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The service (r)evolution is happening today!
Will your company be part of it?




                                   Edwin Lieftink, Tieto 2009
Service (r)evolution drivers


- The Service economy is booming
Product companies are changing into service companies by adding services to accompany their products.



- The product market is satisfied
Mass production and technological innovation have lead to products that more and more resemble each other.
Consumers are taking the basic functionality and basic standerd of quality for granted.


- Technology enables services
Modern technologies like internet, telecommunications, wireless devices working as service enablers.
But the true revolution lies in the convergence of these technologies.


- Humans have individual needs
Dependent on context and situation customers have different needs for the same service. Even a single
customer can have different needs on different occassions. These needs clearly go beyond different packaging
for the same product.




                                                                                                  2 - Service Design, Edwin Lieftink, 2009
The service economy


  Differentiated
               COMPETITIVE POSITION




Undifferentiated

                                      Commodities   >   Products   >   SERVICES   >        Experiences




                                                                                      3 - Service Design, Edwin Lieftink, 2009
The business rationale:                        Increase customer value through optimized service design




Customer value




                             Increase                         Increase total
                             conversion rate                  customer value
    Leads
                                                                                                   Improve
                                                                                                   customer loyalty




                                                                                                   Decrease cost for
                                                                                                   customer relationship
                                                                                                   management

                 Source: Philip Rosenthal
                                                             Time




                                                                                                       4 - Service Design, Edwin Lieftink, 2009
Service Design:      Changing focus point


                       Outside-in instead of Inside-out

          Focused on EXPERIENCES               Focused on TASKS
          (people, activities, context)        (product, features)




                                                                      Company
                                                                         Users



                                                                     5 - Service Design, Edwin Lieftink, 2009
Service Design:                 Machine vs. System


                 “Service design is the design of the overall experience of a service as well as the
                 design of the process and strategy to provide that service.” - Stefan Moritz


The Machine
Traditionally Interaction Design is centered on the relation man with a machine or service, where goals
and activities are well defined.


The System
What happen if the ‘Machine’ is broken down into a network made of services and distributed applications?

What happens if interaction is not longer based on functional and clear goals, but becomes an open and
borderless experience where the main goal is living the experience itself?
Source: Gianluca Brugnoli




                                                                                                   6 - Service Design, Edwin Lieftink, 2009
Example: The TomTom experience




                                 7 - Service Design, Edwin Lieftink, 2009
The TomTom system
                                                                                               Show/About

                                                               Webshop




                                                                                Plan a route
 Personal Navigation Device
                                                                                                            Smart Phone

                              Navigator




Maps                                      Live Services
                                                          Desktop Application                    Mobile Media Players
                         iPhone



                                                                    Print


                                                                                       Philips Net TV




                                                                                                                  8 - Service Design, Edwin Lieftink, 2009
The TomTom system
                                                                                                  Show/About

                                                                  Webshop



                                                                 PLAN / BUY / SUBSCRIBE

                                                                                   Plan a route
 Personal Navigation Device
                                                                                                               Smart Phone
                                                                                                                     Phone
                                                                                                                       on

                              Navigator



                                  ROUTE                   MANAGE                       SHARE / EXPLORE
Maps
Maps                                      L
                                          Live Services
                                                             Desktop Application
                                                                     App
                                                                       plication
                                                                       plication                    Mobile Media Players
                                                                                                            edia
                         iPh
                         iPhone



                                                                       Print


                                                                                          Philips Net TV


                                                                            PUBLISH / VIEW



                                                                                                                     8 - Service Design, Edwin Lieftink, 2009
The TomTom system
                                                                                        Show/About

                                                               Webshop




 Personal Navigation Device
                                                                    INDOOR a route
                                                                         Plan

                                                                                                     Smart Phone
                                                                                                           Phone
                                                                                                            ho

                              Navigator



                              OUTDOOR                                                 OUTDOOR
Maps
Maps                                      L
                                          Live Services
                                                          De
                                                          Desktop App
                                                           esktop Application
                                                                    plicatio
                                                                    plication              Mobile edia Players
                                                                                           M bil Media Players
                                                                                                            rs
                         iPh
                         iPhone



                                                                    Print


                                                                                  Philips Net TV


                                                                            LIVING ROOM



                                                                                                           8 - Service Design, Edwin Lieftink, 2009
Customer journey




  A




  B




                   9 - Service Design, Edwin Lieftink, 2009
Customer journey



                      Configurations
  A
                      Interfaces


          DIFFERENT   Context


                      Interactions
  B
                      Results




                                       9 - Service Design, Edwin Lieftink, 2009
Service touchpoints


                                    S E V I C E               D E S I G N


                            PREPARE                           TRIP                 ARRIVAL

                             Plan a route                         Additional
  CUSTOMER JOURNEY   Goal                   Explore   Route                    Parking               Explore
                                                                 information




  PND
  Mobile
  Automotive
  Laptop / PC
  TV




                                                                                         10 - Service Design, Edwin Lieftink, 2009
Service Design principles

      “Service Design integrates management, marketing, research and design. It acts as
       an interface and connects organisations and clients in a new way.” - Stefan Moritz


- The whole is more important than the parts, design the system.


