This document contains a summary of key points about customers' roles in service delivery from a chapter on the topic. It discusses three main customer roles: as productive resources who contribute effort to production, as contributors to quality and satisfaction by providing feedback, and as potential competitors to internal service delivery. The chapter explains that customers can both enhance and detract from other customers' satisfaction. It also provides strategies for effectively involving customers, such as defining jobs for customers to perform, educating them on their roles, and rewarding good performance. The proliferation of self-service technologies is discussed as an example of maximizing customer participation.

1. Contact: +923006641921 Usman Waheed
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BELTEI INTERNATIONALBELTEI INTERNATIONAL
UNIVERSITYUNIVERSITY
Faculty of BusinessFaculty of Business
AdministrationAdministration
Bachelor’s ProgramBachelor’s Program
Moeung Phanny
Master of Business Administration (MBA) / ( MJM )
Tel: 011 78 78 80
E-mail: phannyart@yahoo.com

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Chapter 12
CUSTOMERS’ ROLES IN
SERVICE DELIVERY

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Objectives for Chapter 12:
Customers’ Roles in Service
Delivery
• Illustrate the importance of customers in
successful service delivery
• Enumerate the variety of roles that service
customers play
• Productive resources
• Contributors to quality and satisfaction
• Competitors
• Explain strategies for involving service customers
effectively to increase both quality and
productivity

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Importance of Other
Customers in Service
Delivery
• Other customers can detract from
satisfaction
• disruptive behaviors
• excessive crowding
• incompatible needs
• Other customers can enhance satisfaction
• mere presence
• socialization/friendships
• roles: assistants, teachers, supporters

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• Lack of understanding of their roles
• Not being willing or able to perform their roles
• No rewards for “good performance”
• Interfering with other customers
• Incompatible market segments

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Figure 12-2Figure 12-2
Customer Roles in Service
Delivery
Productive Resources
Contributors to
Quality and
Satisfaction
Competitors

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Customers as Productive
Resources
• “partial employees”
– contributing effort, time, or other resources to
the production process
• customer inputs can affect organization’s
productivity
• key issue:
– should customers’ roles be expanded?
reduced?

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Customers as Contributors
to Service Quality and
Satisfaction
• Customers can contribute to
– their own satisfaction with the service
• by performing their role effectively
• by working with the service provider
– the quality of the service they receive
• by asking questions
• by taking responsibility for their own satisfaction
• by complaining when there is a service failure

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Customers as Competitors
• customers may “compete” with the service provider
• “internal exchange” vs. “external exchange”
• internal/external decision often based on:
– expertise
– resources
– time
– economic rewards
– psychic rewards
– trust
– control

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Technology Spotlight:
Services Production Continuum
1 2 3 4 5 6
Gas Station Illustration
1. Customer pumps gas and pays at the pump with automation
2. Customer pumps gas and goes inside to pay attendant
3. Customer pumps gas and attendant takes payment at the pump
4. Attendant pumps gas and customer pays at the pump with automation
5. Attendant pumps gas and customer goes inside to pay attendant
6. Attendant pumps gas and attendant takes payment at the pump
Customer Production Joint Production Firm Production

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Figure 12-3Figure 12-3
Strategies for Enhancing
Customer Participation
Effective
Customer
Participation
Recruit, Educate,
and Reward
Customers
Define Customer
Jobs
Manage the
Customer
Mix

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Self Service Technologies- The Ultimate in
Customer Participation(SST)
 A proliferation of New SSTs
1. ATMs
2. Pay at the pump
3. Airline cheek-in
4. Hotel cheek- in and cheek out
5. Automated car rental
6. Automated filing of legal claims
7. Online driver’s license testing
8. Automated betting machines
9. Electronic blood pressure machine
10.Various vending service
11.Tax preparation software
12.Self-scanning at retail stores
13.Internet banking
14.Vehicle registration online
15.On line auctions
16.Home and car buying online
17.Automated investment
transaction
18.Insurance online
19.Package tracking
20.Internet shopping
21.Internet information search
22.Interactive voice response phone
systems.
23.Distance education.

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Strategies for Enhancing
Customer Participation
1. Define customers’ jobs
- helping himself
- helping others
- promoting the company
2. Individual differences: not everyone wants
to participate

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Strategies for Recruiting,
Educating and Rewarding
Customers
1. Recruit the right customers
2. Educate and train customers to perform effectively
3. Reward customers for their contribution
4. Avoid negative outcomes of inappropriate
customer participation
Manage the Customer Mix
Compatibility management: a process of first attracting homogeneous
consumers to the service environment, then actively managing both
the physical environment and customer to customer encounters in
such a way as to enhance satisfying encounters and minimizing
dissatisfying customers.
Strategies:
1. Homogeneous customers
2. Locational proximity
3. Codes of conduct ( dresses and smoking attitudes)

15. Contact: +923006641921 Usman Waheed
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