INNOVATION IN SERVICES AND THE KNOWLEDGE CREATION PROCESS: A PROPOSAL FOR A SERVICE DESIGN METHOD. ADVISOR: GREGÓRIO VARVAKIS, PHD CO-ADVISOR: TARCÍSIO VANZIN, DR
Student: Maurício Manhães
Summary 2
Introduction
Conceptual Basis Materials and Methods
Context Problematic Question Objectives
Application Result
Analisys Conclusion Ideas for a PhD
3
Introduction
Introduction 4
The competitive scenario indicates a clear trend for innovation in services. The innovation process requires design. This context may be best treated from the servicedominant logic perspective
Service is the application of knowledge for the benefit of an entity.
This perspective puts the knowledge management as a basis for the design of knowledge-intensive systemic solutions.
For innovation in services
Global Scenario 5
Context 6

While the ability to develop new services will become even more important (STEVENS, DIMITRIADIS, 2005), in most cases, the rationale adopted for the development of new products is still sustained by a narrative focused on tangible products (MINOR ET AL. , 2002; DROEGE ET AL., 2009; VON KOSKULL, 2009; ORDANINI; MAGLIO, 2009; ALAM, 2006; PALOHEIMO ET AL., 2004; ROSENTHAL, CAPP, 2006; BECKMAN, BARRY, 2007).
Problematic 7


Despite the growing economic importance of service delivery in recent decades, scientific advances have been timid in relation to the processes of innovation inherent in the development of new services (DREJ, 2004; ADAMS ET AL., 2006). Several scientific studies report that there are no specific methods for the development of new services (NSD: New Service Development), pointing out that "new services just happen" (MINOR, TATIKONDA, SAMPSON, 2002; DREJ, 2004; ADAMS ET AL., 2006 ; DROEGE, HILDEBRAND, FORCE, 2009)
Problematic 8
Although there is no scientific methods of NSD it is recognized that in that context occurs the process of knowledge creation (NONAKA, TOYAMA, 2003)
It is not known how this process "happens."
Just as it is required a new service to present explicitly its conceptual structures and practices in the form of scripts (COOK ET AL., 2002) and blueprintings (BITNER ET AL., 2008), the process of innovation in services should have the same benefits that standardization and consequent decrease in the cognitive load involved may bring.
Understanding is knowledge that allows prediction (VAISHNAVI; KUECHLER, 2004).
Research Question 9

How can the practices at the initial phase of the new service development process (NSD) be structured, based on concepts from the knowledge creation process?
General Objective 10

Propose a method for the collection of qualitative information to be applied at the beginning of the new service development process.
Specific Objectives 11



