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©Jo
hn
W. S
uth
erl
an
d
Serv
ice P
rocesses &
Syste
ms
Dep
t. o
f M
ech
an
ical E
ng
ineeri
ng
-E
ng
ineeri
ng
Mech
an
ics
Mic
hig
an
Tech
no
log
ical
Un
ivers
ity
Lectu
re #
2
Pro
f. J
oh
n W
. S
uth
erl
an
d
Jan
uary
11, 2006
©Jo
hn
W. S
uth
erl
an
d
Serv
ice P
rocesses &
Syste
ms
Dep
t. o
f M
ech
an
ical E
ng
ineeri
ng
-E
ng
ineeri
ng
Mech
an
ics
Mic
hig
an
Tech
no
log
ical
Un
ivers
ity
Bu
sin
esses w
ith
Serv
ice C
om
po
nen
t
�H
osp
itality
& F
oo
d
Serv
ice
s�
Waste
Man
ag
em
en
t an
d
Rem
ed
iati
on
Serv
ices
�E
nte
rtain
men
t an
d
Re
cre
ati
on
�E
du
cati
on
�S
ecu
rity
�F
inan
cia
l an
d In
su
ran
ce
Serv
ice
s�
He
alt
h C
are
an
d S
ocia
l A
ssis
tan
ce
�In
form
ati
on
Tech
no
log
y
�M
an
ag
em
en
t o
f C
om
pan
ies &
E
nte
rpri
se
s�
Pu
blic A
dm
inis
trati
on
an
d P
olic
y�
Pro
fessio
nal, S
cie
nti
fic,
an
d T
ech
nic
al
Serv
ices
�T
ran
sp
ort
ati
on
&
Lo
gis
tics/D
istr
ibu
tio
n�
Reta
il a
nd
Wh
ole
sale
T
rad
e�
Re
al
Esta
te &
Leasin
g�
Uti
liti
es
©Jo
hn
W. S
uth
erl
an
d
Serv
ice P
rocesses &
Syste
ms
Dep
t. o
f M
ech
an
ical E
ng
ineeri
ng
-E
ng
ineeri
ng
Mech
an
ics
Mic
hig
an
Tech
no
log
ical
Un
ivers
ity
Dis
cip
lin
es t
hat
Su
pp
ort
the S
erv
ice S
ecto
r�
Ind
ustr
ial E
ng
ineeri
ng
�
Gre
w o
ut
of
mech
an
ical en
gin
eeri
ng
(F
. W
. T
aylo
r)�
Ap
plicati
on
of
scie
nti
fic p
rin
cip
les t
o t
ask d
esig
n, w
ork
m
eth
od
s, p
rocess e
ffic
ien
cy, an
d p
rod
ucti
on
syste
ms
�H
isto
ric t
ie t
o m
an
ufa
ctu
rin
g�
Desig
n a
nd
an
aly
sis
of
syste
ms
�S
yn
thesiz
es h
um
an
, in
form
ati
on
, m
ate
rial, f
inan
cia
l, a
nd
te
ch
no
log
ical re
so
urc
es –
relies o
n:
eco
no
mic
an
aly
sis
, h
um
an
facto
rs, O
R, sta
tisti
cs, m
an
ufa
ctu
rin
g s
yste
ms,
log
isti
cs, an
d m
ate
rial h
an
dlin
g
�E
ng
ineeri
ng
(o
r O
pera
tio
ns)
Man
ag
em
en
t �
Ble
nd
s e
ng
ineeri
ng
, s
ys
tem
s, an
d m
an
ag
em
en
t su
bje
cts
�In
teg
rati
on
of
hu
man
, fi
nan
cia
l, a
nd
tech
no
log
y e
lem
en
ts t
o
form
pro
du
cti
ve a
nd
hig
h q
uality
co
mp
lex s
yste
ms
�“M
an
ag
em
en
t" -
syste
m a
lread
y in
pla
ce t
o m
an
ag
e (
do
es
no
t in
clu
de t
he d
esig
n o
f th
e s
yste
m its
elf
)
©Jo
hn
W. S
uth
erl
an
d
Serv
ice P
rocesses &
Syste
ms
Dep
t. o
f M
ech
an
ical E
ng
ineeri
ng
-E
ng
ineeri
ng
Mech
an
ics
Mic
hig
an
Tech
no
log
ical
Un
ivers
ity
Wh
y S
erv
ice S
yste
ms E
ng
ineeri
ng
is
Dif
fere
nt…
�E
mp
hasis
on
