efficient. Also, many service firms invested heavily in computer technology to enhance competitiveness but then failed to reap the benefits, as measured by increases in productivity and/or decreases in staff [13,16].Yet, lately, service firms are effecting a turnaround since, in 1992, productivity in services grew by about 3 per cent -its fastest for decades [12]. The risk exists, nevertheless, that the turnaround may be due to typical business cycle effects rather than to a deliberate effort by service managers to improve the firms' logistics and operations, a fact that seems to be perceived by service employees [15,17]. It is quite apparent that critical aspects such as the assessment of operational success, the usage of pertinent operational concepts and techniques, the proper incorporation and use of technology, and the types of difficulties encountered, need to be studied empirically and resolved to enhance the competitiveness and profitability of all service firms. To this date, however, most existing empirical studies on service firms emphasized far more extensively the need for effective operational practices (among other issues such as competitive priorities and human resources) than the description, analysis and evaluation of the operational practices themselves [14,15,17,18]. Objectives and methodologyThe general purpose of this empirical study was to begin to fill the implementation gap currently present in the empirical research on service firms, since prior analyses (although extremely useful) have been quite firm-specific and industry-oriented [6,10,13,14]. The specific purposes of this study were to:q determine and describe some of the common operations-related practices engaged in, and difficulties faced by service firms operating in a real-life environment; and q assess the skills/personnel development requirements in operations-related tasks performed by service firms. Some of the wealth of information available in highly competitive service areas such as hospital administration, financial institutions, hotel management, and retailing/distribution[12] is captured and described here. The primary tool used for data collection was a mail survey questionnaire directed to the business community in Orange County, California and surrounding areas. The target sample was made up of 834 service facilities owned by 238 service companies, with 100 or more employees and/or more than US$ 10 million in revenues in each facility. Both primary and follow-up mailings were carried out. The survey questionnaire was addressed to jobholders in middle or top management positions dealing with and/or affected by operational tasks and programmes. The number of survey respondents corresponds to 108 service facilities representing 37 service firms (the larger service firms have multiple facilities), or a response rate between 12.9 per cent (by facility) and 15.5 per cent (by firm) of the survey's target sample. Operational measures and practicesIn this study, only aggregate analysis results are reported. Table I provides ...
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