Enhancing the customer contact model

Abstract

AbstractMost services are provided in the presence of the customer. In most service operations, the customer is not only present but also directly participates in the service delivery process. Such encounters with the service system and the customer's involvement in the service production process have important implications for operations efficiency and effectiveness. Thus, the nature and extent of contact between the customer and the service system should be carefully evaluated in designing service facilities.One approach that has been considered a useful conceptual tool for aiding operations managers in their service design decisions is the customer contact model (CCM). This model classifies service systems into “high contact,” “low contact” and “mixed” services based on the extent of contact between the customer and the service facility. Recently, however, this model's effectiveness as a service management tool has been challenged. CCM has been criticized for failing to sufficiently distinguish between service systems that involve high interaction and customization and those that primarily provide accommodation. The model's capability to assess a service facility's potential efficiency has also been questioned.This paper reevaluates CCM in view of the recent concerns raised about it and offers some extensions which improve the model's performance. It proposes a broadened definition of “customer contact” and differentiates between “active” and “passive” contact. Based on these distinctions, it presents a revised approach for classifying services and for assessing the potential efficiency of service facilities. The extensions provided in this paper would help overcome many of CCM's shortcomings and thus enhance its potential as a viable tool for managing service operations. Therefore, this study, while recognizing the valid criticisms leveled at CCM, asserts that the customer contact concept still provides a useful framework for understanding, designing and controlling service systems.