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Service Investment in 2010 – Demand more and Future-proof the investment (Summary)

  • Activity Based Costing
  • Operations Strategy
  • Service Business Strategy

Service Investment in 2010 – Demand more and Future-proof the investment

 

In this article Steve Downton looks at some effects of increasing demands from customers on their software providers to support the role of service within the business and the expectation that a supplier will provide full support to optimise the potential of their software during its use.

The optimum approach for 2010 is to make positive outcomes from the negative experiences of recession and uncertainty.  A number of key trends have emerged from 2009, not least of which has been the emergence of service as a dominant factor.  Product was predominant in 2007 and 2008, and new products were rated as the winning formula.  An interesting example of the trend towards service is the iPhone – a real product winner, which has continued its success in 2009 through its applications.  By any measure, applications are service in concept, and certainly have added significant value to the product.  In 2009 the media reported excitedly that Steve Jobs “has given all the power to consumers, developers, and manufacturers,” and that the carriers will benefit as people “spend more time on devices … racking up bigger bills,”

The iPhone success may be cited as an example of strategic planning to utilise service to enhance and extend the product, whereas other companies have instigated strategies through necessity, (which is supposedly the mother of invention).  The imperative to survive has meant that boards have grasped at any and all straws with a vigour not seen before, but this new found interest in service must be considered positively. 

Downton Service Management Consultants part of the Downton Noventum group has established a reputation for providing effective business advice within the Services Sector specialising in guiding senior management teams and supporting service operations both large and small to manage their customers improve performance profitability and deliver service excellence.

steve.downton@downtonconsulting.com             www.downton.noventum.eu

 

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© Downton/Noventum service management consultants 2010

 

 

 

 

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