People‘s role in service firms

Introduction :
The people element in the service marketing mix refers to all of the human
actors who play a part in service delivery and thus influence the buyer‘s
perceptions. Two groups of people play important roles in the delivery of quality
services – the employees and customers Service employees create satisfied
customers and build customer relationships. Customer participation at some
level is inevitable in service delivery. As a result, the customers also play unique
roles in service delivery situations. In many situations, employees, customers
and even others in the service environment interact to produce the ultimate
service outcome

 Importance of Employees in Service Delivery :

Service employees create satisfied customers and build customer relationships.
The front-line service providers are enormously important to the success of the
firm. They are responsible for understanding customer needs and for
interpreting customer requirements in real time. they are the brand and they
are Marketers.
Satisfied employees make for satisfied customers. The front-line service
employees are referred to as boundary spanners because they operate at the
organization‘s boundary. They serve a critical function in understanding, filtering
and interpreting information and resources to and from the organization and its
external constituencies.
Friendliness, courtesy, empathy and responsiveness directed toward customers
require huge amounts of emotional labour from the front-line employees who
should this responsibility for the organization. To build a customer-oriented,
service-minded workforce,

 Cycles of Failure, Mediocrity, and Success :

The terms ‘Cycles of Success’ and ‘Cycles of Failure’ in relation to service
operations management has been coined by Schlesinger and Heskett (1991) and
they represent two opposing patterns in dealing with front-line staff in service
organisations.
In many service industries the search for productivity is pursued with a
vengeance. One solution takes the form of simplifying work routines and hiring
workers as cheaply as possible to perform repetitive work tasks that require
little or no training. The cycle of failure captures the implications of such a
strategy, with its two concentric but interactive cycles: one involving failures
with employees; the second, with customers.

The employee cycle of failure begins with a narrow design of jobs to

accommodate low skill levels, emphasis on rules rather than service and the use
of technology to control quality. A strategy of low wages is accompanied by
minimal effort on selection or training.

The consequences include bored employees who lack the ability to respond to
customer problems, become dissatisfied and develop a poor service attitude.
The outcomes for the firm are low service quality and high employee turnover.
Because of weak profit margins, the cycle repeats itself with hiring of more low-
paid employees to work in this unrewarding atmosphere.
The customer cycle of failure begins with repeated emphasis on attracting new
customers who become dissatisfied with employee performance and the lack of
continuity implicit in continually changing faces. These customers fail to develop
any loyalty to the supplier and turn over as rapidly as the staff thus requiring an
endless search for new customers to maintain sales volume.

The departure of discontented customers is especially worrying in light of what

we now know about the great profitability of a loyal customer base. For
conscientious managers, it should be deeply disturbing to contemplate the
social implications of an enormous pool of nomadic service employees moving
from one low-paying employer to the next and experiencing a stream of
personal failures in part because of the unwillingness of these employers to
invest in efforts to break the cycle.

Justifications for perpetuating this cycle:

1. ‘You just can’t get good people nowadays’
2. ‘People just don’t want to work today’.
3. ‘To get good people would cost too much and you can’t pass on these cost
increases to customers’
4. ‘It’s not worth training our frontline people when they leave you so quickly.’
5. ‘High turnover is simply an inevitable part of our business. You’ve got to learn
to live with it’.
Too many managers make short-sighted assumptions about the financial
implications of low pay/high turnover human resource strategies. Part of the
problem is failure to measure all relevant costs. Often omitted are three key cost
variables; the cost of constant recruiting, hiring and training, the lower
productivity of inexperienced new workers, and the costs of constantly
attracting new customers

Also ignored are two revenue variables: future revenue streams that might have
continued for years but are lost when unhappy customers take their business
elsewhere and potential income from prospective customers who are deterred
by negative word-of- mouth. Finally, there are less easily quantifiable costs such
as disruptions to service while a job remains unfilled and loss of the departing
employee’s knowledge of the business (and its customers).
The Cycle of Mediocrity:
Another vicious employment cycle is the ‘Cycle of Mediocrity’ (Figure 18.4). It’s
most likely to be found in large, bureaucratic organizations – often typified by
state monopolies, industrial cartels or regulated oligopolies – where there is
little incentive to improve performance and where fear of entrenched unions
may discourage management from adopting more innovative labour practices.

In such environments (which today are in decline), service delivery standards

tend to be prescribed by rigid rule-books, oriented towards standardized
service, operational efficiencies and prevention of both employee fraud and
favouritism towards specific customers. Employees often expect to spend their
entire working lives with the organization.
Job responsibilities tend to be narrowly and unimaginatively defined, tightly
categorized by grade and scope of responsibilities, and further rigidified by
union rules. Salary increases and promotions are based on longevity, with suc-
cessful performance in a job being measured by absence of mistakes, rather
than by high productivity or outstanding customer service.

Training, such as it is, focuses on learning the rules and the technical aspects of
the job, not on improving human interactions with customers and fellow-work-
ers. Since there are minimal allowances for flexibility or employee initiative, jobs
tend to be boring and repetitive.

However, in contrast to cycle of failure jobs, most positions provide adequate

pay and often good benefits, combined with high security – thus making
employees reluctant to leave. This lack of mobility is compounded by an absence
of marketable skills that would be valued by organizations in other fields of
endeavor.

Customers find such organizations frustrating to deal with. Faced with

bureaucratic hassles, lack of service flexibility and unwillingness of employees
to make an effort to serve them better on grounds such as ‘that’s not my job’,
users of the service may become resentful. What happens when there is
nowhere else for customers to go either because the service provider holds a
monopoly or because all other available players are perceived as being as bad
or worse?

if dissatisfied customers display hostility towards service employees who,

feeling trapped in their jobs and powerless to improve the situation, protect
themselves through such mechanisms as withdrawal into indifference, playing
overtly by the rule-book or countering rudeness with rudeness.

The net result? A vicious cycle of mediocrity in which unhappy customers

continually complain to sullen employees (and also to other customers) about
poor service and bad attitudes, generating ever greater defensiveness and lack
of caring on the part of the staff. Under such circumstances, there is little
incentive for customers to cooperate with the organization to achieve better
service.
cycle of Success

It is possible for service organisations to break free from the “Cycle of Failure’.
This would involve the adoption of an opposite stance known as the “Cycle of
Success”. The compulsory condition for the “Cycle of Success” is to increase the
level of satisfaction of internal customers through various measures and
initiatives.
Moreover, a critical analysis of service-profit chain with the aims of identifying
and utilising opportunities for improvement plays an integral role in entering
this cycle. The service-profit chain “consists of all activities involved in the direct
link between an organisation’s service providers and customers or clients”
(Schermerhorn, 2011, p.468). To put it simply, service profit chain includes all
the links in service operations that has impact on the level of customer
satisfaction.
However, the initial point to focus on is enhancing the internal service quality
i.e. investing in employee skills and capabilities, as well as motivating them, and
this will increase the external service value though increasing the levels of
customer satisfaction and loyalty (Heskett et al., 2008).
This approach is fully adopted at Savoy hotel that has three members of staff for
every guest and each member of staff receives adequate amount of training and
development in addition to competitive pay with benefits (Peternoser, 2011,
online).
Another successful service organisation – KPMG audit, tax, and advisory services
company motivates its employees through assigning them with challenging
tasks along with salaries of well above the industry average, and accordingly the
company has been ranked second on Universum’s 2011 index of ‘The World’s
Most Attractive Employers’ (KPMG, 2012).

“The old saying ‘People are your most important asset’ is wrong. The RIGHT
people are your most important asset.”

Jim Collins

The Service Talent Cycle for Service Firms

 A service firm must
A. Hire the right people
1. Compete for the best people in the talent market
2. Hire for service competencies and service inclination
3. Be the preferred employer
Tools to Get Right People
• Employ multiple, structured interviews
• Observe candidate behavior
• Conduct personality tests
• Give applicants a realistic preview of the job

B. Develop people to deliver service quality

1. Train for technical and interactive skills,
2. Organizational culture, purpose and strategy
3. Product or service knowledge
4. Team Work

C. Provide the needed support systems and

1. Develop service-oriented internal processes
2. Provide supportive technology and equipment
3. Measure internal service quality
4. Suggestion involvement
5. Job involvement
D. Retain the best people
1. Include employees in the firm‘s vision
2. Treat employees as customers
3. Measure and reward strong service performers
4. Feedback and recognition
5. Goal achievement

The importance of customers in service delivery

Recognition of the role of customers in service delivery is reflected in the
definition of the people element of the services marketing mix. The ‗service
audience‘ (comprising of the customer receiving the service and other
customers in the service environment) contribute to the service outcome
through appropriate or inappropriate, effective or ineffective, productive or
unproductive behaviours.
Table summarizes the levels of customer participation across different services.
In many service contexts, customers receive the service simultaneously
with other customers or must wait for their turn while others are being
‗serviced‘. Either way, the presence of ‗other customers‘ in the service
environment can affect the service delivery process or its outcome. When other
customers‘ exhibit disruptive behaviours, cause delays, overuse, crowd and
complain on incompatible needs, it negatively affects the service experience.

Low: Consumer Moderate: Consumer High: Customer co-

presence required inputs creates the service
during service delivery required for service product
creation
 Products are Client inputs customize a Active client
standardized standard service participation guides the
customized service

Service is provided Provision of service Service cannot be

regardless of any requires customer created apart from the
individual purchase purchase customer‘s purchase and
active participation

Payment may be the Customer inputs Customer inputs are

only required (information, mandatory and
customer input materials) are necessary they co-create the
for an outcome
adequate outcome, but
the service firm
provides the service

B2C example: Airline B2C example: Full- B2C example: Personal

travel service restaurant training
B2B example: Pest B2B example: Freight B2B example:
control transportation Management consulting

Advances in technology have allowed the proliferation of a wide range of self

service technologies (SSTs) that manage the customer participation in service
delivery. They bring in a great degree of standardization and consistency to the
service experience, at the same time saving others resources (including
employees) for the service firm.
Popular examples of SSTs include ATMs, Internet banking, Package tracking, e-
learning, airline e-ticket, online shopping and auctions. The level and nature of
customer participation in the service process are strategic decisions that can
impact a firm‘s productivity, its competitive positioning, service quality and
customer satisfaction. The goal of a customer participation strategy are to
increase productivity and customer satisfaction while simultaneously decreasing
uncertainty due to unpredictable customer actions.
A customer participation strategy may be outlined as follows:
Define customers‘ jobs
• Helping oneself
• Promoting the brand/firm
Recruit, educate and reward customers
• Recruit the right customers
• Educate and train customers to perform effectively
• Reward customers for their contributions
• Avoid negative outcomes of inappropriate customer participation
Manage the customer mix
• Appropriate market segmentation
• Compatibility management
 Services capes (Physical evidence) and their roles
Introduction : Physical evidence is the environment in which the service is
delivered and where the firm and the customer interact, and any tangible
commodities that facilitate performance or communication of the service.
Physical evidence is important for communicating about credence services.
Think of the impressions a theme part may leave on its customers using brightly
coloured displays, the music, the fantastic rides and the constumed characters
– they all reinforce the feelings of excitement and fun.
Physical evidence is important because the services are intangible. They help to
tangibilize the intangible service as customers go by tangible cues, to evaluate
the service before its purchase and to assess their satisfaction with the service
during and after consumption. Table 8 represents the elements and examples
of physical evidence.
Elements of physical evidence

Service cape Other tangible elements

Facility exterior: Facility interior: Business cards
Exterior design Interior design Stationery
Signage Equipment Billing statements
Parking Signage Reports
Landscape Layout Employee dress
Surrounding Air Uniforms
environment quality/temperature Brochures
Web pages
Virtual services cape
Airline: Airline:
Airline gate area Tickets
Airplane exterior Food
Airplane interior (decor) Uniforms,Website
Music concert: Music concert:
Seating Signs
Stadium exterior Tickets
Ticketing area Program
Audience zones
A classification of service firms can be arrived based on variations in form
(elaborate/lean) and use (self-service, interpersonal service, remote service) of
the services cape. Some service environments are very simple, with few
elements, few spaces and few pieces of equipment. Such environments are
termed lean.
Examples : include ATM and information kiosks. Other services capes are very
complicated, with many elements and many forms. They are termed elaborate
environments. Examples include hospitals and insurance companies.
Roles of the services cape
The services cape plays many roles which help the service firms overcome some
of the limitations brought in by the characteristics of services themselves. For
example, similar to a tangible product‘s package, the services cape (along with
other elements of physical evidence) wrap‘ the service to create an image for
what is inside‘. The services cape is the outward appearance of a service firm
and thus can be critical in forming initial impressions or setting up customer
expectations.
For example, a coffee shop‘s exteriors, signage and frontage can covey a up-
scale image to the customers.
A well-designed, functional facility can make the service a pleasure to
experience from the customer‘s point of view and a pleasure to perform from
the employee‘s.
On the other hand, poor and inefficient design may frustrate both customers
and employees. For example, a coffee shop with a spacious layout, prominent
and well lit interior signages will make the customers feel comfortable. The
design of the services cape aids in the socialization of both employees and
customers in the sense that it helps to convey expected role, behaviours and
relationships.
For example, more and more coffee shops are adopting a living room style of
seating with comfortable lounge chairs and tables set to encourage interaction
and staying longer. The design of the physical facility can differentiate a firm
from its competitors and appeal to the market segment the service is intended
for.
 For examples, in coffee shops, the signage, colours used in décor and displays
and type of music played appeal to the intended market segment. Thus the
services cape plays the role of package, facilitator, socializer and differentiator.
Services cape effect on consumer behaviour
A basic model of consumer behaviour follows the basic stimulus-organism
response theory. Services cape as a stimulus evokes certain responses from the
people (employees and customers) in its vicinity.
For example, it may cause an approach (say, desire to stay) or avoidance (say, a
desire not to stay) behaviour in an individual. Apart from influencing individual
behaviour, the services cape influences the nature and quality of customer and
employee interactions, most directly in interpersonal services. Servicescape as
a stimulus, may not only cause a particular behaviour, but also produce internal
responses.
A services cape can be thought of as a form of non-verbal communication
imparting meaning through the physical elements in the services ape.
Environmental dimensions of the physical surroundings can include all of the
objective physical factors that can be controlled by the firm to enhance (or
constrain) employee and customer actions.
he physical environment is the space by which you are surrounded when you
consume the service. So for a meal this is the restaurant and for a journey it is
the aircraft that you travel inside. The physical environment is made up from its
ambient conditions; spatial layout and functionality; and signs, symbols, and
artefacts
Physical Evidence

 It refers to all the factors that combine to create a pleasing atmosphere for the
client.
 Physical evidence is what attracts your customers first - they will judge your
service/product after looking at your physical evidence.
 If this entity is properly implemented, you will garner customer support
irrespective of whether your product is up to the expected standards.
 Services are highly important in marketing to retain consumer faith. This is
largely dependent on the tangible comfort that is offered to consumers.
 A few factors that are included in physical evidence are enlisted below.
 Ambience

 It refers to the atmosphere - in terms of aspects, like color, size, smell, sound,
theme, music, etc.
 A good ambience depends on the business as well - for example, a restaurant is
said to have a good ambience if it has attractive wallpapers, beautiful art on the
walls, lovely music, etc. Similarly, a corporate office has a good ambience if it
has tasteful art on the walls (sober, not flashy), a good color combination for the
walls, etc.
 The quality of ambience is measured by how well these factors are combined
and used. A small mistake may change the atmosphere and make it unbearable.
For example, imagine if a simple coffee house has unnecessarily loud music and
skeleton art hanging all over. Will it look attractive? It might possibly drive
customers away. Therefore, this factor has to be kept in mind while offering
service.

Layout

 It refers to the way your service area is spaced out.

 Referred to as spatial layout, it helps give an impression of how spacious the
place is.
 This includes arranging the elements of the room in such a way that they do not
seem crowded and uncomfortable.
 At the same time, care should be taken to ensure that the elements are not
compromised upon. For instance, consider the website of a famous company.
You need to design it in the most attractive way possible, with impressive design,
proper tabs, and logos. If you fall short of space because you need a spacious
layout, do not compromise by deleting a necessary tab. Instead, think of an
alternative design by means of which you can retain the originality along with
the inclusion of all the elements.

Artifacts

 Technically, artifacts refer to artistic objects that have some kind of historical
value.
 Most corporate offices have lovely artifacts placed in their workplaces; it does
not necessarily mean that they are interested in where the artifact originated.
 Such décor, however, enhances the look and feel of the place, and is considered
as a status symbol.
 You might have noticed many high-end places decorated with paintings of
renowned painters. It helps create the right atmosphere.
 Furnishings

 It includes the furniture and other comfort aspects.

 The right kind of furniture needs to be used - this includes chairs, tables,
recliners, cupboards, beds, wardrobes, couches, etc.
 This aspect is especially very important for the hospitality industry.

Examples

Example I: Restaurants

 Restaurants are places where a customer prefers to relax and enjoy. It is

therefore, very essential to take care of the physical evidence in this case.
 If the restaurant is based on a theme, incorporate the elements of the theme in
the interiors.
 For example, if you have a restaurant that specializes in Mexican cuisine,
research on the history and culture of Mexico and decorate the restaurant
accordingly.
 Have ancient-themed interiors and historical antiquities all around.
 The furniture should be clean, spaced out, and ethnic.
 Take note of the staff uniform, hygiene, and wall art.
 Have traditional music and take care of other aspects, like equipment, cutlery,
etc.
 This goes for anything - right from small hotels to seven-star restaurants. It even
applies to cafes, cake shops, coffee shops, etc.

Example II: Retail Stores

 Physical evidence is highly crucial in retail marketing.

 There is a difference between buying a product from an authentic showroom
and from a regular shop.
 Retail outlets include all the product stores - electronic items, clothes,
cosmetics, shoes, bags, accessories, grocery stores, etc.
 The interiors of the outlets should be pleasing and attractive.
 The shops need to be air-conditioned and spacious, with prompt customer
service.
 Proper signage should be present to help customers navigate to their section in
malls and multiplexes.
 There should be no trace of dust or dirt. Even if the customer is not very hygienic
in his personal life, a dirty table/floor may put him off.
 Have light music and keep the noise decibel low so that the store ceases to look
like a fish market.

Example III: Hospitals

 Well, hospitals are obviously not a place where people prefer to relax; the last
thing on their minds would be to check out the interiors of the place when their
friend/family is in the emergency care.
 Nevertheless, the least you can do is have a reassuring atmosphere to ease off
their worries.
 Have huge interior spaces and proper signs - people need to know where the
emergency ward is, or the gynecology section, or the radiology department, etc.
 Make sure the walls and rooms are painted properly; do not use flashy colors,
but do not use any dull, depressing color either.
 Hang soothing prints on the walls.
 Have proper boards installed at all places, displaying the room numbers, floors,
and other details so that the families of patients can find their way easily.
 Use inspiring wall art, for instance, you can have a beautiful painting that
says, "All trials are not the reason to give up, but a challenge to improve
ourselves. Our pain is not an excuse to back out, but an inspiration to move on.".
You never know when and how it might light hope in people.

Example IV: Resorts

 Now, that's a heavy one. Resorts need every small aspect to be in perfect
condition.
 To begin with, the exterior of the resort needs to be huge and palatial
(preferably). The gardens surrounding the resort need to be beautifully
manicured, swimming pools need to be cleaned and maintained, the same goes
for the jacuzzi and bars.
 Inside, make sure the interiors are designed beautifully. You can use mural art
and wooden flooring. Or, you could use marble and ceramics. Whatever
combination you choose, the elements need to be compatible with each other.
 The rooms need to be designed properly. Services like telephone, tea/coffee
sachets, toiletries, bed sheets, etc., need to be in perfect order.
 Try to avoid narrow corridors. Or if you cannot do so, spice up the corridor with
some lovely wall hangings.
 Use incense sticks or fresheners or any other item that infuses the space with
lovely smells so that your clients feel pleased and happy.

Example V: Corporate Offices

 Most of us would visualize dull colors and furniture with corporate offices, but
it need not be so.
 Depending upon your enterprise, you can decorate your office space in the best
way possible.
 Most office floors have cubicles and cabins, but that is what the challenge is. You
have to make use of the small space to come up with ideas.
 For example, a construction firm can have building models or architectural tools
installed all over. A software firm can have random abstract wall art. Funky
prints and hangings will work very well for event management companies.
 Make sure you have a great cafeteria, sufficient coffee machines and
washrooms, and the necessary office appliances.
 Use brown, beige, and black for the interiors, they are great colors that will suit
an office atmosphere. Navy blue, teal, camel, etc., are great choices too.

Example VI: Airports

 Well, it is more than obvious that the spatial layout of an airport has to be
enormous. With people rushing in and out 24 X 7, you cannot afford a small
space.
 Airports need to be cool and clean, and proper signboards are the most
important aspect.
 The luggage trolleys need to be arranged in the right place, plenty of washrooms
are a necessity, and furnishings need to be comfortable.
 Have sufficient staff at the gate area, lounge, baggage claim, conveyor belts, and
all the other counters.
 The airline needs to look good as well. The oxygen masks, life jackets, etc., need
to be at a lesser distance from the passenger.
 Take note of the parking, landscape, cab stands, etc.

Example VII: Private Ventures

 Private ventures range from hotels to beauty salons to spas to event

management companies.
 Such businesses provide exclusive service, hence their physical environment has
to be beyond impressive.
 A wedding planner's office must be decorated as colorfully as possible (nothing
gaudy). The interiors must reflect the profession and perfection.
 The fabrics, lighting, and other décor must be placed properly for the
convenience of the client.
 The office must have a corporate feel along with a personal touch.
 Have samples, catalogs, albums, designs, etc, ready for the client.
 Using wicker furniture and traditional art is a great idea. It'll make your clients
feel they have walked into a medieval village.
 Beauty parlors and spas need to have enticing looks.
 Your clients are waiting to be pampered - and your interiors must make them
eager to try out your services.
 You have a myriad of choices, you can come up with the most creative ideas to
make your office look beautiful.
 Have statues, paintings, artificial waterfalls, sculptures, etc., to embellish your
workplace.

Example VIII: Sporting Event Companies

 Sporting event firms, like tourism companies, rely heavily on physical evidence
to market themselves.
 When you go to the stadium, you would have noticed that the seats have been
efficiently placed, banners and hoardings have been erected, the staff runs
around with drinks, sports t-shirts are distributed, etc.
 Terrific efforts are taken to maintain an electric atmosphere.
 Similarly, for bars and clubs, the latest groovy music and discotheque lights are
essential to create the right environment

Servicescape is a model developed by Booms and Bitner[1] to emphasize the

impact of the physical environment in which a service process takes place. The
aim of the servicescapes model is to explain behavior of people within the
service environment with a view to designing environments that does not
accomplish organisational goals in terms of achieving desired behavioural
responses.
The servicescape includes the facility's exterior (landscape, exterior design,
signage, parking, surrounding environment) and interior (interior design and
decor, equipment, signage, layout) and ambient conditions (air quality,
temperature and lighting). In addition to its effects on customer's individual
behaviors, the servicescape influences the nature and quality of customer and
employee interactions, most directly in interpersonal services.[3] Companies
design their servicescapes to add an atmosphere that enhances the customer
experience and that will affect buyers' behavior during the service encounter.
Guidelines for physical evidence strategy
Some general guidelines provided by Bitner (1993) for an effective physical
evidence strategy are listed below:
Recognize the strategic impact of physical evidence – For an evidence strategy
to be effective, it must be linked clearly to the firm‘s overall goals and vision.
Map the physical evidence of service – Everyone should be able to see the
service process and the existing elements of physical evidence.
Clarify role of the servicescape – To identify opportunities and decide just who
needs to be consulted in making facility design decisions.
ssess and identify physical evidence opportunities – One question to ask is, are
there missed opportunities to provide service evidence?
Be prepared to update and modernize the evidence – Some aspects of the
evidence require frequent if not periodic updating and modernizing.
Work cross-functionally – Evidence decisions are made over time and by various
functions within the organization.
Service blueprinting (Process)
The 7th P of service marketing mix is process. It refers to the actual procedures,
mechanisms and flow of activities by which the service is delivered –
the service delivery and operating systems. The service process is designed and
specified using the service blueprinting tool.
To march service specifications to customer expectations, the characteristics of
the critical service process must be described objectively and depicted for the
employees, customers and managers alike to know what the service is, what
their role in its delivery is and understand all of the steps and flows involved in
the service process.
Shostack (1984) describes service blueprinting as a tool that addresses the
challenges of designing and specifying intangible service processes. A service
blueprint is a picture or map that accurately portrays the service system so that
the different people involved in providing it can understand and deal with it
objectively regardless of their roles or their individual points of view. It is a tool
for simultaneously depicting the service process, the points of customer contact
and the evidence of service from the customer‘s point of view. It provides a way
to break a service down into its logical components and to depict the steps or
tasks in the process, the means by which the tasks are executed and the
evidence of service as the customer experiences it.
The key components of service blueprints are customer actions, front-end
contact employee actions, back-end contact employee actions and support
processes. The customer actions encompass the steps, choices, activities and
interactions that the customer performs in the process of purchasing,
consuming and evaluating the service. The front-end contact employee actions
are visible to the customer whereas the back-end contact employee actions are
invisible.
The support processes cover the internal services, steps and interactions that
take place to support the contact employees in delivering the service. A line of
interaction is drawn to represent direct interactions between the customer and
the organization. A line of visibility separates all service activities that are visible
to the customer from those that are not visible. A line of internal interaction
separates contact employee activities from those of other service support
activities and people. One of the most significant differences in service
blueprints compared with other types of process flow diagrams is the inclusion
of customers and their views of the service process.
Building a blueprint
Through the process of developing the blueprint, many intermediate goals can
be achieved: clarification of the concept, development of a shared service vision,
recognition of complexities and intricacies of the service that are not initially
apparent and delineation of roles and responsibilities. The following are the
steps in building a service blueprint:
1. Identify the process to be blueprinted
2. Identify the customer or customer segment
3. Map the process from the customer‘s point of view
4. Map contact employee actions, front-end and back-end and/or technology
actions
5. Link contact activities to needed support functions
6. Add evidence of service at each customer action step

When people begin to develop a blueprint, it quickly becomes apparent what is

actually known about the service. Sometimes the shared knowledge is very little.
Biases and prejudices are made explicit, and agreements and compromises must
be reached. The process itself promotes cross-functional integration and
understanding.