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August 31, 2012
Siqin Hu
Studentnumber:s2093359 Duindoornstraat 143 9741 PM Groningen Tel.: +31 (0)65524916 E-mail: s.hu.4@student.rug.nlFirst Supervisor
Dr. Manda BroekhuisSecond Assessor
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Abstract
An increasing number of service organizations are providing services in the multichannel environment. These organizations have to consider through which channel type, and channel type combination they can best deliver specific services and how to assign employees to the channel. Accordingly, the channel related task division and coordination need to be (re-)designed. However, the influence of multichannel design on task division and coordination is not yet clear. Therefore, the purpose of this study is to investigate the relationship between multichannel design and channel related task division and coordination. A framework for multichannel service delivery system design was established to deepen the understanding of this relationship. To preliminary test this framework empirically, I did a multiple case study including two university cases and two healthcare cases. Within case analysis and cross case analysis were conducted and showed that (1) a higher level of channel redundancy and combination increases the number of inter-channel coordination mechanisms; (2) the larger amount of service intervention increases the level of employee skills and discretion; (3) a lower level of channel redundancy and combination increases the possibility of complementing a functional oriented configuration; (4) if the level of service customization is high, a higher level of channel redundancy and combination decreases the degree of coordination formalization; if the level of service customization is low, a higher level of channel redundancy and combination increases the degree of coordination formalization.
Key words:
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Preface
This paper is my thesis for the Business Administration program with a specialization in operations and supply chains. The research I have conducted focused on the relationship between multichannel design, task division, and inter-channel coordination.
During the research period, I got help from a couple of people. Firstly I would like to thank Dr. Broekhuis, who offered me continuous support and critical insights during the whole process. She always cleared my confusions and pointed me to the right direction. Without her help, I would not have achieved the final report. Secondly, I would like to thank Dr. Offenbeek for being my second assessor. Thirdly, I would like to thank my classmate Yuanjun Liu, who gave me helpful comments on my research proposal. In addition, I would like to thank the interviewees who participated in my case study and provided valuable data.
Siqin Hu
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Table of Contents
1. INTRODUCTION ... 9
2. THEORETICAL BACKGROUND ... 13
2.1 Service Delivery System Design ... 13
2.1.1 Contingency ... 13
2.1.2 Design Elements ... 14
2.2 Multichannel Design ... 15
2.3 Task Division and Coordination ... 18
2.3.1Task Division Dimensions ... 18
2.3.2 Coordination Dimensions ... 20
3. METHOD ... 23
3.1 Multiple Case Study: Selection and Setting ... 23
3.2 Data Collection ... 24 3.3 Measuring Variables ... 25 3.4 Data Analysis ... 26 4. RESULTS ... 27 4.1 Data Display ... 27 4.1.1 MC design... 27
4.1.2 Task division and inter-channel coordination... 32
4.2 Within Case Analysis ... 33
4.2.1 The MCSDSD at the SSD ... 33
4.2.2 The MCSDSD at the Faculty Library ... 33
4.2.3 The MCSDSD at Homecare ... 34
4.2.4 The MCSDSD at Cure ... 34
4.3 Cross Case Analysis ... 35
5. DISCUSSION ... 39
6. CONCLUSION ... 43
7. REFERENCES ... 45
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1. INTRODUCTION
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between channels and also the cooperation with customers when part of the service operation is assigned to virtual channels in which customers can have another, often larger role due to the application of self-service (Neslin et al., 2006; Stone et al., 2002). Particularly, to the extent that customers are offered more channel choices, a new type of customer-induced uncertainty (Broekhuis and Van Offenbeek, 2010) arises: channel uncertainty. This uncertainty entails a) unpredictability of needed resource allocation to the separate channels as it is uncertain which channel customers might choose in case of channel choice and b) to the extent that the customer might or has to switch channels during the service delivery process, resulting work interdependencies need to be managed. So, a critical issue in designing a multichannel service delivery system is how human resources are assigned to different channels, e.g. the task division and related coordination mechanism. In particular, when designing multichannel service delivery systems, organizations need to make the design decisions as following: Should the same employee work across different channels, or not? Should an employee’s role combine front office and back office tasks? What kind of coordination practices between channels are necessary in a multichannel service setting?
