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Service Design: an introduction




Simon Clatworthy
AT-ONE Presentation
6th September 2012
Design is now everywhere
Design is now everywhere
But is it here?




80%
The services era
Virgin video
The BIG IDEA (and the Detail)



Its about a strong, experiential offering

Has to be easy to understand the benefits

Quick to experience the benefits

Consistently deliver over the long term

Deliver on a promise, right down to the last detail



THIS MAKES ITS STRATEGIC, TACTICAL and OPERATIONAL
PASSION in
        your DNA



              BIG
  SERVICE    IDEA   BUSINESS
 DELIVERY
                     MODEL
EXPERIENCE
Example 1: Oslo Airport Express Train



Carefully designed service
with focus upon the
orchestration of service
touch-points and customer
experience around a big idea.
Results:
 - record profits
 - record passenger numbers
 - highest brand recognition
Example 2: Keep the change




Source: IDEO Service Design
Example 3: Public service design - getting people back to work



Getting longterm unemployed back to work used to cost £62,000
Using service design, Sunderland City Council cut that figure to £5,000.




Source: The Design Council UK
Example 4: Tesco virtual store in Korea




Part of an advertising push
Now becoming an integrated service
900 000 downloads within 6 months
Brand recognition in new market




                                     Cheil worldwide
Service Design




“Designed offerings to
provide experiences that
happen over time and across
                                 time touch-
                              offerings
                                      points
different touch-points ”.
                               experiences
Start point: Design brief + project team




                          +
End point: The service
How to get there for services?




Process + Tools
Important things happen at the start



100%




         Percentage of final cost
         committed




                                                              Percentage of costs
                                                              incurred




  0%
       Project                  Concept phase complete                                     End
       start                                             Source: Berliner + Brimson 1998
Successful teams develop successful solutions


The development of team collaboration, internal culture and

team communication are central to team success. Not least a

common understanding and shared vision of the object of

development. (Sethi 2000, Molin-Justiila 2006)
A research project 2007 - 2010

has developed:
1. A model for understanding service
innovation

2. A structured process (AT-ONE) for the
early stages of the service innovation
process

3. Tools for service innovation (abductive
and co-design based)

Focus upon customer experience:
- customer needs
- multi-channel service delivery over time
- actor networks
- brand and design thinking
looks at



           Levers of service innovations:
           1. New actor constellations
                     Actor
           2. Delivery across multiple Touch-points
           3. Offerings that align with Brand Strategy
           4. Satisfying user Needs
           5. Innovating compelling customer Experiences
letters act like different innovation lenses
1   2       3              4       5




                                                                       A

                                                                       T

                                                                       O

                                                                       N

                                                                       E
Designing Better Services is a service innovation process using
AT-ONE (A = Actors, T = Touchpoints, O = Offerings, N = Needs
and E = Experience). It strengthens the first two stages of the
traditional double diamond innovation process, as described by the
British Design Council. Making sure you "do the right thing, before
doing the thing right".

This process has emerged as a response to industries’ need to
improve service innovation. It uses design skills such as customer
insight, cultural understanding, creativity and holistic thinking to
create solutions that are attractive and desirable. If you use the
AT-ONE approach, you will focus the early stages of service
innovation and get your project off to the right start - customer
focused solutions that build upon your brand strengths to create
desirable service experiences.


                                                                       5   5   5   250   25   1       5   1-5
The AT-ONE book on service innovation
Lots of tools for teams
Central to Service Design: Personas+ Service-journey
Service Journey: First steps in Service Design



Chronological series of steps that work like magic!
Describe how a customer uses a service
Often the only time a company sees the service this way
The level of detail can be scaled

Will be developed as part of the touch-point letter
Actors




1. New actor constellations
       Actor
                                                     ?
2.   Delivery across multiple Touch-points
3.   Brand based Offerings                   ?
4.   Understanding user Need                             ?
5.   Innovating compelling new Experiences
                                                 ?
AT-ONE: From P.O.S. to Customer Relationship


                                PRODUCTION                        POINT OF PURCHASE




VALUE CHAIN


                                                                        CONSUMER




   VALUE NETWORK                                                  INDIVIDUAL




                                    RELATIONSHIP   RELATIONSHIP   RELATIONSHIP


  Image: Adapted from LiveWork AS
Touch-points




1. New actor constellations
       Actor

2. Delivery across multiple Touch-points

3. Brand based Offerings
4. Understanding user Need
5. Innovating compelling new    Experiences
Service Design magic - touch-points on the service journey
Offering




1. New actor constellations
          Actor
2. Delivery across multiple Touch-points

3. Brand based Offerings

4.Understanding user Need
5. Innovating compelling new Experiences
OFFERING DEFINITION, LONG



