Gil Regev and Alain Wegmann

1. Service Systems and Value Modeling from
an Appreciative System Perspective
Gil Regev (EPFL, Itecor),
Olivier Hayard (Itecor),
Alain Wegmann (EPFL)
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2. Basic Question
! How do people and organizations value a service?
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3. Example: iPod and iTunes
Why did my kids buy iPods?
Source: Wikipedia
Source: Wikipedia
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4. Service System and Value in Service Science
! Service Systems are interactive configurations of mutual
exchange in which value is created collaboratively.
! Value is “an improvement in system well-being” and is
measured in terms of “system’s adaptiveness or ability to
fit in its environment.”
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5. Value in Exchange and Value in Use
! Value in Exchange
! depends on the customer’s ability to use the product, resell it or
transfer it to others
! Value in Use
! co-creation of value jointly by the supplier and the customer
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6. Value and Survival in Service Science
! “Value depends on the capabilities a system has to
survive and accomplish other goals in its environment.”
! “When value creation is seen from a service systems
perspective, the producer–consumer distinction
disappears and all participants contribute to the creation
of value for themselves and for others.”
! Source: Vargo, S.L., Maglio, P.P., Akaka, M.A.: On value and value co-
creation: A service systems and service logic perspective. European
Management Journal 26:3, 145–152, (2008)
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7. Sir Geoffrey Vickers
Regulation vs. Goals
Stability vs. Change
Appreciative System
Source: Wikipedia
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8. Vickers’s Appreciative System
input output
Regulated
process
Reality Judgment
correction interpreted state
Value Judgment
Comparison and
generation of
correction
desired state Action Judgment
! Readiness to See
! Readiness to Value
! Readiness to Act
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9. Systems and Survival
! Observer defines identity (survival) of system
Observer
Reality
Norms
Universe of Discourse
Tacit Norms
Entities
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10. System Processes
Environment
System
Service
Relations
(external)
Metabolic
Relations
(internal)
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11. Example: iPod and iTunes
Why did my kids buy iPods?
Source: Wikipedia
Source: Wikipedia
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12. iPod Value in Exchange
Readiness
to See
Readiness
to Value
Metabolic
Relations
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13. iPod Value in Exchange
Metabolic
Relations
Readiness
to Value
Readiness
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to See

14. iPod Value in Use
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15. iPod Value in Use
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16. Future Steps
! Combine Value in Exchange and Value in Use
! Capiltalize on their combination
! Model Readiness to Act
! Comparison between alternatives
! Extend the Readiness to See, Value and Act
! Innovation and creativity
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