How to be Entrepreneurs in Service Delivery?

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Being entrepreneur is not an easy step; however, thinking as entrepreneur is easy to learn.
Entrepreneurs are not inventors for new products or ideas. They are normal people who are paying attention to something new they see, or go to places where they can observe people: malls, airports, universities and just walk around. See what people are doing and not doing.

It is about understanding and researching current industries that have not innovated their products or services and have a large customer market.

Understanding and researching with different Eye. Kim and Mauborgne in their famous book “Blue Ocean Strategy” have introduced the Four Actions Framework, which can be considered the main goggle for the entrepreneur that help re-engineering the way of thinking toward products and services.

The framework is focusing on four main dimensions:



– Raise: How you can raise the market standard and offer new factors that is adding value to your customers.
– Reduce: How to reduce the competition with other peers? What factors can be reduced to ease the bloody
competition?
– Eliminate: Which factors that the industry has long competed on should be eliminated?
– Create: What factors can created that never offered by any of the competitors?

Think about Netflix and their great disruption for the TV networks, Netflix has followed the above mentioned model to:

– Raise: Netflix has raised the market standard by offering convenience, availability, accessibility. Simply you can watch your favorite TV show, serials, movies when you like and without any restrictions of TV show availability. It is designed to meet customer availability.

– Reduce: Netflix has reduced the competition with others by not asking customers for buying certain receiver nor subscription card. Reduce the hassle of connections and wires by online watching, where nothing needed except internet and TV.

– Eliminate: Netflix eliminated some factors, such as the commitment, try it now for free for 1 month, subscribe now and pay monthly, no commitment,

– Create: Netflix has offered Movies which are not available anywhere else, Netflix production is a new factor that give Netflix the competitive advantage, new movies that are Oscar winners.

Blue Ocean Strategy
four actions framework

If you think about the current entrepreneurs and their ideas that disrupt the market, you will clearly see that there is nothing new more than using new goggles to see the market. This goggle is very useful even in re-engineering your way of living and your way of completing your daily work.

The Entrepreneurs in Service Delivery:

Service delivery in both public and private sectors are focusing on two strategic directions, customer centricity and operation efficiency. Reflecting the entrepreneur’s definition and the framework of blue ocean strategy in the world of service delivery can show us different road-maps for service improvements:



– Offering new channels such as smart/autonomous service centers is a great example of both:
o Reduce: where organizations are reducing the interactions with employees and replace it with more automation.
o Raise: where organizations are raising the standard by offering services 24/7 and without human interactions.

– Offering chatbots and the service assistance such as google assistant is also a clear demonstration of both:
o Create: where organizations are creating new channels that learn by time and cost less compared to contact centers.
o Eliminate: where organizations are eliminating the human interactions and mistakes.

Both examples are not only satisfying customers but also reducing the operation cost, which is the ultimate objective for any business.

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