A companies offering delivers the functional, emotional and
self-expressive benefits promised by the brand. An effective
offering should lead to a customer relationship that both supports
purchase decisions and creates mutual value, also over the long-
term.
Simons definition of offering based upon Aaker,1996
Example: Amazon.com



At the functional level:
• large choice
• cheap prices
• fast and secure delivery

At the emotional, self expressive level:
• self expression through Amazon lists
• the enjoyment of a good book before you buy it,
through customer reviews, look-inside and
recommendations
• trust through the honest presentation of customer
reviews
• friendship through suggestions of other products
• a community for people who love books
At AHO: Three areas of Service Design research

    1. How to improve innovation processes by adding Design

    2. How to Design for better customer experiences

    3. How Design can help transform organisations




   “Designed offerings to provide
experiences that happen over
time and across different touch-
                                       time touch-
                                    offerings
                                            points
points ”.                             experiences
1   2       3              4       5




PhD - Design support at the front end of
the New Service Development (NSD)  A

process - Autumn 2012               T

                                                                        O

                                                                        N

Research activity for prototyping                                       E
 Designing Better Services is a service innovation process using

experiences - Autumn 2012
 AT-ONE (A = Actors, T = Touchpoints, O = Offerings, N = Needs
 and E = Experience). It strengthens the first two stages of the
 traditional double diamond innovation process, as described by the
 British Design Council. Making sure you "do the right thing, before
 doing the thing right".

 This process has emerged as a response to industries’ need to
 improve service innovation. It uses design skills such as customer
 insight, cultural understanding, creativity and holistic thinking to
 create solutions that are attractive and desirable. If you use the
 AT-ONE approach, you will focus the early stages of service
 innovation and get your project off to the right start - customer
 focused solutions that build upon your brand strengths to create
 desirable service experiences.


                                                                        5   5   5   250   25   1       5   1-5
2. How to design for better customer experiences

PhD - Translating Brands into Experiences
The Brand Experience Handbook - 2011-2014


PhD - Using The Ritual and Sacred in the Design of Services
How to make experiences special through Design - 2011-2014
3. How Design can transform service organisations


  PhD - Design support at the front end of
                                PhD - Service Design Leadership
  the New Service DevelopmentShaping Service Innovations at the Intersection of Design and Strategic
                                 (NSD)
                                Management - Autumn 2012
  process - Autumn 2012

                                 Customer Care Research Project together with Telenor,
                                 Posten ++
  Research activity for prototyping
  experiences - Autumn 2012




Judith Gloppen 2012
Want to learn the basics?

