Dr Scott E Sampson A basic introduction to
Dr. Scott E. Sampson A basic introduction to PCN Analysis with the Malawi’s Pizza Catering case Dr. Scott E. Sampson http: //services. byu. edu Basic introduction to PCN Analysis James M. Passey Professor of Service Operations Management Brigham Young University © 2014 Provo, Utah, USA For educational use only. Images used according to section 107 of US copyright code. 1
Dr. Scott E. Sampson Your MISSION: E L B I OSSoperation • document a. P service • identify sources of value PCN Analysis • identify process problems • inefficiencies and other costs • potential service failures • flaws in the customer experience • explore possible process improvements • identify opportunities for innovation Basic introduction to PCN Analysis 2
Dr. Scott E. Sampson Steps of basic PCN Analysis 1. Identify system entities and roles 2. Document key processes 3. Assess value propositions 4. Generate strategic improvement alternatives Basic introduction to PCN Analysis 3
Dr. Scott E. Sampson Steps of basic PCN Analysis 1. Identify system entities and roles 2. Document key processes 3. Assess value propositions 4. Generate strategic improvement alternatives Basic introduction to PCN Analysis 4
Dr. Scott E. Sampson 1. Identify entities and roles Event planner Event attendees Principle Individual Caterer Venue host Basic introduction to PCN Analysis 5
Dr. Scott E. Sampson Steps of basic PCN Analysis 1. Identify system entities and roles 2. Document key processes 3. Assess value propositions 4. Generate strategic improvement alternatives PCN Diagram Basic introduction to PCN Analysis 6
Dr. Scott E. Sampson Elements of a PCN Diagram • Process Entity • Process Domain • Process Regions Basic introduction to PCN Analysis 7
Dr. Scott E. Sampson Process Entity Basic introduction to PCN Analysis 8
Dr. Scott E. Sampson Process Entity Event planner Event attendees Principle Individual Caterer Venue host Basic introduction to PCN Analysis 9
Dr. Scott E. Sampson Process Entity’s Process Domain An entity’s Process Domain includes all processes that are directly performed, directed, controlled by the entity. Basic introduction to PCN Analysis 10
Dr. Scott E. Sampson Process Domain Pizza Restaurant’s Process Domain Basic introduction to PCN Analysis 11
Dr. Scott E. Sampson Process Pizza Restaurant’s Process Domain negotiate supply contract receive supplies Basic introduction to PCN Analysis identify ingredients order supplies online forecast supply needs develop recipes preheat ovens maintain supplies cook pizza take order serve pizza 12
Dr. Scott E. Sampson Process Pizza Restaurant’s Process Domain negotiate supply contract receive supplies Basic introduction to PCN Analysis identify ingredients order supplies online forecast supply needs develop recipes preheat ovens maintain supplies cook pizza take order serve pizza 13
Dr. Scott E. Sampson Three regions of a Process Domain Pizza Restaurant’s Process Domain Direct interaction (e. g. with supplier) Surrogate interaction (e. g. acting on supplier resources) negotiate supply contract receive supplies Basic introduction to PCN Analysis Independent processing (entity acting on entity’s owned/controlled resources) identify ingredients order supplies online forecast supply needs Surrogate interaction (e. g. acting on customer resources) Direct interaction (e. g. with customer) develop recipes preheat ovens maintain supplies cook pizza take order serve pizza 14
Dr. Scott E. Sampson Three regions of a Process Domain trol re deg on ss c e c ro p e of deg ree Pizza Restaurant of p roce ss c ontr Restaurant’s Process Domain Direct interaction Surrogate interaction negotiate supply contract receive supplies Basic introduction to PCN Analysis Independent processing identify ingredients order supplies online forecast supply needs Surrogate interaction ol Direct interaction develop recipes preheat ovens maintain supplies cook pizza take order serve pizza 15
Dr. Scott E. Sampson Three regions of a Process Domain 1. Direct Interaction Entity person acting in conjunction with another entity person. People with people. 2. Surrogate Interaction Entity person acting on/with resource(s) of another entity. People with things (belongings, information). 3. Independent Processing Entity acting only on/with entity’s own resources. Basic introduction to PCN Analysis 16
gate tion Dr. Scott E. Sampson PCN Diagram Pizza Restaurant’s Process Domain Direct interaction Surrogate interaction negotiate supply contract identify ingredients order supplies online fill order Independent processing receive supplies forecast supply needs Surrogate interaction Surroga interacti wait to be seated review me cook pizza create order wait for pizza eat pizza serve pizza maintain supplies prepare check Basic introduction to PCN Analysis Direct interaction seat customer develop recipes preheat ovens Direct interaction present check pay chec 17
Dr. Scott E. Sampson Case: Malawi’s Pizza Catering Creating a PCN Diagram based on information from the case. Basic introduction to PCN Analysis 18
Dr. Scott E. Sampson Provider’s Process Domain Independent processing Pizza catering planning process Surrogate interaction Basic introduction to PCN Analysis Direct interaction Customer’s Process Domain Surrogate interaction Independent processing 19
