Abstract
We-Serve-China is a provider of hospital logistics services, which include security, cleaning, transportation, catering, parking lot management, etc. As the reform of introducing social forces into the sector of hospital logistics presses ahead, a growing number of medical institutions have outsourced these services, attracting more service providers to tap into this growing market. We-Serve-China quickly stood out thanks to its standardized services. Its founder Zhu Chuntang had worked in a world-class service company. Inspired by the management experience of international companies, he took the initiative to divide hospital logistics into different parts and provide modular services. The company laid down service procedures and standards for each business module, and trained and managed employees accordingly. Despite the low barriers of entry and the large number of competitors, We-Serve-China has become the industry leader by virtue of high-quality services.
However, competitors have been imitating We-Serve-China's standardized service model, some hospitals began to raise individualized needs, and well-funded leading property companies also entered the industry, all of which have intensified market competition. To build new competitive advantages, We-Serve-China turned to business innovation. For example, it introduced robots in cleaning services and developed a smart order-grabbing system to motivate employees. Yet these innovations were incompatible with the company's standardized service model. Instead of improving the service quality, the value generated by these innovations was not captured by We-Serve-China. How can We-Serve-China find a balance between standardization and innovation? How should it implement innovations and adjust its management system? These are the major concerns for the company's top management.
Translated title of the contribution | We-Serve-Hospital's Road to Excellence: Standardization or Innovation? |
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Original language | Chinese (Simplified) |
Number of pages | 16 |
Publication status | Published - 29 Jul 2022 |
Case number
OMS-22-961Case normative number
OMS-22-961-CCCase type
Field CaseUpdate date
20/04/2023Supplement
For more details, please visit www.chinacases.orgPublished by
China Europe International Business SchoolKeywords
- value creation
- value distribution
- service-profit chain
- service quality
- hospital logistics service
Case studies discipline
- Operations & Management Science
- Service Management
- Strategy
Case studies industry
- Health Care Services