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Dnd design smartere simon

  • 1. Service Design: an introduction Simon Clatworthy AT-ONE Presentation 6th September 2012
  • 2. Design is now everywhere
  • 3. Design is now everywhere
  • 4. But is it here? 80%
  • 7. The BIG IDEA (and the Detail) Its about a strong, experiential offering Has to be easy to understand the benefits Quick to experience the benefits Consistently deliver over the long term Deliver on a promise, right down to the last detail THIS MAKES ITS STRATEGIC, TACTICAL and OPERATIONAL
  • 8. PASSION in your DNA BIG SERVICE IDEA BUSINESS DELIVERY MODEL EXPERIENCE
  • 9. Example 1: Oslo Airport Express Train Carefully designed service with focus upon the orchestration of service touch-points and customer experience around a big idea. Results: - record profits - record passenger numbers - highest brand recognition
  • 10. Example 2: Keep the change Source: IDEO Service Design
  • 11. Example 3: Public service design - getting people back to work Getting longterm unemployed back to work used to cost £62,000 Using service design, Sunderland City Council cut that figure to £5,000. Source: The Design Council UK
  • 12. Example 4: Tesco virtual store in Korea Part of an advertising push Now becoming an integrated service 900 000 downloads within 6 months Brand recognition in new market Cheil worldwide
  • 13. Service Design “Designed offerings to provide experiences that happen over time and across time touch- offerings points different touch-points ”. experiences
  • 14. Start point: Design brief + project team +
  • 15. End point: The service
  • 16. How to get there for services? Process + Tools
  • 17. Important things happen at the start 100% Percentage of final cost committed Percentage of costs incurred 0% Project Concept phase complete End start Source: Berliner + Brimson 1998
  • 18. Successful teams develop successful solutions The development of team collaboration, internal culture and team communication are central to team success. Not least a common understanding and shared vision of the object of development. (Sethi 2000, Molin-Justiila 2006)
  • 19. A research project 2007 - 2010 has developed: 1. A model for understanding service innovation 2. A structured process (AT-ONE) for the early stages of the service innovation process 3. Tools for service innovation (abductive and co-design based) Focus upon customer experience: - customer needs - multi-channel service delivery over time - actor networks - brand and design thinking
  • 20. looks at Levers of service innovations: 1. New actor constellations Actor 2. Delivery across multiple Touch-points 3. Offerings that align with Brand Strategy 4. Satisfying user Needs 5. Innovating compelling customer Experiences
  • 21. letters act like different innovation lenses
  • 22. 1 2 3 4 5 A T O N E Designing Better Services is a service innovation process using AT-ONE (A = Actors, T = Touchpoints, O = Offerings, N = Needs and E = Experience). It strengthens the first two stages of the traditional double diamond innovation process, as described by the British Design Council. Making sure you "do the right thing, before doing the thing right". This process has emerged as a response to industries’ need to improve service innovation. It uses design skills such as customer insight, cultural understanding, creativity and holistic thinking to create solutions that are attractive and desirable. If you use the AT-ONE approach, you will focus the early stages of service innovation and get your project off to the right start - customer focused solutions that build upon your brand strengths to create desirable service experiences. 5 5 5 250 25 1 5 1-5
  • 23. The AT-ONE book on service innovation
  • 24. Lots of tools for teams
  • 25. Central to Service Design: Personas+ Service-journey
  • 26. Service Journey: First steps in Service Design Chronological series of steps that work like magic! Describe how a customer uses a service Often the only time a company sees the service this way The level of detail can be scaled Will be developed as part of the touch-point letter
  • 27. Actors 1. New actor constellations Actor ? 2. Delivery across multiple Touch-points 3. Brand based Offerings ? 4. Understanding user Need ? 5. Innovating compelling new Experiences ?
  • 28. AT-ONE: From P.O.S. to Customer Relationship PRODUCTION POINT OF PURCHASE VALUE CHAIN CONSUMER VALUE NETWORK INDIVIDUAL RELATIONSHIP RELATIONSHIP RELATIONSHIP Image: Adapted from LiveWork AS
  • 29. Touch-points 1. New actor constellations Actor 2. Delivery across multiple Touch-points 3. Brand based Offerings 4. Understanding user Need 5. Innovating compelling new Experiences
  • 30. Service Design magic - touch-points on the service journey
  • 31. Offering 1. New actor constellations Actor 2. Delivery across multiple Touch-points 3. Brand based Offerings 4.Understanding user Need 5. Innovating compelling new Experiences
  • 32. OFFERING DEFINITION, LONG A companies offering delivers the functional, emotional and self-expressive benefits promised by the brand. An effective offering should lead to a customer relationship that both supports purchase decisions and creates mutual value, also over the long- term. Simons definition of offering based upon Aaker,1996
  • 33. Example: Amazon.com At the functional level: • large choice • cheap prices • fast and secure delivery At the emotional, self expressive level: • self expression through Amazon lists • the enjoyment of a good book before you buy it, through customer reviews, look-inside and recommendations • trust through the honest presentation of customer reviews • friendship through suggestions of other products • a community for people who love books
  • 34. At AHO: Three areas of Service Design research 1. How to improve innovation processes by adding Design 2. How to Design for better customer experiences 3. How Design can help transform organisations “Designed offerings to provide experiences that happen over time and across different touch- time touch- offerings points points ”. experiences
  • 35. 1 2 3 4 5 PhD - Design support at the front end of the New Service Development (NSD) A process - Autumn 2012 T O N Research activity for prototyping E Designing Better Services is a service innovation process using experiences - Autumn 2012 AT-ONE (A = Actors, T = Touchpoints, O = Offerings, N = Needs and E = Experience). It strengthens the first two stages of the traditional double diamond innovation process, as described by the British Design Council. Making sure you "do the right thing, before doing the thing right". This process has emerged as a response to industries’ need to improve service innovation. It uses design skills such as customer insight, cultural understanding, creativity and holistic thinking to create solutions that are attractive and desirable. If you use the AT-ONE approach, you will focus the early stages of service innovation and get your project off to the right start - customer focused solutions that build upon your brand strengths to create desirable service experiences. 5 5 5 250 25 1 5 1-5
  • 36. 2. How to design for better customer experiences PhD - Translating Brands into Experiences The Brand Experience Handbook - 2011-2014 PhD - Using The Ritual and Sacred in the Design of Services How to make experiences special through Design - 2011-2014
  • 37. 3. How Design can transform service organisations PhD - Design support at the front end of PhD - Service Design Leadership the New Service DevelopmentShaping Service Innovations at the Intersection of Design and Strategic (NSD) Management - Autumn 2012 process - Autumn 2012 Customer Care Research Project together with Telenor, Posten ++ Research activity for prototyping experiences - Autumn 2012 Judith Gloppen 2012
  • 38. Want to learn the basics?