Table Of ContentBusiness Management H
Designing Service
u
n
The moment of truth—that instant when consumers experience and judge t
•
service quality—is often a deciding factor in business success. Designing
I
v
Service Excellence: People and Technology provides practical information e
r Excellence
on the design, management, and organization of many different types of g
a˚
r
service industries, such as hotels, restaurants, banks and financial institutions, d
retail, and the public sector. The authors investigate the consumers’ experience
and judgment on service quality, which ultimately determines the success or
People and Technology
failure of the service. They then consider people, usability, and technology in
the automation of high-quality service.
D
This research-driven book identifies service—in a variety of forms—as an area
of business and management where rapid change is taking place. The authors e
examine how service has become a balance between people and technology s
i
and explore this relationship as one of the key drivers of change. They discuss g
n
how social, cultural, and technological developments influence the ways in
i
which customers contact, negotiate, and purchase services from their chosen n
service providers. These same developments are also driving communications g
between customers relating to the services they buy and are willing to
S
recommend to others (or otherwise). Intermingled, these features of our e
current-day lives have changed the nature of service provision and service use. r
v
i
c
When your organization has its moment of truth, how will it measure up?
e
Organizations whose business has service at its core and whose activities
E
focus mainly on service design, management, and delivery are likely to
x
find increasingly that, for survival, service is a matter of life or death. This
c
book provides a deep understanding of the relationship between people and
e
technology along with an ergonomic approach to the design and management l
l
of service delivery that helps you deliver the value and benefits that customers e
n
not only want, but increasingly come to expect.
c
e
K11876
6000 Broken Sound Parkway, NW Brian Hunt
Suite 300, Boca Raton, FL 33487 ISBN: 978-1-4398-4046-7
711 Third Avenue 90000
New York, NY 10017
an informa business
2 Park Square, Milton Park
www.crcpress.com Abingdon, Oxon OX14 4RN, UK Toni Iverga˚rd
9 781439 840467
w w w.c r c p r e s s .c o m
K11876 cvr mech.indd 1 10/6/14 2:20 PM
Designing Service
Excellence
People and Technology
D esigning Service
Excellence
People and Technology
Brian Hunt
Toni Iverga˚rd
CRC Press
Taylor & Francis Group
6000 Broken Sound Parkway NW, Suite 300
Boca Raton, FL 33487-2742
© 2015 by Taylor & Francis Group, LLC
CRC Press is an imprint of Taylor & Francis Group, an Informa business
No claim to original U.S. Government works
Version Date: 20140922
International Standard Book Number-13: 978-1-4398-4047-4 (eBook - PDF)
This book contains information obtained from authentic and highly regarded sources. Reasonable efforts
have been made to publish reliable data and information, but the author and publisher cannot assume
responsibility for the validity of all materials or the consequences of their use. The authors and publishers
have attempted to trace the copyright holders of all material reproduced in this publication and apologize to
copyright holders if permission to publish in this form has not been obtained. If any copyright material has
not been acknowledged please write and let us know so we may rectify in any future reprint.
Except as permitted under U.S. Copyright Law, no part of this book may be reprinted, reproduced, transmit-
ted, or utilized in any form by any electronic, mechanical, or other means, now known or hereafter invented,
including photocopying, microfilming, and recording, or in any information storage or retrieval system,
without written permission from the publishers.
For permission to photocopy or use material electronically from this work, please access www.copyright.
com (http://www.copyright.com/) or contact the Copyright Clearance Center, Inc. (CCC), 222 Rosewood
Drive, Danvers, MA 01923, 978-750-8400. CCC is a not-for-profit organization that provides licenses and
registration for a variety of users. For organizations that have been granted a photocopy license by the CCC,
a separate system of payment has been arranged.
Trademark Notice: Product or corporate names may be trademarks or registered trademarks, and are used
only for identification and explanation without intent to infringe.
Visit the Taylor & Francis Web site at
http://www.taylorandfrancis.com
and the CRC Press Web site at
http://www.crcpress.com
Dedication
The authors gratefully acknowledge their debt to the late Richard Normann,
whose writings and scholarship have stimulated our thinking over many years.
