Questions and Answers
What is the interaction between a service provider and a customer called?
Moment of truth
What is Jan Carlzon's philosophy regarding service organization?
The organization exists to serve the frontline workers who have direct customer contact
Which mode describes a service encounter where only the service provider has access to technology?
Which of the following is an example of a technology-generated service encounter?
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In the service profit chain, investment in contact personnel leads to ___.
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Match the following service modes with their descriptions:
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What is one characteristic of electronic services compared to traditional services?
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Study Notes
Learning Objectives
- Understand five roles of technology in service encounters.
- Utilize the service encounter triad to depict a service firm's delivery process.
- Recognize how elements of the service profit chain contribute to revenue growth and profitability.
Introduction
- Service experiences stem from interactions between service providers and customers, termed "moments of truth."
- Quality perception is influenced by these interactions.
- Advances in Information Technology have transformed customer service dynamics.
Jan Carlzon’s Philosophy
- Organizations prioritize serving frontline workers who engage directly with customers.
- This philosophy redefines organizational hierarchy, elevating customer-contact roles.
- Investing in contact personnel correlates with a service profit chain leading to customer loyalty and profitability.
Role of Technology in Service Encounters
- Service encounters can be categorized into five technological modes relating to customer interaction styles.
Technology-Free Service Encounter
- Features high-touch service with direct human interaction.
- Common in personal care services.
Technology-Assisted Service Encounter
- Only the service provider utilizes technology to enhance face-to-face service.
- Seen in healthcare services, like full mouth x-rays at a dentist.
Technology-Facilitated Service Encounter
- Both customer and service provider have joint access to technology in the same location.
- Typical examples include financial planners and software training environments.
Technology-Mediated Service Encounter
- Technology access occurs without co-location, often utilizing phone communication.
- Examples include package tracking systems and insurance services.
Technology-Generated Service Encounter
- Human providers are completely replaced by automated systems.
- Examples consist of ATMs, self-service checkouts, and Interactive Voice Response systems in call centers.
Emergence of Self-Service
- Service delivery is increasingly reliant on machines instead of human workers.
- Shift towards anytime, anywhere electronic service models across various industries.
Technological Integration in Various Industries
- Banking transition from tellers to ATMs, facilitating cost savings and convenience.
- Grocery services explore self-checkout systems for enhanced accuracy and speed.
- Airline services evolved from ticket agents to check-in kiosks, improving customer satisfaction through quick processes.
- Restaurants and movie theaters have embraced vending machines and kiosk systems for enhanced service efficiency.
Comparison: Electronic vs. Traditional Services
- Availability: Electronic services provide access anytime versus traditional services limited to business hours.
- Access: Electronic solutions offer accessibility from any location, while traditional requires travel.
- Market Area: Electronic services can operate worldwide, unlike localized traditional services.
- Ambiance: Electronic services deliver a virtual environment compared to the physical ambiance of traditional settings.
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Description
This quiz explores the critical roles of technology within the service encounter. It covers the service encounter triad, the delivery process of service firms, and the connection between the elements of the service profit chain and profitability. Test your understanding of how technology enhances service delivery and impacts revenue growth.
