Seminar 1: Service Innovation - SQIM (PDF)

Seminar 1 Subject SQIM Class Type Seminar Date @January 18, 2025 Why Service Innovation ? People need and desire change and evolved over time Need to rethinking existing services and innov...

Seminar 1 Subject SQIM Class Type Seminar Date @January 18, 2025 Why Service Innovation ? People need and desire change and evolved over time Need to rethinking existing services and innovate new ones Vital for livelihood , sustainability of business and maximizing potential growth Service Innovation can be : Part of a service or service process (Customer process, value chains or service infrastructure) Applied to a completely new or improved and updated service Can be a service or created to complement a product Combining existing elements into new service Digitalization can be part of it as it improve process , prioducts or services Benefit of Service Innovation Improved productivity Reduced cost Increased competitiveness and livelihood Improve brand recognition and value Ready to react to changes , trends and habits Seminar 1 1  During introduction: When developing and launching new offerings to customers During growth: Adapting offerings to market demands During maturity: Extending existing services During decline: Transitioning to new services Different element influence service innovation Nature of customers Customer feedback Network and contacts Culture Legal Issues Organization and service provider skills and competencies Collaboration internally or externally The specific location, town, country, or an island that may require it Service Design Focuses on service from the customer’s point of view. designing a whole service; from the moment the customer starts thinking about the possible purchase until the end of the life cycle of the product The goal is to deliver a positive customer experience at all points of interaction between a company and a customer. Improving service experience Seminar 1 2  How did service business survive in the past ? Truly good at delivering service Some business are monopolistic Excel in marketing Have better products High barriers to entry Customers now expects quality products/services universally Providing information and managing expectation comes down to managing experience. This means providing relevant , reliable information at every step of the customer service process Design Process is a problem-solving discipline that seeks to address four main issues : 1. Understandability 2. Usability 3. Distinction - Why do something when it is not memorable 4. Aesthetics - pleasing colour and shape (“A product known for its pleasing shape also functions well because a well-designed product is first and foremost auseable product.) Service Design User Centered that involves everuone Goal is to make small improvement and give to customers gather feedback and improve again Smaller steps = Faster and more apparent result Seminar 1 3  Service Design as operations and aspirations Profit Motivated , Business Focused and based on a proven track record If customers get what they want at a reasonable price and are willing to pay what they deemed fair , they will recommend the product to to others If staff are rewarded reasonably , they will continue to put in efforts remain motivated and loyal Motivated and empowered staff work hard to delicer a superior product or service to a customer , often above and beyond Touchpoint where business meets customer user experience journey is made up of series of micro- experiences and moments that add up to overall experience Persona Based on realistic character traits Believable Include socio-demographic and income indicator Seminar 1 4  Empathy Map study the customer experience and collect their views The goal is to visualize the process of decision-making that customer experience Help business recognize moments where customers are experiencing difficulties , and if unmanaged will result to customers walking away Impulse Understanding the routes customers take to your business or channel through different customer group will allow business to manage customer experience effectively Example (isit convenience , low prices ?) Omnichannel World Seminar 1 5  When you innovate service, consider the different channels and methods of interaction to be detailed on the customer journey map. a. Which devices do customer use? b. Which sources of information are likely to reach them? c. Where they come from, and where do they go after they leave your business? d. Personas and data-mining capabilities can complement the customer journey with statistical information. How do customer feel ? emotional journey takes places besides the interactions between the customer and the brand Map of this journey shows how customer feels at different stage and different channel Data-mining and online service will show you where people are unhappy with and consider walking away from your business Personas and careful mapping helps the customer feel and also know why they feel the way they do. Journey Map Seminar 1 6  visualization of the process that a person goes through in order to accomplish a goal. Visualization and Non Linear Information One of the most striking ways service design differs from business consultation is the visualization When information is presented visually, it makes the information contextual and easy to understand in just a glance or two Gives an overview and see how everything fits A map contain significant amount of information is immediately comprehensible and can present both general and specific data simultaneously When everyone looks at a map, everyone is on the same page. Hence miscommunication is reduced Complaints When no one complaint, it doesn’t mean that everyone is happy, or anyone is unhappy either 90% of the consumers don’t complaint because venting their frustration is a waste of time and will cost more than the complaint is worth Seminar 1 7