Service Phenomenological Experience Literature Review
Core of Business Activity
“Characterising the concept of service experience the emerging paradigm of service-dominant logic (S-D logic), which regards the service experience as the basis of all business Characterising the concept of service experience (Lusch and Vargo, 2006 RRR; Schembri, 2006; Vargo and Lusch, 2008).“ (Helkkula, A. 2011)
“. . . all exchange activities are conducted in order to realize services . . . [I]t is through exchange that the potential services of resources are released and value arises. In other words, the out- come of the business exchange activity is the services rendered and the goal of business activity is to actualize the potential services buried in the innermost recesses of the included resources . . . The objective is to create value through the release of the services habituated within resources. (Håkansson and Prenkert, 2004: 91–2) These services, and the associated value, are created through an ‘actor’ combining resources accessed in an exchange with other resources, both internal and avail- able through other exchanges.“ (Vargo S. Lusch S. 2006 RRR)
“exchange moved from one-to-one trading of specialized skills to the indirect exchange of skills in vertical marketing systems and increasingly large, bureaucratic hierarchical organizations” (Vargo and Lusch 2004a, p.8). Thus, value networks and constellations, as we later argued (e.g., Lusch and Vargo 2006c), will continue to mask the fundamental nature of exchange. ...as the division of labor increased, another important development occurred—the connectedness of individuals. As each person specializes we become more dependent and connected to others. Thus both the extent of the market and the density of the network of interconnections is a function of the division of labor in society. ...We have always considered value to be phenomenologically determined. We believe that this orientation is implied by the term “service,” as we have defined it. It is also reflected in the JM (Vargo and Lush 2004a) article in the use of terms like “consumer’s perceptions,” “meeting higher-level needs,” “customer determination,” “co-creation,” etc., in conjunction with the discussion of “service” to capture its phenomenological nature and idiosyncratic determination. Yet, we acknowledge that “experience” is perhaps a more contemporarily specific and descriptive term. ...value is uniquely and contextually interpreted. Some (e.g., Shembri 2006) construed this single-article treatment as evidence that we considered value-determination by the customer to be entirely “rationalistic,” which we do not. ...’Sid Levy’s ‘Symbols for Sale’ (1959). In this text (foundation) of Consumer Culture Theory, he asserted that people buy things for what they mean... Premise three, like the definition of service itself (Vargo and Lusch 2006b, p. 4), also recalls Deighton’s (1992) contention that people don’t buy objects, but instead buy performances.’ Arnould (2006, p. 293–4)“ (Vargo and Lusch 2008)
“Characterising the concept of service experience Holbrook and Hirschman (1982) and Prahalad and Ramaswamy (2004) (because of their influence in characterising service experience as the locus of business and consumption).“ (Helkkula, A. 2011)
“the consumption experience as a phenomenon directed toward the pursuit of fantasies, feelings, and fun. ...Conventional research, however, has neglected an important portion of the consumption experience. Thus our understanding of leisure activities, consumer esthetics, symbolic meanings, variety seeking, hedonic response, psychotemporal resources, daydreaming, creativity, emotions, play, an artistic endeavors may benefit from a broadened view.“ (Holbrook and Hirschman, 1982)
“The interaction between the firm and the consumer is becoming the locus of value creation and value extraction. As value shifts to experiences, the market is becoming a forum for conversation and interactions between consumers, consumer communities, and firms. It is this dialogue, access, transparency, and understanding of risk benefits that is central to the next practice in value creation. ...Consumers now seek to exercise their influence in every part of the business system. Armed with new tools and dissatisfied with available choices, consumers want to interact with firms and thereby “co-create” value (Prahalad & Ramaswamy, 2004)... companies must escape the firm-centric view of the past and seek to co-create value with customers through an obsessive focus on personalized interactions between the consumer and the company. Further, doing so will require managers to escape their product-centered thinking and instead focus on the experiences that customers will seek to co-create.
What is of value here? Is it the medications, the hospital, the equipment that is used, and the expertise of the doctor? Surely, all these are critical. But what differentiates one hospital from another? One doctor from another? For the patient, it is the experience of cocreating with the doctor a modality of treatment that takes into account his or her peculiar circumstances...
Value is co-created at multiple points of interaction. Basis of value is co-creation experience. ...all the points of consumer-company interaction are critical for creating value. Since no one can predict the experience a consumer will have at any point in time, the task of the firm is one of innovating a robust experience environments (Prahalad & Ramaswamy, 2003).“ (Prahalad and Ramaswamy, 2004)
Guide the conversation to ask them what they would like, advise what would be beneficial, give options, help shape their future, shape their understanding of things, fit their preferences and context...
