In the last decade, service design has witnessed a rapid diffusion, mainly due to an increasing focus of organisations on services and customer experience, building also on the need for businesses to digitalise their commercial offers and core operations. Despite this rapid diffusion, organisations are still struggling to make service design work, to embed it as way of working while proving its impact. You will find some key principles to ensure an effective adoption of service design by large organisations, uncovering common pitfalls and best practices. This presentation was presented by Livework's head of Insight Marzia Arico at the DOERS conference in Budapest.

1. 1
Liveworkstudio.com London Oslo Rotterdam Sao Paulo
Livework Studio © 2018
Liveworkstudio.com London Oslo Rotterdam Sao Paulo
Livework Studio © 2018
Implementing
Service Design
in the Organization
DOERS. Conference
Budapest
8 March 2018
Marzia Arico
@marziaarico

2. 2
Introduction
18 years, 300 clients, 21 sectors

3. 3
Introduction
Insights from Academia and Practice

4. 4
Introduction
Challenges
BUSINESS
IMPACT
CUSTOMER
EXPERIENCE
ORGANIZATIONAL
CHALLENGE
Inside-out
Outside-in
STRATEGY &
INNOVATION
IMPLEMENTATION &
IMPROVEMENT
< >

5. 5
Introduction
The transformative power
of service design
“Because organizations
now operate in an
environment of constant
change, the challenge is
not how to design a
response to a current
issue, but how to design a
means of continually
responding, adapting and
innovating” (Burns et al.,
2006”
Burns, Cottam, Vanstone, & Winhall
(2006, p.21)
● Service design has a transformative impact on
organizations, providing the opportunity to
generate lasting changes in organizations’
ability to change and innovate.
● Aiming at not only leaving behind a new
solution, but the tools, skills, and organizational
capacity for ongoing change.

6. 6
Introduction
Three levels of service design impact
on organizations
Design of service interfaces and interactions
Peripheral to the organization
Implementation of new experiences
Affecting organizational values, norms,
processes and procedures
Fostering change and innovation
Organizational transformation
Junginger and Sangiorgi (2009)

7. 7
Introduction
Sure …

8. 8
Service Design
Adoption
Part I

9. 9
Part I
Three elements for service design adoption
1. Awareness of service design principles and practices
2. Dedicated resources
3. Enabling structures

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Visualizing
Practice #3
Conducting design research
Practice #1
Prototyping
Practice #4
Experimental
Principle #4
Human-centered
Principle #1
Co-creative
Principle #2
Holistic
Principle #3
Service Design
Principles and Practices
Ideating
Practice #2
Transformative
Principle #5
Sequencing
Practice #5

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Part I
Awareness of service design
principles and practices
“You really bring the
imagination of the
business alive and they
can see how things could
be better. And that's not
just around the user
interface, that's definitely
around new tools or
removing tools,
sometimes about
changing business
processes, or changing the
way that information
flows between teams”
Project Sponsor, Financial Services
“It certainly changed the way people thought around servicing
customers versus servicing equipments”
Project Sponsor, Manufacturing
● It’s done through project work and/or training
● Your objective is not full implementation, aim for
small steps that can show short-term impact

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Part I
Example: Jisc
● Going back to the basics to understand
customers and users.
● Focus on a simple outcome that can be used for
future work. In this case it was a customer
framework and service ecology.

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Part I
Dedicated resources “The engagement of key
stakeholders was a
determining factor, being
able to get people
involved and excited.
Then the cross-
functionality to be able to
bring the right people
from the different
functions. It cannot be
one-sided”
Project Sponsor, Engineering
● Start with a small core team, 3-4 people.
● Engage key stakeholders across functions. Co-
create and co-own.
● Familiarize, train and grow.
● Avoid evangelizing and over-exciting, it creates a
toxic environment.

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Part I
Example: Kone
● The first customer is the organization. Listen to
your organization as you will listen to your
customers.
● Tangible outcomes open gates. Have
something concrete to show soon.
● Transform the business from within. Excite and
empower so that people will preach for you.
Business and IT can become design champions.
● Have a physical space, open for anybody to
observe and join in.
“Excuse me is this where
the magic happens?”
Senior Manager, Kone

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Part I
Enabling structures
“When you're doing service design work, you're very rarely saying to one person, one team, ‘Can
you make this?’ Nearly all the time you find that what you're saying is, ‘We need to bring product
managers from a few different groups in the business together because we need to create this new
missing piece’ Or ‘You changing this piece requires bits of all the different IT systems to come
together in a new way and to experience a new interface’ And it's very difficult to get people
collaborating like that from different bits of the business because they don't have to work like that”
Project Sponsor, Financial Services
● Service culture
● Clear processes to work with service design
● Cross-department collaboration incentives
● Clear mandate – Leadership support
● Measurement systems to assess the
effectiveness of the services.
● Watch out for IT

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Part I
Example: Gjensidige
● Empowering employees
● Enabling them to find the best solution for
the customer depending on the situation
● Providing the right support
● New routines, processes, and measurement
systems
Example
We make the complicated simple
What: It is our responsibility that the customer
understands us
How: Our focus is simplification and added value for
the customer
Why: Good customer experiences provide increased
willingness to buy

17. 17
Maturity
Model
Part II

18. 18
Part II
Four stages of service design maturity
Familiarizing
with SD
principles
Enacting SD
practices
Enabling
dedicated
resources
Growing
structures
Understand
Try
Learn
Embed

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A multi layer approach
Part III

20. 20
Part III
From macro to micro
• Service design gets introduced in an organization
that operates under completely different logics.
Recognize them and acknowledge them.
• Choose how to introduce service design vis-à-vis
those existing logic.
• Invest into familiarizing with service design
principles and practices, securing resources, and
growing structures.

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Part III
Example: Telenor
● Three logics at play: Telco, Digital, Customer
● Two strategies tested: Compartmentalization
and enrichment
● Three key activities:
1. Rolled out a Service Design Academy for two years
to familiarize actors with service design.
2. Established one pilot project to showcase value in
practice.
3. Establishing new processes and practices to work
with service design across functions
“It’s a huge
transformation; it’s a
whole mindset”
Senior Leader, Telenor

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Part III
Three Logics
Logic of Traditional Telco Logic of Digital Service
Provider
Logic of Service Design
Metaphor Transaction Digital at the center Human at the center
Legitimacy Maximizing existing assets Faster time to market Improving customer
experience
Identity Telco solutions provider Digital service provider Customer-centric service
provider
Strategy Efficiency Digitalization Servitization
Product/Service
Conceptualization
Products (e.g., subscription
plans)
Digital services (e.g., apps and
web platforms)
Human-centric services
(e.g., tailored multichannel
offers)
Key Process Waterfall Lean Service Design

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Part III
Compartmentalization
“It’s an organizational entity and
it’s there to protect the designers, to
kind of create breathing space for
the designers at the beginning until
the environment has become less
hostile in a way”
Director, Telenor

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Summary
Part IV

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Part IV
Summary
● Look for the logics at play
● Strategize how to introduce service design
● Three key activities to ensure adoption and
increase maturity:
1. Create awareness of service design principles and
practices
2. Enable dedicated resources
3. Grow structures
General Tips:
• Make it tangible asap
• Plan small steps towards a
long-term transformation.
You cannot change your
organization overnight.
• Start with a small core
team
• Engage stakeholders
throughout the process
• Do not evangelize
• Create a physical dedicated
space open for people to
join

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Thank you
This presentation can be downloaded via:
bit.ly/doers18
Contact
Marzia Arico
Head of Insight, Livework Rotterdam
@marziaarico
marzia@liveworkstudio.com