Digital service technologies, service robots, AI, and the strategic pathways to cost-effective service excellence

Jochen Wirtz, Johannes Hofmeister, Patricia Y.P. Chew, Xin Ding

Research output: Contribution to journalArticlepeer-review

35 Scopus citations

Abstract

Recent research has shown that the trade-off between customer satisfaction and productivity can be mitigated through three strategic pathways: the (1) operations management (OM) approach, (2) focused service factory, and (3) dual culture strategy, which allow firms to achieve cost-effective service excellence (CESE). We advance that these strategies are also excellent enablers for the development, implementation, and use of digital service technologies, service robots, and artificial intelligence (AI). First, the OM approach reduces process variations in service delivery, creating opportunities for leveraging technology to automate processes. Second, the focused service factory strategy enables high volumes of largely identical service transactions with minimized customer-induced variability, easing service automation. Third, the dual culture strategy ensures that digital automation is firmly customer-centric and achieves service excellence. We advance a set of propositions and research questions aimed at stimulating research at the intersection of the two streams of literature on digital service technologies and CESE.

Original languageEnglish (US)
Pages (from-to)1173-1196
Number of pages24
JournalService Industries Journal
Volume43
Issue number15-16
DOIs
StatePublished - 2023

All Science Journal Classification (ASJC) codes

  • Strategy and Management
  • Management of Technology and Innovation

Keywords

  • AI
  • Digital
  • digitization
  • dual culture
  • focused service factory
  • modularization
  • organizational ambidexterity
  • productivity
  • service excellence
  • service robot

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