Business Exam 1 Chapters 7 7 Chapter 7 Service Processes What are process decisions that impact process selection decisions Process Structure how processes are designed technology used resources needed and their key characteristics Customer Involvement The extent of customer participation in design and delivery Resource Flexibility The ability to handle a wide variety of products output levels duties and functions Capital and Labor Intensity The mix of equipment and human skills in a process What is a service package Service Package The totality of things that are considered in being able to supply the customer with what it is the customer came to get These include Supporting Facilities The physical resources that must be in place to provide the service Facilitating Goods Material purchased or consumed by the customer while the service occurs legal documents when employing an attorney Information Data needed to provide the service Explicit Services Benefits readily observable by the customer and an essential feature of the service Car washers clean car Implicit Services Psychological benefits that the customer may vaguely sense or are nonessential features of the service that warm happy feeling having a clean car gives you How does a service process differ from a product process This one was pretty vague Involve points in the delivery of the service where customer interaction can create satisfaction Mainly the biggest difference is that throughout the process of a service the customer is a notable variable something like that Service System Design matrix See the graph on the ch 7 slides Basically it measures the amount sales opportunity and efficiency of producing the product increase or decrease with an increase or decrease in customer contact i e if you re having a face to face sit down sesh high customer contact trying to sell someone something your sales opportunity is pretty high but your efficiency is low because that shit takes a while to complete Three approaches to take away are Production Line Approach delivery is more like manufacturing than service Self Service Approach customer does more of the services themselves Personal Attention Approach more face to face down and dirty customized and individual What are the challenges faced in managing service processes Another bs vague question best I have for it is something along the lines of choosing your spot on the continuum determines how you are trying to compete and what customers expect from you so you have to make sure you re choosing that spot carefully Chapter 7a Waiting Line Analysis Arrival Characteristics Size of the arrival population either infinite or limited fixed Arrival Rate the number of units arriving per period Constant Arrival Distribution periodic with exactly the same time between successive arrivals Variable random Arrival Distribution arrival probabilities described statistically either exponential distribution or poisson distribution I don t know what the fuck this is all about because the exponential distribution isn t even listed as an option for arrival distribution in the Kendall Notation Service Characteristics 1 Configuration of service facility number of servers channels and the number of places service stops 2 Service Distribution The time it takes to serve one arrival can be fixed or random exponential distribution is often used Finite Population The limited size customer pool that will use the services and at times form a line queue Finite Queue Finite amount of available spots in the queue How do Customers Behave in Queues Behavior of Arrivals Balking customers do not join the queue Reneging customers join the queue but get up and leave before completing the service Jockey customers move from one line to another Costs applying to waiting only vs costs applying to total time waiting service hard to explain but basically it s like most of the time the concept of waiting cost applies to the cost of the customer waiting to get the service the cost of waiting for the service to be completed This would be like getting your car fixed there is a cost for waiting for your car to be the car the mechanics work on and these costs for waiting increase if the mechanic has to wait for a special part to come in to fix your car because labor is charged by the hour Sometimes the concept of waiting cost applies only to the waiting for your turn to be serviced because once you are serviced its over so fast like a bartender getting you a drink that waiting for it to be completed doesn t really have a cost to it Kendall Notation Your guess is as good as mine