Service System-1

Every service system is both a service provider and a customer of multiple types of services. Because service systems are designed both in how they provision and consume services, services systems are often linked into a complex service value chain or value network where each link is a value proposition. I was talking with owner of blinds store online, they sell vertical blinds and roman shades online. He says that service systems are something which helps they do make their day to day businesses easy with multiple location access. Service systems may be nested inside of service systems (e.g., staff and operating room unit inside a hospital that is part of a nationwide healthcare provider network).

Service system designers or architects often seek to exploit an economic complimentarily or network effect to rapidly grow and scale up the service. For example, credit cards usage is part of a service system in which the more people and businesses that use and accept the credit cards, the more value the credit cards have to the provider and all stakeholders in the service system. Service system innovation often requires integrating technology innovation, business model (or value proposition) innovation, social-organizational innovation, and demand (new customer wants, needs, aspirations) innovation.

Ref: Wikipedia