Due to the lack of a holistic view on multichannel service delivery system design in the literature and the importance of associated design decisions in practice, this research is an explorative research and intends to shed light on the relationship between on the one hand a multichannel design and on the other hand channel-related task division and coordination practices. This paper is to answer the following question:
How does a multichannel design affect channel-related task division and coordination practices?
This article seeks to contribute to increase a holistic understanding of multichannel service delivery systems. In particular, the objectives of this research are:
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----empirically investigate the relationship between MC design, task division, and coordination practices to deepen the understanding of multichannel service delivery system design;
----discuss managerial implications based on this understanding.
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2. THEORETICAL BACKGROUND
In this thesis, the multichannel service system design is conceptualized by the following interrelated elements: the multichannel design, and the task division and coordination. And this system is directed by the following contingent factors: the strategic positioning, service concepts, and the target group. Below I draw from and build on different literatures to develop a coherent and comprehensive multichannel service system design framework.
2.1 Service Delivery System Design 2.1.1 Contingency
14 2.1.2 Design Elements
15 2.2 Multichannel Design
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Amorim (2009) suggest two dimensions of MC design: (1) channel redundancy and (2) channel combination. Channel redundancy is the extent to which service interactions are made available in the different channels; high redundancy implies that most service interactions are available through most channels. In other words, different channels can be used for the various service process steps. Channel combination relates to the degree of which customers are allowed to switch between or combine different channels during the service delivery process. A high level of channel combination entails that any combination of channel use is possible (Sousa and Amorim, 2009).
Additionally, in a multichannel environment with high levels of customer’s freedom which channel to use (high level of channel combination and redundancy), customer induced channel uncertainty is also high (Broekhuis and Van Offenbeek, 2010). These choice options complicate service delivery system as more channel choices can increase the need for multichannel integration and coordination (Stone et al., 2002; Neslin et al., 2006), and increase uncertainty how to locate resources to channels. These issues indicate different levels of channel redundancy and channel combination might require different task division and coordination mechanism.
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encounters, and (4) intensive encounters. In addition, Cho and Menor (2009) suggest that more customizable service offerings require timely response from service providers, resulting in either intervenient or intensive e-encounter types to provide more complex services. The four e-service encounter types and corresponding level of service customization are summarized in Table 1:
E-service
encounter types Informational Self-directive Intervenient Intensive
Dimensions (1) User participation (low) (2)Amount of service intervention (low) (1)User participation (high) (2)Amount of service intervention (low) (1)User participation (low) (2)Amount of service intervention (high) (1)User participation (high) (2)Amount of service intervention (high)
Characteristics Service offering is generally designed and modified offline
Design and use standard scripts and formats
Allow users to provide and modify inputs and inquiries Continuing, and multiple interactions over a longer period Service
customization Very low Low High Very high
Table 1 The summary of four e-encounter types (source: Cho and Menor, 2009)
18 2.3 Task Division and Coordination
Based on intensive review of the organizational design and coordination literature, limited research point to the design issue regarding channel-related task division and coordination in a multichannel service context. The relevant dimensions will be adapted according to the multichannel service setting.
2.3.1Task Division Dimensions
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service experience. This implies that different channels may have separate or shared FO and BO operations. Therefore, combining the three design decisions suggested by Zomerdijk and De Vries (2007) with this implication. I put forward two extreme options regarding the configuration of FO and BO in a multichannel service setting (see Figure 1).
Figure 1 The two extreme options of multichannel FO/BO configurations
As Figure 1 shows, the functional oriented configuration entails that different channels including physical channels and virtual channels share the same front office and back office and that employees are divided into either front-office group or back-office group. In this case, workflow coordination between FO and BO is one of the key issues during the service delivery process (Zomerdijk and De Vries 2007). Oppositely, grouping front-office employees and back-office employees into small teams, that are targeted at a specific channel, result in – what I will call – a channel oriented configuration. This configuration is quite common if there exists high level of workflow interdependencies between front office and back office activities and contributes to scale economies and cross-fertilization within teams (Zomerdijk and De Vries 2007). Some middle options
FO F
O F
O
Option 2: channel oriented configuration
F O
Option 1: functional oriented configuration
Channel A Channel B Channel C Channel A Channel B Channel C
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between the two extremes are a channel-oriented FO with a shared BO, and a shared FO with separate BO.
