Service Defined Pure Goods ----- Mixture of Goods and Services ----- Pure Service.
12
Service Defined Pure Goods ----- Mixture of Goods and Services ----- Pure Service
-
Upload
michael-clarke -
Category
Documents
-
view
213 -
download
0
Transcript of Service Defined Pure Goods ----- Mixture of Goods and Services ----- Pure Service.
Service Defined
Pure Goods ----- Mixture of Goods and Services ----- Pure Service
Service Defined
“A service is an activity with some elements of intangibility associated with it, which involves some interactions with
customers or with property in their possession and does not result in a transfer of ownership. A change in
condition may occur and production of the services may or may not be closely
associated with a physical product.”
Service Defined
It is DEEDS, ACTS or PERFORMANCES
And NOTOnly objects, devices or things.
Service Characteristics
Giving rise to
Lack of protection from patentDifficulty in displaying and
communicating Difficulty in definingLack of perception by sense organsDifficulty in pricinglack of ability to be stored
INTANGIBILITY:
Tangibility Spectrum
SaltSoft
drinks
Detergents
AutomobilesCosmeticsCosmetics
Fast food
outlets
Fast food
outlets
Ad Agency
AirlinesInvestment Management
Consulting
Teaching
More tangible
More intangible
Service Characteristics
Giving rise to
•Physical connection of the service provider to the service•Involvement of customer in the production process•Exposure to other customers•Special challenges in mass production of services
INSEPERABILITY:
Service Characteristics
Giving rise to
•Non standardisation of quality
HETEROGENEITY:
Service Characteristics
Giving rise to
•Higher demand than maximum available supply•Higher demand than optimum supply level•Lower demand than optimum supply level.
PERISHABILITY:
The Differences with Goods
•Customer does not obtain ownership of services
•Service products are intangible performances
•Greater involvement of customer in production
•Other people too may form part of the product
•More variability in operational inputs and outputs
•Many services are difficult for customers to evaluate
•No inventory (before or after production)
•It is a real time activity
•Delivery system may involve electronic and physical
channels.
Service as a Process
Input -------------
Output
People Processing
Material Processing
Possession Processing
Information Processing
The Drama of Service DeliverySERVICE DELIVERY SYSTEM
SERVICE OPERATION SYSTEM
Line of visibility
Secondary Interaction
FRONT-STAGE
BACK-STAGE
Service as a System
Physical support
Contact Personnel
Technic-al Core
Service A
Service B
Customer A
Customer B
SERVICE DELIVERY SYSTEM
SERVICE OPERATION SYSTEM
Line of visibility
Secondary Interaction
