1 Chapter 5. Technology in Services

2 請幫忙！時間緊急！ n 黃教授要買二手車。 n 太座後天要去日本本州北陸高原旅遊， 要帶雪衣？ n 下週運輸年會研討會在台南長榮大學辦 ，預約大會建議的台糖長榮酒店？

3 Learning Objectives 1. IT and e-business 2. e-business models VS. traditional 3. importance of scalability

4 1. Role of Technology in the Service Encounter Technology Custome r Serve r Serve r Serve r Serve r Serve r Custome r D. Technology-Mediated Service Encounter E. Technology-Generated Service Encounter A. Technology-Free Service Encounter B. Technology-Assisted Service Encounter C. Technology-Facilitated Service Encounter

5 2. Evolution of Self-service Service IndustryHuman ContactMachine AssistedInternet Facilitated BankingTellerATMOnline banking GroceryCheckout clerkSelf-checkout stationOnline order/ pickup AirlinesTicket agentCheck-in kioskPrint boarding pass RestaurantsWait personVending machineOnline order/ delivery Movie theaterTicket saleKiosk ticketingPay-for-view Book storeInformation clerkStock-availability terminalOnline shopping EducationTeacherComputer tutorialDistance learning GamblingPoker dealerComputer pokerOnline poker

6 2. Self-service Technologies (SST) Challenges n Does customer adoption of self-service follow a predictable pattern? n How do we measure self-service quality (e.g., ease of use, enjoyment, perceived control)? n What is the optimal mix of SST and personal service for a service delivery system? n How do we achieve continuous improvement when using SST? n What are the limits of self-service given the loss of human interaction?

3. Classification of Service Automation n Fixed-sequence (F) - parking lot gate n Variable-sequence (V) - ATM n Playback (P) - answering machine n Numerical controlled (N) - animation n Intelligent (I) - autopilot n Expert system (E) - medical diagnosis Totally automated system (T) – EFT Automation system vs. service worker

8 4. Technology Convergence Enabling E-Business n Internet n Global telephone system n Communications standard TCP/IP (Transfer Control Protocol/Internet Protocol) n Addressing system of URLs n Personal computers and cable TV n Customer databases n Sound and graphics n User-friendly free browser

9 5. Purpose of Web-sites n Retail channel (Amazon.com) n Supplemental channel (Barnes & Nobel) n Technical support (Dell Computer) n Embellish existing service (HBS Press) n Process orders (Delta Airline) n Convey information (Kelly Blue Book) n Communicate with membership (POMS.org) n Play games (Treeloot.com) 交大數位娛樂所？

10 Discussion: Amazon.com n How would you contrast Amazon’s business design with that of Barnes & Noble before Barnes & Noble went online? n From a customer’s perspective, what are the advantages and disadvantages of each design?

11 5. Electronic and Traditional Services

12 5. Grocery Shopping Comparison

13 6. E-Business Models: Place to Space n Content Provider: The New York Times n Direct-to-Customer: Dell n Full-Service Provider: GE Supply Co. n Intermediary: eBay n Shared Infrastructure: SABRE n Value Net Integrator: 7-Eleven Japan n Virtual Community: MySpace n Whole-of-Enterprise: Government

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15 3. Economics of Scalability n Information vs goods content of service package n Degree of customer contact n Standardization vs customization n Shipping and handling costs n Cost of after sales service e.g. Contribution Margins = R - VC

16 3. Service Package and E-Service Selling (providing) information Selling value- added service Selling services with goods Selling goods Used car prices Online travel agent Computer support Online retailer Kelly Blue Book (Google) Biztravel.comEverdreamAmazon.com Information dominates service package Goods dominates service package

8. Adoption of New Technology in Services n Challenges: Customer acceptance, Employee retraining 偉義的畢專 TAM n Technology readiness, TRI n Technology-related paradoxes: control/chaos, freedom/enslavement, new/obsolete, competence/incompetence, efficiency/inefficiency, fulfills/creates needs, assimilation/isolation, engaging/disengaging. ( 想買新手機，但舊的還很好用？ ) n Radio Frequency Identification (RFID)

18 Interactive Exercise The class breaks into small groups, formulates criteria to judge Internet sites, and then using the criteria selects a superior Internet site to defend before the class. 我的最愛？