The Difference between Manufacturing and Service Organization

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3 years ago
Topics: Education

• Manufacturing Organization- its output is physical it can be touch or seen. It requires inventory or storage that can be stored any time after finishing the said product. The standards whether the product is good is based on the preference of the customer. They did everything they could to analyze the needs of the consumer before creating certain products. The qualities of manufacturing organizations are on the table above it is the Performance, reliability, features, durability, serviceable. These characteristics are pertaining to the product that has been created.

• Service organizations, the output can’t be touch and seen, it only focuses on the feeling and satisfaction of the customer in perceptual factors. In doing service providing you must consider these things, tangible factors, consistency, responsive to customer needs, courtesy, timeliness and atmosphere. You must consider these things in order to make an outstanding service organization. In this field of business, you will rely on people not on the product. Communication is very important and great performance as well. Customers will feel delighted if you succeed on giving the service that they want.

The 7 P's

• Product - The product of service enterprise is intangible. For example, a massage parlor; that do Swedish massage, Deep-tissue massage, Hot stone massage, Sports massage, Shiatsu Massage, Trigger point massage, Couples massage, Prenatal massage, Reflexology, Thai massage, and foot massage.

• Price- Pricing in services differs from pricing an item. The pricing depends on the price of the laborer doing the service, and a fee from the business enterprise but most of the time their fee is combined. For example, in massage parlor, the price of different types of massage is differ from its difficulty level, as well as the tools that need to provide.

Place- The place where your business will be established is very important because, place is where the number of your customer depends. If you want to cater lots of customer know your target market. In a business-like massage parlor.

It is located in a mall that has lots of office workers like BGC. People tend to relax after a tiring day so they can visit your shop as soon as they can.

• Promotion- business more on services takes a lot of time to be discovered. It takes a lot of time for the product to be known. So that it is really hard to promote certain products that is new in the market. First you must give some discount and let word of mouth promotion start. But when your business takes off you need to have at least fb ads, or YouTube ad to be known easily, it is the main social media that is trend today.

• People- this sector depends the productivity of your service enterprise. They are the one to do the job so that you need to make sure that they are skilled and competitive enough to do their job because in service sector performance is a must.

• Physical Evidence- The intangibility of a business requires physical evidence in order to gain trust and retention for the customers. You must have your own stall, and after providing service you can sell them some ointment for their injury of discounts card; like loyalty card.

• Process- Giving service outline is important like the business should follow the rules and regulation given by our government. The business enterprise must have permit. They should have rules inside the organization as well. Like the customer will be entertained on time and they should be accommodated until their waiting time, to their turn and after the said treatment. High accommodation must be applied to every customer that will enter your doorstep.

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