Outsourcing delivery of service to customers gives competitive advantage to the company. People like to be involved in the process which will bring benefit to them; they are doing it not for somebody else but for themselves. Service manager needs to decide what services can be outsourced or what amount of this service delivery can be handles by customers. If the service is not very complicated or difficult to do and does not require highly specialized skills it can be outsourced to customers. In addition, even if some knowledge and expertise is required in service delivery it still can be outsourced: customer needs to be provided with certain information on how to accomplish the task. There was a mathematical model developed on how to calculate profit levels of two companies: one using full self service delivery and the other using full service. The research resulted in the interesting finding that the optimal, the best proportion of the workload to be outsourced is 0 or 100.
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Productivity and customer efficiency also has influence on service quality and expected demand. When review a customer participates in proposal the process, the perceived value of the service is increased many times, because customer himself has done something by himself. As a result, customers increasing participation in the service processes will bring changes on the market with high competition level. There are many questions to be answered before the company decides to use full self serviced delivery. Among them are: Will the self serving companies be able to gain enough of market share to be competitive on the market compared to traditional approaches? How will this result be achieved by self serviced companies? Who will be the leader: new approaches to delivery or traditional ones? What are the advantages and disadvantages of each service delivery approach? These questions can be answered only by the service mangers that have tried both approaches and found out which one is better. The role self service and customer in the process of delivery is very important, because the customer creates the value of the service by himself. He is the one responsible for the delivery quality and there is nobody else to blame for faults.
There is shredder a growing competition between these emerging self service based companies and traditional employee based service companies. For example, internet stock trading companies customer trading stocks successfully competes against traditional brokerage companies employee trades for customers. In this example, the outcome of the competition is obvious - the workload between the company and customer (serf service) is a decisive factor. The expenses for hiring new employees for service delivery are absent. The company gets pure income. This is another reason why service operations manager should try to increase customer participation as much as possible. The difference in the proportion of workload which is outsourced tot eh customer or end user influences the companys service delivery process and infrastructure as well as costs reduction. In addition, the impact of increased customer participation in the delivery process on the service quality is defined by the self service level. Customers self service is an important, sometimes even bigger, part of the service.
The mixture of these two extremes is still present in business businesses today, even though the increasing self-service delivery will change the situation. Customers involvement is usually mandatory, obligatory for the delivery processes. However, the service operations manager needs to know very well the specifics of service product: the level of necessary customer involvement will vary depending on this. There are cases when customers provide only minimal assistance throughout the process: they summary stay passively preoccupied. Nevertheless, in most cases customers substitute employee service with the self-service: they play active roles. Especially recently, customers tend to be more active in self service. Increasing customer involvement has a lot of benefits as practice has shown. For example, internet auctions and Internet banking are all self serviced. Such new business models (aimed at using full customer self service) have great success in establishing their market position and achieving greater market share.
Service operations managers should make increasing customer participation in quality service delivery a major goal if they want to stay competitive on the market. The impact of customer participation in service delivery on perception of the quality of the product is not absolutely researched yet. There is a tendency that increased level of customer participation in the services that are familiar for customer, will lead to higher perceived quality of service delivered. Service delivery and Customer Experience, rapid developments of self service technologies are becoming the main service delivery channel in recent years. The customer participation is service process is quickly increasing due to this reason. Service operations managers need to decide to which extend the customer is involved into delivery process. It is expected that in nearest future only two extreme formats of delivery will prevail: complete employee service and complete self service.
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Find free essays on different topics in English at m for save your assignment, relax while we are working on your task, and just enjoy the best of all worlds! Cant find your topic? Let us write it for you! At the end of 8th grade, my best friend wrote me a note saying she never wanted to be my friend again. I was devastated, and terribly depressed all summer, terrified to start High School alone. Forty years later, i realize that that experience was probably what made me finally reach out to develop new friends.
Those friends encouraged me to develop my life-long interest in speech, theater, and writing. More importantly, that experience of rejection gave me a lifelong compassion for others. Introduction, ensuring that customers get what they want is called a service quality. Managing service delivery is the single most effective mean for differentiation among companies. Technologies and travel industry development bring people and products even closer.
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