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A first course in service systems engineering

Article · November 2008

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 A FIRST COURSE IN SERVICE SYSTEMS ENGINEERING

Dana M. Johnson, PhD, School of Business and Economics, dana@mtu.edu

Leonard J. Bohmann, PhD, College of Engineering, ljbohman@mtu.edu
Kris Mattila, PhD, Department of Civil & Environmental Engineering, mattila@mtu.edu
Nilufer Onder, PhD, Department of Computer Science, nilufer@mtu.edu
John W. Sutherland, PhD, Department of Mechanical Engineering, jwsuther@mtu.edu
Michigan Technological University
1400 Townsend Drive
Houghton, MI 49931

ABSTRACT
“Introduction to Service Systems Engineering” is the first course in the newly developed Service Systems
Engineering (SSE) curriculum at Michigan Tech. The first course in any engineering curriculum will set
the stage for continuing interest in a given curriculum. In this course, the primary focus is on providing
students with a strong foundation and the fundamentals of service system engineering analysis and
design. This includes a structured problem solving approach and service industry management techniques
with an emphasis on quantitative problem solving. The paper will highlight course development, the
pedagogy associated with the course objectives, case studies, and the application of the theory, as well as
program assessment.

Introduction
Introducing a new curriculum requires a well thought out plan. When the curriculum is going to be
another option for an existing program, the course development efforts must incorporate the old and the
new. It also most be aligned with any accrediting agencies. The discussion outlines the course
development efforts, formulation of the course description, development of the course objectives,
selection of text materials, and a discussion of experiential learning assignments – case studies and a
semester long project.

Course Development
Several articles and presentations have outlined the process, from inception to course offering, for the
newly developed Service Systems Engineering Curriculum [1][2][3]. Primary emphasis has been to
integrate the curriculum as a part of the existing Bachelor of Science in Engineering to ensure it was
aligned with the Accreditation Board for Engineering and Technology (ABET). The initial course was
designed and developed to provide the foundation in several key areas:
(a) systems engineering and analysis, with emphasis on service systems,
(b) foundations of service management, with emphasis on organizational context and quantitative
problem solving skills, and
(c) common problem solving methodology to be used in all SSE courses.

Alignment of the course with the a-k programmatic objectives was essential in developing a congruent set
of course objectives. The course description and course objectives are presented in the next sections.

Course Description
SSE 2100-Introduction to Service Systems Engineering - This introductory course covers the evolution of
service systems engineering within the broader context of engineering as well as careers and professional
practice within the discipline. Advanced service system engineering topics such as optimization,
simulation, and quality tools will be introduced. This course will use many examples from service
industries to illustrate its points.

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The course is a sophomore-level course. Because there are no prerequisites for the course, there were
some limitations in the depth of coverage for certain topics. It was assumed that students had limited
background in statistics and probability models. Most students will have completed a year of engineering
calculus prior to entering the course. However, since all students don’t move at the same pace, it was
assumed that one introductory course in calculus had been completed prior to entry into this course. This
would allow the students to be able to achieve the course objectives.

Course Objectives
The course objectives include: (1) appreciation of the service systems engineering discipline; (2)
application of problem-solving techniques to systems problems that involve human-based uncertainties;
(3) understanding the scope and importance of the service industry and an appreciation of the differences
between manufacturing pre-production and service co-production (co-creation); (4) developing a service
system, critiquing it, and developing ideas for improving it; and (5) applying systems engineering design
and analysis techniques. Helping to achieve these objectives are two case studies threaded throughout the
course demonstrating the application of the concepts and design of a service system. The two cases
include the automation of the pre-registration process for hospital and clinic services using web-based
registration and kiosks, and the airlines service selection of options launched by small carriers and applied
to large domestic airline companies. Selection of course content and linkage to the other new Service
Systems Engineering courses will be described. Additionally, the course requirement of using a
comprehensive semester long project that applies the theory of service systems engineering analysis and
design will be highlighted.

Threaded Case Study – Hospital Clinic and Services Automated Pre-Registration Process
The case study was developed to allow for application of concepts, methods, tools, and techniques and as
a means to integrate the content from two different textbooks. The textbooks used for the course were:

(a) Primis Coursepack – The World of Service Systems Engineering, McGraw-Hill Publishing – most of
the content was from Service Management, 5th edition by Fitzsimmons and Fitzsimmons with some
supplemental readings from the Harvard Business Review
(b) Systems Engineering and Analysis, 4th edition, Blanchard and Fabrycky, 2006, Prentice Hall
International Series in Industrial and Systems Engineering

Information and details about the case are presented below.

