Service Sector Management

Definition, Characteristics &

Classification of Service

Prepared By:
Janavi Pitale
 Definition of Service
• According to AMA…
 “Service are the activities, benefits or satisfaction

which are offered for sale or are provided in

connection with sale of goods”
• According to Sir William Bieveridge…
 “Services referred to social efforts which include

government to fight 5 giants – evils, wants,

diseases, ignorance, illness in the society”
Characteristics of Service
 Intangible
 Perishability
 Inseparatibility
 Heterogeneous
 Ownership
 Simultaneity
 Quality Measurement
 Nature of Demand
 Classification of Service
1. On the basis of nature of service act
2.On the basis of type of relationship that the
service organisation has with its
customers
3.On the basis of scope for customization and
judgement in service delivery
4.On the basis of nature of demand and supply
for the service
5.On the basis of method of service delivery
On the basis of nature of service act

(Recipient of the Service)

Who What
(Nature of Service
TangibleAct)

Intangible
On the basis of type of relationship
& transaction

(Type of relationship)
Membership No formal membership

(Type of Continuous
transaction)

Discrete
 On the basis of scope for customization
and judgement in service delivery

(Scope for customization)

High
(Customer contact personnel Low
judgement)
High

Low
 On the basis of nature of Demand &
Supply for service

(Demand Fluctuation)
Wide Narrow
Demand can
be met
(Supply Constraints)

Demand cannot
be met
 On the basis of method of
service delivery

(Method of Service Delivery)

Single outlet Multiple outlets

ature of Interaction)
C O

C O

C O
Thank You