In a fictional world,will Product Manager define also Services?

Zvika Weinshtock
January 2014

Proprietary and Confidential

Copyrights© 2014 C-urVision Ltd. all rights reserved www.C-urVision.com

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C-urVision – what and who are we
 C-urVision is an agency that assisting
companies to develop their service capabilities
from basic needs up to full service innovation
and service design cycles
 C-urVision assisting companies to transfer to a
better business situation, based on new
business innovation tools and vast experience
in strategy, technology and services
 We bring simplicity to the process using our
Experience and Expertise
 Ours experts bring years of senior managerial
and hands on experience in the Service arena

Copyrights© 2014 C-urVision Ltd. all rights reserved

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“Service innovation is the best opportunity
to change the world we have - in terms
how business is operate”
Dean Crutchfield - Speaker of NEXT 2013


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Source: http://www.slideshare.net/ptquattlebaum/service-design-making-blend-conf

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UBER
Founded – 2009
Until 2012 total funding 49.5M$
Locations – 56 cities all over the world
Aug 2013 – raise 361M$ at valuation of
3.76Billion$ post money


GetTaxi
Founded – 2010
Until 2012 total funding 40M$
Locations – 20 cities all over the
world
Aug 2013 – raise 12M$ at valuation
of 300Million$

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Source: http://www.slideshare.net/ptquattlebaum/service-design-making-blend-conf

What is an Innovative Service ?

To Improve and Innovate services that create Business
advantage and Economic Value through better Customer

Experience

Source: http://www.riveriaglobal.com/Backoffice/logo/warehouse.jpg

How Service Differ from Products
"Products"

Service

Produces

Performed

Material

No intrinsic value

Can be stored

Can't be stored

Consumption after production Value created only in use
Tangible

Intangible

Value by transfer of "goods"

Value by Co-Production

Discrete object

Interaction between people

Source: http://www.riveriaglobal.com/Backoffice/logo/warehouse.jpg

Why Services 1 ?

 Service & Experience Economy
 Commodity trap

http://www.slideshare.net/st_moritz/service-design-introduction-designship-stefan-moritz

Manufacturing - 70% explore Smart Technologies for After-Sales Service….
plan to use service as a competitive differentiator (IDC July 2013)

In 2020 57% of B2B firms will compete on basis of services (BDO 2011)
According to IBM study Service Innovation can increase company success
likelihood by 26%
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Source:http://www.slideshare.net/st_moritz/service-design-introduction-designship-stefan-moritz

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 Product  Service
 Avoiding the Commodity trap
 Create value to customer
 Changed market rules of game
(and Business model)
 Cisco acquires Meraki for $1.2
billion – Nov 2012, WHY?
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20M$ per Engine
• Heavy competition •
After market (Spares & • “Power by the Hour”
Repairs)
•
•
•

Aligned incentives with the
customer
50% out of revenue @ GM~50%
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Product Manager main KPI
•
•
•
•
•

• ROI
• Optimize Resources
• Productivity - Yield


Competition
Speed
Time To Market
Market Share
Roadmap

•
•
•
•
•

Economic of scale
Launch plan
Branding
Adoption Rate
Cost reduction

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Why innovation?

We are
Here !

"The most certain way to fail is to focus only on “PRODUCTS”.
Successful innovators use many types of innovation"...

Source: Dublin 10 innovation types

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Why Services 2 ?
Consumer Decision Journey – and Branding

WOM vs ADS  70%

a BRAND is a collective perception in a mind of a customer ( F.Yakob)
Source:McKinsey 2009


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Virtual Supermarket

fundamentals of Service Innovation

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©Shir weinshtock 2013

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Be aware from
Economic Efficiency vs.
Service effectiveness
Minimal gap between
Expectation and Experience
means Greater customer
Satisfaction

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http://media.tumblr.com/1ce28eacf94557fca9a1ac85c7ec12be/tumblr_inline_mr5wodEeRM1qz4rgp.png

People
Co-Creation

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Customer Journey

©Zvika weinshtock

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Holistic
People
Value
Process
Business

©Zvika weinshtock

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Source:http://www.slideshare.net/st_moritz/service-design-introduction-designship-stefan-moritz

Selling “Products”
Delivering Services
Shifts:

Things  Experience
Owning  Using
Inside out  Outside In

Source: http://www.slideshare.net/kazumichisakata/meta-servicedesign-andia201310

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Service design (outside-In) is about :
Interaction
Behavior
Needs
Motivations

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Service Innovation Frame work (inside-out)


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Service design – Double Diamond model

Discover

Define


Develop

Deliver

Source: Design Council

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Discover - Insights
 Qualitative
 Feeling , motivation, behaviors

, Usage
 How To
 Interview, Observe, Diaries

 Questioners and guidelines:
 Service Design – Rosenfeld

(ch.#5)
 Running Lean – Maurya (ch.#7
Problem Interview)
 Bootcamp bootleg - Dschool
stanford

Source: Rosenfeld Service Design 2013

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Discover - Insights
In product we segment the market by :
 Age, socioeconomic, behavioral,

demographic


In services we segment by:
•

Stages in the service cycle

•

Journeys people might take

•

Transition through the various
touchpoints

•

Study how people use a service at
home, on the road, at work etc..

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Customer Journey Map
 Cross organization

 Cross silos
 Across time
 Multiple Touchpoints
 Human Experience lens
 Job Mapping (B2B)

Service Design vs product or UX design:
(1) Number of stakeholders are usually larger
(2) Number and range of touchpoints broader
(3) And all of these interact over time

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Ideation


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Source: http://www.slideshare.net/kazumichisakata/meta-servicedesign-andia201310


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Source: http://fivewhys.wordpress.com/2013/09/10/customer-experience-innovation/


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•
•
•
•
Source: Rosenfeld Service Design 2013


Mockups
Touchpoints
MVP – Minimum Viable Proposition
Cloud services

•

Happy Staff = Happy Customer
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Service Design
Methodology

http://www.servicedesigntoolkit.org/templates/

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Page 41

“Service innovation is the best opportunity
to change the world we have - in terms
how business is operate”
Dean Crutchfield - Speaker of NEXT 2013


Page 42

In a fictional world,will Product Manager define also Services?

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