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Designing for Services

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    design

    for servicefor both service and manufacturing businesses

  • 7/29/2019 Designing for Services

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    contents

    01 Introduction

    02 Whyitisbenecialtoyourcompany

    03 Howyoucanapplythistoyourcompany

    04 Usingdesigntoimproveservices:examples

    05 References

    design

    for service

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    Everyone loves a great experience.Whether going to the grocers, orshopping on-line, people alwaysappreciate when things are easy andmake sense. This makes them happy,and happy customers are worth moreto every business.

    This guide is intended to give anoverview of how you can use servicedesign as a tool to win the hearts andminds of your customers by providing

    memorable experiences.

    Introduction

    Companies are under increasingpressure to provide personalised,customer-focused services. Welive in a world where products andservices are getting more and morecommoditised, and companies arestruggling to compete solely onprice. In order to stand out fromcompetitors, companies need torecognise themselves as serviceproviders and strive to make whatthey do more useful, usable and

    desirable for their users.

    01

    Anewcompetitive

    environment

    2

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    provider. These are usually calledtouch points, and include the brand,customer-facing staff, environments,sales and communications materialsand channels.

    For this reason, design for serviceis a very practical approach toimplementing a wider, design-led

    business strategy. Small businessescan use design as a creative andaccessible form of business planning

    to align their strategy, brand andcommunications around propositionsthat enhance customers experiences.

    Put simply, businesses can use designholistically to identify where, whenand how a service can be improvedand made more valuable to those whoprovide and receive it.

    Products and services differ in anumber of ways. The main implicationof those differences is that services,as opposed to products, rely on theinteractions between the users andproviders of the service.

    The design of services must includean analysis of all the points of contact

    between the user and the service

    Likeproducts,services

    canalsobedesigned!

    Introduction01

    3

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    those beans are roasted and packagedthe added value, potential price andopportunity for differentiation ismuch greater. Several steps beyondthis would be to offer a freshly

    brewed cup of coffee, at which pointthe opportunities to add valuethrough service become even greater.Companies such as Starbucks takethis even further by employingexperienced baristas to serve a widerange of drinks (but still focused on

    coffee) in a comfortable environment.They are no longer simply offeringa cup of coffee, but a consistentexperience to be shared with friendsthat will encourage customer loyalty,allow differentiation from thecompetition and increase prot.

    Today 89% of SMEs in Europe operatein some form of service industry.Twenty million people in the UK workin service organisations. The serviceeconomy now accounts for 72% of theUKs gross domestic product (1). Theimportance of services to the economy

    will continue to grow, especiallyin industrialised countries whereservices account for the majority ofGDP. For example, services comprise80% and 71% of the GDP (2) of the USA

    and France, respectively.

    In this new economy, the added valuecreated by services is far greaterthan that of products. As a simpleexample, when coffee beans are soldas an unprocessed commodity theyhave little value unless sold in bulk. If

    Wearelivinginthe

    service century

    Whyitisbenecialto

    yourcompany

    02

    source:(1) Ofce for National Statistics

    (2) WP Carey School of Business 4

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    the iPod and iTunes. IBM is also nolonger positioning itself as a hardwaremanufacturer, but rather as a serviceprovider by offering full IT solutionsfor its clients.

    Because every organisation, like itor not, is a service provider, staffneed to realise that they are serviceproviders too. For example, thetelecoms engineer who goes up themast to make sure that everything is

    working properly has an enormousinuence on the service experience

    that customers have. Or a courier,whose manners and behaviour havea signicant impact on customers

    experience.

    The inclusion of good customerservice is becoming a keydifferentiator for any type ofcompany, be it product or service

    based. In this new economy it is thewhole experience, before, during orafter the sale that really counts.

    Customers are willing to pay apremium for products and servicesthat help make their lives easier,more enjoyable and exciting.

    In the service century, even bigproduct brands like Apple and IBMare developing services for theircustomers, realising that theirproducts act as gateways or enablersof these services. The classic exampleis Apple and the integration between

    Everyone,likeitornot,is

    aserviceprovider

    Whyitisbenecialto

    yourcompany

    02

    5

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    Services are delivered throughdynamic service systems of people,processes and things and oftenother services. This means they canappear complicated to improve butthey arent.

