IT Service Management Part 2 part 2

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What is service provision typically concerned with?

Outcomes and costs

Consumption of services

Service relationship management

Management of resources and fulfillment of service actions (correct)

What is service consumption primarily concerned with?

Management of consumer's resources needed to use the service (correct)

Management of provider's resources

Continual improvement

Service level management

What is the primary goal of service relationship management?

To achieve desired outcomes

To ensure continual value co-creation (correct)

To reduce costs

To improve service provision

What is a key concept covered in this chapter?

Service management Signup and view all the answers

What is an outcome in the context of service management?

A result for a stakeholder enabled by one or more outputs Signup and view all the answers

What is the difference between an output and an outcome?

An output is a deliverable, while an outcome is the result achieved by the consumer Signup and view all the answers

What is an example of a recreational theme park not fulfilling its warranty?

A significant number of rides are frequently unavailable due to mechanical difficulties Signup and view all the answers

Why might it be difficult for a service provider to fully understand the desired outcomes of the consumer?

Because the provider and consumer do not have a clear understanding of each other's needs Signup and view all the answers

What is an example of a recreational theme park not fulfilling its utility?

Rides do not have features that provide the levels of excitement expected by visitors Signup and view all the answers

What do stakeholders play a crucial role in?

Value co-creation Signup and view all the answers

What is a cost in the context of service management?

The amount of money spent on a specific activity or resource Signup and view all the answers

What are the two types of costs involved in service relationships from the consumer's perspective?

Costs removed from the consumer and costs imposed on the consumer Signup and view all the answers

What is the primary focus of service providers?

Meeting customer needs Signup and view all the answers

What is a benefit of understanding customer needs?

Better service design Signup and view all the answers

What is the role of business relationship managers (BRMs) in internal IT or HR departments?

To regularly talk with customers and discuss their needs and expectations Signup and view all the answers

What is an example of a service provider predicting or creating demand for certain outcomes?

A social network creating a new feature Signup and view all the answers

What is the relationship between service providers and consumers?

Complex and dependent Signup and view all the answers

What are the key components of consumer value?

Benefits, costs, and risks Signup and view all the answers

What is the importance of understanding customer needs?

It helps to design and deliver services Signup and view all the answers

What will be built upon in the next few chapters?

Key concepts in service management Signup and view all the answers

What kind of guidance will be provided in the next few chapters?

On applying service management concepts Signup and view all the answers

What is essential for an organization to create value?

Cooperating with consumers in service relationships Signup and view all the answers

What is a key aspect of a service relationship?

Cooperation between service providers and consumers Signup and view all the answers

What is the role of a service provider?

To provide services to others Signup and view all the answers

What is a result of a service provider delivering services?

Creation of new resources for the service consumer Signup and view all the answers

What happens to the service consumer after using the new or modified resources?

Creates its own products to address another target consumer group Signup and view all the answers

What is an example of a service that modifies existing resources?

Training service Signup and view all the answers

What is a service relationship?

Cooperation between two organizations Signup and view all the answers

What includes service provision, service consumption, and service relationship management?

Service relationship Signup and view all the answers

What is a result of a service consumer using new or modified resources?

It creates its own products Signup and view all the answers

What is an example of a service that creates new resources for the service consumer?

Software development service Signup and view all the answers

What is the total cost of consuming a service comprised of?

The price charged by the service provider and other costs such as staff training Signup and view all the answers

What do consumers consider when assessing the value created by a service?

Both types of cost and the risks involved Signup and view all the answers

Why is it important for service providers to understand the cost of service provision?

To ensure that services are delivered within budget constraints Signup and view all the answers

What are the two types of risk that are of concern to service consumers?

Risks removed from a consumer by the service and risks imposed on a consumer by the service Signup and view all the answers

What is the duty of the provider in terms of risk management?

To manage the detailed level of risk on behalf of the consumer Signup and view all the answers

How can consumers contribute to the reduction of risk?

By actively participating in the definition of the requirements of the service Signup and view all the answers

What is utility in the context of a service?

The functionality offered by a product or service to meet a particular need Signup and view all the answers

What is warranty in the context of a service?

Assurance that a product or service will meet agreed requirements Signup and view all the answers

What is essential for a service to facilitate its desired outcomes and create value?

Both utility and warranty Signup and view all the answers

What should be considered when assessing the viability of a service?

The impact of costs and risks on utility and warranty Signup and view all the answers