ICServ 2013 Day2 Service innovation and design II session

1.
Toward
research
on
designing
a
service
system
Yuriko
Sawatani
@
Waseda
University,
Japan
ICServ
2013

2. Agenda
•
•
•
•
IntroducDon
–
What
is
service
research?
Design
focus
and
innovaDon
Research
designing
a
service
system
Discussions
2013/10/19
Waseda
University
2

3. 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)
2013/10/19
Waseda
University
3

4. 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)
2013/10/19
Waseda
University
4

5. 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.).
2013/10/19
Waseda
University
5

6. 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)
2013/10/19
Waseda
University
6

7. Service
Science
in
Japan
2004/12
•
The
Third
Science
and
Technology
Basic
Plan
2006/3
•
Outline
of
the
Economic
Growth
Strategy
(METI)
2006/7
2007/6
•
“Innovate
America”
(Palmisano
Report)
– “Services
science
can
begin
to
address
major
quesDons
at
the
heart
of
21st
century
innovaDon”
– Need
to
address
emerging
&
interdisciplinary
field
of
research
– 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
– Service
InnovaDon
•
Service
InnovaDon
Human
Resource
Development
PromoDon
Program
(MEXT)
•
Act
on
Enhancement
of
Research
and
Development
Capacity
(ArDcle
47)
2008
– 6
universiDes
(2007),
7
universiDes
(2008)
– Research
focusing
on
applying
naDonal
sciences
to
social
science
and
management
engineering
•
•
•
•
Commission
on
PromoDon
of
Service
Science
and
Engineering
(MEXT)
Feasibility
Study
for
the
program
planning
(JST)
Service
Science,
SoluDons
and
FoundaDon
Integrated
Research
program
The
New
Growth
Strategy
(Basic
Policies)
Toward
a
Radiant
Japan
2010/6
2008
2009
2010/4

8. Service
science
２０１1
２０１1
２０１０
２００７
２００４
2013/10/19
Waseda University
8

9. 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
Ref: “On Value and Value co-creation: A service systems and service logic perspective” by S. Vargo, P. Maglio, M. Akaka
9
2013/10/19
Waseda
University

10. Agenda
•
•
•
•
IntroducDon
InnovaDon
and
Design
focus
Research
designing
a
service
system
Discussions
2013/10/19
Waseda
University
10

11. Customer
Focused
Product
InnovaDon
Research
• R&D
and
markeDng
collaboraDon
– Effect
to
funcDon
expansion
of
product,
reducDon
of
product
development
period
Company
MarkeDng
R&D
Customer
Product
InnovaDon
• User
innovaDon
research
(von
Hippel
1994)
– InformaDon
sDckiness
based
Company
R&D
2013/10/19
Products・toolkits
Waseda
University
Customer
User
InnovaDon
11

12. 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
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
2013/10/19
Product
and
process
Process
and
knowledge/
innovaDon
University
organizaDonal
innovaDon
Waseda
12

13. Strategic
R&D
toward
innovaDon
R&D based on
Strategic R&D
basic research
for innovation
funds
R&D in
companies
Business (IT
development,
construction)
Scientific,
Scientific,
Value creation
Technology, Mainly scientific
Technology, Social, Economic
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
Integrate with
outer/given Setting internally
outer/given
objectives
objectives
Given by
customers
Public/private
Public
Public
Private
Private
Uncertainty
High
High
High
Low

14. Design
２０１３
２０1１
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
2013/10/19
２００5
２０0１
Waseda University
14

15. Key
concepts
of
service
science
（Ref:
Spohrer
and
Maglio
2009）
Ecology
InteracDon
(Network)
Elements
Value
proposiDon
based
interacDons
Stakeholders
Metrics
Governance
mechanism
based
interacDons
Resources
Access
rights
Outcomes
Win-­‐Win
Win-­‐Lose
Lose-­‐Win
Lose-­‐Lose
2013/10/19
Waseda University
15