We also acknowledge the work of Jan Carlzon, especially his insightful ideas
in his classic book Moments of Truth (Cambridge, MA: Ballinger Publishing).
v
Contents
Preface ......................................................................................................................xi
About the Authors .............................................................................................xvii
1 Service: Definitions and Attributes ............................................................1
Toward a Definition of Service ......................................................................1
Fundamentals of a Service Encounter ..........................................................2
Key Components of Service ...........................................................................3
Service and Service Management .................................................................9
Transfer of Ownership ..................................................................................11
Service Requires an Immediate User ..........................................................12
Service Processes Differ from Manufacturing Processes ........................12
Manufacture and Delivery of Products Are Separated
by Time and Space .........................................................................................13
Service Provision Is Personal and Immediate ...........................................14
Service Is Emotional ......................................................................................15
Service and Trust ...........................................................................................16
Endnotes ..........................................................................................................17
2 Service and Moments of Truth ..................................................................21
Service and the Moment of Truth ................................................................21
Service as Serial Moments of Truth .............................................................21
Moments of Truth in Practice: Scandinavian Airlines System (SAS) .....22
Implications of Managing Moments of Truth............................................25
Daily Moments of Truth ................................................................................26
Moments of Truth, the Customer and the Employee ................................28
Recognizing Moments of Truth in Service Delivery ................................29
Endnotes ..........................................................................................................32
3 Service Management, Service Systems, and Service Excellence ........35
The Moment of Truth: El Momento de Verdad .............................................35
Ensuring Quality at the Point of Service Delivery....................................36
Moments of Truth as an Opportunity for Assessing Service Quality ....39
A Service Delivery System, including Organizational Systems
and Processes .................................................................................................40
Endnotes ..........................................................................................................43
4 People and Service: Customers ..................................................................47
Service and the Customer .............................................................................47
Reputation Matters ........................................................................................49
vii
viii Contents
The Costs of Poor Service .............................................................................52
Loyal Customers ............................................................................................53
Endnotes ..........................................................................................................62
5 People, Technology, and Usability: An Ergonomic Perspective .........65
Ergonomics: A Brief Overview ....................................................................65
Fundamentals and Criteria of Ergonomics and Usability .......................67
Ergonomics: Aiming for Balance .................................................................68
Motives for Physical Design as a Part of Excellence in Design
and Practice .....................................................................................................70
Usability/Ergonomics Related to Different User Groups ........................73
The World Is Getting Older ..........................................................................75
Aging Populations and Sustainable Work Life .........................................77
An Aging Workforce and Technology ........................................................79
Managing and Assuring Ergonomics and Usability ................................79
Endnotes ..........................................................................................................81
6 Leading Organizations and Employees toward Service Excellence .....85
Identifying Leadership .................................................................................85
A Leader’s Key Tasks: Develop the Organization and Its People ...........86
Leadership the Richard Branson Way ........................................................87
Leaders and Organizational Development ................................................88
Leadership and Moments of Truth: Making a Difference in
Service Organizations ...................................................................................89
Endnotes ..........................................................................................................93
7 Leading Organizations as if People Matter: Humanist Approaches .....97
Leadership Matters and People Matter ......................................................97
The Humanistic School of Management ....................................................99
Employees Come First .................................................................................101
Endnotes ........................................................................................................103
8 Service in and by Public Sector Organizations ....................................107
Service in and by the Public Sector ...........................................................107
Moments of Truth in Public Service Delivery .........................................108
Managing Moments of Truth in Public Service Delivery ......................111
The Future of the Public Sector Work and the Potential
of Automation ...............................................................................................113
Endnotes ........................................................................................................115
9 Public Sector Culture and Values: Delivering Public
Service Excellence .......................................................................................117
The Work and Structure of the Agency ....................................................117
Delivering Public Service: A Political Dimension ...................................121
The Agency’s Organizational Culture and Values .................................122