toward research on designing a service system
DESCRIPTION
ICServ 2013 Day2 Service innovation and design II sessionTRANSCRIPT
Toward research on designing
a service system
Yuriko Sawatani @ Waseda University, Japan ICServ 2013
Agenda
• IntroducDon – What is service research? • Design focus and innovaDon • Research designing a service system • Discussions
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Service Research FrascaD Manual version6 （OECD 2002）
• Research and experimental development (R&D) – Research and experimental development (R&D) comprise creaDve work undertaken on a systemaDc basis in order to increase the stock of knowledge, including knowledge of man, culture and society, and the use of this stock of knowledge to devise new applicaDons.” (OECD 2002 p.20)
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social sciences and humaniDes • For the social sciences and humaniDes, an appreciable
element of novelty or a resoluDon of scienDfic/technological uncertainty is again a useful criterion for defining the boundary between R&D and related (rouDne) scienDfic acDviDes. This element may be related to the conceptual, methodological or empirical part of the project concerned. Related acDviDes of a rouDne nature can only be included in R&D if they are undertaken as an integral part of a specific research project or undertaken for the benefit of a specific research project. Therefore, projects of a rouDne nature, in which social scienDsts bring established methodologies, principles and models of the social sciences to bear on a parDcular problem, cannot be classified as research. (OECD 2002 p.48)
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Why difficult to idenDfy service R&D
• Defining the boundaries of R&D in service acDviDes is difficult, for two main reasons: – first, it is difficult to idenDfy projects involving R&D; and, – second, the line between R&D and other innovaDve acDviDes which
are not R&D is a tenuous one. …. • IdenDfying R&D is more difficult in service acDviDes than in
manufacturing because it is not necessarily “specialised”. It covers several areas: technology-‐related R&D, R&D in the social sciences and humaniDes, including R&D relaDng to the knowledge of behaviour and organisaDons. ….
• Also, in service companies, R&D is not always organised as formally as in manufacturing companies (i.e. with a dedicated R&D department, researchers or research engineers idenDfied as such in the establishment’s personnel list, etc.).
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How to idenDfy service R&D
• “The following are among the criteria that can help to idenDfy the presence of R&D in service acDviDes: – Links with public research laboratories. – The involvement of staff with PhDs, or PhD students. – The publicaDon of research findings in scienDfic journals, organisaDon of scienDfic conferences or involvement in scienDfic reviews.
– The construcDon of prototypes or pilot plants (subject to the reservaDons noted in SecDon 2.3.4).” (OECD 2002 p.48-‐49)
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Service Science in Japan
• “Innovate America” (Palmisano Report) 2004/12 – “Services science can begin to address major quesDons at the heart of 21st century innovaDon”
• The Third Science and Technology Basic Plan 2006/3 – Need to address emerging & interdisciplinary field of research
• Outline of the Economic Growth Strategy (METI) 2006/7 – InnovaDon in service industry
• Establishment of Service ProducDvity & InnovaDon for Growth (SPRING, 2007/5) • Establishment of Service Engineering Research Center (AIST, 2008/4)
• InnovaDon 25 2007/6 – Service InnovaDon
• Service InnovaDon Human Resource Development PromoDon Program (MEXT) – 6 universiDes (2007), 7 universiDes (2008)
• Act on Enhancement of Research and Development Capacity (ArDcle 47) 2008 – Research focusing on applying naDonal sciences to social science and management engineering
• Commission on PromoDon of Service Science and Engineering (MEXT) 2008 • Feasibility Study for the program planning (JST) 2009 • Service Science, SoluDons and FoundaDon Integrated Research program 2010/4 • The New Growth Strategy (Basic Policies) Toward a Radiant Japan
2010/6
Service science
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Service system
• Service is the application of competences (knowledge and skills) by one entity for the benefit of another
