the degree of labour intensity and the degree of customisation/ customer interaction. Building on Schmenner's ideas, Silvestro et al (1999) have devised a service- process model (see figure) which parallels the Hayes and Wheelwright product-process matrix. Three of Schmenner's categories (professional services, service shops and mass services) are mapped against volume and customisation/contact time/discretion. Customisation refers to the degree to which the service may be tailored to a particular customer's requirements; discretion concerns the extent to which the service provider may decide how to perform the operation. As with the product-process matrix, these basic service types naturally lie on a diagonal. The implications are that a service which positions itself above the diagonal is likely to be uncompetitive, because a greater degree of customisation and contact time is being provided than is appropriate, whilst a service positioned below the diagonal will, likewise, be uncompetitive because the service offerings are over-standardised and inflexible.

At the professional services end of the spectrum the operations are, typically, lengthy and conducted by highly-skilled, highly-paid personnel; the customer participates in the service process, often determining the specification of the service (customisation) during its course. Often, long-term relationships are established between individual staff members and customers, giving the opportunity to 'lock' the customer to the service provider. Because such professionals are consulted for what they know, rather than what they do, there is generally little scope for replacing labour by equipment. At the other end of the spectrum, mass services are characterised by highly-standardised short-duration services delivered by staff who, typically, will have limited skills and are lowly paid. Although the customer may be presented with a range of choices, these are always pre-determined and standardised; there is little scope for customisation. Because of the standardisation and high volume, specialised equipment is often used to replace labour.

The combination of low variety, standardisation and the customer's participation in the process, presents a particular challenge to the service process designer; to ensure that the customer does not feel that he/she is being 'processed', it is important that the service encounter and its surroundings are designed to be as 'warm' as possible.


Related Discussions:- Process configurations - services

Process design, Ski Boards, INC., wants to enter the market quickly with a ...

Ski Boards, INC., wants to enter the market quickly with a new finish on its ski boards. It has three choices: (a) refurbish the old equipment at a cost of $800, (b) make major mod

Describe the correlation between realization factor, Can anyone please expl...

Can anyone please explain the correlation between Realization Factor, Capacity, Utilization, and Rolled Throughput Yield, please? Equations would also be nice.

Function of dispatching, Function of Dispatching Under dispatching the ...

Function of Dispatching Under dispatching the following functions are included: 1. Assignment of work to individual machines or work places and men, 2. Movement of materi

Define personal selling techniques be applied at target, How can personal s...

How can personal selling techniques be applied at target? Provide specific examples to support your response.

Explain violated the confidentiality agreement, Paranzino claims she deposi...

Paranzino claims she deposit $200,000 in a bank but was given a receipt for only $100,000, but she did not notice the mistake until later. She sued the bank, but attended court ord

Layout planning - facility layout, Layout Planning - Facility Layout L...

Layout Planning - Facility Layout Layout planning occurs at three levels of detail:  1. Layout of departments on the site For a public house, as an exampl

What are the demand management strategies, What are the demand management s...

What are the demand management strategies? Demand management strategies: It is aims to affect customer demand levels at exact times, so as to match demand closer to the o

Plant layout, Outline the considerations for choice of location and the cri...

Outline the considerations for choice of location and the criteria for good layout?

Explain what are some of the risks in using an rfp process, After reviewing...

After reviewing the RFP Tutorial from the lecture this week, share your thoughts about the steps outlined for creating an RFP. What value does an RFP bring to finding and buying th

Explain what is the best production order quantity, Johnson Plastics makes ...

Johnson Plastics makes and sells, among many other things, specialty plastic display cases for retail stores. Johnsons expected demand for the display cases is 1,000 units, and ave

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd