Is the presence of a service director crucial?
published: cw 16, 2005 in Supply Chain ManagementTo be service oriented does not simply imply offering support or field services around your
tangible products. It requires from manufacturers a change of structure ? one could even say a
change of culture.
To be service oriented, your organization must simultaneously:
1. Hire, Train and Reward Service People.
2. Install Communication between the (Customer) Service Department and the rest of the company.
3. Invest in Service Information and Communication Technologies.
4. Treat the Customer right.
Being service oriented starts as early as in the recruitment process and finishes only when the service is well delivered to the customer.
In a study under 151 companies carried out by the Eindhoven University of Technology, there were some interesting findings:
- Service oriented organizational behavior in the manufacturing sector does lead to higher non-financial performance.
- Internal arrangements help support different service strategies of a company. This is an indication
to manufacturing firms that the presence of a service director in top management is crucial.
- By having a large customer base, emphasizing and proactively offering services, manufacturers can develop relationships and retain their customers.
- Customer orientation does not directly impact the service orientation of service strategies.
- Manufacturers implement Service Suporting Client Actions strategies under pressure of competitors. It even could be that manufacturers are quickly reacting to each other’s strategies without truly developing their strategy sufficiently?
- Technological turbulences do affect all three measures of service orientation. This tells manufacturers in a turbulent market place that their competitors will focus on services and will utilize this approach and strategy to differentiate themselves.
- Manufacturers should focus on service rewards, service training and cross-functional communication of the service department.
Interested in the complete study?
print terms