2.3.2 Coordination Dimensions
The inter-channel coordination should be the key consideration due to (1) the benefits of inter-channel coordination (Montoya-Weiss, Voss, and Grewal 2003) and (2) the importance of a seamless service experience perceived by customers across multiple channels (Sousa and Voss 2006). Based on an empirical study of online channel use and overall customer satisfaction, Montoya-Weiss et al. (2003) found that inter-channel coordination can drive overall customer satisfaction and result in an efficient service delivery process. Furthermore, Sousa and Voss (2006) suggest that a well-coordinated multichannel service delivery systems deliver consistent content and process: consistent information received by customers through different channels; consistent service attributes ( price, response and waiting times, and product/service variety) displayed across multiple channels. This creates a seamless service experience when customers switch across different channels.
Apparently, when tasks are divided, interdependencies between different pieces of tasks should be managed, and different related activities should be coordinated. Therefore, service delivery requires also a (re-)design of the coordination mix, i.e. “the integration of organizational work under conditions of task interdependence and uncertainty” (Faraj and Xiao, 2006, p. 1156). These authors define coordination as a “temporally unfolding and contextualized process of input regulation and interaction articulation to realize collective performance” (p 1157). This definition reflects what many descriptions of coordination have in common, i.e. people in organizations work collectively to achieve a goal, task, or piece of work under the condition of independent work (Okhuijsen and Bechky, 2009).
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(Okhuijsen and Bechky, 2009). In the literature, formal devices like plans, rules, routines, representations, physical proximity, and roles and hierarchy are ample described as supporting the coordination process rather than replacing it. Routines for instance were shown to work by enhancing interactions in work environments with high levels of demand complexity (Gittell, 2002). Clear roles and routines add to creating a common perspective on coordination activities needed in interdependent work relations (see e.g. brokers’ role or boundary spanners), and co-location facilitates to keep track of what others are doing, which creates familiarity and stronger relationships (Gittell, 2002). Research shows that especially when standard procedures are insufficient to coordinate work, additional coordination processes emerge to accomplish coordinated activity on an operational level. Examples are the time-sensitive interaction among team members (Faraj and Xiao, 2006), and unstructured oral communication and feedback processes between physicians of a hospital unit (Broekhuis and Van Donk, 2011), which are used on the work floor as the service delivery progresses. Accordingly, the inter-channel coordination can be divided into two parts: formal coordination practices and emergent coordination practices.
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Figure 2 A framework for multichannel service delivery system design
Elements/main concepts
Definitions Sub-elements Sources
Multichannel design
The explicit design of the usage of one or multiple channels for the delivery of a specific service (Sousa and Amorim, 2009)
Channel redundancy Sousa and Amorim (2009)
Channel combination Sousa and Amorim (2009) Neslin et al. (2006) E-service encounter
types Cho and Menor (2009);
Task division
The way to assign resources (activities and employees) to different channels
Configuration of BO and FO
Zomerdijk and De Vries (2007)
Employees’ skill and
discretion Ponsignon et al. (2011)
Coordination
The integration of
organizational work under conditions of task
interdependence and uncertainty ( Faraj and Xiao, 2006, p. 1156)
inter-channel coordination
Sousa and Voss (2006) Montoya-Weiss et al. (2003) -formal coordination practices -Emergent coordination practices
Okhuijsen and Bechky (2009)
Table 2 The summary of elements linked to multichannel service delivery system
Strategic positioning -cost vs. service quality oriented
Service concept
-the level of service customization Target group
Task division -configuration of BO and FO -level of required skills -employee discretion Coordination Inter-channel coordination -formal coordination practices -emergent coordination practices MC design -MC design parameters -E-service encounter types
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3. METHOD
3.1 Multiple Case Study: Selection and Setting
This research employed a multiple case study design to empirically investigate the main relationship in the framework and gain a better understanding of the complexities and uncertainties inherent in a multichannel service delivery system. The multiple case approach provides an opportunity to obtain rich and deep insights necessary for theory development and enhancement in service design (Voss et al., 2002; Stuart et al., 2002). Given the exploratory nature of the issues in this report, i.e., since so little is known empirically about multichannel service delivery system design frameworks, case studies would seem to be particularly appropriate to study such “how” and “why” questions (Yin, 2003). To broaden the external validity and facilitate cross-case comparison, four case studies were conducted. Two cases address university student services, and the other two healthcare services. All cases delivery services through multiple channels, particularly, these four cases were selected based on the following criteria:
(1) the difference of service offerings between university student service and healthcare service. Healthcare service offering features intensive service interaction, often resulting in high complexity of required interaction. Comparatively, university student service such as student inquiry services (student support desk) and library book lending services are less complex. Therefore, the service offering in healthcare service are expected higher level of service customization than university student service.
