Key Concepts of Creating Value with Services

Question 1

Cost

Answer 1

Cost can be IMPOSED and REMOVED between service providers and consumers.

Question 2

Value

Answer 2

Value is the perceived benefits or importance of a service and should be CO-CREATED between consumer and provider to achieve the desired OUTCOME of the STAKEHOLDERS.

Question 3

Organisation

Answer 3

An organisation is one person or a group that has its own functions/departments with responsibilities, authority and relationships to achieve its OBJECTIVES.

Question 4

Outcome

Answer 4

A RESULT for a stakeholder ENABLED by one or more OUTPUTS.

Question 5

Output

Answer 5

A tangible or intangible DELIVERABLE of an ACTIVITY.

Question 6

Risk

Answer 6

Risk can be IMPOSED and REMOVED between service providers and consumers.

Question 7

Utility

Answer 7

To evaluate whether a service is ‘fit for PURPOSE’ the outcomes, we should assess the FUNCTIONALITY of ‘what a service does’ and

Question 8

Warranty

Answer 8

To evaluate whether a service is ‘fit for USE’ it should come with an ASSURANCE that it will meet requirements. ‘how the services PERFORMS’.