Identify and articulate an interdisciplinary literature that contemplates the constructs: innovation, service, knowledge and design; Identify the practices of new services development and establish relations with the knowledge creation process; Test the application of the method proposed in an initial phase of a new services development process;
12
Conceptual Basis
Literature Review 13
Knowledge Creation Process
Design
Knowledge
Service Design Innovation
Service
Initial phase 14
The review of the literature began with a “mapping of the territory” using informal and non-structured methods Through this survey, a universe was identified of 728 documents including articles, books, dissertations and theses Only documents that contained the terms “innovation” and “service” were reviewed 484
documents
Literature Review 15 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23
Innovation KISS + KISA + PSS Competitive Advantage Creativity Knowledge Management Knowledge Creating Service Innovation Multimodal Imagery + Embodiment SSEM Value Creation Service Design Service Blueprint Service Economy Ethnography + Anthropology Tacitness & Stickyness Design Research Co-Creation New Service Development Co-Production Service Dominant Logic Value Network Design Theory Customer + User centered
24 25 26 27 28 29 30 31 32
Design Thinking Experience Economy Concurrent Engineering Nonaka + Toyama + Konno Unified Services Theory Vargo + Nonaka Market Design Vargo + Buchanan Functional Sales
544 484 244 221 158 142
141 135 125 124 105 86 82 80 74 73 73 69 65 45 39 38 38 31 31
23 18 15
32 31 30 29 28 27 26 25 24 23 22 21 20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1
Gap
13 4 4 2
0
100
200
300
400
500
600
Design
Design
Conhecimento
Design de Design
Inovação
16
As a co-evolution between problem and solution spaces (BOLAND; COLLOPY, 2004; DORST, 2006; DORST; CROSS, 2001; HATCHUEL; WEIL, 2008; STEMPFLE; BADKE-SCHAUB, 2002)
Solution Solution Solution Problem
Time Problem
Problem
Serviço
Design
Design
Design de Design
Inovação
17
DYNAMICS OF DESIGN From the design process known as "double diamond":
Start
Divergence (Generate *) Convergence (Explore *) Analysis (Compare *) Synthesis (Select *)
In a sense, it is in an antithetical environment where knowledge is created (NONAKA, TOYAMA, 2003)
* (STEMPFLE; BADKE-SCHAUB, 2002)
Conhecimento
End
Serviço
The Knowledge Creation Process
Design
Design de Design
Inovação
18
Ba: Context-Knowledge Place
SECI: Knowledge Conversion Process
Moderador: Knowledge Assets
(NONAKA; TOYAMA, KONNO, 2000)
Conhecimento
Serviço
Design
SECI: The Spiral
Conhecimento
Design de Design
Inovação
Serviço
19
(NONAKA; TAKEUCHI, 1997)
Design
Service
Conhecimento
Design de Design
Inovação
Serviço
20
Application of competences (knowledge and skills) from one entity to the benefit of itself or another (VARGO, LUSCH, 2007). Benefit:
For the customer, [...] means that after being assisted through a process of self-care (preparing food or making a withdrawal from a cash-mail) or a total service process (eating in a restaurant or taking out cash in cash from a bank) he is or feels better than before (GRÖNROOS, 2008).
Design
Innovation
Conhecimento
Design de Design
Inovação
Serviço
21
Innovation, understood as a social phenomenon that creates a qualitative change in products and processes, achieved by the creation of new knowledge and new value as perceived by a social network(VARGAS ET AL., 2008; FAGERBERG, 2003; BALDWIN ET AL., 2006; POPADIUK; CHOO, 2006; SPOHR; KWAN, 2008),occurs from a dynamic similar to the processes of knowledge creation(NONAKA, VON KROGH, 2009)and design(EDMAN, KW, 2009).
“design and innovation are both knowledge creation processes” (MANHAES, 2010)
Some researchers say the design is of decisive importance for innovation (BALDWIN, CLARK, 2005, p. 3):
"Behind every innovation is a new design."
Design
Service Design
Conhecimento
Design de Design Inovação
Serviço
22
In general terms, Mager (2008, p. 355) defines this discipline as follows: Service
Design addresses the functionality and form of services from the perspective of clients. It aims to ensure that service interfaces are useful, usable, and desirable from the client’s point of view and effective, efficient, and distinctive from the supplier’s point of view.
Design
Or... Service Design
Conhecimento
Design de Design Inovação
Serviço
23
The main objective of Service Design is to create an empathic connection with future users of a service. In this way, designers can speculate on future concepts of service based on the perspective that they acquire from the users studied (SEGELSTRÖM, RAIJMAKERS, HOLMLID, 2009).
Design
Routines of Design Service
Conhecimento
Design de Design Inovação
Serviço
24
Group dynamics performed with the use of multimodal images to generate new knowledge and new value propositions for services. (MANHAES, 2010) The
multimodal redundancy of signs is a form of guaranteeing communication in situations in which channels suffer interference. This interference can be physical or cognitive (OVIATT ET AL., 2004; PARTAN, MARLER, 2005).
Mulitmodal Imagery 25
26
Materials and Methods Aplication
Stages of the Research 27
Stages of the research Literature Review Using the terms “innovation”, “service”, “design” and “knowledge” Combined through 32 filters.
Preparation of the proposed method Through the identification and juxtaposition of cognitive knowledge from the fields of design and management Application BU/UFSC Reference Services Validate that the practice obtained corresponds to the theory articulated
Specific Objetctives Identify and articulate the interdisciplinary literature that contemplates the constructs: innovation, service, knowledge and design; Identify the practices of new services development and establish relations with the knowledge creation process;
Test the application of the method proposed in an initial phase of a new services development process;
Preparation of the method 28
Stages
PreField Field
PostField
Double Diamant Phases 1.1 1.2 1.3 2.1.1 2.1.2 2.1.3 2.2.1 2.2.2 2.3.1 2.3.2 2.4.1 2.4.2 3.1 3.2 4.1
Discover
SECI
Socialization
Externalization Define
Combinação
Internalization
Develop
Socialization ...
Deliver
The proposed method has 03 stages and 15 phases
Phases 1.1 1.2 1.3 2.1.1 2.1.2 2.1.3 2.2.1 2.2.2 2.3.1 2.3.2 2.4.1 2.4.2 3.1 3.2 4.1
Pre-Field Stage: Discover and Socialization 29
Phases: Defining the Value Proposal (1.1), Defining the Value Network (1.2) and Inviting Participants (1.3).
Application
Pre-Field Stages: Discover and Socialization
30
Through meetings with the Advisor, the University Library was chosen for the application; Later, with the Director of the University Library/UFSC, we defined
value proposition (1.1) to focus on the implementation of the library reference service; the definition of value network (1.2);
Depending on the personals agendas, was set the date and the invitation to participants (1.3)
Results: Pre-Field Definitions 31
Participants
1. Library employee; 2. Professor UFSC; 3 Library employee; 4. Library employee; 5. Library employee; 6. Library employee; 7. Library employee; 8. Doctoral student; 9. Graduate student; 10. Master Student 01; 11. Master Student 02; 12. Master Student 03; 13. Observer (PhD Candidate).
Date: 18/05/2010
Resources required
1. Brown paper (A3 or A2) and / or cardboard; 2. A4 3 Tapes; 4. Permanent markers and pens of different colors; 5. Four separate tables; 6. Multimedia projector; 7. Physical space to perform dynamic activities. 8. Snack / coffee for about 10 people
Field Stage: a) Discover and Socialization 32