peo
ple
an
d h
um
an
b
eh
avio
r�
Fo
cu
s o
n E
ng
ineeri
ng
rath
er
than
B
usin
ess, i.e., d
esig
n, o
pera
tio
n, &
p
rob
lem
so
lvin
g�
Em
ph
asis
on
pro
cess o
ver
pro
du
ct
�N
ot
tied
to
man
ufa
ctu
rin
g/m
ech
an
ical
en
gin
eeri
ng
leg
acy
�F
ocu
s o
n c
usto
mer
inte
racti
on
wit
h
serv
ice p
rocesses a
nd
syste
ms
©Jo
hn
W. S
uth
erl
an
d
Serv
ice P
rocesses &
Syste
ms
Dep
t. o
f M
ech
an
ical E
ng
ineeri
ng
-E
ng
ineeri
ng
Mech
an
ics
Mic
hig
an
Tech
no
log
ical
Un
ivers
ity
�G
oo
ds
�S
erv
ices
Ch
ara
cte
risti
cs o
f G
oo
ds &
Serv
ices
©Jo
hn
W. S
uth
erl
an
d
Serv
ice P
rocesses &
Syste
ms
Dep
t. o
f M
ech
an
ical E
ng
ineeri
ng
-E
ng
ineeri
ng
Mech
an
ics
Mic
hig
an
Tech
no
log
ical
Un
ivers
ity
Dis
tin
cti
ve C
hara
cte
risti
cs o
f S
erv
ices
�C
usto
mer
Part
icip
ati
on
in
th
e S
erv
ice P
rocess:
Ho
w d
oes a
cu
sto
mer
get
invo
lved
? F
acilit
y issu
es?
Cu
sto
mer
‘ow
ners
hip
’o
f th
e p
rocess.
�S
imu
ltan
eit
y:
Occu
rrin
g o
r exis
tin
g a
t th
e s
am
e t
ime (
e.g
.,
op
po
rtu
nit
ies f
or
pers
on
al sellin
g, in
tera
cti
on
cre
ate
s
cu
sto
mer
perc
ep
tio
ns o
f q
uality
).
�P
eri
sh
ab
ilit
y:
Su
bje
ct
to d
eca
y, sp
oilag
e, o
r d
estr
ucti
on
(e.g
.,
can
no
t in
ven
tory
, o
pp
ort
un
ity lo
ss o
f id
le c
ap
acit
y, n
eed
to
m
atc
h s
up
ply
& d
em
an
d).
�In
tan
gib
ilit
y:
assets
th
at
are
sale
ab
le t
ho
ug
h n
ot
mate
rial o
r p
hysic
al (e
.g., c
reati
ve a
dvert
isin
g, n
o p
ate
nt
pro
tecti
on
, im
po
rtan
ce o
f re
pu
tati
on
).
�H
ete
rog
en
eit
y:
div
ers
e q
uality
an
d v
ari
ab
ilit
y –
cu
sto
mer
en
gag
em
en
t in
delivery
pro
cess.
©Jo
hn
W. S
uth
erl
an
d
Serv
ice P
rocesses &
Syste
ms
Dep
t. o
f M
ech
an
ical E
ng
ineeri
ng
-E
ng
ineeri
ng
Mech
an
ics
Mic
hig
an
Tech
no
log
ical
Un
ivers
ity
Cu
sto
mer
Inte
racti
on
:G
oo
ds
vs. S
erv
ices
�G
oo
ds
Pro
ce
ss
Cu
sto
me
r
Fin
al
Go
od
In
ve
nto
ryP
roc
es
sC
us
tom
er
Fin
al
Go
od
In
ve
nto
ry
Pro
cess
Cu
sto
mer
�S
erv
ices
©Jo
hn
W. S
uth
erl
an
d
Serv
ice P
rocesses &
Syste
ms
Dep
t. o
f M
ech
an
ical E
ng
ineeri
ng
-E
ng
ineeri
ng
Mech
an
ics
Mic
hig
an
Tech
no
log
ical
Un
ivers
ity
Pro
du
cts
: B
un
dle
s o
f G
oo
ds
an
d S
erv
ices
10
0%
Go
od
s
10
0%
Se
rvic
es
% g
oo
ds
% s
erv
ice
s
consulting
autos
hotels
groceries
10
0%
Go
od
s
10
0%
Se
rvic
es
% g
oo
ds
% s
erv
ice
s
consulting
autos
hotels
groceries
©Jo
hn
W. S
uth
erl
an
d
Serv
ice P
rocesses &
Syste
ms
Dep
t. o
f M
ech
an
ical E
ng
