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What are the benefits of a good Service Design?

Updated: 9/21/2023
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Anandvijayakumar

Lvl 1
12y ago

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Good Service Design will deliver a range of business benefits that help to underline its importance in the design of new and changed services. These are summarized below:

• Lower cost services because of the lower support and enhancement costs, leading to lower Total Cost of Ownership (TCO).

• Services that consistently provide the required level of quality and alignment to business and customer needs.

• Faster and easier introduction of new services and service changes.

• Better governance to ensure compliance to legal and corporate rules and guidelines.

• Better measurement capability to support decision-making and continual improvement.

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What are the key factors affecting the design of products or services and possible benefits to be gained from good design?

Factors affecting service design:Divergence:Deviation from standard procedures and systems set up for service implementation.service provider need to customize his offering to meet customer expectation.E.g.: Veg-Non Veg, Halal Food.Complexity:Complexity of service production process has to be considered.Can be reduced by specialising in certain steps.E.g.: Take away outlets.Customer Participation and Interaction:Identify requirements of customer's interaction with the staff.Wherever interaction is more, design has to be customer friendly and according to the status of the customer.E.g.: Banking (Premium / Normal Customers)


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Factors affecting service design:Divergence:Deviation from standard procedures and systems set up for service implementation.service provider need to customize his offering to meet customer expectation.E.g.: Veg-Non Veg, Halal Food.Complexity:Complexity of service production process has to be considered.Can be reduced by specialising in certain steps.E.g.: Take away outlets.Customer Participation and Interaction:Identify requirements of customer's interaction with the staff.Wherever interaction is more, design has to be customer friendly and according to the status of the customer.E.g.: Banking (Premium / Normal Customers)


What are the Goals of Service Design?

The purpose or Goals of Service Design are: • To design services that not only satisfy business and stakeholder objectives in terms of quality, ease of use, compliance and security, but also minimize the Total Cost of Ownership • To design efficient and effective policies, plans, processes, architectures and frameworks to manage services throughout their lifecycle • To support Service Transition in identifying and managing the risks associated with introducing new or changed services • To design measurement systems for assessing the efficiency and effectiveness of Service Design and its deliverables • To contribute to Continual Service Improvement (CSI), particularly by designing in features and benefits and then responding to improvement opportunities identified from the operational environment