Improving service productivity Essay Example | Topics and Well Written Essays - 500 words

Improving service productivity - Essay Example So, a higher ratio indicates higher productivity. Compared to manufacturing industries, it is much difficult to measure productivity in services industries, especially those that are enabled by Information Technology. (Saari, 2006) Yet, management gurus have identified a few proven techniques for improving service productivity, which are discussed below. One way of improving service productivity is by applying operations-driven strategies. This entails reducing costs and wastage of resources, setting production capacities to meet demands, computerizing mechanical or routine tasks, upgrading systems to latest standards, re-training employees to adapt to upgraded systems, expanding the range of tasks that an employee can perform, redesigning service process where applicable, etc. All of these improvements in operations will lead to overall improvement in service productivity. (www.slideshare.net, 2011) There is another approach to increasing service productivity, which is via Customer- driven strategies. The first component of these strategie is to â€Å"change the timing of customer demand†. The rationale is that â€Å"by shifting demand away from peaks, managers can make better use of firm's productive assets and provide better service†. (www.slideshare.net, 2011) Similarly, involving customers in the production process is also helpful.