Overview
As hospitals centralize their pre-registration and same day registration process, they are seeking ways to
improve the overall efficiency and throughput of patients. The first stop most patients will make when
coming to the hospital is the registration process. The registration process serves as a checkpoint for
accuracy of patient information regarding health care coverage and other personal information, such as
changes in address, employment, etc.

The accuracy of up-to-date information is critical for a hospital so that they can bill the insurance
companies and patients in a timely manner. If information is not correct, the request for payment is
rejected and it requires a lot of additional work and rework to get the correct information and reprocess
for payment.

Because companies depend on cash flow for operations, to pay suppliers and employees, it is important to
collect from insurance companies and patients in a timely manner.

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Proposed Change in Registration Process
To reduce the amount of time for patient registration and to increase the accuracy of information, the
health care industry is considering technologies that have been successful in the airlines industry,
primarily check-in kiosks for onsite registration or web-based access for pre-registration and same day
registration for hospital clinic visits and services (in-patient or outpatient surgery and other hospital
services, for example, diagnostics or rehabilitation).

Challenges
There are several challenges involved in the implementation of new technology to enable an improvement
in the registration process. Some of these challenges include:
• Some patients do not have access to computers at home or work.
• Some patients do not want to use a piece of equipment (kiosk) to check-in because they are not
familiar and/or comfortable with the technology.
• Some patients prefer to talk to a person instead of using a machine (computer or kiosk).
• Some patients may feel their information is not “secure”.

Additional challenges are also present for the health care worker. Some of these challenges include:
• Feeling of a loss of control.
• Interacting with the computer instead of with people.
• May be perceived as being more work and less efficient than the current process.

Case Study Integration

Throughout the course, we used this example to apply different tools and techniques associated with the
implementation of a new service system.

The case application covered the following topical areas and is listed in the order in which they were
covered:
• Chapter 2: Nature of Services (coursepack)
• Chapter 1 Systems Engineering and Analysis: System Science and Engineering (SEA)
• Chapter 2 Systems Engineering and Analysis: System Science and Engineering: Bringing
Systems into Being (SEA)
• Chapter 3: Service Strategy (coursepack)
• Chapter 4: New Service Development (coursepack)
• Chapter 5: Technology in Services (coursepack)
• Chapter 3: Systems Engineering and Analysis: Conceptual System Design (SEA)
• Chapter 6: Service Quality (coursepack)

The case application details are provided in Appendix A.

The integrated case study allowed students to see the application of the concepts, integration of systems
engineering, organizational contexts, and service management. It provided examples for the semester
long comprehensive project prior to students being required to complete the assignments. The semester
long comprehensive project allowed for achievement of the course objectives and integration.

Comprehensive Semester Project

Although students may discuss in class and gain understanding by demonstration, application of methods
is critical to student learning. The building block semester long project gave students the opportunity to
design a service system. The student team selected the design of a universal card that would include all
personal information and any credit or debit card; in essence a one card fits all approach.

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Overview
The comprehensive project allowed students to experience service systems design and analysis from start
to finish. This project represented a significant portion of their grade. They developed a portfolio in the
form of a final report that may be used for future courses.

General Guidelines for Assignments

Below is an outline detailing the individual assignments that made up the project and the associated
weight in the final grade. All assignments required the use of word processing or other relevant software
and they were assembled in a binder for presentation as a final report.

Assignment Description Instructions Points

Select a service system to conduct a
semester long project
Define the major objective or purpose
of the system (this is one of the most
critical steps)
Describe the service system.
Identify the design team.
Define the problem and the need.
Conduct a needs analysis
Conduct a system feasibility analysis
Define the system operational
requirements
Complete a service blueprint
Conduct a quality function
deployment using the house of quality
for design.
Define the technical performance
measures
Perform a functional analysis. Define
Provide a brief title and description of the service 10
system you are interested in developing during the
semester
10
Describe whether your system is: (and why you came 10
to this conclusion)
• Natural or human-made system
• Physical or conceptual system
• Static or dynamic system
• Closed or open system
What disciplines will need to be a part of the systems 10
design and development team? At what point will
each of these disciplines be brought into the project?
From the earlier system purpose, translate into a 10
problem definition. Clearly identify the need.
Using the questions in the class notes and text, 25
complete a needs analysis for your project. Use a
summary format to answer the questions with
headings and subheadings, where appropriate.
Referring to prior assignments may be useful.
Use the guidelines presented in the class notes and 25
textbook. Use a summary format to address each of
the different considerations for system feasibility.
Refer to pages 59-60 to define the systems operational 25
requirements.
See examples demonstrated in class and prior 20
homework assignments for content and format
See examples demonstrated in class and prior 20
homework assignments for content and format
Based on your service system, identify the relevant 10
technical performance measures. Provide a definition,
unit of measure, and frequency of measurements.
You may consider using a table to summarize your
information. Refer to the example on page 76.
Complete a block diagram. Complete a functional 50

