Skip to main content
Top

2011 | OriginalPaper | Chapter

Service Productivity How to Measure and Improve It?

Authors : Erik den Hartigh, Marc Zegveld

Published in: Service Systems Implementation

Publisher: Springer US

Activate our intelligent search to find suitable subject content or patents.

search-config
loading …

Abstract

Productivity is a key performance measure for service businesses and serves as a compass for measuring their innovativeness. In this chapter we present a tool for measuring productivity in service businesses. Improvements in service business productivity do not depend on industry, business size or business growth, but on the specific knowledge and competences of managers. Using case examples we show various ways of how managers can improve the productivity of their service businesses. They can do so by adopting a perspective of standardization, flexibility or individualization. Based on these perspectives, we provide a framework that shows how managers can improve service business productivity by coordinating strategic orientation, value creation and the configuration of business processes.

Dont have a licence yet? Then find out more about our products and how to get one now:

Springer Professional "Wirtschaft+Technik"

Online-Abonnement

Mit Springer Professional "Wirtschaft+Technik" erhalten Sie Zugriff auf:

  • über 102.000 Bücher
  • über 537 Zeitschriften

aus folgenden Fachgebieten:

  • Automobil + Motoren
  • Bauwesen + Immobilien
  • Business IT + Informatik
  • Elektrotechnik + Elektronik
  • Energie + Nachhaltigkeit
  • Finance + Banking
  • Management + Führung
  • Marketing + Vertrieb
  • Maschinenbau + Werkstoffe
  • Versicherung + Risiko

Jetzt Wissensvorsprung sichern!

Springer Professional "Technik"

Online-Abonnement

Mit Springer Professional "Technik" erhalten Sie Zugriff auf:

  • über 67.000 Bücher
  • über 390 Zeitschriften

aus folgenden Fachgebieten:

  • Automobil + Motoren
  • Bauwesen + Immobilien
  • Business IT + Informatik
  • Elektrotechnik + Elektronik
  • Energie + Nachhaltigkeit
  • Maschinenbau + Werkstoffe




 

Jetzt Wissensvorsprung sichern!

Springer Professional "Wirtschaft"

Online-Abonnement

Mit Springer Professional "Wirtschaft" erhalten Sie Zugriff auf:

  • über 67.000 Bücher
  • über 340 Zeitschriften

aus folgenden Fachgebieten:

  • Bauwesen + Immobilien
  • Business IT + Informatik
  • Finance + Banking
  • Management + Führung
  • Marketing + Vertrieb
  • Versicherung + Risiko




Jetzt Wissensvorsprung sichern!

