A service system (or value co-creation system) is a configuration of
technology and organizational networks designed to deliver services that
satisfy the needs, wants, or aspirations of customers. Marketing,
operations, and global environment considerations have significant
implications for the design of a service system. Three criteria used to
classify service systems include: customer contact, capital intensity, and
level of customer involvement. Properly designed service systems employ
technology or organizational networks that can allow relatively
inexperienced people to perform very sophisticated tasks quickly -- vaulting
them over normal learning curve delays. Ideally, empowerment of both service
provider employees and customers (often via self service) results from well
designed service systems.
Service systems range from an individual person equipped with tools of the
trade (e.g., architect, entrepreneur) to a portion of a government agency or
business (e.g., branch office of a post office or bank) to complete
multinational corporations and their information systems (e.g, Domino's
Pizza, Federal Express). Hospitals, universities, cities, and national
governments are designed service systems. The language, norms, attitudes,
and beliefs of the people that make up a service system may evolve over
time, as people adjust to new circumstances. In this sense, service systems
are a type of complex system that is partially designed and partially
evolving. Service systems are designed to deliver or provision services, but
they often consume services as well.
Every service system is both a service provider and a customer of multiple
types of services. Because service systems are designed both in how they
provision and consume services, services systems are often linked into a
complex service value chain or value network where each link is a value
proposition. Service systems may be nested inside of service systems (e.g.,
staff and operating room unit inside a hospital that is part of a nationwide
healthcare provider network).
Service system designers or architects often seek to exploit an economic
complementarity or network effect to rapidly grow and scale up the service.
For example, credit cards usage is part of a service system in which the
more people and businesses that use and accept the credit cards, the more
value the credit cards have to the provider and all stakeholders in the
service system. Service system innovation often requires integrating
technology innovation, business model (or value proposition) innovation,
social-organizational innovation, and demand (new customer wants, needs,
aspirations) innovation.
For example, a national service system may be designed with policies that
enable more citizens (the customers of the nation) to become an
entrepreneur, and thereby create more innovation and wealth for the nation.
Service systems may include payment mechanisms for selecting a level of
service to be provided (upfront or one time payment) or payment based on
downstream value sharing or taxation derived from customers who received the
benefit of the service (downstream or ongoing payment). Payments may also be
in the form of credit (creative arts) or other types of intangible value
(see anthropological theories of value and theory of value).
From:
Wikipedia
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