(2) The difference of strategic goals between university student service and healthcare service. The strategic goal of both the student support desk (SSD) and faculty library is to improve the customer satisfaction and service quality. In contrast, the two healthcare projects aimed at cost reduction by implementing virtual channels.
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division, and related coordination between university student services and healthcare services.
3.2 Data Collection
25 3.3 Measuring Variables
Resulting from the proposed framework, there are mainly three groups of research variables: the multichannel design, the task division, and the inter-channel coordination. These variables are complex to measure, requiring different rules to get appropriate data. In my research, three rules were used:
Rule 1: explain relevant concepts to obtain precise answers to “what” questions
The informants are not familiar with the professional concepts within the service domain. These concepts need to be explained before interviewees provide answers. For instance, what is the formal/emergent coordination practices between channels?
Rule 2: show the pre-made structure chart regarding multichannel FO/BO configurations and channel use patterns to the informants
Some “how” questions require informants to explain the way they assign employees or tasks to different channels and the way customers choose and switch channels. The kind of questions is difficult to explain and often result in vague statements. By showing the pre-made structure charts based on the previous direct observation in university student service cases and project reports in healthcare cases and modifying these charts with the informants, it is more likely to get precise data and insure the data reliability. Accordingly, the level of channel redundancy and combination was determined based on the modified channel use pattern.
Rule 3: rule for arriving at low, medium, high ratings for some sub-elements
26 3.4 Data Analysis
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4. RESULTS
4.1 Data Display
The cases of the SSD, the faculty library, the homecare, and the CHF_ hospital care patients were marked as cases SSD, library, homecare, CHF patients, respectively. Case SSD was conducted at the “ Student Support Desk” at the Faculty of Economics and Business of the University of Groningen. The core service of the SSD is to provide answers to various questions of students with regard to admission, exchange or education issues. Case library was conducted at the faculty library, that aims to provide academic sources and supports to study and research. The service I focused on in this case is the book lending service with large use of self-service machines. The two healthcare cases were based on a telecare project: one in homecare and one in a hospital. Both cases included the implementation of virtual channels besides other (physical) channels, i.e. (a) a video connection and a camera at the clients’ homes, and (b) the use at home of medical measurement equipment. The in-depth data regarding the MC design, task division, and inter-channel coordination in the four cases are followed.
4.1.1 MC design
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Figure 3 The channel use pattern at the SSD
The specific service processes underlying the SSD service of answering questions and related potential channel use pattern can be seen in Figure 3. As shown in Figure 3, the whole service delivery process starts with students’ searching for available channels and ends up with a reply or referral to students. The main stream of the target group looks for channels and answers on a “frequently asked questions platform” in the first place and then choose a preferred channel to pose a question if no relevant answers are found on the web. The channels for posing a question vary from face-to-face contact at the desk to the email via an online contact form. Meanwhile, students are educated to first use the online FAQ platform to find appropriate answers and only in case of unsuccessful answers addressing further available channels, mainly the online contact form. For this purpose, phone numbers and direct email addresses are not published and students that come to the physical desk for a standard question are educated that they could have found their answer on the online FAQ platform. This leaves employees at the desk more time to deal with the non-standard questions, and further contributes to the efficiency of service delivery.
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Figure 4 The channel use pattern at the faculty library
Notes: The service processes in red are the optional processes. Pattern lines in blue are the channels to be adopted in the near future.
