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Profits Aside, the Time Has Come to Perfect SERVICE

It finally seems as though the BIG GUYS are jumping aboard the Web 2.0 evolution and first things first, they seek to innovate and perfect service. The plans to open a “Web 2.0 Community” would be geared towards providing a clearinghouse for research and other information on models towards the goal of service innovation. What took them so long??

Service Innovation: The Next Big Thing
IBM, Oracle, and other tech companies have formed a new nonprofit consortium dedicated to the advancement of this hot concept

by Reena Jana
Innovation & Design

When most consumers and corporations think of innovation, sleek, user-friendly products such as Apple’s (AAPL) iPod come to mind. But leading companies, innovation consultants, and academic researchers are shifting their focus from products to services as the next hot area. The Mar. 28 launch of the Service Research & Innovation (SRI) Initiative, an ambitious Silicon Valley nonprofit founded by executives at IBM (IBM) and Oracle (ORCL), is a sign that the concept of service innovation is quickly becoming top-of-mind, at least among executives at high-profile companies in the technology industry.

“People have a good idea of what technological innovation is,” says Jim Spohrer, director of service research at IBM’s Almaden Research Center. “But service innovation is more hidden.”

Not a “One-Company Thing”

IBM conceived of the consortium as a way to bring tech executives, academics, and government funders together to support curricula and research in the fledgling field. Spohrer and his colleagues had been working on a related project, the Service Science Management Engineering initiative, to encourage service-science education in schools. And about a year and a half ago, IBM contacted two trade groups, the Technology Professional Services Assn. and the Service & Support Professionals Assn., to connect with other companies developing new service models.

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