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Lesson 7 Notes

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12 views19 pages

Lesson 7 Notes

Uploaded by

waterflame188
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MANAGING SERVICE

OPERATION
Prepared by: Engr. Larry Angelo R. Cañete
REPORT OUTLINE
 Introduction
-Definition of managing service operation
 The need for a customer perspective
-From a Product to Customer focus.
 Design impact on front and back office systems
 Five Service operation processes:
- Request fulfilment
- Incident management
- Problem management
- Access management
- Event management
 Measuring service operations performance.
- Designing performance measurement systems.
- Implementing a service operations management system.
Introduction

 Management Service Operations: The implementation of


the organizations strategy through the operational control
of the organization by focusing on not only product or
service development, but also the delivery of products and
services to the end customer in a way that drives co-
creation of value between customer and business’. also
Effectively managing service operations is crucial to
controlling labor costs and improving customer
satisfaction.
DIFINITION OF MANAGING
SERVICE OPERATION

 Service operation  Service operation coordinates


encompasses the day-to-day and carries out activities and
activities, processes, and processes required to deliver
infrastructure that are and manage services at agree
responsible for delivering level to business users and
value to the business customers. It also manage
through technology technology that is used to
deliver and support service
The need for a customer
perspective

Few organizations now have the luxury of completely dominating their market
space. In order to stay in business organizations need to be able to capture and
keep customers. Building a loyal customer base founded on satisfaction will have a
positive impact on profitability.
FROM A PRODUCT TO CUSTOMER FOCUS
This failure to correctly capture customer requirements is inherent in
organizations that have a dominant ‘product-focus’, as opposed to a
‘customerfocus’. The characteristic of the product-focused organization is one that
develops a product first and then looks to match that product to a market.
DESIGN IMPACT ON FRONT
AND BACK OFFICE SYSTEMS
 The effectiveness of both front and back office processes then becomes dependant
on how well the positive impacts are built on, whilst managing out the negative
impacts. This then highlights the need to manage front and back office processes
not as two separate business functions, but in a connected, integrated manner.
FIVE SERVICE OPERATION
PROCESSES
REQUEST FULFILMENT

- Major aims of the request fulfilment process to provide a channel for users
to request and receive standard services for which a predefined approval
qualification process exists, to give information to users and customers about the
availability of services and the procedure for obtaining them, to source and deliver
the components of requested standard services and help with general information,
complaints or comments.
INCIDENT MANAGEMENT
- The major benefit of doing this is that incident management can be used to high
spot other areas that need attention, thus providing a reason for implementing
processes. The purpose of incident management is to reinstate normal service
operation as quickly as possible and diminish the adverse impact of the Incident on
business operations, thus ensuring that the best possible levels of service quality
and availability are maintained.
PROBLEM MANAGEMENT
- Major aim of this service process is to lessen the adverse impact of incidents and
problems on the business that are caused by errors within the information
technology infrastructure, and to prevent recurrence of incidents related to these
errors. This is vital for companies. Problem management comprises of the activities
required to identify the root cause of incidents and to determine the resolution to
the problems. It is also responsible for ensuring that the resolution is implemented
through the appropriate control procedures.
Access management
- Access management is the procedure to grant authorized users the right to use a
service, while preventing access to non-authorised users. It is, therefore, the
execution of policies and actions are defined in information security and
availability management. Access management ensures that users are given the
right to use a service, but it does not ensure that this access is available at all
agreed times. This is provided by availability management.
EVENT MANAGEMENT
- In this process, effective service operation is dependent on knowing the status of
the infrastructure and detecting any deviation from normal or expected operation.
The objectives of event management to provide the entry point for the execution
of many service operation processes and activities. Additionally, it provides a way
of comparing actual performance and behaviour against design standards and
Service Level Agreements.
MEASURING SERVICE OPERATIONS
PERFORMANCE.
IMPLEMENTING A SERVICE
OPERATIONS MANAGEMENT SYSTEM.

-According to Neely (1998) performance metrics should be selected against


four criteria. These are as follows:

- Communication: Being clear about what an organization measures


sends a clear signal to employees about what is important to the
business. This helps direct employees towards what they are expected to
focus on, and in turn how they, and their business units will be assessed.
- Motivation: The set, or focus of measures used by an
organization may influence the mindset of the employees.
- Control: Metrics must provide information that supports
effective decision-making as it relates to process control.
- Improvement: A key function of any performance metric
should be its ability to identify areas across the organization
that could be improved
IMPLEMENTING A SERVICE
OPERATIONS MANAGEMENT
 This
SYSTEM.
method aids in the development of a holistic approach to
performance management, allowing firms to recognize performance
issues before they occur. Performance metrics and management
systems have traditionally relied heavily on generating financial data,
which, while important in terms of influencing share price, cash flow,
and indicating when and where problems exist, does not provide a
clear picture of how problems may have arisen or what is driving
them. Financial measurements are, in effect, what are known as
'lagging' or 'tail-light' measures. This means they can detect
performance issues after they've occurred.

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