As shown in Figure 4, the specific service processes underlying the service of books lending encompass searching for books, making a reservation if the books are occupied by others, getting an overdue notice if the books are not returned 5 days prior to due date, extending the loan if the reader need the books for a longer time, and returning the books. Apparently, the processes of reserving, overdue informing, and renewing only occur in condition. Generally, the majority of the target group enters the service process with searching for books on website, and choose to borrow and return the book at the lending desk. Apparently, at least two channels (face-to-face, self-service machine) are available for the necessary service processes (e.g. searching for books, borrowing, and returning), showing a relatively high channel redundancy. In addition, readers are not stimulated to make use of a certain channel for a specific service process stage, and accordingly, there are 36 (3*1*2*1*3*2) optional channel use patterns for the whole service process, implying a relatively high channel combination
Search for
books Reserve Borrow
Get overdue
notice Renew Return
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Register Ask for consult consult Referral
F-to-F Tel. Web. Video Self-measurement equipment
Figure 5 The channel use pattern at home care for supportive guidance
Register Self-measure Send data Consult
F-to-F Tel. Web. Video Self-measurement equipment
Figure 6 The channel use pattern for monitoring service to CHF patients
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As Figure 6 shows, CHF patients get registered via one channel: face-to-face. They were required to do the self-measurement by the specific measuring equipment and, accordingly, send in the relevant data on the web. The telenurses checked these data against norms and consulted the patients in case of deviations from the norm by video connection. In this project, the MSC monitored daily the data of the patients, and contacted patients in case of deviant scores. Based on this consult and the protocol, the telenurse decided if the hospital should contact the patient for an additional consult. The specialized hospital nurse could also be contacted with a video connection , this was technically available, but almost all contacts took place by phone. The hospital nurses considered making a video connection as too roundabout.
Apparently, these channel use patterns show different levels of channel redundancy and channel combination, these levels are summarized in Table 3. In Case SSD, about 70% questions are standard, that can be figured out by students themselves with the help of the standardized FAQ platform. Similarly, most readers in Case library borrow and return the book through self-service machine with standard introductions on. These show a high level of user participation and a low level of service intervention, resulting in self-directive e-encounters. In contrast, the e-encounter types in Case homecare and Case CHF patients tend to be intensive because of the high involvement of both clients/patients and nurses during the virtual consulting process, resulting in the high level of both user participation and service intervention.
Cases Channel redundancy Channel combination e-encounter types
SSD Low Low Self-directive
Library High High Self-directive
Homecare High High Intensive
CHF
patients Low-mediate Low Intensive
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4.1.2 Task division and inter-channel coordination
The relevant data are summarized in Table 4. Remarkable is that the level of employee skills in the healthcare cases is higher than in the university cases. The multichannel FO/BO configuration in Case homecare is channel oriented with different groups of nurses serving different channels while the other three configurations are functional oriented with shared FO and BO serving all the channels. Additionally, the inter-channel coordination varies from simple to complex. More descriptions will be given in within case analysis.
Table 4 The summary of task division and inter-channel coordination in four cases
Cases SSD Library Homecare CHF patients
FO activities Giving answers to students’ questions
Lending books; getting back books
giving supportive guidance
consulting the patient
BO activities updating and maintenance of database; searching for answers to new questions
ordering new books, maintenance of books,
LBS system updating
reporting and archiving client information, informing GP or coordinating nurses
checking the measurement data, asking hospital nurses for further consults, archiving the consult results
Multichannel FO/BO configuration
Functional oriented; Functional oriented; Channel oriented; Functional oriented;
Level of skills basic PC and telephone skills; excellent communication skills
basic PC and
telephone skills; basic communication skills
basic PC and telephone skills, basic analytical skills;
communication skills (kindness, showing respect), well trained and highly educated nurses
basic PC and telephone skills, advanced analytical skills (questioning and problem formulation), communication skills, well trained and highly educated nurses
Level of
discretion Low Low Medium Medium
Inter-channel coordination
weekly meetings; the dynamic database
the Library Business System (LBS), weekly meeting, the list of task specialization, work report, written handover
simple agreements administrative procedures clinical protocols care plans, checklists, written handovers
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The within case analysis will the main relationship in the framework: the relationships between MC design, task division, and inter-channel coordination.
