Bharath Kumar n

7/30/2019 Bharath Kumar n

1/17

MATCHING THEDEMAND&SUPPLY,ROLE OF BLUE

PRINTING.

PRESENTATION BY-

BHARATH KUMAR.NSUBRAMANYA.K

UMESHA.C

3RD SEM,M.F.A

A.I.G.S


2/17

Managing Demand &supply in Service Business.

Predecting demand Managing demand

Shaping

Demand

Price

Incentive

Product/service partitioning

Demand

Promotion

off-season

Demand

Place change

of Location

Inventory

Demand

Complementary

Service

Reservation

System


3/17

Managing Supply :

Using part time

EmploeasSharing Capacity

Increasing costParticipation

Sub-contacting

Scheduling work Shift

Training Empoyers


4/17

Demand &Supply shld be

managed for 2 Reasons:

When demand is below capacity then the cost willincrease, Profitability will be eroded of the servicemay even become unproductive many users carryrelatively high fixed cost.

When the demand of capacity Supply are out ofbalance the service itself can take on a different form

This can be true when a business is running over itsoptimal capacity. This balance is known as optimalCapacity Utilization.


5/17

Financial as well as volume

measure;-

Many service organizations use volume measure

to describe there efficiency in matching

demand and supply

For eg;- Airlines have measures of seat

utilization & hotels have measures of

occupancy rates but volume measures alone

can be misleading. A hotel that has 90% fulloccupancy can still incur a losses if they room

rent charged is less than regular rent.


6/17

3 possible approaches taken this

problem of demand & supply

1) One can attempt predict the fluctuation in

demand, thus allowing capacity planning

2) One can operate with a relative level capacity

& tailor demand to fit

3) One can tailor capacity to find demand at any

point chase strategy, these approaches not

mutually exclusive & service marketers often

need to combine elements of all the 3.


7/17

3 Principles source of demand

fluctuation:

1) Historical salesData: In service company historical

sales data can be reach sources to understand

consumers

2) Desk Research: It can reveal a lot of informationwhich are published by the competitor about their

strategies & performance

3) Customer survey: while analyzing the data it is

necessary to find out of the frequency of changes in

demand


8/17

Role of Blue printing

Blueprinting was developed by Shostak in

1987.The technique used for Structural

Process Design is called Blueprinting. It is

very effective and management tool. The

Functions of Blueprinting are:

Highlighting the importance of service design

Focussed attention on process modelling.

Encourages the development of other

techniques.


9/17

STAGES IN BLUEPRINT

PREPARATION

1) Represent the service in the form of itsmolecular structure.

2) Break down the process into logical steps.

3) Recognize the variability in the process.

4) Identify the backstage elements in theprocess.

h i l i d i h h f


10/17

Each stage is explained with the reference to

hairdressing services

1) Represent the service in the form of its molecular

structure: The tangible and intangible elements form a

combination in the service. The intangible elements are

represented by circles and tangible elements by squares.

The molecular structure of hairdresser is given in figure.Mens hair-care, shaving

& other goods

Hair-

cutting

skills

Hair-

styling

skills

Ambience

shop

Equipment, e.g.

scissors, razor,timmer


11/17

In fig. the larger circle which shows hair-cutting skills

indicates that it is a intangible of the service. The other

elements like hair-styling skills, ambience & the range of

tangible elements which are on sale are felt to be subsidiaryto the customers needs for a haircut.

The broken line squares are identified as essential service

evidence by Shostack. An essential service evidence is a

physical element which is very essential to the service

provided, but which cannot be purchased by customer.

In addition to this, there may be many examples of

peripheral tangible evidence such as newspapers ormagazines to read, appointment cards etc. These are not

essential for the operation of the core services, but may add

to customer satisfaction.


12/17

2. Breaking down the process into logical steps: Takingthe example of haircutting, we can identify the steps ofa typical customer from arrival as the parlour to thedeparture:

Once the customer sits on the chair, she is asked forher requirements.

The Customers hair is then cut in a way which meets

his requirements. The hairdresser, on finishing will ask if the customer

requires anything else.

The customers will pay and depart.

The hairdresser thank the customer for payment andinvites her again.


13/17

3. Recognising the variability in the process: The

hairdresser should identify the variability in the

process of service providing. Variability can be

either.

Planned and controlled by the service provider.

Unplanned.

4. Identifying the backstage elements in the process:

The backstage elements play a very important role

in providing a satisfactory services. In case of

hairdresser he plays a role of front-stage and back-

stage.


14/17

1. Level of complexity: Here according to steps and sequences

process is constituted. It can be analysed by the number

and intricacy of the steps required to perform it.

For example: Accountant is more complex than Book

keeping.2. Degree of Divergence: It constitutes the variability of steps

and sequences.

High complex and High divergence High complex and Low divergence

Low complex and High divergence.


15/17

Conclusion


16/17

Open

for

Queries


17/17

Thank You

Bharath Kumar n

Documents

Transcript of Bharath Kumar n