SERVMARK - LONG QUIZ

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Questions and Answers

Match the following service design concepts with their definitions:

Flowchart = A simple or complex diagram describing a process Blueprinting = A detailed specification of a service process Servicescape = The physical environment of a service delivery site Sensory costs = Unpleasant sensations affecting any of the five senses

Match the following service environment terms with their descriptions:

Ambient conditions = Characteristics of the environment affecting the five senses Spatial layout = The arrangement of furnishings and equipment Sensory burdens = Negative sensations experienced during service delivery Floor plan = The physical layout of a service environment

Match the following service employee concepts with their descriptions:

Boundary spanners = Service employees interacting with customers and management Two-bosses dilemma = Conflict between company rules and customer demands Conflicting roles = The struggle between management and customer expectations Organizational behavior = The study of human behavior in organizations

Match the following labor market concepts with their descriptions:

Good image firm = A company with a positive reputation in the community Attractive value proposition = A firm's benefits and perks for employees Labor market competition = The competition for employees among firms Employee retention = The ability to keep employees in a firm Signup and view all the answers

Match the following self-service technology concepts with their descriptions:

ATM = An automated self-service machine for banking transactions Self-service = A technology enabling customers to perform services themselves Service automation = The use of technology to automate service delivery Customer control = The ability of customers to control their service experience Signup and view all the answers

Match the following service process concepts with their descriptions:

Simple form = A basic flowchart describing a process Complex form = A detailed blueprint of a service process Delay steps = Steps in a process that slow down service delivery Process mapping = The process of creating a flowchart of a service process Signup and view all the answers

Match the following service environment elements with their descriptions:

Counters = Furniture for service transactions Machinery = Equipment used in service delivery Furnishings = Items in a service environment for customer comfort Spatial arrangement = The layout of a service environment Signup and view all the answers

Match the following service employee challenges with their descriptions:

Conflicting roles = The struggle between management and customer expectations Two-bosses dilemma = Conflict between company rules and customer demands Boundary spanning = The role of service employees in interacting with customers and management Employee stress = The negative feelings experienced by service employees Signup and view all the answers

Match the following customer segments with their characteristics:

Platinum = Heavy users, contribute a large share of the profits Gold = Larger percentage of customers, slightly more price sensitive Iron = Bulk of the customer base, provide economies of scale Lead = Generate low revenues, require same level of service as iron customers Signup and view all the answers

Match the following terms with their definitions:

Good job = Motivation and satisfaction from doing a good job Good judgment = Ability to make sound decisions Zone of affection = High satisfaction levels, no need to look for alternatives Idiot proof = Designing systems to mitigate customer errors Signup and view all the answers

Match the following skills with their descriptions:

Interpersonal skills = Generic across service jobs, include visual communications skills Technical skills = Specific to a job, require specialized knowledge Listening attentively = Part of interpersonal skills, important in service jobs Good judgment = Ability to make sound decisions in a job Signup and view all the answers

Match the following loyalty strategies with their descriptions:

Hard lock-in = Contractual penalties for switching, such as transfer fees Zone of affection = High satisfaction levels, no need to look for alternatives Good job = Motivation and satisfaction from doing a good job Idiot proof = Designing systems to mitigate customer errors Signup and view all the answers

Match the following customer characteristics with their implications:

Heavy users = Contribute a large share of the profits Price sensitive = Influenced by pricing in decision-making Low revenues = Generate little profit for the firm High commitment = Loyal to the firm, less likely to switch Signup and view all the answers

Match the following service firm goals with their descriptions:

Delivering high-quality products = Important for corporate citizenship Being a good corporate citizen = Reflects positively on the firm's reputation Motivating employees = Leads to job satisfaction and pride Designing idiot-proof SSTs = Mitigating common customer errors Signup and view all the answers

Match the following customer service aspects with their importance:

Listening attentively = Crucial in understanding customer needs Good judgment = Important for effective decision-making in service jobs High satisfaction levels = Lead to loyalty and retention Idiot-proof systems = Enhance customer experience and reduce errors Signup and view all the answers

Match the following customer segments with their implications for the firm:

Platinum customers = Contribute significantly to profits Iron customers = Provide economies of scale and infrastructure Lead customers = Require same level of service as iron customers Gold customers = Contribute moderately to profits, slightly price sensitive Signup and view all the answers

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Study Notes

Types of Flowcharts

A simple flowchart describes an existing process in a straightforward manner
Blueprinting is a more complex form of flowcharting that outlines how a service process is built in detail

Designing Services

Even self-service machines like ATMs are designed to make users feel in control
The servicescape (service environment) relates to the style and appearance of physical surroundings and experiential elements encountered by customers

Sensory Costs

Sensory costs refer to unpleasant sensations affecting any of the five senses (sight, sound, smell, taste, touch)
Examples of sensory costs include crowding, noise, unpleasant smells, drafts, excessive heat or cold, uncomfortable seating, and visually unappealing environments
Ambient conditions refer to characteristics of the environment that affect the five senses

Spatial Layout

Spatial layout refers to the floor plan, size and shape of furnishings, counters, machinery, and equipment, and their arrangement

Service Employees

Service employees are called boundary spanners, often having conflicting roles due to their position
Boundary spanners may face the "two-bosses dilemma" of choosing between enforcing company rules and satisfying customer demands

Job Satisfaction

People are motivated and satisfied when they know they are doing a good job
A good image as a place to work is essential to attract and retain employees

Customer Segments

Platinum customers: heavy users, small percentage of customer base, contribute large share of profits
Gold customers: slightly more price sensitive, less committed, larger percentage of customer base
Iron customers: bulk of customer base, provide economies of scale, important for capacity and infrastructure
Lead customers: low revenues, require same level of service as iron customers

Service Strategy

Hard lock-in strategies refer to switching costs created by contractual penalties for switching, such as transfer fees
Services should be designed to be "idiot proof" to mitigate common customer errors