• Service systems is value-creation configurations (an arrangement of resources connected to other systems by value propositions)
• Service science is the study of service systems and of the co-creation of value within complex constellations of integrated resources
9 Ref: “On Value and Value co-creation: A service systems and service logic perspective” by S. Vargo, P. Maglio, M. Akaka 2013/10/19 Waseda University
Agenda
• IntroducDon • InnovaDon and Design focus • Research designing a service system • Discussions
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Customer Focused Product InnovaDon Research
• R&D and markeDng collaboraDon – Effect to funcDon expansion of product, reducDon of product development period
• User innovaDon research (von Hippel 1994)
– InformaDon sDckiness based
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R&D MarkeDng Customer
Product InnovaDon
Company
R&D Customer
Company
User InnovaDon
Products・toolkits
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Service innovaDon research
� Shio to Service Economy � transforming social structure affects to research and development
(R&D) organizaDon � Macro level surveys on service innovaDon do not capture R&D reality
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R&D management Service marke1ng & management (1980-‐)
Focused industry Product based industry Service industry
Research New Product
Development (NPD) New Service Development
(NSD)
InnovaDon source Technology trajectory Service professional
trajectory
Outcomes Product and process innovaDon
Process and knowledge/organizaDonal innovaDon 2013/10/19 Waseda University
Strategic R&D toward innovaDon
Strategic R&D for innovation
R&D based on basic research
funds
R&D in companies
Business (IT development, construction)
Value creation Scientific,
Technology, Social, Economic
Mainly scientific Scientific,
Technology, Social, Economic
Social, Economic
Targeted system Open system Mainly closed
system Open system
Customer based closed system
Period Long-term Long-term Short-term Based on contract
R&D area Multi-disciplinary Mixed Mixed Mixed
Objectives Integrate with outer/given objectives
Setting internally Integrate with outer/given objectives
Given by customers
Public/private Public Public Private Private
Uncertainty High High High Low
Design
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Design acDviDes since 1900 Emergence of InformaDon technology 1876 Telephone 1914 IBM 1976 Apple IntegraDon of Design and IT 1991 IDEO 1999 Human interface society 2005 Stanford Univ. d.school 2008 Keio Univ. SDM Expanding to service, service system 2004 Service Design Network 2011 Service system
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Key concepts of service science （Ref: Spohrer and Maglio 2009）
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Ecology
Elements InteracDon (Network)
Value proposiDon based interacDons
Stakeholders
Metrics
Resources
Access rights
Governance mechanism based
interacDons
Outcomes
Win-‐Win
Win-‐Lose
Lose-‐Win
Lose-‐Lose
InnovaDon and Design focus 1950 - 1970 - 1980 - 1990 - 2000 -
Source of innovation
Technology
Technology push model (Bush 1945), Dosi 1982), Rothwell 1992,1994)
Chain-linked model (1970- Kline and Rosenberg 1986), Gate keeper (Allen 1977)
Mode 1 & Mode 2 (Gibbons, et al. 1994), Service innovation (Sundbo 1994, Edvardssin and Olsson 1996, Gallouj 1998)
Open Innovation (Chesbrough 2003), Service Science, Management, Engineering and Design (2004-)
Non-technology (market)
Market pull model ( Schmookler 1966, Scherer 1982)
User innovation von Hippel (1988)
Design focus
Industrial products (William Morris, Bauhaus, Post modern, IDEO, d.school)
Service products (Shostack 1984, Bitner 1992, Erlhoff, Merger, Manzini 1997), Interaction (Holmlid 2007)
PSS (Morelli 2002), Service system (The Science of Service Systems 2011)
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Agenda
• IntroducDon • InnovaDon and Design focus • Research designing a service system • Discussions
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Service system viewpoints Complexities
Systems Simple/closed Complex/open Jackson (System of Systems Methodologies (SOSM))
Difficulties in synthesis
Class 1 Class 2 Class 3 Ueda, et al.
Interactions
Interactions Value proposition based Governance based Spohrer, et al.