    In order to design better services,companies can look at the ve

    fundamentals of good service tounderstand where, when andhow things can be improved.

    These fundamentals can help youunderstand how different parts of aservice system relate to each otherand how each aspect of a service canaffect a customers experience.

    Fivefundamentalsofgood

    service

    Howyoucanapplythis

    toyourcompany

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    Services are provided andexperienced through systems andrelationships. Most services areproduced and consumed within, orrely on other services. Good servicedesign always looks holistically at theservice infrastructure. This involvesunderstanding how the differentparts of a service interconnect andhow the service relies on the supportof other services.

    This means that to improve anexperience you may look to changethings behind the scenes, such asimplementing training programmesto customer-facing staff.

    SystemsDifferent services create andmeasure value in different ways, butmost services try to provide the best

    value for both users and producers.Good service design is often aboutaligning the sometimes supercially

    different interests of producers andusers to create the best value for

    both. Service design can be aboutcutting costs, but it is normally morefocused on adding value.

    Companies like FedEx createvalue and save money by helpingcustomers help themselves. Byproviding an on-line tracking system,customers can check when theirpackages will be delivered. This helpsto avoid using a busy call centre todeal with customers enquires aboutdeliveries.

    ValueAll services are experienced overtime. People also take different

    journeys to, through, and froma service. Good service designrecognises these differences andexamines what happens before,during and after the central serviceexperience, for both producers andusers.

    To provide enjoyable experiencescompanies need to understand how

    each point of contact between theuser and provider affects the servicedelivery.

    JourneysServices always involve peopleand rely on both the user and theproducer working together. Someservices are very product-centred,

    but a service is never just a product,it is always about people. Goodservice design always puts peoplerst and should involve users and

    producers actively participating inthe design process.

    Ultimately, frontline staff are the face

    of a company. In order to provideenjoyable experiences, you mightneed to ensure that your customer-facing staff are properly selected andtrained.

    PeopleServices are generally packaged as aproposition for users to buy into. Aservice proposition is a useful termto describe competing service offersin a competitive marketplace. Goodservice design is about developingand designing valuable, innovativepropositions for users and producers,and creating exciting visions to takeexisting propositions forward.

    This means that successful

    companies usually translateintangible service propositions intotangible and desirable offerings. Forexample, Innocent, the fruit drinkmaker, was founded on the desire tomake it easier for people to maintaintheir health.

    Propositions

    7

    Thevefundamentals

    of good service

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    We can learn a lot about how todeliver great service experiences

    by looking at organisations who areexcellent at it. When you look at theseorganisations, they usually excelunder six headings:

    Vision

    Resources

    Reliability

    Responsiveness

    Reassurance

    Communication

    The following guide can be used tostimulate discussions about how yourcompany can reveal areasfor improvement.

    Sixelementsof

    service design

    Howyoucanapplythis

    toyourcompany

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    Element1:Vision

    Excellent service organisationsexhibit a clear vision about their goalsand strategies.

    A vision for the future has to be basedon an understanding of where the

    business is now, who you are servingand how you came to this point.Questions to ask should include: What does your business offer your

    customers?

    How does it afford to operate? How did the business start?

    What were the important

    landmarks (difculties and

    successes)? What is your turnover and how

    protable is your business?

    What are your core capabilities and

    strengths?

    Who are your customers and how

    can you identify which ones providemost income?

    Why do your customers do business

    with you? What are your customers needs (in

    addition to what you offer them)? Who are and how do you compare

    to your competitors?Are there any legislative,

    technological, market or culturaltrends that will impact on your

    business?

    Howyoucanapplythis

    toyourcompany

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    Element2:Resources

    Excellent service organisationsensure that their appearance isappropriate and aligned with theservice proposition.

    In order to get the appearance right,companies need to think about howthe environments, staff, equipmentand branding impact on thecustomers perceptions.

    Questions to ask should include:

    Does your organisation design theenvironments that staff work in andcustomers are served in?

    Have you made any changes as a

    result of customer and employeefeedback?

    Are there appropriate training

    programmes in place?

    What are your brand values?

    Can all employees articulate what

    these values mean to theirindividual jobs and responsibilities?

