The Concept Of Service - Value proposition and composition (01/02)

By definition, a service should create value for the company, person or group. One of the most important aspects of each service is its service value proposition. Service value proposition refers to the value that the service generates for customers. Customers assess the value based on how the service enhances performance and reduces costs and risks.

A strong value proposition enables service providers to position their services in the
market. Value proposition clearly communicates the benefits of their services and can provide a competitive advantage over other service providers.

Patterns are usually used by service providers to generate the value proposition of services. Pattern is defined as a design or a model that helps simplify the delivery of a complex service. To create a pattern, you first identify the customer's needs.

You then break down the service by asking two questions:

• What tasks does the service include? 
• And how can it be delivered? 

By doing so, a pattern provides a blueprint for quickly providing a service and achieving various outcomes. A pattern also helps in determining how flexible a service is in a way that it helps identify the various ways in which a service can be delivered.

Additionally, it is also useful for service providers to break down services into small tasks. This enables service providers to better manage the costs and risks associated with the particular service.