Subscribe:

Ads 468x60px

How service is distinct from manufacturing?

There are five major characteristics of services that distinguish services from manufacturing.

(a)  Intangibility refers to the lack of substance which is involved with service delivery. Unlike goods (physical products such as confectionery), there is no substantial material or physical aspects to a service: no taste, feel, visible presence and so on. For example, if you go to the theatre, you cannot take the 'play' with you. 

(b)  Inseparability/simultaneity. Many services are created at the same time as they are consumed. (Think of dental treatment.) No service exists until it is actually being experienced/consumed by the person who has bought it. 

(c)  Variability/heterogeneity. Many services face the problem of maintaining consistency in the standard of output. It may be hard to attain precise standardisation of the service offered, but customers expect it (such as with fast food). 

(d)  Perishability. Services are innately perishable. The services of a beautician are purchased for a period of time. 
(e)  No transfer of ownership. Services do not result in the transfer of property. The purchase of a service only confers on the customer access to or a right to use a facility.
Related Posts Plugin for WordPress, Blogger...