    How do they want to develop the

    brand going forward?How do staff request resources

    needed to serve customers?How often is the equipment used to

    serve customers re-evaluated?How does the organisation measure

    its performance, and the

    performance of individualswithin it?

    Howyoucanapplythis

    toyourcompany

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    Element3:Reliability

    To develop loyalty, customers andemployees need to trust that theservice is reliable and consistent being the same or better each timethey experience it.

    Being consistent also includes makingsure that you dont over-promise andunder-deliver by raising expectationsthat cant be met in all aspects of the

    business.

    All interactions with a customerduring a single transaction shouldalso be consistent in terms of your

    brand values and ease of use.

    As an example, an airline that offerseasy on-line booking is not beingconsistent in offering convenience ifonce customers arrive at the airportthere is a shortage of check-in staff or

    no facility for automated check-in.

    Questions to ask should include:What does your organisation

    promise your customers throughyour marketing andcommunications channels?

    Do you deliver on these promises?

    Are there any measures in place to

    ensure that your organisation doesnot over-promise?

    Can you ensure that your services

    are consistent over time and acrossdifferent channels?

    Does your organisation deliver

    services that are easy for customersto use?

    How usable and clear is your

    organisations website?

    Howyoucanapplythis

    toyourcompany

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    Element4:Responsiveness

    Being responsive means offering aservice just when and where it isrequired by a particular customer.

    Being able to respond to the specic

    needs of a customer might bethe difference between offering amediocre or an enjoyable experience.In order to do so, employees mightrequire some level of autonomy andexibility at the point of delivery.

    If this is the case, staff will need to

    understand what their boundariesare and you will need to be aware ofpossible process barriers that mightprevent a customer being happy.

    Questions to ask should include:Does your organisation provide

    service when and where it isrequired?

    How does your organisation measure

    the speed and effectiveness of itsservices?

    Does your organisation recognise

    the needs of different customers?How well does it respond and react

    to these differences?Do staff have the necessary

    autonomy to deliver a personalisedservice?

    What are the barriers to providing

    more autonomy?

    How willing are staff to servecustomers?

    How willing are they to go out of

    their way to ensure the customer ishappy?

    How willing is the organisation to let

    them do this?

    Howyoucanapplythis

    toyourcompany

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    12

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    Element5:Reassurance

    Everyone in your business shouldbe competent, credible, honest andcourteous.

    These capabilities and values willreassure your customers that theyshould be doing business with you.

    Getting this right will probablyrequire a training and developmentprogramme to ensure employeeshave up-to-date customer service and

    technical skills. As well as offering acompetent and credible face to your

    business, appropriately trained staffare more likely to take pride in their

    work, be more enthusiastic and staywith you for longer.

    Questions to ask should include:How courteous are your staff?

    How does your organisation

    encourage a courteous workingenvironment?

    How does it train staff to be polite?

    How secure and well managed

    are your organisations sensitivedocuments and customerrelationships?

    How effective are staff at managing

    customers expectations of theservice?

    How honest is your organisation

    with its customers about what toexpect, and how honest is it whenthings go wrong?

    What training programmes are in

    place to ensure that your employeeshave the necessary, most up-to-dateknowledge to satisfy customersrequirements?

    Howyoucanapplythis

    toyourcompany

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    13

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    Element6:Communication

    In order to build long-termrelationships with both internal andexternal audiences, companies needto be able to communicate efciently.

    Communication is a two-way channel:companies need to advertise theirofferings, but they also need tolisten. This means understanding thefears, concerns and expectations ofcustomers from different segments.For example, customer-facing

    staff should be able to engage indialogue with customers and passon any potential concerns to themanagement team.

    Companies also need to focus oninternal communication. Successfulcompanies have a participatoryculture in place, where staff can shareideas and discuss how the company is

    progressing. This helps to keep staffmotivated and ensures that everyoneis clear about the companysobjectives.

    Questions to ask include:Do all people in your organisation

    understand the needs of differentcustomers?

    How does your organisation

    categorise its customers?How do staff engage in dialogue

    with customers?What happens to the output of this

    dialogue?Does your organisation build

    long-term relationships with itscustomers?

    Does your organisation regularly

    meet as a team to discuss progress?