Value sharing condition
Unitary Pluralist Coercive Jackson (System of Systems Methodologies (SOSM))
Scopes
System layer Micro: People Meso: Organization Macro: Social systems S3FIRE
Layer of design
Components, Products (Traditional designing)
Systems Community (Political and social aspects)
Jones
Ref: Spohrer, J. C., Demirkan, H., and Krishna, V., 2011, Service and Science, In H. Demirkan, J.C. Spohrer and V. Krishna, Eds. The Science of Service Systems, Springer, pp.325-‐358. Sawatani, Y., Arai, T., and Murakami, T., CreaDng Knowledge Structure for Service Science, 2013, PICMET Jackson, Michael C., 2003, Systems Thinking: CreaDve Holism for Managers, John Wiley & Sons Ltd., UK Ueda, K., Takenaka, T., Vancza, J., and Monostori, L., 2009, Value creaDon and decision-‐making in sustainable society, CIRP Annuals, Manufacturing Technology 58, pp.681-‐700 Jones, C.,1992, DESIGN METHODS, John Wiley & Sons. 2013/10/19 Waseda University 18
Service system viewpoints Complexities
Systems Simple/closed Complex/open Jackson (System of Systems Methodologies (SOSM))
Difficulties in synthesis
Class 1 Class 2 Class 3 Ueda, et al.
Interactions
Interactions Value proposition based Governance based Spohrer, et al.
Value sharing condition
Unitary Pluralist Coercive Jackson (System of Systems Methodologies (SOSM))
Scopes
System layer Micro: People Meso: Organization Macro: Social systems S3FIRE
Layer of design
Components, Products (Traditional designing)
Systems Community (Political and social aspects)
Jones
Ref: Spohrer, J. C., Demirkan, H., and Krishna, V., 2011, Service and Science, In H. Demirkan, J.C. Spohrer and V. Krishna, Eds. The Science of Service Systems, Springer, pp.325-‐358. Sawatani, Y., Arai, T., and Murakami, T., CreaDng Knowledge Structure for Service Science, 2013, PICMET Jackson, Michael C., 2003, Systems Thinking: CreaDve Holism for Managers, John Wiley & Sons Ltd., UK Ueda, K., Takenaka, T., Vancza, J., and Monostori, L., 2009, Value creaDon and decision-‐making in sustainable society, CIRP Annuals, Manufacturing Technology 58, pp.681-‐700 Jones, C.,1992, DESIGN METHODS, John Wiley & Sons. 2013/10/19 Waseda University 19
Expanded research areas by service system design
Systems with value sharing condition
Class 1 Class 2 Class 3
Scope
Micro: People
Meso: Organization
Macro: Social systems
Industrial products
Service products
CBM SQALE
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Component Business Modeling: CBM
Ref: htp://capitalideas.wordpress.com/ibm-‐cbm/ 2013/10/19 Waseda University 21
Services Quality Analysis & Learning Engine
Ref: htp://www.research.ibm.com/trl/projects/sse/sqale/index_e.htm 2013/10/19 Waseda University 22
Expanded research areas by service system design
Systems with value sharing condition
Class 1 Class 2 Class 3
Scope
Micro: People
Meso: Organization
Macro: Social systems
Industrial products
Service products
CBM SQALE
ProducDvity tools
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ProducDvity tools and Metrics Tools cost benefits
Analysis model based on use cases
TranslaDon Dme
Measurement method
Measurement method
Time Atributes
PrimiDve metrics
Computed metrics
Document reviewing tool benefits
QuesDonnaire Transform.
Rate of FuncDon usage
Mix rate Of staffing
Measurement method
Measurement method
Q&A support benefits
QuesDonnaire Transform.
