- Published: October 31, 2021
- Updated: October 31, 2021
- University / College: Oklahoma State University
- Level: Undergraduate
- Language: English
- Downloads: 20
Case Synopsis Scotts fitness center has to focus on various constructs while devising a plan to increase its profitability and to compete in the market. They fitness center needs to ensure that the staff that is required to deliver the services is available at the facility at the right time. Due to this the programs should be scheduled when the staff is available. Furthermore, the organization can change its fee structure or charge a higher fee depending on the size of the facility and the hours in which the services are provided. Furthermore, the fee charged by the fitness center is even influenced by the availability as well as the access and the experience of the staff that is required to provide the services. If the fitness center is able to provide highly trained fitness staff, they will be able to charge higher fee. There is little or negligible impact of the size of the facility on the fee charged by the fitness center because customers experience higher satisfaction if other offerings such as fitness training staff are of higher quality.
There is a major different in the designing of a particular service as compared to the designing of a particular product. There are even differences in the factors that need to be considered while designing services. First, service designers need to understand that service is intangible in nature so it should be designed while keeping those factors in mind that impacts the customer’s perception of the quality of a service. The customers’ perception of the quality of a particular service is dependent on the timeliness of the service provided. This means that the service should be available to the customers when they need it and any delays may make the customer perceive that the service is of low quality. Furthermore, the service designer should even take into consideration the physical setting in which the service is being provided. The safety, security and the overall environment of the setting is of utmost important in making the customer’s feel that the service is of high quality. This factor should be given importance when designing services that includes lower labor involvement. Another important factor is the service providing labor and the way through which they provide the service. This factor should be given importance when designing services that are labor intensive.
The term mass customization is used to refer to the procedure of developing products and services based on the needs of individual customers but at the same time charging them prices that are set for products that are mass produced. There are several challenges that an organization may experience while implementing the process of mass customization. One of the major challenges that manufacturers may experience is that of flexibility (Sushil 7). Manufacturing organizations may need to be flexible enough to alter their product lines at a very fast pace in order to meet individual needs. Another issue that may arise as a result of mass customization is the cycle time. Cycle time refers to how quickly a particular production line is able to change itself in order to develop a different product or a different shade of a similar product. This cycle time needs to be reduced to meet customer needs in a timely manner.
Sushil, , and Gerhard Chroust. Systemic Flexibility and Business Agility. , 2015. Internet resource.