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The aim of this paper is to explore and empirically investigate the characteristics and contingencies of service delivery system design.

Informed by the service strategy triad, a single embedded case study was designed to explore empirical data on four target markets, four service concepts, and on the design characteristics of the corresponding four service delivery systems. Data were collected in a market‐leading organisation in the business‐to‐business sector within the power industry. The service delivery systems comprise processes that sell electricity contracts and processes that bill against those contracts.

First, the findings indicate what design characteristics are contingent upon the degree of customisation of the service concept. The authors show how this contingency has implications for the extents of employee skills, employee discretion, task routineness, automation, and for front office (FO)‐back office (BO) configurations. Second, the authors challenge the consensus that low customer‐contact processes are designed for the purpose of efficiency. Third, the findings contradict Metters and Vargas who state that it is not possible to have different FO‐BO configurations in a single organisation.

While there are major interactions between the four service delivery systems supporting each individual service concept, this paper does not examine the trade‐offs between the various possible designs of these service delivery systems.

The paper emphasises the importance of considering the complexity of the service offering, the customer relationship strategy, and of taking a process‐orientation to address service delivery system design.

This paper extends current understanding of service delivery system design characteristics and contingencies. The authors show how design characteristics are contingent on the service concept. Research propositions are formulated to emphasise this contingency. Additionally, we report findings which challenge existing FO‐BO design theory.

Few empirical studies have been conducted to explore the mechanisms and drivers of service exchange and value co‐creation. In particular, no study has compared a service system design informed by service‐dominant logic (SDL) with a service system design informed by goods‐dominant logic (GDL). The purpose of this paper is to address this knowledge gap. The research question is: does a service‐dominant system design result in a more favourable customer experience than a goods‐dominant service system?

An experiment was carried out on a group of habitual bus travellers. The subjects were asked to plan a specific journey using two online journey planning systems. Two hypotheses were tested: first, an SDL informed service system will evoke a better overall customer experience than a GDL informed service system. Second, this better customer experience arises out of seven service system design characteristics. Both objective and subjective data were gathered to compare the customers' experiences of using the two service systems.

The results show that a service‐dominant service system outperforms a goods‐dominant service system in terms of both objective and subjective criteria. Moreover, the experiment elucidates the subjects' perceived importance of the characteristics of a service‐dominant service system. Analysis of the subjects' perception of the two service systems reveals that certain characteristics set the service‐dominant service system more distinctly apart from the goods‐dominant one.

The paper contributes by extending the empirical foundation for service‐dominant logic, providing new knowledge on value co‐creation and design characteristics of service systems, and identifying the most important service system characteristics perceived by the customer.

The purpose of this paper is to explore the contingencies and characteristics of service recovery system (SRS) design.

Informed by extensive case study data from two large Italian retail banks, the theory-building study builds on the seven design characteristics proposed by Smith et al. (2009). In all, 19 sub-dimensions are identified that provide a finer-grain view of the SRS at the operational level. The design characteristics and the corresponding sub-dimensions comprise the SRS design framework. These sub-dimensions are then analysed across the two cases. Specific attention is given to sub-dimensions that are contingent upon service recovery strategy.

The findings suggest that the extended set of SRS sub-dimensions (providing greater specificity) contributes to identifying commonality and difference between SRS configurations. This specificity facilitates the identification of two sets of SRS design characteristics (S-type and C-type) that correspond with the SR strategy. Two propositions have been formulated with respect to this SR strategy – SRS contingency. An additional set of sub-dimensions, common to both cases, is explained by conformance to regulatory control.

The paper provides novel theoretical insights into SRS design. The increased specificity of the SRS framework and the sets of sub-dimensions contingent on SR strategy extend the current theory. This provides opportunities for both practising managers and for future theoretical development.

This research explores how to design service delivery systems to facilitate a customer experience that enables the realisation of prevention-oriented goals.

Case-based research is undertaken to inform the design of service delivery systems for prevention-oriented consumption goals. Data from multiple informants, from both the provider and customer perspective, in two in-depth case studies, provide empirical insights.

Drawing on customer and provider perspectives, a model of service design for prevention-oriented goals is presented. The model is informed through the identification of service delivery system characteristics (facility layout, staff service orientation, facility appearance and staff presence/appearance) and perceived experience quality dimensions (control, duration, privacy and reliability impressions) that contribute to the fulfilment of prevention-oriented consumption goals.

The research affirms that it is critical for organisations to comprehend the goals they want their service delivery systems to enable in the customer experience. Specific attention should be given to the design of facility layout, staff-service orientation, facility appearance, staff presence/appearance to positively impact perceived quality dimensions and to facilitate the realisation of customer prevention goals.

The main research contribution lies in the articulation of the design characteristics of the service delivery system that enables a customer experience supporting the fulfilment of prevention goals. The empirical study draws on both customer and organisational perspectives to identify prevention-oriented goals, and corresponding experience quality dimensions, to inform service delivery system design.

Purpose: This study examines whether changes in environmental and funding uncertainty during the first three years after the outbreak of the global financial crisis (which we presume to have increased significantly) are associated with changes in cost system design and intensity of use.

Design/methodology/approach: A dataset of survey responses from 56 Dutch municipalities is used for the empirical analyses. In the questionnaire, a senior-level financial manager reflected on the changes that he or she had perceived during the three years prior to the study (which was conducted at the end of 2010).