    Howyoucanapplythis

    toyourcompany

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    Broadly speaking, design for servicecan help SMEs in six ways: Developing a service vision

    and strategy Focusing on customers

    Designing the new service

    Developing internal processes

    Creating better experiences

    Creating and maintaining a brand.

    Outlined in the table on the rightare some specic activities which

    companies can benet from. In orderto exemplify how service design can

    be applied in practice, these methodsand activities are highlighted inorange on the side of each example.

    These ctional examples are intendedto be inspirational, not exhaustive.Service design could exist in manyforms and be delivered in many waysdepending on the business context.In these near-future case studies wehave assumed that each SME worked

    with an experienced service designconsultant or consultancy.

    Each case study will start byoutlining the companys current

    position and its business strengthsand weaknesses. It will then go onto outline what a service designconsultant might suggest so thecompany can capitalise on itsservice strengths, negate its service

    weaknesses and push the businessforward in the service century.

    Usingdesigntoimprove

    service:examples

    04

    15

    Assisting organisations to become

    more service focusedDeveloping and communicating a

    service-led vision and strategyDesigning-in service innovation

    processes

    Working with senior managers to

    explore customer focus

    Developing new insights into customersand the means to use them

    Developing methods for customer-facing

    staff to provide feedback to senior staffDeveloping customer-centred business

    metrics and designing-in the means tomeasure

    Helping organisations to visualise the

    services they offer and how theyoffer them

    Identifying new opportunities forinnovation by looking at the wholesystem of service delivery

    Working with internal teams and

    customers to innovate new servicesGenerating ideas, modelling,

    visualising and specifying new servicesManaging risk through service

    prototyping

    Measuring customers experiences

    across all the touch points of an

    organisationDeveloping service values and

    principles that can be applied acrossthe business

    Designing the experiences that

    customers have of customer-facingstaff

    Working with customer-facing staff to

    improve these experiencesDesigning the opportunities for

    customers to provide feedback and toparticipate

    Developing service brands

    Helping internal teams to interpret

    their brand into new services andcustomer experiences

    Looking at what customers value most

    as a means to organise resourcesFocusing internal processes around the

    needs of customersDeveloping organisational structures

    that support staff who have directcontact with customers

    Identifying opportunities to reduce

    overall costs to serve customers

    Developingaservicevisionandstrategy

    Focusing oncustomers

    Designing thenew service

    Developinginternalprocesses

    Creatingbetterexperiences

    Creatingandmaintainingabrand

    Howdesignforservicecanhelp

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    Using a better understanding of theircustomers to inform the design of theservice and to inspire new productsand services.

    4.1TildaTech

    Usingdesigntoimprove

    service:examples

    04

    Businesscontext:Based in North Wales, TildaTech has 55 employees and a turnover of

    14.8 million. At their factory they manufacture an electrical beautytherapy product. The equipment sells for 3,000 and requires annualservicing. Effective use of the equipment requires one day of training.Current customers of TildaTech are mainly beauty treatment salonsand boutiques. These range from very small hair or nail salonswanting to offer a broader service to established chains of privatesports and health spas.

    Strengths:TildaTech promote their product via adverts in trade journals andattendance at key beauty therapy and health trade shows aroundEurope. The company have a website that is essentially an on-linebrochure with technical details and regional agent contacts awell- established network of distributors comprising 28 approvedsuppliers in 15 different countries. TildaTech were one of the rst

    into the market and have an established presence. Their brand isknown and respected in the beauty treatment sector.

    Weaknesses:Unfortunately for TildaTech, developments in technology are now

    lowering barriers to entry meaning more competition. Until 18months ago TildaTechs product was one of only three productsavailable for this treatment. Now more companies are offering

    inferior quality products at a lower cost that can achieve similarresults. So far, TildaTech have focused on getting the technology andmanufacturing quality right and developing a network of agents toaid distribution. The owners and senior management have all comefrom manufacturing backgrounds and consider TildaTech to be amanufacturing company.

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    Through a workshop with TildaTechsmarketing team and three beautytherapists, the service design consultantshelped the company to develop a customersegmentation model. This allowed them tounderstand the attitudes and behaviourof end-users the people that actuallyuse their products. After checking thismodel with some of their larger long-standing customers, the service designershelped TildaTech put together a panelof experienced end-users who now meetonce a month. TildaTech use this panel tounderstand more about how, why, whenand where people use beauty and healthproducts and services.

