Elements Of Service Mktg Mix Product Physical Evidence Process Customer Service People Place Price Promotion Prof. M K Sarma, Tezpur University, Autumn, 2009

Process Processes involve the procedures, tasks, schedules, mechanisms, activities and routines by which a service is delivered to the customer. Two Basic Concepts: Complexity Divergence Prof. M K Sarma, Tezpur University, Autumn, 2009

Process Complexity: Number of steps or sequence and intricacy ( or complexity) to be performed during the process Divergence: Executional freedom or variability of the steps Prof. M K Sarma, Tezpur University, Autumn, 2009

Process Higher Complexity leads to Higher Divergence gives rise to Uniformity in quality Reduced cost of production thus lower selling price Increased productivity Low skilled or unskilled labourer Inflexibility High stanardisation High customisation Premium price High flexibility Skilled worker Difficult distribution Prof. M K Sarma, Tezpur University, Autumn, 2009

Process Four Strategies for Repositioning Through Structural Changes Reduce Divergence Increase Divergence Increase Complexity Reduce Complexity Mass Marketing, Easy availability of services High Customisation, Niche marketing, Milching Market Penetration Specialised market, Easier Distribution Prof. M K Sarma, Tezpur University, Autumn, 2009

Process Four Strategies for Repositioning Through Structural Changes Low DivergenceHigh Divergence High Complexity Low Complexity MBA Institute Adds Tourism Mgnt Adds Consultancy Only Diploma level Gets Affiliated to a University Exams run by the University Prof. M K Sarma, Tezpur University, Autumn, 2009

Process Steps in Service Blueprinting 1. Divide the total process into different sequence and logical steps 2.Relate each activity and event with other activities and events 3.Allot divergence in each activity or event 4.Identify the fail points (executional and consistency problems) 5.Set executional standards in terms of Cost, performance criteria, and tolerance limits 6.Identify the moments of truth Prof. M K Sarma, Tezpur University, Autumn, 2009

Process Blueprinting Preparation of a Cup of Tea Put a pan with Water on the stove Put water on pan Water boils Strain the Boiled water Prepare Strainer Clean strainer Put Appropriate amount of Tea Leaves on the strainer Prepare Water Add Sugar Stir Add Milk SERVE Reduce Customisation A very simple operation blueprinting Moment of truth Prof. M K Sarma, Tezpur University, Autumn, 2009

Process Service Blueprinting It is a tool for simultaneously depicting the service process, the points of customer contacts, and the evidence of service from the point of view of the customer. PROCESS CONTACT PTS. EVIDENCE SERVICE BLUEPRINT Prof. M K Sarma, Tezpur University, Autumn, 2009

Process Service Blueprinting It is a picture or a map that accurately portrays the service system so that different people involved in providing it can understand and deal with it objectively regardless of their roles from their individual point of view. Prof. M K Sarma, Tezpur University, Autumn, 2009

Process Service Blueprinting Components of Blueprinting PHYSICAL EVIDENCE CUSTOMER ACTION Line of Interaction Line of Visibility Line of Internal Interaction ON STAGE CONTACT EMPLOYEE ACTION BACKSTAGE CONTACT EMPLOYEE ACTION SUPPORT PROCESS Prof. M K Sarma, Tezpur University, Autumn, 2009

Process Service Blueprinting Anytime the vertical line crosses the boundary of the horizontal boxes (line of interaction) service encounter occurs. KEY COMPONENTS OF SERVICE BLUEPRINT 1. Definition of standard of each front stage activity 2. Physical and other evidence 3. Principal customer action 4. Line of Interaction (Moment of Truth) 5. Front Stage Action by Customer Contact Persons (CCP) 6. Line of Visibility 7. Backstage Activities by Customer Contact Persons 8. Support Process involving Service Personnel 9. Support Process involving Information Technology. Prof. M K Sarma, Tezpur University, Autumn, 2009