16. InnovaDon
and
Design
focus
1950 1970 1980 1990 2000 Technology push
model (Bush
Chain-linked
Mode 1 & Mode 2 Open Innovation
model (1970(Gibbons, et al.
(Chesbrough
Technology 1945), Dosi
1982), Rothwell Kline and
1994),
2003),
1992,1994)
Rosenberg
Service innovation Service Science,
Source of
innovation
1986),
(Sundbo 1994,
Management,
Market pull
User
Gate keeper
Edvardssin and
Engineering and
model (
innovation
Non-technology
(Allen 1977)
Olsson 1996,
Design (2004-)
Schmookler
(market)
von Hippel Gallouj 1998)
1966, Scherer
(1988)
1982)
Industrial products (William Morris, Bauhaus, Post modern, IDEO, d.school)
Service products (Shostack 1984,
Bitner 1992, Erlhoff, Merger, Manzini
1997), Interaction (Holmlid 2007)
Design focus
PSS (Morelli
2002), Service
system (The
Science of Service
Systems 2011)
2013/10/19
Waseda
University
16

17. Agenda
•
•
•
•
IntroducDon
InnovaDon
and
Design
focus
Research
designing
a
service
system
Discussions
2013/10/19
Waseda
University
17

18. Service
system
viewpoints
Complexities
Systems
Simple/closed
Difficulties in
synthesis
Class 1
Complex/open
Class 2
Jackson (System of Systems
Methodologies (SOSM))
Class 3
Ueda, et al.
Governance based
Spohrer, et al.
Coercive
Jackson (System of Systems
Methodologies (SOSM))
Interactions
Interactions
Value sharing
condition
Value proposition based
Unitary
Pluralist
Scopes
System layer
Micro: People
Meso: Organization
acro: Social systems
M
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
2013/10/19
18
Ueda,
K.,
Takenaka,
T.,
Vancza,
J.,
and
Monostori,
L.,
2009,
Value
creaDon
aWaseda
University
nd
decision-­‐making
in
sustainable
society,
CIRP
Annuals,
Manufacturing
Technology
58,
pp.681-­‐700
Jones,
C.,1992,
DESIGN
METHODS,
John
Wiley
&
Sons.

19. Service
system
viewpoints
Complexities
Systems
Simple/closed
Difficulties in
synthesis
Class 1
Complex/open
Class 2
Jackson (System of Systems
Methodologies (SOSM))
Class 3
Ueda, et al.
Governance based
Spohrer, et al.
Coercive
Jackson (System of Systems
Methodologies (SOSM))
Interactions
Interactions
Value sharing
condition
Value proposition based
Unitary
Pluralist
Scopes
System layer
Micro: People
Meso: Organization
acro: Social systems
M
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
2013/10/19
19
Ueda,
K.,
Takenaka,
T.,
Vancza,
J.,
and
Monostori,
L.,
2009,
Value
creaDon
aWaseda
University
nd
decision-­‐making
in
sustainable
society,
CIRP
Annuals,
Manufacturing
Technology
58,
pp.681-­‐700
Jones,
C.,1992,
DESIGN
METHODS,
John
Wiley
&
Sons.

20. Expanded
research
areas
by
service
system
design
Systems with value sharing condition
Class 1
Micro: People
Meso:
Scope
Organization
Class 2
Class 3
Service
products
CBM
SQALE
Industrial
products
Macro: Social
systems
2013/10/19
Waseda
University
20

21. Component
Business
Modeling:
CBM
2013/10/19
Ref:
htp://capitalideas.wordpress.com/ibm-­‐cbm/
Waseda
University
21

22. Services
Quality
Analysis
&
Learning
Engine
2013/10/19
Waseda
University
Ref:
htp://www.research.ibm.com/trl/projects/sse/sqale/index_e.htm
22

23. Expanded
research
areas
by
service
system
design
Systems with value sharing condition
Class 1
Micro: People
Meso:
Scope
Organization
Class 2
Class 3
Service
products
CBM
ProducDvity
SQALE
Industrial
tools
products
Macro: Social
systems
2013/10/19
Waseda
University
23

24. ProducDvity
tools
and
Metrics
Tools
cost
benefits
Analysis
model
based
on
use
cases
TranslaDon
assist
tool
benefits
Computed
metrics
PrimiDve
metrics
Hours
Improvement
Mix
rate
Of
staffing
2013/10/19
Time
Rate
of
FuncDon
usage
Volume
Measurement
method
Mix
rate
Of
staffing
Measurement
method
Frequency
of
funcDon-­‐usage
Q&A
support
benefits
QuesDonnaire
Transform.
Com.
Volume
Reviewing
Dme
CriDqued
sentences
#
etc.
Counts
of
funcDon-­‐usage
Staffing
level
QuesDonnaire
on
quality
TranslaDon
Dme
Translated
words
#
etc.
Counts
of
funcDon-­‐usage
Staffing
level
Measurement
method
Atributes
QuesDonnaire
Transform.
Product.
Improvement
Rate
of
FuncDon
usage
Document
reviewing
tool
benefits
Mix
rate
Of
staffing
Used
Dme
Translated
comm.
volume
Staffing
level
QuesDonnaire
on
usability
Measurement
method
Skill
level
Measurement
method
SubjecDve
quality
Waseda
University
Ref:
htp://www.research.ibm.com/trl/projects/sse/sqale/index_e.htm
24