    In a parallel project the service designersworked closely with the productdevelopment team to understand howthey design and innovate products. Itwas essential that the user panel wasintegrated into the development process.The designers also helped the product

    development team to commission acustomer insight programme that enabledthem to learn even more about the peoplethat use their products.

    Although initially surprised by someof the ideas and opinions coming fromthe insight programme, the productdevelopment team came to see the valueof putting users at the heart of their

    Working with service

    designconsultants

    Working with internal teams andcustomers to innovate new services

    Developing new insights into customersand the means to use them

    17creating the segmentation model

    Designing-in service innovationprocesses

    Looking at what customers value most

    as a means to organise resources

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    development strategy. After six monthsthe user panel was helping TildaTech toimpress their customers by suggestingnew service features and productfunctionality that the salons, spas andgyms had never considered.

    In a further workshop the developmentteam looked at the sales processes thattake place in salons, spas and gyms.The team identied an opportunity to

    provide more support to staff in theircustomers businesses. The designerswere commissioned to carry out a detailedanalysis of user journeys and to developsome simple support materials and webpages that helped to train staff whenand how to explain the benets of using

    TildaTech products. The brief to thedesigners was aimed at helping everybodyto get the most out of TildaTech.

    The success of the user insightprogramme gave the management team

    the condence to hire service designersagain a year later to help identify newcustomers for new higher-value productsand services. Working closely withmanagement and the sales and marketingteams, the service designers ran a seriesof customer-spotting workshops wherethey invited a range of people fromdiverse sectors to help anticipate futureneeds and markets. TildaTech identied

    cosmetic surgeries and other medical

    18

    discover

    evolve

    optimise

    inform

    excite

    understanding the design process

    Developing organisational structuresthat support staff who have directcontact with customers

    Working with senior managers toexplore customer focus

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    practices as a high growth, high marginsector. With their user panel alreadyin place TildaTech were able to testearly product and service ideas quickly,reducing risks and time to market.

    TildaTech has now established a well-deserved reputation amongst itscustomers for its user-focused productdevelopment, and is now a regional leaderin the use of user insight and service

    innovation in manufacturing.

    19gaining user insight

    Working with internal teams andcustomers to innovate new services

    Managing risk through serviceprototyping

    Developing service brands

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    Remaining competitive by translatinga reputation for quality products intoquality services.

    4.2 Brecon Furniture

    Usingdesigntoimprove

    service:examples

    04

    Businesscontext:Brecon Furniture manufacture high-end task seating for ofces

    across Europe. Principal customers include corporate buyers of taskseating for the ofce, independent ofce furniture retailers, and

    architectural and interior design speciers. Seventy-ve employees

    work in modern premises in Mid Wales, and last year the companyreported turnover of 26.7 million.

    Strengths:Brecon Furniture have a strong in-house design team. They havea clear design-led approach, with excellent attention to detail onproduct design and advertisements. They occasionally use high-prole external designers, and have effective ergonomic design

    techniques and good brand awareness amongst customers. Theysell directly through their website, and they also have a singleLondon showroom. However, most sales come through a network of

    independent, approved suppliers across Europe.

    Weaknesses:On the downside, Brecon Furniture have high manufacturing costs as

    all assembly and 50% of component manufacture is based in Wales.There is little scope for cost reduction on the UK manufacturingside of the business. Meanwhile competition is increasing as largermultinational manufacturers with foreign production bases aredriving prices down. In addition, Brecon Furniture faces a newcompetitive threat from ofce solutions provided by companies such

    as IKEA, whose products are now of higher quality than before.

    20

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    Brecon Furniture have an established anddeserved reputation for quality that comesfrom the high standards they employ attheir manufacturing facility in Mid Wales.Quality in manufacturing can be mirroredby quality in service, but only if a companyunderstands and supports its customer-facing staff as Brecon Furniture foundout to their advantage.

    With new and large competitors closing

    in, Brecons management team knew thatthey had to avoid competing on price,and that they risked losing competitiveadvantage on quality as the standard oftheir competitors products increased.They identied service value as an

    opportunity to remain distinctive, toevolve their brand in the light of newentrants and to retain share at the mid-volume, premium end of the market.