ineeri
ng
-E
ng
ineeri
ng
Mech
an
ics
Mic
hig
an
Tech
no
log
ical
Un
ivers
ity
Serv
ice/G
oo
d B
un
dle
s
Air
po
rt s
hu
ttle
Co
ffe
e l
ou
ng
eV
ari
an
t
In h
ou
se
re
sta
ura
nt
De
ferr
ed
pa
ym
en
t p
lan
sP
eri
ph
era
l
Se
rvic
e
Ba
th r
ob
eG
arm
en
t b
ag
Pe
rip
he
ral
Go
od
s
Ro
om
fo
r th
e n
igh
tB
us
ine
ss
su
its
Co
re
Bu
sin
es
s h
ote
lC
us
tom
clo
thie
rB
us
ine
ss
Co
re S
erv
ice
Ex
am
ple
Co
re G
oo
ds
Ex
am
ple
Ele
me
nt
©Jo
hn
W. S
uth
erl
an
d
Serv
ice P
rocesses &
Syste
ms
Dep
t. o
f M
ech
an
ical E
ng
ineeri
ng
-E
ng
ineeri
ng
Mech
an
ics
Mic
hig
an
Tech
no
log
ical
Un
ivers
ity
Exp
licit
vs.
Imp
licit
Serv
ices
�E
xp
licit
Serv
ices:
Ben
efi
ts r
ead
ily
ob
serv
ab
le b
y t
he s
en
ses;
essen
tial o
r in
trin
sic
featu
res
�Im
plicit
Serv
ices:
Psych
olo
gic
al
ben
efi
ts o
r extr
insic
featu
res w
hic
h t
he
co
nsu
mer
is n
ot
seekin
g d
irectl
y a
nd
m
ay s
en
se o
nly
vag
uely
.
�E
nd
s o
f th
e s
pectr
um
©Jo
hn
W. S
uth
erl
an
d
Serv
ice P
rocesses &
Syste
ms
Dep
t. o
f M
ech
an
ical E
ng
ineeri
ng
-E
ng
ineeri
ng
Mech
an
ics
Mic
hig
an
Tech
no
log
ical
Un
ivers
ity
Imp
lic
it/E
xp
licit
Exam
ple
s
�E
xp
lic
it S
erv
ice
s:
Ex
am
ple
s a
re q
ua
lity
of
me
al,
att
itu
de
of
the
wa
ite
r, o
n-t
ime
d
ep
art
ure
. O
the
r?
�Im
pli
cit
Se
rvic
es
: E
xa
mp
les
are
pri
va
cy o
f
loa
n o
ffic
e,
qu
ietn
es
s o
f a
cla
ss
roo
m,
co
nfi
de
nc
e i
mp
art
ed
by a
ma
na
ge
r. O
the
r?
©Jo
hn
W. S
uth
erl
an
d
Serv
ice P
rocesses &
Syste
ms
Dep
t. o
f M
ech
an
ical E
ng
ineeri
ng
-E
ng
ineeri
ng
Mech
an
ics
Mic
hig
an
Tech
no
log
ical
Un
ivers
ity
Cate
go
rizin
g S
erv
ice
Service Sector
Obje
ct o
f P
roce
ss
Data
Products
PeopleT
yp
e o
f P
roce
ss
Tra
nsport
atio
n
Se
rvic
e In
dustr
ies
Ancill
ary
an
d S
upp
ort
Serv
ices
Se
rvic
es in M
anu
factu
ring
Tra
nsfo
rma
tion
Service Sector
Obje
ct o
f P
roce
ss
Data
Products
PeopleT
yp
e o
f P
roce
ss
Tra
nsport
atio
n
Se
rvic
e In
dustr
ies
Ancill
ary
an
d S
upp
ort
Serv
ices
Se
rvic
es in M
anu
factu
ring
Tra
nsfo
rma
tion
Service Sector
Obje
ct o
f P
roce
ss
Data
Products
PeopleT
yp
e o
f P
roce
ss
Tra
nsport
atio
n
Se
rvic
e In
dustr
ies
Ancill
ary
an
d S
upp
ort
Serv
ices
Se
rvic
es in M
anu
factu
ring
Tra
nsfo
rma
tion
Typ
e o
f P
roce
ss
Tra
nsport
atio
n
Se
rvic
e In
dustr
ies
Ancill
ary
an
d S
upp
ort
Serv
ices
Se
rvic
es in M
anu
factu
ring
Tra
nsfo
rma
tion
So
urc
e:
Davis
an
d H
ein
eke,
Man
ag
ing
Serv
ices, 2003.
