Value: Outcomes, Costs & Risks (VOCR)
Service providers help their consumers to achieve outcomes and, in doing so, take on some of the associated risks and costs. However, the service relationship can result in negative outcomes or introduce new or previously unknown risks and costs. Service relationships are perceived as valuable only when they have more positive effects than negative, particularly regarding impact on outcomes, costs, and risks.
Outcomes
When an organization acts as a service provider, it produces outputs that help its consumers to achieve certain outcomes. An output is defined as a tangible or intangible deliverable of an activity; for example, transportation from one location to another.
An outcome, by contrast, is the result for a stakeholder that was enabled by one or more outputs. If the output is transportation between locations, the outcome might be that the stakeholder has an interview or doctor’s appointment.