25. Expanded
research
areas
by
service
system
design
Systems with value sharing condition
Class 1
Micro: People
Meso:
Scope
Organization
Class 2
Class 3
Service
products
CBM
ProducDvity
InnovaDon
SQALE
Industrial
tools
Jam
products
Macro: Social
systems
2013/10/19
Waseda
University
25

26. InnovaDon
Jam
• Real-­‐Dme
discussion
analysis
• FacilitaDon
support
2013/10/19
Ref:
htp://www-­‐03.ibm.com/ibm/history/ibm100/us/en/icons/innovaDonjam/
Waseda
University
26
“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

27. Expanded
research
areas
by
service
system
design
Systems with value sharing condition
Class 1
Micro: People
Meso:
Scope
Organization
Class 2
Service
products
CBM
ProducDvity
InnovaDon
SQALE
Industrial
tools
Jam
products
Macro: Social
systems
2013/10/19
Class 3
Waseda
University
Value
Pricing
27

28. Value
Pricing
Calculation Module
Input Information
Economic
condiDons
§ Value Modeling
KPI
for
improvement
by
BPO
Predictable
factor
As-­‐Is
To-­‐Be
§ Monte Carlo-based
method
§ Stochastic prediction
Output Information
Metrics
DistribuDon
KPI
KPI
§ Risk Evaluation
Level
of
Client’s
business
process
• System theory approach for
value-evaluation
2013/10/19
Price
Model
§ Share-rate Pricing
§
comparing
the
value
of
project
with
that
of
the
client-­‐self
case
Waseda
University
Client’s
&
Provider’s
Benefit
SimulaDon
using
What-­‐
if
analysis
to
esDmate
the
expected
net
profit
28

29. Expanded
research
areas
by
service
system
design
Systems with value sharing condition
Class 1
Micro: People
Meso:
Scope
Organization
Class 2
Service
products
CBM
ProducDvity
InnovaDon
SQALE
Industrial
tools
Jam
products
Macro: Social
systems
2013/10/19
Class 3
Waseda
University
Value
Pricing
29

30. Agenda
•
•
•
•
IntroducDon
InnovaDon
and
Design
focus
Research
designing
a
service
system
Discussions
–
through
case
study
2013/10/19
Waseda
University
30

31. Service
system
layer
Macro layer
Meso layer
• Organization strategy
• Collaborative behavior
Micro layer
2013/10/19
• Social system
• Policy making
• Person to person
• Operation
Waseda University
31
Ref: http://ja.serviceology.org/events/index.html

32. Basic
service
system
model
Context
A.Service
Provider
Service
interacDons
B.Service
Receiver
SP
C.Service
Set
Content
(People,
Technology,
Shared
informaDon)
Channel
(a
method
or
system
for
communicaDon
or
distribuDon)
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,
T2013/10/19
Y.,
2004,
Proposal
of
Service
CAD
System
-­‐
A
Tool
for
Service
Engineering,
CIRP
Annals,
Vol.
53/1,
PP.397-­‐400.
.,
Shimomura,
Waseda
University
32

33.
Class
1
Function realization
• robotics
• Requirement eng
• SW eng, Informatics
• Robotics
Research
Areas
Class
2
Provider/Receiver
interaction
• consensus building
• Interaction design
Provider activities
• Design
• System eng
• OR/IE
• Quality management
• Cost management
Service
interacDons
B.Service
Receiver
SP
C.Service
Set
Content
(People,
Technology,
Shared
informaDon)
Channel
(a
method
or
system
for
communicaDon
or
distribuDon)
Service provider
environment
• Human resource
• Education
• Building
2013/10/19
• IT infrastructure
Organization science
• Management science
• System eng
• Social science
Waseda University
Class3
• Anthropology
Service value
Behavior
•
• Value eng
science
• Knowledge eng Game theory
•
• Macro/Micro economics
Context
A.Service
Provider
Receiver
activities
• Marketing
• Behavior science
• Kansei eng
• Human modeling
• Human
management
Environmental
Service system
factor
management
• Politics, Society,
• Policy, Social
Economy
system
• Culture,
33
• Platform
Civilization
Ref:
htp://ja.serviceology.org/events/index.html