4.2.1 The MCSDSD at the SSD
The low level of channel redundancy indicates the relatively simple multichannel operation and management, and further creates the possibility that the same group of FO employees serve all the channels. The low level of channel combination decreases the need for inter-channel coordination since students are driven to online channels at the beginning. Approximately 70% services are offered via virtual channels with students online self-service. Thus, it is not necessary for employees to command excellent analytical skills. In addition, The BO activities are taken by the SSD coordinator, who keeps track of the unanswered questions that are forwarded to other departments in university and updates the FAQ platform. This sort of shared BO at the SSD guarantees consistency of information provided to students across channels. meanwhile, this functional-oriented multichannel FO/BO configuration requires stronger coordination between FO and BO, and relatively weaker coordination between channels. Accordingly, only a few inter-channel coordination mechanisms are seen: weekly meetings are held to discuss the issues happened in the last week, while the dynamic database, which acts as a reference point for all the employees when the answer in their mind is not that clear, mainly addresses the coordination between channels in a relatively formal way.
4.2.2 The MCSDSD at the Faculty Library
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an automatic way, recording the status of borrowed books by scanning the code bar at the self-service machine and clicking icons on the web. This increases the possibility that one employee can deal with the five channels at the same time. LBS facilitates the inter-channel coordination by ensuring the information consistency gained via different channels: the current lending report and basic reader information are stored in LBS, that can be referred by both readers and librarian independent of the channel used. Apparently, LBS is a highly formalized way of coordinating channels. Other coordination practices such as weekly meeting and written handover play a complementary role and are not used frequently. Therefore, the faculty library implements more coordination mechanisms but mainly rely on the LBS for the coordination in the book lending service. 4.2.3 The MCSDSD at Homecare
The large amount of channel choices and high freedom of channel switching make it difficult for one employee to handle all the channels at the same time. This increases the possibility that different employees take care of different channels, leading to the channel oriented configuration. The e-encounter has an intensive character in this case, increasing the need for analytical skills of telenurses and higher levels of discretion. In addition, the channel oriented FO/BO configuration makes it more necessary to coordinate between channels due to the lack of information transparency between employees assigned to different channels. As seen in the project, coordinating nurses complained about being too less informed about the services the telenurses provided to their clients. During the research period, more coordination mechanisms such as checklists and written handovers for specific client were developed to enhance the inter-channel coordination. These mechanisms specifying the situation of customers are less formal than protocols, but were frequently used in the project.
4.2.4 The MCSDSD at Cure
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employee serving all the channels, resulting in the functional oriented configuration, and decreases the need for inter-channel coordination. Meanwhile, this functional oriented configuration, like in Case SSD, require more coordination between FO and BO than between channels. Accordingly, only a few coordination mechanisms (protocols and work instructions) were developed in this case, which worked in very formal way by guiding the nurses step by step. The intensive e-encounter increases the need for analytical skills of nurses and higher levels of discretion. Consistently, the nurses were well trained and highly educated.
4.3 Cross Case Analysis
36 Sub-relationships Themes Compare Case…with Case… Findings MC design--Task division E-encounter types and the level of employee skills and discretion Case SSD and library –Case homecare, CHF patients Intensive
characters ask for high levels of employee skills and discretion MC parameters and MC FO/BO configurations Case library and homecare – Case SSD and CHF patients Generally, the MC FO/BO configuration tends to be channel oriented when the level of both redundancy and combination is high
MC design--
Coordination MC parameters and
inter-channel coordination Case library and homecare – Case SSD and CHF patients High levels of channel redundancy and combination increase inter-channel burdens Task division--Coordination MC FO/BO configurations and inter-channel coordination Case homecare – Case SSD, library and CHF patients Channel oriented configurations focus more on inter-channel coordination than functional oriented configurations
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(1) E-encounter types and the level of employee skills and discretion
The e-encounters in cases homecare and CHF patients had a more intensive character than in cases SSD and library. Comparing the level of employee skills and discretion between the two case groups, obvious is that the level of both employee skills and discretion in cases homecare and CHF patients is higher than in cases SSD and library. This indicates that intensive e-encounters, going with more customized service offerings and timely response from service providers, ask for a high level of employee skills and discretion. The employee should command not only basic communicating skills but also some analytical skills to analyze the specific situation of each patients or clients. Consistently, employees must be allowed to make decisions ( giving supportive guidance in Case homecare) during the intensive encounter.
