Sections
The first section motivates the importance of services and introduces fundamental theories and concepts. The section provides an introduction to service engineering and management and explains the concepts of servitization, product service systems and service dominant logic. We recommend to enrich this section with multiple examples and discussions. For participants, it is important to understand that service thinking is not limited to classical service industries. Enabled by IT and digitization, almost all industries undergo changes and adapt a service dominant logic. Additionally, participants should recognize that this transformation affects almost every part of organizations, e.g. research and development, operations, sales, marketing, etc. Also, the role of IT as main driving force behind this phenomenon should be highlighted.
Keywords
Learning outcomes
After the unit participants are able to: share the fascination for services, explain the increasing importance of the service sector and describe the driving forces behind this development, explain the concepts of service, product service systems, servitization and service dominant logic as well as the corresponding challenges industries are facing, demonstrate how digitalization and IT transform industries and are the driving force behind servization, provide examples how value creation and domain boundaries are changing by increased servitization.
Recommended readings
Alter S (2012) Metamodel for service analysis and design based on an operational view of service and service systems. Service Science 4:218–235.
Vargo, S. & Lusch, R. 2004. Evolving to a new dominant logic for marketing. Journal of marketing, 68, 1-17.
Jetter, M.; Satzger, G.; Neus, A. (2009): Technological Innovation and Its Impact on Business Model, Organization and Corporate Culture – IBM’s Transformation into a Globally Integrated, Service-Oriented Enterprise. In: Business & Information Systems Engineering, Vol. 1 (2009) 1, pp. 37-45.
Maglio PP, Vargo SL, Caswell N, Spohrer J (2009) The Service System Is the Basic Abstraction of Service Science. Information Systems and e-Business Management, 7(4): 395-406.
Baines, T. S., Lightfoot, H. W., Benedettini, O., & Kay, J. M. (2009). The servitization of manufacturing: A review of literature and reflection on future challenges. Journal of Manufacturing Technology Management, 20(5), 547-567.
Chesbrough, H. & Spohrer, J. 2006. A Research manifesto for service science. Communications of the ACM, 47, 35-40.
Edvardsson, B., Gustafsson, A. & Roos, I. 2005. Service portraits in service research: a critical review. International Journal of Service Industry Management, 16, 107-121.
For German-speaking classes this textbook can be used:
Leimeister, J.M. (2012): Dienstleistungsengineering und -management. Springer, Heidelberg, Berlin 2012.
This section presents an introduction into service design. Service design is a form of conceptual design which involves the activity of planning and organizing people, infrastructure, communication and material components of a service in order to improve its quality and the interaction between service provider and customers. The purpose of service design methodologies is to design back and front office of services according to the needs of customers and the competences/capabilities of service providers, so that the service is user-friendly, competitive and relevant to the customers, while being sustainable for the service provider. For this purpose service design uses methods and tools derived from different disciplines. The section introduces the fundamentals of service design and design thinking, as well as different techniques and methods. Focus are on creativity techniques, evaluation methods and prototyping. Depending on the overall scope of the course, this section can be enhanced greatly by presenting several methods and exercising them in class.
Keywords
Learning outcomes
After the unit participants are able to:
- explain the basic concepts and theoretical foundations of service design,
- apply creativity techniques for service design and development,
- assess and select different methods for evaluation within service design,
- explain and apply prototyping in the context of service design,
- apply the presented service design methods and techniques.
Recommended readings
Patrício, L., Fisk, R. P., Cunha, J. F., & Constantine, L. (2011). Multilevel Service Design: From Customer Value Constellation to Service Experience Blueprinting. Journal of Service Research, 14(2), 180-200.
Glushko R, Tabas L (2009) Designing service systems by bridging the “front stage” and “back stage”. Information Systems and E-Business Management 7(4):407–427.
Menschner, P.; Prinz, A.; Koene, P.; Köbler, F.; Altmann, M.; Krcmar, H. & Leimeister, J. M. (2011): Reaching into patients‘ homes - participatory designed AAL services. In: Electronic Markets, Ausgabe/Number: 1, Vol. 21, Erscheinungsjahr/Year: 2011. Seiten/Pages: 63-76.
Magnusson P (2003) Benefits of involving users in service innovation. European Journal of Innovation Management, 2003(6) 228-238.
Saco, R.M.; Goncalves, A.P. (2008): Service Design: An Appraisal. In: Design Management Review, Vol. 19 (2008) 1, pp. 10-19.
Chai, K.-H.; Zhang, J.; Tan, K.-C. (2005): A TRIZ-Based Method for New Service Design. In: Journal of Service Research, Vol. 8 (2005) 1, pp. 48-66.
For German-speaking classes this textbook can be used:
Leimeister, J.M. (2012): Dienstleistungsengineering und -management. Springer, Heidelberg, Berlin 2012.
