Service Management

By Venkatesh.N

ByVenkatesh.N

Service

>A service is an action of doing something to some one which is essentially (purely) intangible…

>“Service is an act or performance offered

by one party to another that is essentially

intangible and does not result in the

ownership of anything.”

Supply chain management

Supply chain management is a total system approach to managing the entire flow of information, materials, and services from

raw -materials suppliers through factories warehouses to the end customer

Contd…..

A supply chain is the system of organizations, people, activities, information and resources involved in moving a product or service from supplier to customer.

Supply chain activities transform raw materials and components into a finished product that is delivered to the end customer.

Supply chain

Supplier Manufacturer Distributor Retailer Customers

Supply chain management

Characteristics of services

Characteristics Intangibility:

It cannot be taste, feel & smell before they are bought unlike physical product. The intangibility creates a feeling of uncertainty about the outcome of service.

Inseparatebility:

Services cannot be separated from the services provided (we cannot separate the service from the product) in fact the product delivers consumption of a service.

Variability:

Services of highly variable. It is almost impossible to have the same service from the same seller the second time.

Contd…. Customer participation:

Service product is not a one side activity customer are core product of services. The product quality of services greatly depends upon the ability, skills and performance of the employees as well as the activity and performance of the customer.

No ownership

here we cannot transfer ownership from one person to other person that particular service belongs to particular person because its purely intangible

Pershability They cannot be stored

Product And Service Marketing Mix

Differences B/W Goods and Services

Goods / Services

Classification of service It is required to design & apply marketing techniques to

completely satisfy the customer & increase profit & identify new emerging services

Classification can be done on the following basis Classification by industry Classification by target effect Skill level of service provider (professional/Non

professional) Labour intensiveness(people-based/ equipment-based) Degree of customer involment

Classification by industry Entertainment industry Education Telecommunication Finance & insurance Transportation Public utilities Government services Health Hospitality industry Business services

Classification by target effect

Based on degree of customer involment People processing:- service aimed at physical

care Ex:-health care, clinics, restaurants, hospital, hair stylist, fitness centers.

Mental Stimulus processing:- services aimed at mind of customer Ex:-education, information, entertainment, consulting, psychotherapy.

Possession processing:- Service aimed at physical possession & tangible assets Ex:- repair & maintance, Laundry, repair Services, House cleaning services

Contd….

Information processing:- service for tangible assets Ex:- banking legal consultation, brokerage , financial service.

Skill level of service provider:- Teacher Doctor Engineer Accountant

Lobour Intensiveness

Mechanic Electrician Labour Plumber Artisan

Degree of customer contact

High degree (every day)-TV channels, Mobile etc…..

Moderate Degree(regular)- teacher, barber, washer man etc…

Low degree(occasional)-priest, doctor etc…

Service encounter

A service encounter is a period of time during which customer interact directly with a service. It is also called as "Moment of Truth“

Service encounters are transactional interactions in which one person (e.g., a vendor, office clerk, travel agent) provides a service or good (e.g., a product, an appointment, airline tickets) to another person.

Service blueprint

The blueprint is an operational tool that describes the nature and the characteristics of the service interaction in enough detail to verify, implement and maintain it.