APRIL 18, 2019

Commuter Cleaning –
A New Venture Proposal
Case analysis under the guidance of Dr. G. Anand

Submitted By Group -10

Abjith K (EPGP-10-005)
Amal Aravind T (EPGP-10-008)
Archana Chingacham (EPGP-10-014)
Jackson Mendis (EPGP-10-106)
Neetha MS (EPGP-10-120)
Suresh K Panchbhai (EPGP-10-159)
Blueprint for Commuter Cleaning

1. Prepare a service blueprint for Commuter Cleaning.

PHYSICAL Collection Bag Location Payment Receipt Cleanliness

EVIDENCE
Packing Take Bag
the cloths to
Make Payment Pick up Cloths
in Bag Outlet
CUSTOMER
ACTION

Line of Customer Interaction --------------------------------------------------------------------------------------------------------

ON STAGE Attach Color Coded Sort Cloths for

Pay at Pickup
Label Pickup
CONTACT (CSR)

Line of Visibility *******************************************************************************

BACKSTAGE Deliver Bags to Pick up Cloths at

Reminder Call
CONTACT Central Plant Plant and Distribute
Credit Card

Monthly Billing Payment Received?

Line of Internal Interaction -------------------------------------------------------------------------------------------------------------

SUPPORT PROCESS AT Count Cloths and Clean and Press

Put on Hangers Load on Truck
CLEANING Record for Billing Cloths
PLANT

2 | Commuter Cleaning – A New Venture Proposal | Case Analysis

 Service System Design Approach

Q2. What generic approach to service system design is illustrated by Commuter Cleaning, and what
competitive advantages does this design offer?

Commuter Cleaning used –

 Reliable and convenient high-quality dry cleaning service
 Easy pickup and drop off
 Same day service
 Hub and spoke delivery system
 Customer contact approach

The competitive advantages are

 Pickup and drop off booths are placed where commuters meet their trains and buses
 Monthly billing facility
 Personal laundry bag with name and account number

3 | Commuter Cleaning – A New Venture Proposal | Case Analysis

 Monthly Demand

Q3. Using the data in Table 4.6, calculate a break-even price per shirt if monthly demand is expected to
be 20,000 shirts and the contract with a cleaning plant stipulates a charge of $.50 per shirt.

At Break-even
Total monthly expense per shirt + Cleaning charge per shirt = Price per shirt
($13804/20000) + $0.5 = $1.19

4 | Commuter Cleaning – A New Venture Proposal | Case Analysis

 Business Concept

Q4. Critique the business concept, and make suggestions for improvement

 Restricting the service to business-wear shirts will diminish the customer convenience.

 Outsourcing to large dry cleaners may have quality cleaning issues and may affect customer satisfaction.

 Bringing the back office workers closer to the customers will be a good decision to create awareness of customer
needs and problems.

 Involving college students as part time workers will reduce the cost, but may lose the consistency and constant training
may required.

 Discount offer and complementary cup of tea to balance the off-peak demands will create a stable work load.

 Quality issues in contract cleaning should be properly addressed.

4 | Commuter Cleaning – A New Venture Proposal | Case Analysis

References
Service Management – Operations, Strategy,
Information Technology
- James A Fitzsimmons, Mona J Fitzsimmons,
Sanjeev K. Bordoloi