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

Describe the concepts of empowerment, Explain the concepts of empowerment, ...

Explain the concepts of empowerment, self-managed teams, and cross-functional teams, and develop an essay that argues for their inclusion in either a tall or flat organizational st

Tools and techniques of layout planning, Tools and Techniques of Layout Pla...

Tools and Techniques of Layout Planning Various techniques are available for planning the layout. The most commonly used techniques is the use of two dimensional templates. O

Process layout - process design, Process Layout - Process Design This ...

Process Layout - Process Design This form of layout is used when there is no dominant flow pattern, and is particularly appropriate for job shop and small-batch operations. Th

Explain forecast equipment usage, A dry cleaner uses exponential smoothing ...

A dry cleaner uses exponential smoothing to forecast equipment usage at its main plant. August usage was forecasted to be 88 percent of capacity; actual usage was 89.6 percent of c

Explain safety stock would provide a stock out risk, The injection moulding...

The injection moulding department of a company uses an average of 30 gallons of special lubricant a day. The supply of the lubricant is replenished when the amount on hand is 170 g

Explain how would this change of currency affect, When the Zagat, a leading...

When the Zagat, a leading provider of leisme-hased survey results, released its San Francisco Restaurants Survey, it marked the 25th year that Zagat Survey reported on diners and t

Explain what are equitable and legal remedies, As a new manager in your dep...

As a new manager in your department, you are tasked with the job of providing employee training for members of your department who have interactions with the legal department. In o

When needed extra money to spend, Please explain in detail the answer for t...

Please explain in detail the answer for the following scenario: Your boss looks at his budget in April and realizes that he has extra money to spend, so he tells you to create and

Explain what is the maximized profit, Riverside Oil Company in eastern Kent...

Riverside Oil Company in eastern Kentucky produces 3 different grades of gasoline. They are regular, premium, and supreme grades. Each barrel of regular grade sells for $82 while p

Explain groups differently from other employees is necessary, Compare and c...

Compare and contrast what motivates Millennials from Baby Boomers, Generation X, and Generation Y. Assess whether motivating these groups differently from other employees is necess

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