Generic Approaches to Service System Design

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Generic approaches to service system design

production-line approach routine services can be delivered through this approach, services are provided in a controlled environment to ensure consistent quality and efficiency of operation. a service taking this approach could gain a competitive advantage with a cost leadership strategy. this approach attempts to translate a successful manufacturing concept into the service sector.

limited discretionary action of personnel a feature that contributes to the production line approach's success. standardization and quality (defined as consistency in meeting specifications) are the hallmarks of a production line. for standardized routine service, consistency in service performance would be valued by customers. because of this, employees have little power to make decisions in producing a product or service and the customer can thus expect identical service at any location of a particular operation. division of labor a feature that contributes to the production line approach's success. the production-line approach suggests that the total job be broken down into groups of simple tasks. task grouping permits the specialization of labor skills, and the division of labor allows one to pay only for the skill that's required to perform the task. this raises criticisms of many service jobs being min-wage, dead end, and low-skill jobs. substitution of technology for people a feature that contributes to the production line approach's success. the source of progress in manufacturing. this approach also can be used in services, as seen by the acceptance of ATMs in lieu of bank tellers. a great deal can be accomplished by means of the "soft" technology of systems, however. service standardization a feature that contributes to the production line approach's success. limiting service options creates opportunities for…...

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