Literature
go back to reference Araujo, L., and Spring, M. (2006). Services, products and the institutional structure of production. Industrial Marketing Management, 35, 797–805.CrossRef Araujo, L., and Spring, M. (2006). Services, products and the institutional structure of production. Industrial Marketing Management, 35, 797–805.CrossRef
go back to reference Bangma, K., Gibcus, P., Kuijpers, J., and De Wit, G. (2004). Arbeidsproductiviteit in de Nederlandse dienstensector: een literatuurstudie en enkele eigen empirische bevindingen. Research Report H200405. Zoetermeer: EIM. Bangma, K., Gibcus, P., Kuijpers, J., and De Wit, G. (2004). Arbeidsproductiviteit in de Nederlandse dienstensector: een literatuurstudie en enkele eigen empirische bevindingen. Research Report H200405. Zoetermeer: EIM.
go back to reference Baumol, W.J. (1967). Macroeconomics of unbalanced growth: the anatomy of urban crises. American Economic Review, 57(3), 415–426. Baumol, W.J. (1967). Macroeconomics of unbalanced growth: the anatomy of urban crises. American Economic Review, 57(3), 415–426.
go back to reference Boone, T., Ganeshan, R., and Hicks, R.L. (2008). Learning and knowledge depreciation in professional services. Management Science, 54(7), 1231–1236.CrossRef Boone, T., Ganeshan, R., and Hicks, R.L. (2008). Learning and knowledge depreciation in professional services. Management Science, 54(7), 1231–1236.CrossRef
go back to reference Brynjolfsson, E., and Hitt, L.M. (2003), Computing productivity: firm-level evidence. The Review of Economics and Statistics, 85(4), 793–808.CrossRef Brynjolfsson, E., and Hitt, L.M. (2003), Computing productivity: firm-level evidence. The Review of Economics and Statistics, 85(4), 793–808.CrossRef
go back to reference Chesbrough, H., and Spohrer, J. (2006). A research manifesto for service science. Communications of the ACM, 49(7), 35–40.CrossRef Chesbrough, H., and Spohrer, J. (2006). A research manifesto for service science. Communications of the ACM, 49(7), 35–40.CrossRef
go back to reference De Jong, J.P.J., and Vermeulen, P.A.M. (2003). Organizing successful new service development: a literature review. Management Decision, 41(9), 844–858.CrossRef De Jong, J.P.J., and Vermeulen, P.A.M. (2003). Organizing successful new service development: a literature review. Management Decision, 41(9), 844–858.CrossRef
go back to reference Demirkan, H., Kauffman, R.J., Vayghan, J.A., Fill, H.-G., Karagiannis, D., and Maglio, P.P. (2008). Service-oriented technology and management: perspectives on research and practice for the coming decade. Electronic Commerce Research and Applications, 7, 356–376.CrossRef Demirkan, H., Kauffman, R.J., Vayghan, J.A., Fill, H.-G., Karagiannis, D., and Maglio, P.P. (2008). Service-oriented technology and management: perspectives on research and practice for the coming decade. Electronic Commerce Research and Applications, 7, 356–376.CrossRef
go back to reference Diewert, E. (2000). The challenge of Total Factor Productivity measurement. Working Paper, University of British Columbia. Diewert, E. (2000). The challenge of Total Factor Productivity measurement. Working Paper, University of British Columbia.
go back to reference Dorgan, S.J., Dowdy, J.J., and Rippin, T.M. (2006). The link between management and productivity. McKinsey Quarterly.com, February 2006. Dorgan, S.J., Dowdy, J.J., and Rippin, T.M. (2006). The link between management and ­productivity. McKinsey Quarterly.com, February 2006.
go back to reference Dosi, G. (1982). Technological paradigms and technological trajectories: a suggested interpretation of the determinants and directions of technical change. Research Policy, 11, 147–162.CrossRef Dosi, G. (1982). Technological paradigms and technological trajectories: a suggested interpretation of the determinants and directions of technical change. Research Policy, 11, 147–162.CrossRef
go back to reference Drucker, P.F. (1994). The theory of the business. Harvard Business Review, September–October, 95–104. Drucker, P.F. (1994). The theory of the business. Harvard Business Review, September–October, 95–104.
go back to reference Drucker, P.F. (1999). Knowledge-worker productivity: the biggest challenge. California Management Review, 41(2), 79–94. Drucker, P.F. (1999). Knowledge-worker productivity: the biggest challenge. California Management Review, 41(2), 79–94.
go back to reference Hamel, G., and Prahalad, C.K. (1993). Strategy as stretch and leverage. Harvard Business Review, March–April, 75–86. Hamel, G., and Prahalad, C.K. (1993). Strategy as stretch and leverage. Harvard Business Review, March–April, 75–86.
go back to reference Heskett, J.L., Jones, T.O., Loveman, G.W., Sasser, Jr., W.E., and Schlesinger, L.A. (1994). Putting the service-profit chain to work. Harvard Business Review, March–April, 164–174. Heskett, J.L., Jones, T.O., Loveman, G.W., Sasser, Jr., W.E., and Schlesinger, L.A. (1994). Putting the service-profit chain to work. Harvard Business Review, March–April, 164–174.
go back to reference Johnson, B.C., Manyika, J.M., and Yee, L.A. (2005). The next revolution in interactions. McKinsey Quarterly, 4, 21–33. Johnson, B.C., Manyika, J.M., and Yee, L.A. (2005). The next revolution in interactions. McKinsey Quarterly, 4, 21–33.
go back to reference Karni, R., and Kaner, M. (2007). An engineering tool for the conceptual design of service systems. In: D. Spath and K.-P. Fähnrich (Eds.) Advances in services innovations. Berlin: Springer. Karni, R., and Kaner, M. (2007). An engineering tool for the conceptual design of service systems. In: D. Spath and K.-P. Fähnrich (Eds.) Advances in services innovations. Berlin: Springer.
