Defining Business Services and Creating a Service Portfolio

The main difference between a business service and a product is ownership. With a service, a customer cannot exchange ownership. For example, a patient can’t purchase ownership of a doctor’s treatment by paying fees. Therefore, they have to return to that doctor for further treatment if they become ill. Likewise, a business service cannot be transferred to another company. For this reason, it’s important to create a service plan before offering a product or service.

Defining a business service

Defining a business service is a fundamental part of implementing a BSCF. This framework describes the different service lines and mechanisms that a business can offer. For example, a utility service might be a solar panel installer, while a real estate service might include office or retail space. Employee quality of life services include daycare or fitness classes. Logistics services may include a warehouse and transportation service. Another business service might be waste management, such as recycling cardboard. A detailed business service definition can be found in, where the definition of business services is provided along with detailed examples of business models and revenue structures.

Defining a business service starts with understanding customer and stakeholder needs. Then, powerful techniques are applied to translate customer and stakeholder needs into a Service Value Proposition. After defining business services, service design begins. This process includes engaging all stakeholders, balancing the components of the service, and defining the Service Value Proposition and positioning in the market. Defining a business service is an important first step in implementing an SOA governance process.

Creating a business service plan

In creating a business service plan, you will need to consider how to retain your existing customers. In general, it is cheaper to retain existing clients than to try to gain new ones. While some methods involve establishing the perception that switching will be expensive, others involve fine-tuning your customer service skills. Here are some tips to help you keep your existing clients. Here are some tips to create a successful business service plan.

Your business description should provide a detailed summary of your company’s product and services. Include details about the industry and major competitors. Make sure to highlight the specific strengths of your team. Define your target audience. Include a list of potential customers and target market demographics. Your target audience is an essential component of your business description, so take the time to identify them and include as much information as possible. It’s also a good idea to identify the products and services that will be offered in your service business.

Managing a business service portfolio

Managing a business service portfolio is a strategic process for balancing IT investment with desired business outcomes. By monitoring the investments in the different services, service portfolio management provides the organization with an overall governance framework for deciding on the services to offer and how they compare to business needs and customer expectations. Through service portfolio management, organizations can evaluate their strategy and plan improvements. Below are some benefits of service portfolio management. Managing a business service portfolio starts with a clear understanding of the services offered to customers.

The process of managing a business service portfolio can be divided into three distinct subprocesses. The first step is analysis, where the team assesses the impact of the proposed service on other services in the portfolio. The second step involves approval by the responsible management team. Finally, the third step is review and assessment of services, including analyzing changes from time to time. Managing a business service portfolio is crucial to maintaining a high-quality customer experience and a healthy financial bottom line.

Defining service efficiency/effectiveness metrics

When defining service efficiency/effectiveness metrics for business services, executives should keep in mind the fact that it is difficult to standardize the process because the activities are different in every company. For example, some companies measure their cost per unit of information processed, while others calculate the cost per ticket, which is calculated as monthly operating expense divided by the monthly number of tickets. In any case, the ultimate goal is to deliver high-quality service at the lowest possible cost.

However, even with the use of these methods, executives often fail to understand the principles of service measurement and confuse correctable performance variance with irreducible environmental variance. Consequently, executives are forced to use internal benchmarks for service performance, which are often unreliable and subject to variation. Therefore, it is essential to define service efficiency/effectiveness metrics in a consistent manner across different service environments.