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Improving productivity in product services
Product companies are struggling to reduce the cost of the services operations that support and maintain their product lines.Unlike manufacturers, which can optimize controllable processes, services organizations have to manage many variables, including unique requests, challenging environments, and differing levels of employee motivation.Still, companies can improve the productivity of their services by reducing the demand for service work, assigning the least costly resources to tasks, and boosting labor output.Contrary to many executives' fears, improving productivity in these ways usually raises rather than lowers customer satisfaction.
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© 1992-2003 McKinsey & Company, Inc
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