go back to reference Maglio, P.P., Srinivasan, S., Kreulen, J.T., and Spohrer, J. (2006). Service systems, service scientists, SSME, and innovation. Communications of the ACM, 49(7), 81–85.CrossRef Maglio, P.P., Srinivasan, S., Kreulen, J.T., and Spohrer, J. (2006). Service systems, service ­scientists, SSME, and innovation. Communications of the ACM, 49(7), 81–85.CrossRef
go back to reference Nelson, R.R., and Winter, S.G. (1982). An evolutionary theory of economic change. Cambridge: The Belknap Press of Harvard University Press. Nelson, R.R., and Winter, S.G. (1982). An evolutionary theory of economic change. Cambridge: The Belknap Press of Harvard University Press.
go back to reference Penrose, E. (1959). The theory of the growth of the firm. New York: Wiley. Penrose, E. (1959). The theory of the growth of the firm. New York: Wiley.
go back to reference Porter, M.E. (1985). Competitive advantage: creating and sustaining superior performance. New York: Free Press. Porter, M.E. (1985). Competitive advantage: creating and sustaining superior performance. New York: Free Press.
go back to reference Prahalad, C.K., and Hamel, G. (1990). The core competence of the corporation. Harvard Business Review, May–June, 79–91. Prahalad, C.K., and Hamel, G. (1990). The core competence of the corporation. Harvard Business Review, May–June, 79–91.
go back to reference Solow, R.M. (1957). Technical change and the aggregate production function. The Review of Economics and Statistics, 39, 312–320.CrossRef Solow, R.M. (1957). Technical change and the aggregate production function. The Review of Economics and Statistics, 39, 312–320.CrossRef
go back to reference Spohrer, J., Maglio, P.P., Bailey, J., and Gruhl, D. (2007). Steps toward a science of service systems. IEEE Computer Society, 40(January), 71–77. Spohrer, J., Maglio, P.P., Bailey, J., and Gruhl, D. (2007). Steps toward a science of service systems. IEEE Computer Society, 40(January), 71–77.
go back to reference Tien, J.M., Berg, D. (2003). A case for service systems engineering. Journal of Systems Science and Systems Engineering, 12(1), 13–38.CrossRef Tien, J.M., Berg, D. (2003). A case for service systems engineering. Journal of Systems Science and Systems Engineering, 12(1), 13–38.CrossRef
go back to reference Triplett, J.E., and Bosworth, B.P. (2003). Productivity measurement issues in services industries: “Baumol’s disease” has been cured. FRBNY Economic Policy Review, September, 23–33. Triplett, J.E., and Bosworth, B.P. (2003). Productivity measurement issues in services industries: “Baumol’s disease” has been cured. FRBNY Economic Policy Review, September, 23–33.
go back to reference Van Ark, B., and De Jong, G. (2004). Productiviteit in dienstverlening. Deel 1: Wat het is en waarom het moet. Study for Stichting Management Studies (Foundation of Management Studies, affiliated with the Confederation of Netherlands Industry and Employers, VNO-NCW). The Hague: Royal Van Gorcum. Van Ark, B., and De Jong, G. (2004). Productiviteit in dienstverlening. Deel 1: Wat het is en waarom het moet. Study for Stichting Management Studies (Foundation of Management Studies, affiliated with the Confederation of Netherlands Industry and Employers, VNO-NCW). The Hague: Royal Van Gorcum.
go back to reference Van Asseldonk, A.G.M. (1998). Mass-individualisation: business strategies applying networked order to create economic value in heterogeneous and unpredictable markets. Veldhoven: TVA management bv. Van Asseldonk, A.G.M. (1998). Mass-individualisation: business strategies applying networked order to create economic value in heterogeneous and unpredictable markets. Veldhoven: TVA management bv.
go back to reference Wolff, E.N. (1999). The productivity paradox: evidence from indirect indicators of service sector productivity growth. The Canadian Journal of Economics, 32(2), Special issue on service sector productivity and the productivity paradox, 281–308.CrossRef Wolff, E.N. (1999). The productivity paradox: evidence from indirect indicators of service sector productivity growth. The Canadian Journal of Economics, 32(2), Special issue on service sector productivity and the productivity paradox, 281–308.CrossRef
go back to reference Zegveld, M.A. (2000). Competing with dual innovation strategies: a framework to analyse the balance between operational value creation and the development of resources. Den Haag: Werk-Veld. Zegveld, M.A. (2000). Competing with dual innovation strategies: a framework to analyse the balance between operational value creation and the development of resources. Den Haag: Werk-Veld.
go back to reference Zegveld, M.A. (2004). The productivity and governance of company-specific knowledge. International Journal of Learning and Intellectual Capital, 1(3), 317–333.CrossRef Zegveld, M.A. (2004). The productivity and governance of company-specific knowledge. International Journal of Learning and Intellectual Capital, 1(3), 317–333.CrossRef
go back to reference Zegveld, M.A., and Den Hartigh, E. (2007). De winst van productiviteit: sturen op resultaat in dienstverlening. Study for Stichting Management Studies (Foundation of Management Studies, affiliated with the Confederation of Netherlands Industry and Employers, VNO-NCW). The Hague: Royal Van Gorcum. Zegveld, M.A., and Den Hartigh, E. (2007). De winst van productiviteit: sturen op resultaat in dienstverlening. Study for Stichting Management Studies (Foundation of Management Studies, affiliated with the Confederation of Netherlands Industry and Employers, ­VNO-NCW). The Hague: Royal Van Gorcum.
Metadata
Title
Service Productivity How to Measure and Improve It?
Authors
Erik den Hartigh
Marc Zegveld
Copyright Year
2011
Publisher
Springer US
DOI
https://doi.org/10.1007/978-1-4419-7904-9_11

Premium Partner