©Jo
hn
W. S
uth
erl
an
d
Serv
ice P
rocesses &
Syste
ms
Dep
t. o
f M
ech
an
ical E
ng
ineeri
ng
-E
ng
ineeri
ng
Mech
an
ics
Mic
hig
an
Tech
no
log
ical
Un
ivers
ity
Exa
mp
les:
Serv
ice I
nd
ustr
ies
Peo
ple
:
Go
od
s:
Data
:
Tra
nsfo
rmR
esta
ura
nt
Ho
sp
ital
Carw
ash
Dry
Cle
an
ing
Payro
llD
ata
an
aly
sis
Tra
nsp
ort
Air
lin
eB
us
Fre
igh
t lin
e
E-m
ail
Inte
rch
an
ge
©Jo
hn
W. S
uth
erl
an
d
Serv
ice P
rocesses &
Syste
ms
Dep
t. o
f M
ech
an
ical E
ng
ineeri
ng
-E
ng
ineeri
ng
Mech
an
ics
Mic
hig
an
Tech
no
log
ical
Un
ivers
ity
Exam
ple
s:
Serv
ice S
ecto
r O
rgan
izati
on
s
�S
erv
ice In
du
str
ies
�H
ea
lth
Ca
re,
Ho
sp
ita
lity
, F
ina
nc
ial
Se
rvic
es
, R
eta
il, T
ran
sp
ort
ati
on
, e
tc.
�A
ncilla
ry a
nd
Su
pp
ort
Serv
ices
�T
em
po
rary
He
lp,
Ja
nit
ori
al
Se
rvic
es
, S
ec
uri
ty,
Fo
od
Se
rvic
e
�S
erv
ices in
Man
ufa
ctu
rin
g�
Su
pp
ort
se
rvic
e b
y G
ate
wa
y C
om
pu
ters
, G
PS
by L
inc
oln
au
tom
ob
ile
s
©Jo
hn
W. S
uth
erl
an
d
Serv
ice P
rocesses &
Syste
ms
Dep
t. o
f M
ech
an
ical E
ng
ineeri
ng
-E
ng
ineeri
ng
Mech
an
ics
Mic
hig
an
Tech
no
log
ical
Un
ivers
ity
Serv
ice P
roc
ess C
om
po
nen
ts
�S
up
po
rtin
g f
acilit
ies/in
frastr
uctu
re�
ph
ys
ica
l re
so
urc
es
ne
ce
ss
ary
to
pe
rfo
rm
se
rvic
e
�P
eri
ph
era
l/fa
cilit
ati
ng
go
od
s�
ph
ys
ica
l re
so
urc
es
co
ns
um
ed
by s
erv
ice
p
rov
ide
r o
r c
us
tom
er
�In
form
ati
on
/exp
ert
ise
�d
ata
pro
vid
ed
by c
us
tom
er,
pri
or
ex
pe
rie
nc
e,
ed
uc
ati
on
, e
tc.,
wh
ich
ad
ds
v
alu
e t
o s
erv
ice
©Jo
hn
W. S
uth
erl
an
d
Serv
ice P
rocesses &
Syste
ms
Dep
t. o
f M
ech
an
ical E
ng
ineeri
ng
-E
ng
ineeri
ng
Mech
an
ics
Mic
hig
an
Tech
no
log
ical
Un
ivers
ity
Th
e S
erv
ice
Pack
ag
e
�S
up
po
rtin
g F
acilit
y:
�E
xa
mp
les
are
go
lf c
ou
rse
, s
ki
lift
, h
os
pit
al,
a
irp
lan
e.
�F
acilit
ati
ng
Go
od
s:
�E
xa
mp
les
are
fo
od
ite
ms
, le
ga
l d
oc
um
en
ts,
go
lf c
lub
s,
me
dic
al
his
tory
.�
Info
rmati
on
: �
Ex
am
ple
s a
re p
ati
en
t m
ed
ica
l re
co
rds
, s
ea
ts a
va
ila
ble
on
a f
lig
ht,
cu
sto
me
r p
refe
ren
ce
s,
loc
ati
on
of
cu
sto
me
r to
d
isp
atc
h a
ta
xi.