    Through Design Wales they invited aservice design consultancy located in

    the region to organise a series of openworkshops with Brecons employees toexplore how they could add service valueto their products.

    Many of the staff that serve Breconscustomers directly were invited. Thefurniture delivery agents, not normallyincluded in management decisions,identied help and advice with

    installation as a major customer need.

    Working with service

    designconsultants

    21open workshops

    Assisting organisations to become more

    service focused

    Developing organisational structuresthat support staff who have directcontact with customers

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    Research with customers carried out by

    the service designers after the workshopconrmed this. The management team

    agreed that this was a real opportunity.

    Delivery agents and the service designersworked to develop a training package and to train themselves in providingadvice to customers on installation. Thenew Total Delivery service was designedand prototyped through the Brecon

    Furniture website with the help of thedesigners. This meant that managementcould carefully monitor and controlthe number of customers requestingthe service, and ask for their feedbackanonymously on-line.

    With feedback from customers verypositive, and direct sales through thewebsite up, Brecon Furniture werecondent in the delivery agents as a

    vital source of customer intelligence aswell as a means to add service value.

    Brecon began to apply their own triedand tested approaches to quality to theTotal Delivery service. They integratedcustomer feedback from the deliveryagents into the service developmentprocess and heldbi-monthly meetings between designersand delivery agents.

    In one such meeting the agents reportedthat customers, becoming used to help

    22generating ideas

    Identifying new opportunities forinnovation by looking at the wholesystem of service delivery

    Managing risk through serviceprototyping

    Designing the experiences thatcustomers have of customer-facing staff

    Helping internal teams to interpret

    their brand into new services andcustomer experiences

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    with installation, were commentingthat they wished they had asked BreconFurniture more questions in advance ofplacing their order. As Brecon alreadyhad signicant expertise in ergonomic

    and human factors design, they realisedthat they could also assist (and prot

    from) offering customers ofce design and

    layout services to match their furnitureproduct portfolio.

    During the following year, sales anddelivery agents were trained to offeradvice to customers to determine theirrequirements. Brecon developed expertisein advising on storage, the design offurniture solutions for exible and

    multi-use spaces, and in the commercialanalysis required to justify investing inquality.

    With a reputation for manufacturingquality and a new reputation for service,Brecon Furnitures new Total Ofce

    service proved very popular. Brecon

    Furnitures expertise in translatinghuman factors research into ofce

    environments, combined with theirability to design, supply and install ofce

    furniture, has won them new, largercontracts. The company now plans toextend their Total Ofce service to a

    growing number of smaller customers byopening retail stores in three of the UKsfastest-growing small-business districts,with customer service specialists asmanagers. 23planning environments

    Generating ideas, modelling, visualising

    and specifying new services

    Developing service brands

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    Using service innovation and designto overcome the barriers to entering a

    well-served market with a new idea.

    4.3GreenTaxis

    Usingdesigntoimprove

    service:examples

    04

    Businesscontext:Green Taxis is a very small start-up company in Cardiff, Waleslargest city. The company wants to operate Cardiffs rst eco-taxi

    service with a eet of hybrid petrol/electric vehicles. They aim to

    have 10 cars within 12 months.

    Strengths:The companys principal target market are corporate clientsinterested in demonstrating their corporate social responsibilitythrough the use of environmentally-friendly services. It is intendedthat a relationship can be developed with corporate clients so thatthe majority of fares are paid for on account. In addition, Green Taxiswant to target the public who want to book a taxi for travel aroundthe city with the minimum impact on the environment.

    Weaknesses:Due to the signicant cost for buying a licence to pick up from the

    bus, train station and airport, all passengers will need to be pre-booked. There are 12 other well-established taxi rms operating in

    Cardiff. Green Taxis is the only eco-taxi service in the city. This givesthem an advantage but also exposes the risk they are taking, asthere is no sustained demonstration of demand. As they cant pick uppassengers at the kerbside, they rely on word of mouth, their brand,and a well-designed experience for their passengers of booking GreenTaxis.