Phase:  Seeing that the large group has a common understanding (2.1.1);
Application
Field Stage: a) Discover and Socialization
33

Phase:  Seeing that the large group has a common understanding (2.1.1);
Results: Initial Map 34
Field Stage: b) Discover and Externalization 35
Phases: Generating Positive Alternatives (2.1.2) and Negative Alternatives (2.1.3) by the Sub-Groups;
Application
Field Stage: b) Discover and Externalization
36
Phases:
Generating Positive Alternatives (2.1.2) and Negative Alternatives (2.1.3) by the Sub-Groups;
Results: Sub-Groups Maps 37
Field Stage: c) Define and Combination 38
Phases: Aligning the Understanding of the Large Group (2.2.1) and Interval/Snack(2.2.2);
Application
Field Stage: c) Define and Combination
39
Phases: Aligning the Understanding of the Large Group (2.2.1) and Interval/Snack(2.2.2);
Field Stage: c) Define and Combination 40
Phases: Evaluating the Alternatives – SubGroups (2.3.1);
Application
Field Stage: c) Define and Combination
41
Phases: Evaluating the Alternatives – SubGroups (2.3.1);
Result: Analisys Strong and Weak Points 42
STRONG POINTS USER TRAINING ARCHIVES -> SOURCES OF ELECTRONIC/PRINTED INFO. PHYSICAL SPACE REMOTE ACCESS VARIETY OF SERVICES LOCATION HOURS WEAK POINTS SIGNAGE NO INFO./RECEPTION DESK LAYOUT -> LOAN DESK NOT OPEN SUNDAYS & UNTIL 11pm during the week. LACK OF PERSONNEL DECENTRALIZED
- Strong Points: CLEAR AND SPECIFIC. Service desk with photo info. and process/service/Product. Trained employees, Polyvalent employees. User education. Improved entrance and exit flow of users (turn-style and inspection). Signs and Access for XXXXXXX XX users with special needs. - Weak Points: Sufficient lockers. Employees in bad mood. MAKE THE USER AUTONOMOUS UPDATED COLLECTION, THAT MEETS USERS NEEDS
Field Stage: c) Define and Combination 43
Phases: Consolidating the Alternatives – Large -Group (2.3.2);
Application
Field Stage: c) Define and Combination
44
Phases: Consolidating the Alternatives – Large -Group (2.3.2);
Field Stage: d) Define and Internalization 45
Phases: Inducing post factu reflection (2.4.1); Registering individual reflections (2.4.2).
Application
Field Stage: d) Define and Internalization
46
Phases: Inducing post factu reflection (2.4.1); Registering individual reflections (2.4.2).
Results: Inducing post factu reflection 47
Participant 1 2 3 4 5 6 7 8 9 10 11 12
Question What can be done to improve the signage at the university library? Identify the key processes of a library, or that is the flow of aggregation of value of the organization and the products of the library. What would be a mental map of the needs from a user’s perspective? Levels of need of the user? What is the level of information (capacity) the people who work in reception must have to filter the users’ needs? How am I going to improve my autonomy in the library? What are the users’ needs? What do they look for in the library? How can signage at the library be improved? How can the signage be improved? Why don’t the library users know about the services (or most of them)? How can the different users be classified for the services offered by the university library? What were the innovative factors that were proposed by the groups? Does every design process involve innovation?
Sample of response (1 week later) 48
Your sentence:
[Why don’t library users know about the services (or most of them)?]
Your reflection:
I believe that the user does not know most of the services provided by the library for various reasons, one of them is related to the lack of communication between the library and the students, another I believe is that the professors are not interested or do not stimulate the students to know the library well, the services offered, because at times even they don’t know.
A lack of interest by the students in going, looking, searching for information, should be done in a study, questionnaire or interview with professors, librarians and students to test this hypothesis, but it exists.
The library can be more dynamic, better inform its users about its services, by e-mail, or on bulletin boards, or by TV screens (with information important to users), or even go to users and ask what services they really need, and try to adapt the services already existing with these needs.
Or create a site with a clearer, cleaner interface of services offered by the library. In my opinion, it is the partnership between librarians and professors that should be made to attract the students, mainly the new ones. And I believe that the librarians should find other forms of demonstrating their function in the library, which services they can offer. Perhaps conduct a study with the students and ask which services they think that the library offers, or which services they would like them to offer.
Post Field Stages: Develop and Socialization 49
Phases: Dev.
- Analysis (3.1) and Dev. – Synthesis (3.2)
and Presentation (4.1). Develop and Externalization
Post-Field: Develop and Socialization 50


