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MCS 1000 (215)
Chapter 19

Chapter 19

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Marketing and Consumer Studies
MCS 1000
Linda Hunter

Flowchart: a visual representation of the steps involved in delivering service to customers - To help designing and managing customer service processes, information about the sequence in which customers use the service and the estimated length in time needed is important - A way to understand the total customer service experience - The four categories of service o People Processing: Services that involve tangible actions to people’s bodies; Stay at a motel situation o Possession Processing: Tangible actions to goods and other physical possessions belonging to customers; Repair a DVD Player Situation o Mental Stimulus Processing: Intangible actions directed at people’s minds; Weather Forecast Situation o Information Processing: Intangible actions directed at customers’ assets; Health Insurance situation Blueprint: a visual map of the sequence of activities required for service delivery that specifies front stage and backstage elements and the linkages between them - More complex form of flowcharting - A blueprint specifies in more detail how a service process should be constructed. - The term “blue prints” is used, because of the drawings used to be printed on special paper, and the drawings and notes appeared in blue - It shows what product should look like and what specifications it should follow - It is useful to use blueprint-like techniques to describe processes involving flows, sequences, relationships and dependencies - Developing a blue print o Identify all the key activities involved in creating and delivering the service o Specify the linkages between theses activities - Advantages o Differentiates from what the customer experience and the activities of employees and support processes, where customers cannot see them.  Between these two points is called the line of visibility o Shows how customers and employees interact and how these are supported by backstage activities and systems. It brings marketing, operations and human resource management within a firm o Highlight possible fail points.  Fail Point: A point in a process at which there is a significant risk of problems that can damage service quality (sometimes referred to as OSTU, opportunity to screw up. o Can also pinpoint stages in the process where customers commonly have to wait - The key components of the blueprint, reading from top to bottom are 1) Service standards for each front-stage activity 2) Physical and other evidence for front-stage activities 3) Main customer actions 4) Line of interaction 5) Front-stage actions by customer contact personnel 6) Line of visibility 7) Backstage actions by customer contact personnel 8) Support processes involving other service personnel 9) Support processes involving information technology - OSTU, opportunity to screw up: to stress the importance of thinking about all the things that might go wrong in delivering a particular type of service - Once the fail points have been identified, careful analysis of the reasons for failure in service processes is necessary o This analysis often reveals opportunities for failure proofing certain activities in order to reduce or even eliminate the risk of errors Service Process Redesign - When the process becomes out-dated, the service process should be re-designed o Changes in technology, customer needs, added service features and new offerings have made existing processes crack and creak o It can also reflect a natural weakening of internal processes, rules and regulations or the development of unofficial standards, symptoms include  A lot of information exchange  Data that is not useful  A high ratio of checking or control activities to value-adding activities
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