(2) MC design parameters and multichannel FO/BO configurations
The levels of channel redundancy and combination are higher in cases library and homecare than in cases SSD and CHF patients. However, the multichannel FO/BO configurations from these four cases do not fit into the two case groups. With the similar MC design parameters as in Case homecare, Case library divides FO and BO in the opposite way. This might be due to the implementation of LBS ( an automatic system for recording and delivering data), that controls the two most frequently used channels ( Web and self-service machine) in terms of book lending service. This reduces the workload of librarians considerably and increase the possibility of one librarian handling all the channels at once. Therefore, it is safe to conclude that high levels of channel redundancy and combination correspond to channel oriented FO/BO configurations generally.
(3) MC parameters and inter-channel coordination
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differently, customers in cases library and homecare have more channel choices and are more free to switch channels for each service process than those in cases SSD and CHF patients. Switching and combining give rise to customer-induced channel uncertainty , which makes it more difficult for service providers to predict and allocate needed resources to the separate channels and to manage the work interdependencies between channels. Consistent with this, more inter-channel coordination mechanism can be seen in cases library and homecare. For instance, the home care implemented additional coordination mechanisms such as simple agreements, care plans, checklists, written handovers during shifts, and notes in a computer system besides the common used mechanisms (procedures and protocols, and well trained and highly educated nurses). Similarly, the faculty library coordinates the work interdependencies between channels not only by the same practices as in Case SSD like weekly meetings and information systems but also by additional operational coordination practices such as the list of BO task specialization, work reports, and written handovers. In conclusion, the more complicated multichannel system requires more and systemized inter-channel coordination practices in general.
(4) Multichannel FO/BO configurations and inter-channel coordination
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5. DISCUSSION
The main goal of this research was to explore the relationships between the multichannel design, task division, and inter-channel coordination to deepen the understanding of the framework for MC service delivery system design. In particularly, I focused on the relationships between on the one hand MC design and on the other hand task division and inter-channel coordination practices. Based on the case study evidence, a dimension framework emphasizing MC design, task division, and inter-channel coordination is proposed (Figure 7). Two attention points exist regarding this framework: (1) not all the relationships within the framework were found in the case study (see the last paragraph of this discussion); (2) the number of coordination mechanisms is a new variable based on empirical evidence. This empirically grounded framework leads to the following propositions for further study:
Figure 7 MC service delivery system: task division and coordination
MC design
· Higher (lower) level of channel redundancy · Higher (lower) level of channel combination · Higher (lower) degree of user participation · The larger (smaller) amount of service intervention
Task division · Channel vs. functional oriented · Higher (lower) level of skills · Higher (lower) level of discretion
Coordination · Number of coordination mechanisms
· Proportion formal vs. informal coordination mechanisms P2
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P1: The lower the level of channel redundancy and combination, the more likely the FO/BO configuration tends to be functional oriented.
Sousa and Amorim (2009) put forward the concepts of channel redundancy and channel combination to measure how many channels a customer can choose from and the extent to which customers are allowed to switch channels for each service process. The finding in my research goes one step further by indicating the preferred way of allocating employees to FO and BO and the relationship with the MC design. Generally, as the empirical evidence shows, less channel choices and switching freedom offered to customers for each service process make it easier for one employee to command all the channels. Put differently, a lower level of both channel redundancy and combination calls for a shared FO and BO, resulting in a functional oriented FO/BO configuration. The opposite, i.e. the higher the level of both channel redundancy and combination, the more likely the FO/BO configuration tends to be channel oriented, seems not to be true. In Case library, the high level of channel redundancy and combination does not correspond to a channel oriented FO/BO configuration due to the large use of self-services and the significant role of LBS in the book lending service.
P2: Intensive e-encounters require a higher level of employee skills and discretion than self-directive e-encounters.
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amount of service intervention, that requires employees to interact with customers frequently. As seen in both healthcare cases, excellent interpersonal and analytical skills, and some freedom for nurses to make decisions during service encounters are necessary to well handle intensive e-encounters. But only two e-encounter types were explored in my study. How to relate the other two types (informational and intervenient) to the level of employee skills and discretion needs further research.