This research had no particular focus on the Post-Field stage and phases. The potential contribution of a research at this estage may be even more significant than in the pre-field and field.
Up to 45 Possible Records 51
Type Conceptual Map
Description Conceptual map about the service provision being studied by the large group.
Multimodal images
Multimodal images prepared by the subgroups portraying two positive and two negative scenarios about the service provision being studied. Each pair of scenarios allows portraying a real situation and another ideal one, both positive as well as negative.
2.1.2 and 2.1.3
4 per sub-group
List of factors
List of positive and negative factors defined by the knowledge sharing that occurs during the dynamic about the service provision in study. The messages generated by the participants with questions, reflections and or instructions.
2.3.1
2 per sub-group
2.4.1
1 per participant
The messages of return with the texts of the reflections prepared by the participants.
2.4.2
1 per participant
Messages with reflections Return messages
Phase 2.1.1
Total:
Quant. 01
45
52
Analisys
Analisys of the Records 53
The analysis of four (2.3.1) of the thirty-six records documentary possible to be obtained, points to some lines of research to the design team of service.
The "Signs“
Ignorance
of the user about the services and capabilities of the library study "Layout" and "Reception Desk"
Problems (2.1.1) 54
Phases: Seeing that the large group has a common understanding (2.1.1);
participants reached a consensus on the main features of the service under study, since the first map.
Convergence
Research on techniques and tools to deconstruct the initial consensus can collaborate to improve the proposed method.
Problems (2.1.2 e 2.1.3) 55
Phases:
Generating Positive Alternatives (2.1.2) and Negative Alternatives (2.1.3) by the SubGroups;
Little use of alternative forms of representation (multimodal imagery).
Problems (2.3.2) 56
Phases: Consolidating the Alternatives – Large -Group (2.3.2);
Once people learned about the service, the complexity of negotiating different points of view came to the point where consensus was difficult. Divergence
Problems (2.4.2) 57
Phases:
Registering individual reflections (2.4.2).
of the twelve participants, seven (58.33%) responded the reflections on time. Research on tools and strategies that can increase the return rate of participants can collaborate to improve the proposed method.
58
Conclusion
General Objective 59


The overall objective of proposing a method based on the knowledge creation process - for beginning the process of developing new services Chapter 4 is where, actually, lies the design of the proposed method demanded by the general objective of this study.
Specific Objectives 60
The identification and articulation of a set of literature and the identification of practices were explored in Chapter 2; The implementation of the proposed method is described in Chapter 5, where are treated each of its phases.
Based on these records is possible to affirm that the method allows to "guide action to achieve objectives" (WORREN ET AL., 2002) consistently.
Recommendations 61
Intersection area: Further deepening of the study Articulate it in a more structured way
Analisys of the records.
Only 4 of the 36 registers were analysed
Multimodal imagery: The use of multimodal imagery should be further studied. The communication of this research and the proposed method needs to use multimodal imagery for their dissemination
Conclusion 62

The final conclusion is that, despite all of the physical and intellectual effort invested in this study, there is still much to be done - and just as much more to known.
References 63
ALAM, 2006;
NONAKA; TOYAMA, 2003
BALDWIN ET AL., 2006
NONAKA; VON KROGH, 2009
BALDWIN; CLARK, 2005
ORDANINI; MAGLIO, 2009;
BECKMAN; BARRY, 2007.
OVIATT ET AL., 2004
BITNER ET AL., 2008
PALOHEIMO ET AL., 2004;
BOLAND; COLLOPY, 2004
PARTAN; MARLER, 2005
COOK ET AL., 2002
POPADIUK; CHOO, 2006
DASGUPTA , 2003
ROSENTHAL; CAPPER, 2006;
DORST, 2006
SALOJARVI, FURU E SVEIBY, 2005
DORST; CROSS, 2001
SAMPSON E FROEHLE, 2006
DREJER, 2004; ADAMS ET AL., 2006
SEGELSTRÖM, RAIJMAKERS, E HOLMLID, 2009
DROEGE ET AL., 2009;
SPOHRER; KWAN, 2008
EDMAN, K. W., 2009
STEMPFLE; BADKE-SCHAUB, 2002
FAGERBERG, 2003
STEVENS; DIMITRIADIS, 2005
GRÖNROOS, 2008
VARGO ET AL., 2008
HALL E JOHNSON, 2009
VARGO; LUSCH, 2007
HATCHUEL; WEIL, 2008
VON KOSKULL, 2009;
MAGER, 2008
WORREN ET AL., 2002
MENOR ET AL., 2002;