Com. Volume Mix rate Of staffing
TranslaDon assist tool benefits
Hours Improvement
Product. Improvement
Rate of FuncDon usage
Mix rate Of staffing
Translated words # etc. Counts of funcDon-‐usage Staffing level
Reviewing Dme CriDqued sentences # etc. Counts of funcDon-‐usage Staffing level QuesDonnaire on quality
Used Dme Translated comm. volume Staffing level QuesDonnaire on usability
Volume Frequency of funcDon-‐usage Skill level SubjecDve quality
Measurement method
Ref: htp://www.research.ibm.com/trl/projects/sse/sqale/index_e.htm 2013/10/19 Waseda University 24
Expanded research areas by service system design
Systems with value sharing condition
Class 1 Class 2 Class 3
Scope
Micro: People
Meso: Organization
Macro: Social systems
Industrial products
Service products
CBM SQALE
ProducDvity tools
InnovaDon Jam
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InnovaDon Jam
• Real-‐Dme discussion analysis
• FacilitaDon support
Ref: htp://www-‐03.ibm.com/ibm/history/ibm100/us/en/icons/innovaDonjam/ “Looking for Great Ideas: Analyzing the InnovaDon Jam”, Mary Helander, Rick Lawrence, Yan Liu,Claudia Perlich, Chandan Reddy, Saharon Rosset, IBM T.J. Watson Research Center
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Expanded research areas by service system design
Systems with value sharing condition
Class 1 Class 2 Class 3
Scope
Micro: People
Meso: Organization
Macro: Social systems
Industrial products
Service products
CBM SQALE
ProducDvity tools
InnovaDon Jam
Value Pricing
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Value Pricing
§ Risk Evaluation
Price Model
Metrics DistribuDon
§ Share-rate Pricing § comparing the value of project with that of the client-‐self case
§ Value Modeling § Monte Carlo-based method § Stochastic prediction
Client’s & Provider’s Benefit
SimulaDon using What-‐if analysis to esDmate the expected net profit
Calculation Module Output Information
KPI Economic condiDons
Level of Client’s business process
KPI
Predictable factor
KPI for improvement by BPO
As-‐Is To-‐Be
Input Information
• System theory approach for value-evaluation
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Expanded research areas by service system design
Systems with value sharing condition
Class 1 Class 2 Class 3
Scope
Micro: People
Meso: Organization
Macro: Social systems
Industrial products
Service products
CBM SQALE
ProducDvity tools
InnovaDon Jam
Value Pricing
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Agenda
• IntroducDon • InnovaDon and Design focus • Research designing a service system • Discussions – through case study
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Service system layer
Macro layer
Meso layer
Micro layer
• Social system
• Policy making
• Organization strategy
• Collaborative behavior
• Person to person
• Operation
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Ref: http://ja.serviceology.org/events/index.html
Basic service system model
SP
A.Service Provider
B.Service Receiver
C.Service Set
Service interacDons
Content (People, Technology, Shared informaDon) Channel (a method or system for communicaDon or distribuDon)
Context
Ref: Gadrey, J., 2002, The misuse of producDvity concepts in services: Lessons from a comparison between France and the United States, In J. Gadrey and F. Gallouj, Eds. ProducDvity, InnovaDon and Knowledge in Services: New Economic and Socio-‐Economic Approaches, Edward Elgar Publisher, pp.26-‐53. Maglio, Paul P., Srinivasan, S., Kreulen, Jeffrey T., and Spohrer, J., 2006, Service systems, service scienDsts, SSME, and innovaDon, CommunicaDons of the ACM, Vol 49 Issue 7, pp. 81-‐85. Arai, T., Shimomura, Y., 2004, Proposal of Service CAD System -‐ A Tool for Service Engineering, CIRP Annals, Vol. 53/1, PP.397-‐400. 2013/10/19 Waseda University 32
SP
A.Service Provider
B.Service Receiver
C.Service Set
Service interacDons
Content (People, Technology, Shared informaDon) Channel (a method or system for communicaDon or distribuDon)
Context
Research Areas
Receiver activities • Marketing • Behavior science • Kansei eng • Human modeling • Human management
Service provider environment • Human resource • Education • Building • IT infrastructure
Service value • Value eng • Knowledge eng • Macro/Micro economics
Provider activities • Design • System eng • OR/IE • Quality management • Cost management
Function realization • robotics • Requirement eng • SW eng, Informatics • Robotics
Organization science • Management science • System eng • Social science
Provider/Receiver interaction • consensus building • Interaction design
• Anthropology • Behavior science • Game theory
