Managing Service Productivity

This volume describes how frontier efficiency methodologies such as Data Envelopment Analysis (DEA) and other techniques such as multi-criteria decision making can help service industries to improve their performance by providing a ranking of best-practice efficient service units and by identifying sources of inefficiency for each service unit. It explains how they can be used to determine potential improvement targets for each of the inefficient service units, to identify peers for each service organization and to provide a basis for continuous performance improvement. Presenting applications in a variety of industries, this book will be useful for the service management to improve service productivity, profitability, sustainability and quality and effectiveness of service deliveries. A free trial version of the World’s leading Data Envelopment Analysis Software (PIM-DEA) is available for readers of this book.

Here is an in-depth guide to the most powerful available benchmarking technique for improving service organization performance — Data Envelopment Analysis (DEA). The book outlines DEA as a benchmarking technique, identifies high cost service units, isolates specific changes for elevating performance to the best practice services level providing high quality service at low cost and most important, it guides the improvement process.

The question of how to measure and improve productivity in services has been a recurrent topic in political debates and in academic studies for several decades. The concept of productivity, which was developed initially for industrial and agricultural economies poses few difficulties when applied to standardized products. The advent of the service economy contributed to call into question, if not the relevance of this concept, at least its definition and measurement methods. This book takes stock of the issues met by productivity in services on theoretical, methodological and operational levels. The authors examine various definitions of productivity and the main methods of its measurement. A survey of recent conceptual and methodological debates on the notion of productivity is also presented. A more operational and strategic perspective is then adopted in order to identify and analyze the main levers, factors and determinants for improving productivity and, more generally, the actual strategies adopted for this purpose in firms and organisations. Providing a deep understanding of the specific and underestimated performance processes within service industries, this book will be of great interest to those involved in industrial economics, management science and public administration.

Preface -- Introduction -- Integrating service quality and productivity strategies -- What is a service quality? -- Identifying and correcting service quality problems -- Measuring service quality -- Soft and hard service quality measures -- Learning from customer feedback -- Hard measures of service quality -- Tools to analyze and address service quality problems -- Return on quality -- Defining and measuring productivity -- Improving service productivity -- Conclusion -- Summary -- Endnotes

This volume describes how frontier efficiency methodologies such as Data Envelopment Analysis (DEA) and other techniques such as multi-criteria decision making can help service industries to improve their performance by providing a ranking of best-practice efficient service units and by identifying sources of inefficiency for each service unit. It explains how they can be used to determine potential improvement targets for each of the inefficient service units, to identify peers for each service organization and to provide a basis for continuous performance improvement. Presenting applications in a variety of industries, this book will be useful for the service management to improve service productivity, profitability, sustainability and quality and effectiveness of service deliveries. A free trial version of the World’s leading Data Envelopment Analysis Software (PIM-DEA) is available for readers of this book.

In a world moving towards services, driving service productivity is a central challenge for leaders and members of all types of organisations: for service businesses there is a clear need to be “productive”, but it is far less clear what this exactly means. In this book, we invite you on a journey that explores the ways, tools and options for driving service productivity. We take an innovator’s perspectives and look at the tricky challenge of service productivity as a landscape of options for designing the future of services. Case examples, from the airport, hotel, healthcare, and professional service industry, offer insights in the methods used and approaches taken in business practice. Research results provide food for thought and valuable advice on the path towards superior service productivity. Throughout the book we also listen to the views and advices of interviewed experts from academia as well as business practice on how to drive service productivity. A forecast on how service productivity and service innovation might evolve in the future provides us – and hopefully you as a reader – with the necessary food for thought to develop our own understanding of driving service productivity in different business settings. Overall, this book is not a traditional “academic product” that summarises the views of a few, but a co-created offering that profited enormously from the contributions of so many.

These essays discuss the service sector and causes, problems and prospects of replacing the manufacturing business.