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

BUSINESS MODEL

SERVICE DELIVERY

EXPERIENCE

BIGIDEA

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 pushNow becoming an integrated service900 000 downloads within 6 monthsBrand recognition in new market

Cheil worldwide

Service Design

“Designed offerings to provide experiences that happen over time and across different touch-points ”.

timetouch-pointsexperiences

offerings

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%

0%

Percentage of final cost committed

Percentage of costs incurred

Project start

EndConcept phase completeSource: 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 constellations2. Delivery across multiple3. that align with Brand Strategy4. Satisfying user5. Innovating compelling customer

ActorTouch-points

Offerings

NeedsExperiences

letters act like different innovation lenses

1 2 3 4 5

250555 25

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.

1-51 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 serviceOften the only time a company sees the service this wayThe level of detail can be scaled

Will be developed as part of the touch-point letter

Actors

1. New actor constellations

2. Delivery across multiple3. Brand based4. Understanding user5. Innovating compelling new

Actor

Touch-pointsOfferings

NeedExperiences

?

?

?

?

AT-ONE: From P.O.S. to Customer Relationship

PRODUCTION

INDIVIDUAL

CONSUMER

VALUE CHAIN

VALUE NETWORK

POINT OF PURCHASE

RELATIONSHIP

Image: Adapted from LiveWork AS

RELATIONSHIP RELATIONSHIP

Touch-points

1. New actor constellations

2. Delivery across multiple

3. Brand based4. Understanding user5. Innovating compelling new

Actor

Touch-points

Offerings

NeedExperiences

Service Design magic - touch-points on the service journey

Offering

1. New actor constellations2. Delivery across multiple

3. Brand based 4.Understanding user5. Innovating compelling new

ActorTouch-points

Offerings

Need

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-points ”.

timetouch-pointsexperiences

offerings

1 2 3 4 5

250555 25

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.

1-51 5

PhD - Design support at the front end of the New Service Development (NSD) process - Autumn 2012

Research activity for prototyping experiences - Autumn 2012

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 the New Service Development (NSD) process - Autumn 2012

Research activity for prototyping experiences - Autumn 2012

PhD - Service Design LeadershipShaping Service Innovations at the Intersection of Design and Strategic Management - Autumn 2012

Customer Care Research Project together with Telenor, Posten ++

Judith Gloppen 2012

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