P3: A higher level of channel redundancy and combination increases the number of coordination mechanisms
The case study evidence suggests that a high level of channel redundancy and combination increases the number of coordination mechanisms. Firstly, one task is delivered through more channels, increasing the work interdependencies between channels. Secondly, more channel switching freedom increases the channel uncertainty caused by customers’ choice (Broekhuis and Van Offenbeek, 2010). This is consistent with the work of Stone et al. (2002) and Neslin et al. (2006), who stress that more channel choices increase the difficulty and complexity of multichannel operation and management, enhancing the need for coordination between channels.
P4: If the level of service customization is high, a higher level of channel redundancy and combination decreases the degree of coordination formalization; if the level of service customization is low, a higher level of channel redundancy and combination increases the degree of coordination formalization
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Case library have a high level of channel redundancy and combination. The possible reason might lie in the different level of service customization between cases. As discussed before, the level of service customization in case homecare is higher than in case library. The high level of service customization increase the complexity of task interdependencies and further increases the insufficiency of formal coordination mechanisms. Thus, the coordination mechanisms in Case homecare is less formal than in Case library even though both cases have a high level of channel redundancy and combination.
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6. CONCLUSION
This research empirically explores the framework for multichannel service delivery system design, that was based on extensive review of literature on service delivery system design and multichannel design, and subsequently extends current understanding of service delivery system design with a multichannel perspective. Within this framework, the main question addressed in this research is how a multichannel design affects channel-related task division and coordination practices. I answered that question by investigating the components in the framework in multiple cases, including two cases in a university and two healthcare cases. Based on the cross case analysis of the relationship between MC design, and channel-related task division and coordination practices, I found: (1) a higher level of channel redundancy and combination increases the number of inter-channel coordination mechanisms; (2) the larger amount of service intervention increases the level of employee skills and discretion; (3) a lower level of channel redundancy and combination increases the possibility of complementing a functional oriented configuration; (4) if the level of service customization is high, a higher level of channel redundancy and combination decreases the degree of coordination formalization; if the level of service customization is low, a higher level of channel redundancy and combination increases the degree of coordination formalization.
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The relevant issues are what is the proper multichannel FO/BO configuration for their existing MC parameters, what level of employee skills and discretion fits their e-encounters, and how many coordination mechanisms between channels and how formal of these mechanisms are needed for the existing level of channel combination and redundancy with the consideration of service customization.
This study is not without limitations. The first limitation is that the performance of multichannel service system is not included in the framework. Performance indicators help organizations find the drawbacks of current design decisions and make corresponding adjustments. Furthermore, the empirical study did not take potentially important contingency variables into account. The third possible limitation relates to the choice of the cases. All the case organizations are non-profit. However, profit organizations aim more at efficiency while non-profit organizations focus more on effectiveness in terms of operational goals, which have an impact on operation system design (Karwan and Markland, 2005). Therefore, my case selection weakens the external validity of this research. The third limitation concerns my measurement. My data was gathered mainly by interviews with open questions. Therefore, the data from the four cases tend to be subjective. This further influences the reliability of research results.
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Books
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Appendix 1
Interview questions:
(1) What is the core service offered by faculty library/SSD? The core service describes the reason of existence of the library/SSD?
(2) Maybe it is good to focus on a specific kind/part of the services of the SSD/library, and its underlying process. On which service part would you like to focus? (3) What is the strategic goal in this process? More cost-driven, customer satisfaction-driven, quality-driven or focus on efficiency?
(4) What is the target group? And its characteristics: is there much variety in the target group that is relevant for your service delivery?
(5) Demand characteristics:
What would you describe as the main characteristics of the demand to this service? (in terms of variance in demand, the complexity in demand, the ambiguity in demand, the predictability in demand) Does this service requires much customization for a single customer?
(6) Does the whole service process require any physical contacts?
(7) which channels customers can use and if you have a preferred channel for per process activity(i.e. that you try to force students towards a specific channel)
(8) What activities are front office (FO) and what are back office (BO) activities? (9) How do you allocate FO employees/activities and BO employees/activities among channels respectively?
(10) What skills of employees are required for the main service activities? For example, basic PC and telephone skills, advanced analytical skills, or excellent communication skills? which knowledge they have to have (domains of knowledge) ? (11) To what extent the employee is free to make decisions on how they work? Barely not allowed, lightly allowed, strongly allowed, or fully allowed?