Findings: The results show that during these years, on average, ­environmental and funding uncertainty have indeed significantly increased, whereas cost system design and intensity of use have shown little change. The results further indicate that change in environmental uncertainty is positively related to changes in cost system complexity and cost system inclusiveness for activities and/or programs, whereas change in funding uncertainty is positively related to change in cost system intensity of use for product costing purposes. Also, change in cost system complexity is positively related to changes in cost system intensity of use for both operational control and product costing purposes.

Originality/value: Whereas previous large-scale research tends to focus on how the level of cost system design and/or intensity of use characteristics is related to the level of contextual factors, this study focuses on how changes in cost system design and intensity of use characteristics are related to changes in contextual factors. Also distinctive is that this study focuses on local government organizations experiencing a fiscal crisis.

Research suggests that service‐dominant designs are superior to goods‐dominant; but why? The purpose of this paper is to answer three questions. First, in what way is a service system based on service‐dominant logic (SDL) superior to one based on goods‐dominant logic (GDL)? Second, which characteristics of the service system facilitate the co‐creation of value‐in‐context as perceived by the customer? Third, how do customers describe the contents of these characteristics?

In an experiment, the authors compared two different service systems designed with different mindsets. The experiment was carried out with a group of habitual bus travellers to plan a specific journey using two online service systems by two different organizations; one exhibited a goods‐dominant mindset, and the other a service‐dominant mindset. The subjects' opinions of the two systems were gathered, and sentiment analysis was performed on the opinions to uncover the rationale behind the operational superiority of an SDL‐based system in value co‐creation.

The sentiment analysis identified three key differentiators: intangibles; operant resources; and information symmetry as the reason why an SDL‐based service system is superior to a GDL‐based system. The study also identified specific attributes linked to the key differentiators that could be built into a service system design and verified during a review of that design.

The paper contributes to research by: showing why an SDL based service system is superior to a GDL based one; proposing guidelines for service system design based on SDL to arrive at a favourable customer experience; and to managers by showing that customers have much to contribute in service development and realisation.

The purpose of this study is to identify corporate blog design characteristics that positively influence the view of actual and potential corporate blog users. Moreover, based on the technology acceptance model (TAM), the paper examines the specific mechanism through which corporate blog design characteristics influence the acceptance of corporate blogs and assess the cross-country applicability of the developed framework.

Based on primary data of 992 individuals in three countries (Germany, Russia, and the USA), the paper tests the identified design characteristics and the proposed framework using exploratory and confirmatory factor analysis (CFA), multi-group confirmatory factor analysis, and structural equation modeling.

The results show the applicability of the TAM in the context of corporate blogs. Blog management and usability were found to be key determinants of perceived ease of use. Entertainment value as well as content value and interaction positively affect perceived enjoyment. Content value as well as blog management and usability are the key determinants of perceived usefulness of corporate blogs. Mediation tests revealed a partial mediation of the distal corporate blog design characteristics on attitude and usage intention by the proximal TAM elements.

The sample was self-selected from internet users and a limited number of countries. Associations with and understanding of the term “corporate blog” might vary between internet users as well as between the three focus countries.

Based on the research, companies are better able to adapt corporate blogs to target group characteristics and thus can better reach communication goals. The research can be used both for the establishment of new corporate blogs as well as for the adaptation of existing corporate blogs.

This study contributes to the existing literature by identifying and examining design characteristics that affect individuals' perceptions of corporate blogs. Furthermore, this is the first large-scale cross-country study in this research context that identifies the mechanism through which firms can actively influence the perceived usefulness, ease of use, and enjoyment of corporate blogs, which is important to better understand individuals' acceptance of corporate blogs in different national contexts.

This paper aims to investigate the emergence of the enabling characteristics of new budgetary practices and their implications for the role of controller.

The longitudinal perspective of this qualitative case study is based on interviews of controllers and managers involved in budgetary work. This study monitored the four enabling characteristics of management control, namely, repair, internal transparency, global transparency and flexibility (Adler and Borys, 1996), related to the new budgeting practices in one global paper company.

The findings of the study demonstrate that the implementation of rolling forecasting was a major attempt at “repair” to remedy the incompleteness of accounting information, which made controllers experts in producing and delivering more realistic forward-looking information in the organization. The increasing internal and global transparency of new budgetary practices enabled controllers at various levels of organization to develop new competences, which helped controller network to build a holistic view of the totality of control and supply more relevant information in organization. Moreover, the inherent flexibility of the system was a major condition for improving organizational effectiveness in budgetary work. However, the study shows that the controller’s attitude towards enabling formalization is not necessarily positive if the system is not aligned with professional mindset and competence.

This study adds to the understanding of the complementarity between new developments of budgeting and controller role by addressing the enabling uses of management control systems, which have the potential to enhance the controller role change.

Educational institutions like other organizations are realizing the significance of customer‐centered philosophies and are turning to approaches such as total quality management to help manage their businesses. This paper starts with the background theory and then outlines the results of a study conducted on students within selected educational institutions in India to obtain a student perspective of the quality of those institutions. The SERVQUAL methodology was applied to identify the gap between customer expectations and perceptions of the actual service received. The quality function deployment technique was then used to identify the set of minimum design characteristics/quality components that meet the requirements of student as customers of the educational system.