Discretion and complexity in customer focused environments
Angelis, J. , Parry, G. and Macintyre, M. (2012) Discretion and complexity in customer focused environments. European Management Journal, 30 (5). pp. 466-472. ISSN 0263-2373
Publisher's URL: http://dx.doi.org/10.1016/j.emj.2012.05.005
Operations have traditionally focused on reductive analysis; transactional processes open to mass-customisation and standardisation. This study proposes that service complexity created by extensive ‘reasonable’ customer demand limits the ability to standardise and manage systems through mass-customisation. Beyond mass-customisation we propose management is by discretion. Discretion is difficult, if not impossible to codify, so operations are ‘managed’ via framework principles that also are difficult to replicate and provide a source of sustainable competitive advantage. The study furthers the servitisation discussion through a public sector services case.
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