Services delivery can generally be regarded as processes. Service modeling is the activity of representing processes of the service delivery, so that the current process may be analyzed or improved. The objective is often to increase process speed or reduce cycle time; to increase quality; or to reduce costs, such as labor, materials, scrap, or capital costs. This section provides an introduction to the role of modeling methods for service engineering. Emphasis is put on potentials and the danger of over-emphasizing modeling efforts, as well as on the role of modeling as a socio-technical process. The Service Blueprint as well as the Business Process Modeling Notation (BPMN) is introduced as modeling language. Additionally, Quality Function Deployment (QFD) and Failure Mode Effects Analysis (FMEA) can be applied to service models to improve efficiency.
Keywords
Learning outcomes
After the unit participants are able to:
- understand services being processes
- explain the value of service modeling for service engineering and management
- design process models with service blueprint
- design process models with BPMN
- explain role and function of process engines and Business Process Management Suites
- explain the foundations of QFD and FMEA for services
Recommended readings
Fließ , S., & Kleinaltenkamp, M. (2004). Blueprinting the service company: Managing service processes efficiently. Journal of Business Research, 57(4), 392-404.
Bitner MJ, Ostrom AL, Morgan FN (2008) Service blueprinting: a practical technique for service innovation. California Management Review, 50(3), 66.
OMG (2012): Business Process Model and Notation (BPMN) 2.0. In: http://www.bpmn.org, accessed at 15.03.2012.
Shostack, L.G. (1982): How to Design a Service. In: European Journal of Marketing, Vol. 16 (1982) 1, pp. 49-63.
Jing-Hua, L.; Lei, X.; Xiu-Lan, W. (2009): New service development using GAP-based QFD: a mobile telecommunication case. In: International Journal of Services Technology & Management, Vol. 12 (2009) 2, pp. 146-174.
Chuang, P.-T. (2007): Combining Service Blueprint and FMEA for Service Design. In: Service Industries Journal, Vol. 27 (2007) 2, pp. 91-104.
For German-speaking classes this textbook can be used:
Leimeister, J.M. (2012): Dienstleistungsengineering und -management. Springer, Heidelberg, Berlin 2012.
This section focuses on service management and its particularities. Service operations refers to the entirety of activities – directed by policies, organized and structured in processes and supporting procedures – that are performed by an organization or part of an organization to plan, deliver, operate and control services offered to customers. It is concerned with meeting the needs of customers, and has the objective to design an appropriate mix of people, process and information technology to meet customer needs and business goals. The first part of the section presents challenges within service management, lying a focus on selected strategies and methods and techniques from demand management and revenue management. The second part presents IT service management. IT services represent a specific class of services – being pioneer in standardization or service factory. Therefore, ITIL as reference model for IT-service management is introduced, leading to discussions of transferability of those concepts to other services.
Keywords
Learning outcomes
After the unit participants are able to:
- name foundations, central tasks and principles of IT service management
- describe the importance, objectives and central processes of the ITSM reference model ITIL
- describe and exemplify tasks and challenges of service management
- name most important strategies for demand management
- apply selected methods for demand management to examples
Recommended readings
Baglieri, E.; Karmarkar, U. (2014): Factory or Theatre? Towards the Convergence. In: Managing Consumer Services. Hrsg.: Baglieri, E.; Karmarkar, U. Springer International Publishing, 2014, pp. 233-271.
Stephen S. Tax, David McCutcheon, and Ian F. Wilkinson (2013): The Service Delivery Network (SDN): A Customer-Centric Perspective of the Customer Journey. Journal of Service Research November 2013 16: 454-470.
Cleophas, C., & Frank, M. (2011). Ten myths of revenue management–A practitioner's view. Journal of Revenue & Pricing Management, 10(1), 26-31.
Marrone, M., & Kolbe, L. M. (2011). Impact of IT service management frameworks on the IT organization. Business & Information Systems Engineering, 3(1), 5-18.
Buffa, E.S.; Cosgrove, M.J.; Luce, B.J. (1976): An Integrated Workshift Scheduling System. In: Decision Sciences, Vol. 7 (1976) Nr. 4, S. 620-630.
Fitzsimmons, J.A.; Fitzsimmons, M.J. (2011): Service Management - Operations, Strategy, Information Technology. 7th Ed.., McGraw-Hill, New York 2011.
Hanna, A., Windebank, J., Adams, S., Sowerby, J., Rance, S., & Cartlidge, A. (2008). ITIL V3 foundation handbook. The Stationary Office, Norwich, UK.
van Bon, J.; De Jong, A.; Kolthof, A.; Pieper, M.; Rozemeijer, E.; Tjassing, R.; van der Veen, A.; Verheijen, T. (2002): IT Service Management, An Introduction. Van Haren Publishing, Zaltbommel 2002.
For German-speaking classes this textbook can be used:
Leimeister, J.M. (2012): Dienstleistungsengineering und -management. Springer, Heidelberg, Berlin 2012.
