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Page 1: Service Development Process

8/3/2019 Service Development Process

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Presented By: Rahul Pandey

Page 2: Service Development Process

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FRONT END PLANNING

Business strategy developmentor review

New strategy development

process Idea Generation

Concept development andevaluation

Business analysis

IMPLEMENTATION

Service development and testing

Market testing

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Front end planningFront end planning

1. Business strategy 

development or 

Review ... Review mission and vision

Orientation towards growth Primary strategic orientations

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Front end planningFront end planning

2.New service

strategy 

development«

By defining a new service strategy, theorganization will be in better position

to begin generating specific ideas.

One way to begin is to use theframework

The other one is to use the matrix

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Front end planningFront end planning

3. Idea generation«Idea generated at this phase can bepassed through new service strategyscreen. Many methods and avenuesare available for searching out newservice ideas.

* Interacting with others* Creativity techniques

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Front end planningFront end planning

4.Concept 

development and

evaluation«

Who is the target market and who isthe decision maker in the purchasingprocess

What features must the productincorporate.

What benefits will the service provideto the customer and the organizations

Evaluation by employees andcustomers

a. Whether they understand the idea of proposed

serviceb. Whether they are favorable to the concept

c. Whether they feel it satisfies the unmet need

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Front end planningFront end planning

5.Business

analysis«

1.Marketing assessmenta. Targeting market

b. Forecasting of sales volume

c. Indication of product positioning

d. Competitor reaction

e. Specification of new product development

2. Financial assessmenta. Sales volume and valueb. Variable cost of production

c. Incremental fixed cost

d. Contribution and profitability of new service

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ImplementationImplementation

6. Service

development and

testing« The intangibility presents the uniquechallenges

The stage should involve all whohave stake in new service.

The concepts are refined to a point atwhich a detailed service blueprint canbe constructed.

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ImplementationImplementation

7.Market testing«

Difficult to testing in isolatedmarkets.eg.hospital has only one pointof delivery

The new service may be offered to theemployees and their families forassessing responses

An alternate is to test variations inpricing and promotions in a lessrealistic concext by presentingcustomers with hypothetical mixesand getting their responses in terms of

intentions to try the service underdifferent conditions.

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ImplementationImplementation

8.Commercialization

Service goes live & is introduced at themarket space.

The stage second has 2 objectives:

a) Built & maintain acceptance of newservice among large number ofservice delivery personnel responsiblefor service quality.

b) Monitor all aspects of service during

introduction &through the completeservice cycle. Every detail of theservice is assessed. Operatingefficiency and costs are tracked.

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ImplementationImplementation

9. Post ±

Introduction

Evaluation

The information gathered during thecommercialization of service isreviewed & changes are made in:

a) Delivery Processb) Staffing

c) Service Mix

No service will stay same. Services areexposed to deliberate or unplanned

changes. The calls for formalizing the review

process to enhance & understandcustomer perceptions.

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