34.
project
2011-B2
Service value,
Value cocreation
2010-A2
2010-B2
2011-B1
Provider and
Receiver
interaction
2011-B3
2011-A1
2011-A2
Function
realization
toward value
co-creation
2010-A1
2010-B1
2013/10/19
Service system layer
Micro
Meso
Meso
Meso
Micro-Meso
Micro-Meso
Meso
Micro
Meso
Micro
Meso
Meso
Micro
Meso
Meso
Meso
Meso
Meso
Meso
Meso-Macro
Micro
Meso
Micro
Meso
Micro-Meso
Micro
Meso
Micro
Micro
Micro
Meso
Meso
Meso
Micro
Research area
Service value
Service value
Service value
Service system management
Providers and Receivers interaction
Service system management
Providers and Receivers interaction
Service value
Service system management
Service value
Providers and Receivers interaction
Service value
Provider activities
Providers and Receivers interaction
Provider activities
Service value
Provider activities
Service value
Service value
Service system management
Function realization
Service system management
Function realization
Service value
Receiver activities
Function realization
Service system management
Function realization
Providers and Receivers interaction
Service system management
Service value
Provider activities
Receiver activities
Receiver activities
Waseda
University
Industry
Restaurant,
Entertainment
Public service
Education, Retails
Healthcare
Public service
Agriculture
Public service
Healthcare
Travel
34
Ref:
htp://ja.serviceology.org/events/index.html

35. Service
system
layer
Macro layer
• Social system
• Policy making
Meso layer
• Organization strategy
• Collaborative behavior
Micro layer
• Person to person
• Operation
Most of
projects
2013/10/19
Waseda University
35
Ref: http://ja.serviceology.org/events/index.html

36.
Function realization
• robotics
• Requirement eng
• SW eng, Informatics
• Robotics
Research
Areas
Provider/Receiver
interaction
• consensus building
• Interaction design
Project focus (multiple selection)
• Anthropology
Service value
Behavior
•
• Value eng
science
• Knowledge eng Game theory
•
• Macro/Micro economics
Context
Provider activities
• Design
• System eng
• OR/IE
• Quality management
• Cost management
A.Service
Provider
Service
interacDons
B.Service
Receiver
SP
C.Service
Set
Content
(People,
Technology,
Shared
informaDon)
Channel
(a
method
or
system
for
communicaDon
or
distribuDon)
Service provider
environment
• Human resource
• Education
• Building
2013/10/19
• IT infrastructure
Organization science
• Management science
• System eng
• Social science
Waseda University
Receiver
activities
• Marketing
• Behavior science
• Kansei eng
• Human modeling
• Human
management
Environmental
Service system
factor
management
• Politics, Society,
• Policy, Social
Economy
system
• Culture,
36
• Platform
Civilization
Ref:
htp://ja.serviceology.org/events/index.html

37. Research
process
■ Deductive approach
Hypothesis,
Theorem
Concept model
Mathematical model
Survey design
Experimentation,
Design
Technology development
Verification,
Analysis
Concept model
development
Concept development
Classification,
Systemization
Verification, Analysis,
Adaptation
Investigation
Formalization
Analysis, Classification
Research review,
Case study review
Data collection
■ Inductive approach
2013/10/19
Waseda University
37
Ref: http://ja.serviceology.org/events/index.html

38. Research
process
■ Deductive approach
Hypothesis,
Theorem
Gamification, soft system method, business model canvas
Concept model
Mathematical model
Survey
Experimentation,
design
Design
Technology development
Verification,Verification, Analysis,
Adaptation
Analysis
Concept development
Concept model
development
Formalization
Classification,
Systemization
Analysis, Classification
Research review,
Case study review
Investigation
Data collection
■ Inductive approach
HCI（Human Computer Interface）, CSCW (Computer-Supported Cooperative Work)
Text mining, network analysis, field test, simulation
2013/10/19
Waseda University
38
Ref: http://ja.serviceology.org/events/index.html

39. 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
2013/10/19
Waseda University
39

40. Thank
you!