Dr. Scott E. Sampson Provider’s Process Domain Independent processing Pizza catering planning process Surrogate interaction Direct interaction ask event date, type, # attend Surrogate interaction Independent processing call Malawi’s check schedule date available ? Customer’s Process Domain need catering explore alternatives provide event information no yes wait arrange meeting calculate quantity discuss menu options and taste test determine price discuss price record in catering book catering engagement Basic introduction to PCN Analysis price acceptable ? no explore other alternatives yes 20
Dr. Scott E. Sampson Food preparation and delivery process Provider’s Process Domain Customer’s Process Domain Independent processing Surrogate interaction Direct interaction Surrogate interaction Independent processing assemble pizzas par cook pizzas maintain mobile oven load food and supplies on trailer drive to venue determine parking plan clear parking space? yes no discuss alternative parking locations park trailer unload trailer A Basic introduction to PCN Analysis 21
Dr. Scott E. Sampson Food preparation and delivery process Provider’s Process Domain Customer’s Process Domain Independent processing Surrogate interaction Direct interaction Surrogate interaction Independent processing A setup portable kitchen location of serving area obvious? no discuss serving location yes setup serving area wait for event start heat pizzas take pizzas to serving area Basic introduction to PCN Analysis monitor pizza consumption eat pizza 22
Dr. Scott E. Sampson Provider’s Process Domain Independent processing Surrogate interaction Cleanup and payment process Direct interaction Customer’s Process Domain Surrogate interaction Independent processing clean up portable kitchen load trailer determine actual number of pizzas consumed prepare final invoice present invoice provide payment clean up serving and eating tables return to store unload trailer Basic introduction to PCN Analysis 23
Dr. Scott E. Sampson Steps of basic PCN Analysis 1. Identify system entities and roles 2. Document key processes 3. Assess value propositions 4. Generate strategic improvement alternatives Basic introduction to PCN Analysis 24
Dr. Scott E. Sampson Provider’s Process Domain Independent processing Pizza catering planning process Surrogate interaction +$ value? -$ costs? Direct interaction ask event date, type, # attend Surrogate interaction Independent processing call Malawi’s check schedule date available ? Customer’s Process Domain need catering explore alternatives provide event information no yes -$ wait arrange meeting calculate quantity discuss menu options and taste test determine price discuss price record in catering book Basic introduction to PCN Analysis book catering engagement price acceptable ? no explore other alternatives yes 25
Dr. Scott E. Sampson Food preparation and delivery process Provider’s Process Domain Customer’s Process Domain Independent processing Surrogate interaction +$ value? -$ costs? assemble pizzas maintain mobile oven load food and supplies on trailer -$ Direct interaction Surrogate interaction Independent processing par cook pizzas drive to venue determine parking plan clear parking space? no discuss alternative parking locations yes park trailer unload trailer A Basic introduction to PCN Analysis 26
Dr. Scott E. Sampson Food preparation and delivery process Provider’s Process Domain Customer’s Process Domain Independent processing Surrogate interaction +$ value? -$ costs? A Direct interaction Surrogate interaction Independent processing setup portable kitchen location of serving area obvious? no discuss serving location yes setup serving area wait for event -$ start heat pizzas take pizzas to serving area Basic introduction to PCN Analysis monitor pizza consumption eat pizza 27
Dr. Scott E. Sampson Provider’s Process Domain Independent processing Surrogate interaction Cleanup and payment process Direct interaction Customer’s Process Domain Surrogate interaction Independent processing +$ value? -$ costs? clean up portable kitchen load trailer determine actual number of pizzas consumed prepare final invoice present invoice +$ provide payment clean up serving and eating tables return to store unload trailer Basic introduction to PCN Analysis 28
Dr. Scott E. Sampson Steps of basic PCN Analysis 1. Identify system entities and roles 2. Document key processes 3. Assess value propositions 4. Generate strategic improvement alternatives v v v v Improved economies of scale? Improved customization? Improved efficiency? Improved scalability? Improved consistency? Improved quality? Improved value? Basic introduction to PCN Analysis 29
Dr. Scott E. Sampson Food preparation and delivery process Provider’s Process Domain Customer’s Process Domain Independent processing Surrogate interaction Direct interaction Surrogate interaction Independent processing assemble pizzas par cook pizzas maintain mobile oven load food and supplies on trailer drive to venue determine parking plan clear parking space? no discuss alternative parking locations yes park trailer unload trailer A Basic introduction to PCN Analysis 30
Dr. Scott E. Sampson Your MISSION: Basic introduction to PCN Analysis 31
Dr. Scott E. Sampson Your MISSION: 1. Identify system entities and roles 2. Document key processes 3. Assess value propositions 4. Generate strategic improvement alternatives v v v v Improved economies of scale? Improved customization? Improved efficiency? Improved scalability? Improved consistency? Improved quality? Summary sheet at Improved value? http: //services. byu. edu Basic introduction to PCN Analysis 32
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