Managing strategy in services

Abstract

Learning objectives After studying this chapter, readers will be able to: distinguish between traditional approaches to strategy and more recent strategic management models appreciate the conceptual logic underpinning strategic management models grasp the relationship between an integrated strategic management perspective and the management of the practical operational, financial, marketing and human resource management aspects of service explore and explain the blurring of the traditional boundaries between goods and services understand why a more comprehensive and integrated approach to strategic management is now required in order to design and sustain competitive advantage towards service analyse a selection of specific service case examples from a strategic management perspective. Introduction The previous chapters explored the growing importance and distinctive characteristics of service and the various challenges involved in managing it. They analysed the global, regional, national and local environments within which service is provided, and discussed the complex and dynamic nature of stakeholder management issues that now impact upon organisations as they place greater emphasis upon service. This chapter focuses on the conceptual aspects and practical implementation implications of a strategic management approach to service. In doing so, it also discusses the critical importance of taking a strategic management perspective in applying the integrated services management model. The ideas presented in this chapter provide a foundation for the subsequent chapters, which in turn analyse the specific issues associated with the marketing, operational, financial, and HR management (HRM) dimensions of the ISM.