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New Service Development: Managing the Dynamic Between Services and Operations Resources

In: Business and Management

Submitted By miepunyer
Words 356
Pages 2
By presenting this paper author try to explore greater understand the nature of new service development (NSD) and to investigate the relationship between NSD and operations resources due to previous research suggests that (NSD) is characterized by less stable offerings, less formal processes and is more emergent than new product development. Author successfully provide detail case study a sample of new services in Business-to-business markets in three different bespoke service providers. Softdev is a software developer, CRControls an installer for building control systems and Audiosystems, design and an installer for audio-visual (AV) systems. Author found and proposed a dialectical model of NSD composed of three stages: emergence, accommodation and consolidation. Emergence stage, there is an ongoing mutual adjustment between the existing services provided and the operations resources, capabilities and capacity levels of the company. Companies require to consider in their investment decision if, and how, existing operations resources, capabilities and capacity enable them to provide the new service. Accommodation stage when the implementation of the service will reveal what it is realistic to take on inside the firm - both in terms of newness of capabilities, and the capacity of the operation to find time to do new/additional things. It may reveal hidden more generally-applicable resources that are already deployed in existing services; new capabilities will start to develop; capacity trade-offs will appear as effort is directed toward the new service, possibly at the expense of existing ones. Consolidation stage is reached when companies have a better understanding of the new service and can define its process design. Process design decisions can fine-tune operations resources and capabilities, for continuous improvement or for economies of scale between the…...

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