Service quality is a comparison of customer expectations with performance. A business with high service quality will meet customer needs whilst remaining economically competitive. Improved service quality may increase economic competitiveness. This aim may be achieved by understanding and improving operational processes, identifying problems quickly and systematically establishing valid and reliable service performance measures and measuring customer satisfaction and other performance outcomes. This section describes particularities and challenges when assessing service quality. Further, different methods and techniques, e.g. the GAP Model or Kano are introduced. Performance management extends this notion and includes activities which ensure that goals are consistently being met in an effective and efficient manner. Performance management can focus on the performance of an organization, a department, employee, or even the processes to build a service. It can be understood as a process by which organizations align their resources, systems and employees to strategic objectives and priorities. This section introduces fundamentals on performance management for services and exemplifies this by the service scorecard.
Keywords
Learning outcomes
After the unit participants are able to
- identify problems in perception and measurement of service quality
- analyse customer perception and service quality by using the GAP model
- describe specifics of IT-based service offerings in regard to service quality
- apply measurement techniques for service quality
- describe goals and foundations of performance management
- apply service scorecard and benchmarking for services
Recommended readings
Grönroos, C., & Ojasalo, K. (2004). Service productivity: Towards a conceptualization of the transformation of inputs into economic results in services. Journal of Business Research, 57(4), 414-423.
Calabrese, A. (2012). Service productivity and service quality: A necessary trade-off?. International Journal of Production Economics, 135(2), 800-812.
Lovelock, C.; Wirtz, J. (2011): Service Marketing. People, Technology, Strategy.7th Ed., Pearson, Boston, pp.104-216.
Kano, N. (1984): Attractive Quality and Must-be Quality. In: Hinshitsu: Journal of the Japanese Society for Quality Control, Vol. 4 (1984), pp. 39-48.
Bitner, M.J.; Zeithaml, V.A.; Gremler, D.D. (2010): Technology’s Impact on the Gaps Model of Service Quality. In: Handbook of Service Science. Hrsg.: Maglio, P.P.; Kieliszewski, C.A.; Spohrer, J.C. Springer US, 2010, pp. 197-218.
Grönroos, C. (1984): A service quality model and its marketing implications. In: European Journal of Marketing, Vol. 18 (1984) 4, pp. 36-44.
For German-speaking classes this textbook can be used:
Leimeister, J.M. (2012): Dienstleistungsengineering und -management. Springer, Heidelberg, Berlin 2012.
The second section introduces necessities and challenges for the systematic development and design of new service offerings. It provides an introduction to innovation theories for services, followed by fundamental concepts and theories of service engineering. The central role of service strategies is presented, followed by the business model canvas. Particularities of service innovations and digitization should be included and explained. Engineering thinking, i.e. systematically, repeatable and projectable development of innovations is introduced. Further, different process models that structure a systematic and repeatable service innovation process are introduced, allowing participants to outline service development processes themselves. The life-cycle perspective for service innovations will be highlighted, especially dependencies between service engineering and service management. Participants will understand that development and operations are not separate disciplines, but rather should influence and fertilize each other. Towards the end of the session, concepts for involving customers into service engineering, e.g. via open innovation, are presented and their benefit will be discussed.
Keywords
Learning outcomes
After the unit participants are able to
- outline strategies for service businesses and corresponding business model
- illustrate characteristics and challenges for the design of service innovations
- explain the role of service engineering
- discuss the potentials and risks of systematic development of service offerings
- explain the most common process models for service engineering
- outline a timeline and framework for a service engineering process
- describe the concept of open innovation for services
- exemplify the benefits of customer integration in different phases of service engineering
Recommended readings
Böhmann, T., Leimeister, J. M., & Möslein, K. (2014). Service-Systems-Engineering. Business & Information Systems Engineering, 6(2), 73-79.
Edvardsson B, Olsson J (1996) Key Concepts for New Service Development. The Service Industries Journal, 16(2): 140-164
Bullinger, H. J., Fähnrich, K. P., & Meiren, T. (2003). Service engineering—methodical development of new service products. International Journal of Production Economics, 85(3), 275-287.
Chesbrough HW (2011) Open Services Innovation: Rethinking Your Business to Grow and Compete in a New Era. Wiley, New York
Fähnrich, K.; Meiren, T. (2007): Service Engineering: State of the Art and Future Trends. In: Advances in Services Innovations. Editors.: Spath, D.; Fähnrich, K.-P. Springer Verlag, Berlin 2007, pp. 3-16.
Menschner, P.; Peters, C.; Leimeister, J.M. (2011): Engineering knowledge-intense, person-oriented services - A state of the art analysis. ECIS 2011 Proceedings. Helsinki, Finland.
For German-speaking classes this textbook can be used:
Leimeister, J.M. (2012): Dienstleistungsengineering und -management. Springer, Heidelberg, Berlin 2012.