Service management is identified by supply chain management. It relates to the actual sales and customers of a certain company. Intensive service supply chains drive the necessity of aiming at attaining high performing service management. Service management is complex and requires implementation of carefully thought-out model on how to manage services within an organization. Supply chains relating to service deliveries are characterized with heavy inventory and complex integration of the third parties and the field of services.
Demand over many decades has been noted to be inconsistent and included some uncertainties. Service management enables the consideration of all factors that drift the service flow. Information is considerably crucial in service delivery. The processes of organizations are coordinated in service locations and in multiple levels of the supply chain. This paper considers Virgin Trains in terms of service management, and studies channels of improving the service to service management, servicing people, and in resources allocation (Virgintrains, 2012).
Virgin Trains are legally known as West Coast Trains Limited. The company operates trains services in the United Kingdom largely controlled by Virgin Group. Virgin Trains serve London, Scotland, North West England, West Coast Main Line, West Midlands, and Wales (Virgintrains, 2012). Forty nine percent of the company is owned by Stagecoach Group. Over years, there has been a need to improve service management. The world is evolving fast with changes emerging from every corner. This has seen Virgin Trains develop models in service management to accommodate the changing preferences of the customers (Virgintrains, 2012). Virgin Trains was established in the nineteen nineties when the British rails were privatized.
The Company won rail franchises enabling operating the train services in long distances. The company managed to secure Intercity West Coast service with transport of long distances, and Intercity Cross Country with travel schedules for non-London routes focusing on Birmingham. Virgin Trains are identified with embracing technology to improve its services. Virgin Trains replaced the diesel engines with electric locomotives that are fast and efficient (Hurwitz, 2009). Verging trains are a modern company that possesses trains equipped with on board entertainment systems. This enabled attracting substantial number of customers to Virgin Trains.
Virgin Trains suffered punctuality challenges in the period of the years from two thousand and one to two thousand and six. A great number of people across the country experienced being late to their destination point. This affected the reputation of Virgin Trains prompting the integration of service management to enable the company grasp the attention of the customers. Punctuality has since that time improved significantly. There has been a call to improve punctuality and reliability of the services the company provided. Virgin Trains, in order to improve services effectively, has incorporated radio controlled watches (Virgintrains, 2012).
Virgin Trains benefits from service management greatly. The recorded benefits are caused by reduction of the service costs. This became possible by integration of service and effective products supply chains. Controlling costs is considered to be vital in making a breakthrough in gaining profits. Virgin Trains will improve its service by incorporating inventory levels in service management, enabling the company reduce total inventory costs. This is critical in the rational management of costs. Service management in Virgin Trains will enable improved customer service and improved optimized services to customers. This will be enhanced by timely delivery and picking of customers in the rail business (Friedrich, 2005).
Service management will enhance increased revenues for Virgin Trains. This is made possible by reducing operating costs and efficiency. This is attributed to the integration of the service routes, and regrouping to the best web that ensures customer satisfaction. Efficient service management in Virgin Trains will enable the company reduce obsolescence costs of the service delivery. This can be best achieved by improved forecasting (Virgintrains, 2012). Forecasting is best done by incorporating research work. Research identifies probable challenges and opportunities the company is likely to face in the future. Research and design in the company will enable Virgin Trains gain a competitive edge over other competitors. This will enhance improved services delivery to the existing clients and the potential customers.
Virgin Trains has heavily invested in the development of the rail business in the country. This has enhanced improved quality of services provided to people. Technological advancement in the Virgin Trains has been accorded a company’s priority. This has, in return, enabled the company make significant improvements in terms of the service delivery (Friedrich, 2005).
In the year two thousand and one, Virgin Trains received criticisms over poor service delivery. The issue was hot to a point of attracting media attention. This led to the management of the Virgin Trains devise a way forward in the service delivery to its clients (Hurwitz, 2009). The drive to improve punctuality and reliability was spearheaded by Chris Green, who was the chief executive in Virgin Trains.
Virgin Trains has improved the infrastructure of the company to support the service delivery at a much faster rate and in a more reliable way. This has improved the performance of the company considerably. In the attempt to improve punctuality and reliability, Virgin Trains has installed radio controlled watches. The tool is used today and enables timely guidance to the company and to customers, as well.
There have been a number of challenges for Virgin Trains. Considering the much publicized Grayrigg derailment that took place in the year two thousand and seven caused the death of an elderly woman and injuring of five people (Virgintrains, 2012). This raised concerns on the security measures adapted in ensuring that service, delivered to the customer, is reliable and safe. The train was able to uphold the accident without injuring many people. The train never lost its structural form as it rolled down the embankments.
The future of Virgin Trains lies in the incorporation of service management. This will increase the projected number of passengers especially in the West Coast routes (Friedrich, 2005). Service management will enable Virgin Trains deliver quality and reliable services to customers. The company plans to expand the length of the Pendolino sets to eleven vehicles. Service management will enable Virgin Trains expand its networks to a ten car trains. This is expected to involve less infrastructure and yield high revenue returns (Fitzsimmons, 2005).