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    Understanding the co-productive natureof service branding means workingclosely with customers. This is especiallyimportant for a service such as GreenTaxis where their core service offer isbased on selling a lifestyle choice ratherthan low prices or efciency. Service

    design helped Green Taxis understandthis from the very beginning, makingtheir approach a model for many new eco-service companies across Europe.

    Initially, the service designers helpedGreen Taxis research the environmentalposition of large local corporateorganisations. Once they had identied

    the most progressive organisations in thearea, they contacted the personnel incharge of corporate social responsibility totell them about the new service.

    Prior to the meetings they workedwith the service designers to developand visualise a range of marketingpropositions they could offer thecompanies. After the meetings they wentaway and developed unique, co-brandedservice options for the companies. Somerms opted to sponsor individual taxis,

    some wanted a taxi outside their ofces at

    all times, others decided to use their PR

    teams to highlight the relationship to thelocal media.

    Working with service

    designconsultants

    25customer thinking

    Helping internal teams to interpret

    their brand into new services andcustomer experiences

    Developing new insights into customersand the means to use them

    Helping organisations to visualise the

    services they offer and how they offer

    them

    Generating ideas, modelling, visualisingand specifying new services

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    This carefully co-produced servicebranding meant that Green Taxismarketing and PR budget was completely

    nanced by their customers with plenty

    of prot left over to invest in acquiring

    more cars and drivers.

    The publicity from the large companiesled new private customers to contactGreen Taxis through their website,asking how they could be sure of always

    getting a Green Taxi. Working with theservice designers again, Green Taxisidentied two ways they could help these

    new customers access the taxi service,whilst keeping overheads low for the newcompany.

    First, Green Taxis knowledge of greenactivities and organisations in the areameant that they could set up a newwebsite to promote green initiativesin Cardiff. The website encouragedsmaller businesses to sign up to the siteto receive tips and ideas on going green(and proting from it). The site helped to

    build awareness of Green Taxis. Data onsmaller rms was then used to identify

    the greenest areas of the city, and GreenTaxis began to directly market theirservice in these neighbourhoods.

    Second, working closely with severalvolunteer green users who regularlyhired the taxi service for private use,the service designers helped Green 26proposition development

    Identifying opportunities to reduceoverall costs to serve customers

    Working with internal teams andcustomers to innovate new services

    Designing the opportunities forcustomers to provide feedback and toparticipate

    Developing new insights into customersand the means to use them

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    Taxis identify the barriers for privateindividuals using the service. Theydiscovered that although these customerswould prefer a Green Taxis to a normaltaxi, they werent prepared to wait morethan ve minutes longer for a Green Taxi

    than a normal taxi. They also found thatcustomers resented having to wait on holdwhen booking any taxis by telephone.

    Green Taxis worked with the service

    designers to design and implement aservice for customers allowing them touse SMS to indicate their approximatelocation to be picked up from (a streetname or a postcode). Provided thecustomer is near the city centre, GreenTaxis can then reply by SMS immediatelyto reassure them that they will not haveto wait more than ve minutes. Green

    Taxis can now dispatch a car and call thecustomer back withinve minutes.

    27proposition specifcation

    Generating ideas, modelling, visualisingand specifying new services

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    The list opposite details those whoare developing and working withservice design and where to nd more

    information and guidance.

    References05

    Academic

    Dr Bill Hollins

    http://www.wmin.ac.uk/wbs/page-228

    Prof. Birgit Magerhttp://kisd.de/mager.html?lang=en

    Mads Clausen Institute, University of Southern Denmarkhttp://www.mci.sdu.dk/m/GenInfo/GenInfo.htm

    Design Innovation Education Centre (DIEC)

    http://www.onenortheast.co.uk/page/diec.cfm

    Emergence Conference, Carnegie Mellon Universityhttp://www.design.cmu.edu/emergence/2007/

    Design Management Institutehttp://www.dmi.org/dmi/html/index.htm

    EstablishedServiceDesignConsultancies

    Enginehttp://www.enginegroup.co.uk

    Ideo

    http://www.ideo.com

    live|workhttp://www.livework.co.uk

    28

    This project has been commissioned by Design Walesand produced by Engine Service Design.

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    designb

    yengineservicedesign

    www.en

    ginegroup.co.u

    k

    service design


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