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A model for efficiency-based resource integration in services

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  • White, Sheneeta W.
  • Badinelli, Ralph D.

Abstract

Service processes, such as consulting, require coordinated efforts from the service recipient (client) and the service provider in order to deliver the desired output – a process known as resource integration. Client involvement directly affects the efficiency of service processes, thereby affecting capacity decisions. We present a mathematical model of the resource-integration decision for a service process through which the client and the service provider co-produce resource outputs. This workforce planning model is unique because we include the extent of client involvement as a policy variable and introduce to the resource-planning model efficiency and quality performance measures, which are functions of client involvement. The optimization of resource planning for services produces interesting policy prescriptions due to the presence of a client-modulated efficiency function in the capacity constraint and subjective client value placed on participation in the service process. The primary results of this research are optimal decision rules that provide insights into the optimal levels of client involvement and provider commitment in resource integration.

Suggested Citation

  • White, Sheneeta W. & Badinelli, Ralph D., 2012. "A model for efficiency-based resource integration in services," European Journal of Operational Research, Elsevier, vol. 217(2), pages 439-447.
    • Handle: RePEc:eee:ejores:v:217:y:2012:i:2:p:439-447
    DOI: 10.1016/j.ejor.2011.09.009
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    3. Kai Ding & Pingyu Jiang & Mei Zheng, 2017. "Environmental and economic sustainability-aware resource service scheduling for industrial product service systems," Journal of Intelligent Manufacturing, Springer, vol. 28(6), pages 1303-1316, August.
    4. Ioannis Bellos & Stylianos Kavadias, 2021. "Service Design for a Holistic Customer Experience: A Process Framework," Management Science, INFORMS, vol. 67(3), pages 1718-1736, March.
    5. Rafael Teixeira & Renato Przyczynski & Jeff Shockley, 2022. "B2B buyer operational capability for the effective delivery of technology-enabled services in a multi-facility context," Service Business, Springer;Pan-Pacific Business Association, vol. 16(3), pages 645-679, September.
    6. Ioannis Bellos & Stylianos Kavadias, 2019. "When Should Customers Control Service Delivery? Implications for Service Design," Production and Operations Management, Production and Operations Management Society, vol. 28(4), pages 890-907, April.
    7. Sivakumar, S. & Mahadevan, B., 2021. "Configuring and pricing smart coproductive services," European Journal of Operational Research, Elsevier, vol. 294(2), pages 779-789.

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