- Many customer journeys are possible, there is NO best way.

- Users are always in the center: they are the protagonist which freely
and actively connects the touchpoints.




                                                                                  11 - Service Design, Edwin Lieftink, 2009
Thanks
Edwin Lieftink

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The service (r)evolution is happening today!

  • 1. The service (r)evolution is happening today! Will your company be part of it? Edwin Lieftink, Tieto 2009
  • 2. Service (r)evolution drivers - The Service economy is booming Product companies are changing into service companies by adding services to accompany their products. - The product market is satisfied Mass production and technological innovation have lead to products that more and more resemble each other. Consumers are taking the basic functionality and basic standerd of quality for granted. - Technology enables services Modern technologies like internet, telecommunications, wireless devices working as service enablers. But the true revolution lies in the convergence of these technologies. - Humans have individual needs Dependent on context and situation customers have different needs for the same service. Even a single customer can have different needs on different occassions. These needs clearly go beyond different packaging for the same product. 2 - Service Design, Edwin Lieftink, 2009
  • 3. The service economy Differentiated COMPETITIVE POSITION Undifferentiated Commodities > Products > SERVICES > Experiences 3 - Service Design, Edwin Lieftink, 2009
  • 4. The business rationale: Increase customer value through optimized service design Customer value Increase Increase total conversion rate customer value Leads Improve customer loyalty Decrease cost for customer relationship management Source: Philip Rosenthal Time 4 - Service Design, Edwin Lieftink, 2009
  • 5. Service Design: Changing focus point Outside-in instead of Inside-out Focused on EXPERIENCES Focused on TASKS (people, activities, context) (product, features) Company Users 5 - Service Design, Edwin Lieftink, 2009
  • 6. Service Design: Machine vs. System “Service design is the design of the overall experience of a service as well as the design of the process and strategy to provide that service.” - Stefan Moritz The Machine Traditionally Interaction Design is centered on the relation man with a machine or service, where goals and activities are well defined. The System What happen if the ‘Machine’ is broken down into a network made of services and distributed applications? What happens if interaction is not longer based on functional and clear goals, but becomes an open and borderless experience where the main goal is living the experience itself? Source: Gianluca Brugnoli 6 - Service Design, Edwin Lieftink, 2009
  • 7. Example: The TomTom experience 7 - Service Design, Edwin Lieftink, 2009
  • 8. The TomTom system Show/About Webshop Plan a route Personal Navigation Device Smart Phone Navigator Maps Live Services Desktop Application Mobile Media Players iPhone Print Philips Net TV 8 - Service Design, Edwin Lieftink, 2009
  • 9. The TomTom system Show/About Webshop PLAN / BUY / SUBSCRIBE Plan a route Personal Navigation Device Smart Phone Phone on Navigator ROUTE MANAGE SHARE / EXPLORE Maps Maps L Live Services Desktop Application App plication plication Mobile Media Players edia iPh iPhone Print Philips Net TV PUBLISH / VIEW 8 - Service Design, Edwin Lieftink, 2009
  • 10. The TomTom system Show/About Webshop Personal Navigation Device INDOOR a route Plan Smart Phone Phone ho Navigator OUTDOOR OUTDOOR Maps Maps L Live Services De Desktop App esktop Application plicatio plication Mobile edia Players M bil Media Players rs iPh iPhone Print Philips Net TV LIVING ROOM 8 - Service Design, Edwin Lieftink, 2009
  • 11. Customer journey A B 9 - Service Design, Edwin Lieftink, 2009
  • 12. Customer journey Configurations A Interfaces DIFFERENT Context Interactions B Results 9 - Service Design, Edwin Lieftink, 2009
  • 13. Service touchpoints S E V I C E D E S I G N PREPARE TRIP ARRIVAL Plan a route Additional CUSTOMER JOURNEY Goal Explore Route Parking Explore information PND Mobile Automotive Laptop / PC TV 10 - Service Design, Edwin Lieftink, 2009
  • 14. Service Design principles “Service Design integrates management, marketing, research and design. It acts as an interface and connects organisations and clients in a new way.” - Stefan Moritz - The whole is more important than the parts, design the system. - Many customer journeys are possible, there is NO best way. - Users are always in the center: they are the protagonist which freely and actively connects the touchpoints. 11 - Service Design, Edwin Lieftink, 2009