Blueprint/journey map to find moments to shape the narrative, extend the discourse. The market is the ambient forum of communications that frame and realize content’s value. [Social] media channels are places of storytelling. You can create a macro-story and nest chapters inside of it. Like a design system, but a story system.
“In conceptual art the idea or concept is the most important aspect of the work. When an artist uses a conceptual form of art, it means that all of the planning and decisions are made beforehand and the execution is a perfunctory affair. The idea becomes a machine that makes the art.“ (S LeWitt - Artforum, 1967)
“Characterising the concept of service experience the subjective experience of the service phenomenon, which Pine and Gilmore (1999) have characterised as the foundation of all business. ...Characterising the concept of service experience the content of phenomenological service experiences is assumed to be specific to an individual and situation. However, an important trigger is interpersonal interaction. This means that experiences are not only subjective but also relational, social, and inter-subjective (Pullman and Gross, 2004).
Characterising the concept of service experience individually perceived experience that is subjective, case-specific, and context-specific, the paradigm of S-D logic acknowledges that this takes place in co-creation with other people in social-experience networks, where all individuals are experiencing subjects ...service experience is also social – because people do not live in isolation.” (Helkkula, A. 2011)
Value is a process of realization
“move well beyond a single transaction to establish a relationship between producer and customer and foster an on-going conversation... Defining a series of steps in the sales process creates opportunities for setting goals, tracking performance, and analyzing effectiveness, which makes forecasting more reliable and enables improvement of the process. ...definitions of problems depend on their point of view and are often formed in conversations with others—including producers.” (Dubberly, H. 2016)
“...The experience cycle model suggests attributes for an ideal experience—criteria for evaluating experience or even key performance indicators (KPI)...” (Dubberly, H. 2016)
Value, service, is helping people build their narratives via: framing, inspiring, content delivery; service encounters. Sharing with people why it’s relevant, important, interesting. It’s the classes you love for the teachers. It develops, educates, helps your operant potential. Consumers feel your intentions and align with those with a strong heart.
“...producers (and designers) have goals for their customers’ experience. But all they can do is provide artifacts and services that create opportunities for experience. We should be cautious about proposing to “design experience.” Ultimately, construction of experience remains with the customer... At each stage, resources for experience must account for or consciously disregard a customer’s expectations for the stage and design accordingly.” (Dubberly, H. 2016)
Jaidon Thinking
[Learning] Knowledge -> Power (Agency) -> Resources -> Fun
Every actor pursues experiences. Resources enables the experiences. Agency enables the coordination of resources. Learning knowledge enables agency. Curiosity drives a natural practice for learning. Cultural value for curiosity kindles the love of self guided learning in peoples hearts. Coordination of the actor network shapes culture.
Curiosity drives education, drives understanding, drives agency, drives adaptability, drives value realization.
Survival system - functional system (business process modeling and implementation)
Phenomenological needs - phenomenological (narrative, institutions and arrangements) system
Service is anything that moves you up Maslow’s hierarchy
Ballantyne and Varey (2006) which calls for communication between all network participants to co-create value through trust, learning and adaptation. (Source Lush + Vargo 2006 RRR)
Service quality: scorecard. (service of the whole product services system)
CSO - get big picture of company ecosystem, and insert service design (designers or projects) in areas to harmonize. To increase the service health. Service is ambient.
The right education increases the durability of your potential to realize value. There is a common set of skills required to maintain strong personal life support and phenomenologically fulfilling systems. Social skills, critical thinking, adaptability, professional skills, marketing/cocreation skills. It will develop the durability of your mental maps. Develop the durability of your purpose narrative, not with bandaids, but with flexibility and understanding humans and the world.
Mine is currently: Everything is cheap, humans are the value. Human connection is at the heart of health. The purpose of business activity is to deliver the experiences people want.
S-D L = People, Relationships, Sustainability
“the idea of service being the foundational concept of exchange and marketing has some strong and arguably very important normative implications. It intimates a very different kind of purpose and process for marketing activity and for the firm as a whole: to provide service to stakeholders, including customers, stockholders, and employees. It points almost directly to normative notions of investment in people (operant resources), long-term relationships, quality service flows, and only somewhat less directly toward notions of symmetric relations, transparency, ethical approaches to exchange, and sustainability. Arguably, these directions have advantages for both the enterprise and society that cannot be found in G-D logic.“ (Vargo, S. Lusch, R. 2006)
