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Secondly there are those physical resources where progress is made. Such as buildings. The hospital where operations take place, for example. And we can think of elements in this category in terms of Bitner’s servicescapes.

innovating physical resources

Servicescapes can always be innovated. And often this will be tied to non-functional progress – feelings – though not exclusively. And Bitner’s model highlights plenty of space where we can hunt for ideas. 

Another large topic of innovation is where we convert goods to physical resources. Shortly we’ll talk about this under the guise of servitization / product as a service and harnessing the circular economy. Such a move potentially lowers the service elsewhere progress hurdle.