Service system management • Policy, Social system • Platform
Environmental factor • Politics, Society, Economy • Culture, Civilization
Class 1 Class 2 Class3
2013/10/19 Waseda University 33 Ref: htp://ja.serviceology.org/events/index.html
project Service system layer Research area Industry
Service value, Value co-creation
2011-B2
Micro Service value
Restaurant, Entertainment
Meso Service value
Meso Service value
Meso Service system management
2010-A2 Micro-Meso Providers and Receivers interaction
Public service Micro-Meso Service system management
2010-B2
Meso Providers and Receivers interaction
Education, Retails Micro Service value
Meso Service system management
Provider and Receiver interaction
2011-B1 Micro Service value
Healthcare Meso Providers and Receivers interaction
2011-B3
Meso Service value
Public service
Micro Provider activities
Meso Providers and Receivers interaction
Meso Provider activities
Meso Service value
Meso Provider activities
Meso Service value
Meso Service value
Function realization toward value co-creation
2011-A1 Meso-Macro Service system management
Agriculture Micro Function realization
2011-A2
Meso Service system management
Public service Micro Function realization
Meso Service value
Micro-Meso Receiver activities
2010-A1 Micro Function realization
Healthcare Meso Service system management
2010-B1
Micro Function realization
Travel
Micro Providers and Receivers interaction
Micro Service system management
Meso Service value
Meso Provider activities
Meso Receiver activities
Micro Receiver activities 2013/10/19 Waseda University 34
Ref: htp://ja.serviceology.org/events/index.html
Service system layer
Macro layer
Meso layer
Micro layer
• Social system
• Policy making
• Organization strategy
• Collaborative behavior
• Person to person
• Operation
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Most of projects
Ref: http://ja.serviceology.org/events/index.html
SP
A.Service Provider
B.Service Receiver
C.Service Set
Service interacDons
Content (People, Technology, Shared informaDon) Channel (a method or system for communicaDon or distribuDon)
Context
Research Areas
Receiver activities • Marketing • Behavior science • Kansei eng • Human modeling • Human management
Service provider environment • Human resource • Education • Building • IT infrastructure
Service value • Value eng • Knowledge eng • Macro/Micro economics
Provider activities • Design • System eng • OR/IE • Quality management • Cost management
Function realization • robotics • Requirement eng • SW eng, Informatics • Robotics
Organization science • Management science • System eng • Social science
Provider/Receiver interaction • consensus building • Interaction design
• Anthropology • Behavior science • Game theory
Service system management • Policy, Social system • Platform
Environmental factor • Politics, Society, Economy • Culture, Civilization
Project focus (multiple selection)
2013/10/19 Waseda University 36 Ref: htp://ja.serviceology.org/events/index.html
Research process
Concept model development
Classification, Systemization
Investigation
Hypothesis, Theorem
Experimentation, Design
Verification, Analysis
Mathematical model
Analysis, Classification
Research review, Case study review
Concept development
■ Deductive approach
■ Inductive approach
Data collection
Concept model
Technology development
Survey design
Verification, Analysis, Adaptation
Formalization
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Ref: http://ja.serviceology.org/events/index.html
Research process
Concept model development
Classification, Systemization
Investigation
Hypothesis, Theorem
Experimentation, Design
Verification, Analysis
Mathematical model
Analysis, Classification
Research review, Case study review
Concept development
■ Deductive approach
■ Inductive approach
Data collection
Concept model
Technology development
Survey design
Verification, Analysis, Adaptation
Formalization
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HCI（Human Computer Interface）, CSCW (Computer-Supported Cooperative Work) Text mining, network analysis, field test, simulation
Gamification, soft system method, business model canvas
Ref: http://ja.serviceology.org/events/index.html
Discussions
• Possibility to facilitate service science knowledge infrastructure applying these common frameworks
• Answering a how question, research methods and approaches, is also required
• There are risks to reduce the research scopes by introducing these common frameworks
• Understand research methods and approaches discussion for Service science research as the next step
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Thank you!