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the primary and secondary functions
Define the system specifications.
Conduct a conceptual design review
Develop a process flow chart and
process flow diagram for system
Develop a detailed system design
• Design review checklist
• Design features
Conduct a design review, evaluation,
and feedback
Final Presentation
Final Report by noon
TOTAL
analysis.
Using the outline on page 88, develop your system 20
specifications considering those attributes that are
relevant to your service system (which is likely most
of them)
Review and link together the needs analysis, system 20
feasibility analysis, system operational requirements,
technical performance measures, and system
specifications to identify any major problems.
Identify initial personnel requirements and any trade-
offs that may be necessary.
Using the template, outline the key steps to making 50
your service system operational. You will need to
develop a process flowchart using the appropriate
symbols. You will also need to develop a process
flow diagram using the form used in class.
Create a design review checklist for your project. 25
Identify all the key design features of your service
system.
Using your design review checklist, evaluate your 25
service system design.
The final presentation will be about 40 minutes in 45
length. It will detail the steps and techniques used to
design your service system. It will be completed
using PowerPoint and each student will dress in
business casual.
The final report will consist of a notebook including 40
all graded work for developing your service system.
A table of contents listing all the sections in the final
report should be placed in the beginning. The final
report will include an introductory section with an
overview discussing your report. The overview
should be approximately one single lined typed page.
At the end of the report, a conclusion/summary will be
included. The conclusion/summary should be
approximately one – two single lined typed pages. As
a part of the conclusion/summary make sure to
include some discussion on lessons learned and what
you would do differently next time. Headings may be
useful
450

For the most parts, students completed these assignments and achieved the desired results. For a couple of
assignments, such as the functional analysis and function block diagram, they struggled with how to
complete the assignment, even after a few demonstrated examples.

For future course offerings, the comprehensive semester long project will continue to be used as an
essential ingredient for the course. This allows for application and integration of concepts.

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 Assessment Plan
An assessment rubric was developed to assess the achievement of programmatic objectives. Because the
course had a small enrollment, the course was not formally assessed. Feedback from student evaluations
will be used as a basis for continuous improvement. Some key points indicated by students included:
• Review more application examples
• Demonstrate more example problems
• Continue with in-class discussions
• Continue using the same instructional approach

Conclusion
Because this course was newly developed, similar courses in systems engineering were reviewed along
with syllabi from service operations and service management courses. Course from other universities
were not replicated. This course represents and integration of old and new methods of instructing systems
engineering with emphasis on a new subject area, service systems. Foundational knowledge in service
management was also important so students had a starting point for differentiating between goods and
services. Finally, primary emphasis on co-creation and active involvement of the customer was prevalent
through the entire course.

Acknowledgement
The authors gratefully acknowledge the support of the National Science Foundation for the conduct of
this project through grant EEC-0343187 and DUE-0618537.

References
[1] Bohmann, L.J., Johnson, D.M. , Mattila, K.G., Sutherland, J.W., and Onder, N. (September 2007).
“Future Engineers: Leading the Charge in the Service Sector” Proceedings of the 2007 ASEE North
Midwest Sectional Conference, Houghton, MI.

[2] Johnson, D.M. Bohmann, L.J., Mattila, K.G., Sutherland, J.W., Sorby, S.A., and Onder, N. (May
2007). “Curriculum Model for Service Systems,” Production and Operations Management Society,
2007 POM – Dallas, workshop presented. 2007b

[3] Johnson, D.M., Bohmann, L., Mattila, K., Sutherland, J., and Sorby, S. “Meeting the Needs of
Industry: Service Systems Engineering Curriculum,” Proceedings of 2007 DSI Mini-Conference in
Service Science, Pittsburgh, PA, May 24-26, 2007. 2007b

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