Process Design and Management

8953 WordsMay 9, 201336 Pages
Q3. Increased co-production of goods and services (Process Design and Management) The Internet has opened new ways for the customer to interact directly with a firm. Simple direct entry and monitoring of orders is only the first step in the progression of value-added services made possible through information sharing. 1.0 Introduction The topic of process design and management will generally goes on explaining the word ‘design’, in its broadest sense, is right at the heart of operations management. The design is an activity that can be approached at different levels of detail. Design must reflect the needs of customers, and able applies to products, services and processes. It can be managed as an operations transformation…show more content…
Co-production of goods and services in internet is growing steadily. For example, in the third quarter of 2009, internet retailing sales in the U.S totaled approximately $34 billion, a 4.5% increase from the previous quarter. The quality of the internet on the purchase process has been found to affect customers’ purchase decisions, satisfaction, and loyalty in online retailing (Zeithaml et al., 2002; Wolfinbarger and Gilly, 2009). Hence, to be competitive in the market place, internet is the paramount and as the new ways for the customer to interact directly with a firm. Besides that, the internet is responsive and convenient for customers in the online purchase process. Through internet, the firms being able respond to the unique needs and wants of individual customers by providing the “right content in the right format to the right person at the right time.” Retailers can facilitate a convenient and responsive online purchase process, serve their customers better, improve customer satisfaction and increase retention. Customer satisfaction is the ultimate result of meeting a consumer’s expectation from the performance of products. Most satisfied customers normally have the intention to re-purchase the products if product performance meets his or her expectation. Like traditional business, online businesses also need to satisfy their customers. Customer satisfaction is one of the central constructs in the study of consumer behavior both in traditional
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