Service Providers

Service Providers deliver ongoing services. They may buy solutions from Engineers, and then use those assets to deliver a service (like an airline that buys airplanes and sells a transportation service). Or the service may be delivered primarily by people.

The distinguishing attribute of Service Providers is the ongoing nature of services. This doesn't include a stream of small, unique projects (like the repairs that Engineers sell). Rather, it's essentially the same routine service, day after day, like water from a tap.

Service Providers keep things running reliably, safely, and efficiently. They seek continuous improvements and introduce new services, but are not generally proponents of major changes that might disrupt their operational efficiency. They should change only when it's safe.

There are two types of Service Providers:

Asset-based Service Providers own and operate shared-use infrastructure. The services they sell are based on access to their infrastructure; the people are there to ensure that the assets run properly.

In a corporation, this is the manufacturing function and product managers for commodity products. In IT, this includes the computer center, telecommunications network operations, and the telephone system.

People-based provide ongoing support services which are produced by people rather than assets. Equipment, such as computers, is employed only to make the people more productive at tasks they conceivably could do manually.

There are three types of functions which are categorized as People-based Service Providers:

1. Services to clients that enhance the organization's primary product line. The most common example is customer service (service desk).

2. Services to others within the organization to leverage their time and enhance their abilities. Examples include project management facilitation, testing services, and field technicians that act on behalf of other product lines.

3. An organization may also include some business support services which are outside the primary intent of the organization. Examples include procurement, education services, departmental finance, and departmental human resources.

Service Providers are experts in service management (not products). They're responsible for stability, responsiveness, reliability, safety and security, cost, and attention to detail.