Virgin Trains has invested heavily in the rail industry. The company possesses the latest trains in United Kingdom that can run at high speeds. This has made it possible, for the people of Britain to move from one part of the city or country to another in a safe and reliable manner. Service management has been enhanced by considering the views of the customers. This is critical in getting the exact areas of improvement (Hurwitz, 2009). Richard Branson, the owner of the Virgin Trains, has made sure that the company employs qualified and experienced professionals. This has been crucial in getting the return on investment in the human resources.
Service management, if well implemented in Virgin Trains, will enable customers to be satisfied. It is critical to ensure that all customers get the value of their payments. This is because most of the customers spread the good name of the Virgin Trains by word of mouth (Virgintrains, 2012). Word of mouth communication has been identified as the surest and the most convincing mode. Customer satisfaction is best considered with the incorporation of the areas of improvement. Customers are different and have various ways of perceiving things. It has been found very difficult to convince all customers. It is a prerequisite satisfying majority of the customers. This ensures continuity of the business and improved service delivery through service management (Albrecht, 2000). It is critical for Virgin Trains to ensure that the company is responsive to the client’s needs. This has been attributed by ensuring research and design is in place. Research has enabled forecasting the changing habits of the customers. This is critical because Virgin Trains shifts it goals to fit the needs of customers through efficient management.
Service management in Virgin Trains will enable the company reduce the expediting costs. This will enable optimized service parts inventory (Virgintrains, 2012). Virgin Trains has to ensure that the Trains are well serviced and repaired in the world class mode. This is possible through improved service delivery. Virgin Trains maintain reliability by ensuring that the engines do not break down too often, disabling the trips of the customers. The company through service management will ensure that the trains are mechanically sound and fit to offer transport facilities to the customers (Hurwitz, 2009). This will, in turn, increase the customer satisfaction.
Service management in Virgin Trains will enable minimization of technician visits. This is possible through routine maintenance measures. A problem is identified and corrected in the fastest and the best way possible (Virgintrains, 2012). Customers do not get to identify the problem. This is important in making sure that the company image is maintained. The mechanical teams are supplied with the right spare parts, and this has been efficient in making suite that the problems are addressed instantly (Albrecht, 2000).
Service management in Virgin Trains will incorporate six different capabilities. This is to ensure that optimization is attained. The capabilities entails; service strategy and service offerings, spare parts management, returns, repairs and warranties, field service management or field force effectiveness, customer management, assets, maintenance, task scheduling, and event management (Fitzsimmons, 2005).
Service management in the Virgin Trains will enable the company incorporate strategies that will enhance service offerings. This is best done by defining service strategies. Strategies are the paths created in attaining the set goals. The strategies, adapted by the Virgin Trains, will enable the company attain service offerings, and positioning to the market in a way to attract the highest percentage of customers. Virgin Trains will apply applying the market strategy (Virgintrains, 2012). This strategy is crucial in winning the hearts of customers, and hence, in increasing the customers’ base. Service management in Virgin Trains will drive at service portfolio management, which will enable the customer attain the return on investments.
Spare parts management in service management is crucial in maintaining the continuity of the business (Albrecht, 2000). Virgin Trains have recognized the necessity of spare parts management. Trains have to be repaired in time and maintenance of the infrastructure involved is critical. The spare parts management entails parts supply management, inventory management; parts demand management, service parts management, and the fulfillment of operations and logistics management (Virgintrains, 2012).
Service management in Virgin Trains will put into consideration returns, repairs and warranties. This is crucial in making sure that customers get the best services possible. This will enhance customer satisfaction. This entails warranty and claims management, reverse logistics, returns processing and remanufacturing challenges. Virgin Trains is committed to providing quality services and products (Hurwitz, 2009).
Field service management or field force effectiveness is critical in Virgin Trains. This is associated with service management in that technical enablement, mobility, service billing, E-learning and activity scheduled is enabled for employees and customers. Field management ensures that the image of the company is enhanced, hence increasing customers at the long end making profits.
Customer management in service management is critical. This is because it considers order management and availability, customer insight, technical documentation and channel/partner management. It is critical to grasp the changing preferences of customers in order to offer relevant services to the customers (Albrecht, 2000). This is a very critical move in service management.
Service management entails the management of assets, maintenance, task scheduling and management of events. This will be implemented in Virgin Trains through remote monitoring, configuration management, diagnostics and test, and finally by asset management and optimization. This will ensure that the company attains the best results in terms of customer satisfaction.
Queuing theory is critical in Virgin Trains (Slate, 2000). This will assist in reducing the waiting lines. The customer’s time will be valued, and time saving will be considered an opportunity provided by the company. The company will enhance minimized waiting time. It has been noted that queues are formed when customers arrive faster than they are served (Slate, 2000). Virgin Trains has to increase the service time to reduce queuing.
Service management is critical to any organizations. It enables significant reduction of expenses and increased customer satisfaction. This is critical in ensuring that the company withstands the future trends in the market. Changes are evident in the business worlds. Competition has significantly increased and people have alternative means of attaining similar results. Customers are treasured in order to make a breakthrough in the business world.