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Service quality

Date post: 20-Jan-2017
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1

SERVICE QUALITYPresented by:

Faisal Hayat and Muhammad Zia

R.#:01,04 BS.c (Hons.) Food Science & Technology

Institute Of Food Science & Nutrition University Of Sargodha,

Sargodha

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CONTENTS

Definition of qualityDefinition of serviceDefinition of service qualityDefinition of service quality managementCustomer’s requirementsFactors influencing customers satisfactionTypes of customersTen service quality principleObjective of service quality

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CONTENTS…continue

Dimensions of service qualityUniversal processes of service qualityUltimate purpose of service qualityService quality assessmentDifference between(bad service, good service and excellent

service)Service quality gapService quality gap modelClassification of service failureService quality recoveryService quality inspection

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Definition

The processes by which the products and services

are made or offered throughout an organization, in

order to improve the products and services which

are sold to customers

Voice of customers

QUALITY?

5

SERVICE?

Intangible commodity

Service

Ability to provide a level of care to customers which

meets or exceeds their expectation

It involves their

Needs and

Demands

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SERVICE QUALITY?

Service quality Customer’s judgment of overall excellence of the

service provided in relation to the quality that was expected

Perception

It is the way a person interprets reality or quality

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SERVICE QUALITY MANAGEMENT

Definition

“Continuously meeting agreed customer

requirements at the lowest cost, by releasing

the potential of all employees.”

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CUSTOMER REQUIREMENTS

Speed of deliveryConformance to specificationsReliability of serviceResponsiveness to queriesLow CostConsistency of product and service

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Factors Influencing Customer Satisfaction

Product quality

Service quality

Price

Specific product features

Personal factors

Situational factors

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TYPES OF CUSTOMERS

Two types1. External customers

Outside of organization

2. Internal customers

Within the organization

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SERVICE QUALITY PRINCIPLES

1. Customer focus

2. Leadership

3. Involement of people

4. Process approach

5. System approach to management

6. Approach to decision making

7. Mutual beneficial suppliar relationship

8. Continual improvement

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DIMENSIONS OF SERVICE QUALITY

ServiceQuality

Reliability

Responsiveness

Assurance

Empathy

Tangibles

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Reliability Dependability

Accuracy

Provide services at promised time dependably and accurately

Perform services right the first time

Example: receive mail at same time each day

DIMENSIONS OF SERVICE QUALITY

Get it right the first time!

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DIMENSIONS OF SERVICE QUALITY

Responsiveness

Promptness

Helpfulness

Willingness to help customers promptly

Readiness to respond to customer’s request

Example: avoid keeping customer’s waiting.

and on time!

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Assurance

Credibility

Security

Ability to convey trust and confidence

Give a feeling that customers best interest is in your heart

Example: being polite and showing respect for customer

DIMENSIONS OF SERVICE QUALITY

I feel safe

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DIMENSIONS OF SERVICE QUALITY

Empathy

Good communication

Customer understanding

Personalised attention

Ability to be approachable, caring, understanding

and relating with customer needs

Example: being a good listener

They listen to me

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DIMENSIONS OF SERVICE QUALITY

Tangibles

Physical evidence

Appearance of physical facilities, Equipment and communication

material.

Example: cleanliness of employee

People look smart

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Relative Importance of Service Dimensions When Respondents Allocate 100 Points

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TANGIBLES 11%

EMPATHY 16%

RELIABILITY 32%

ASSURANCE 19%

RESPONSIVENESS 22%

UNIVERSAL PROCESSES OF SERVICE QUALITY

Service quality planning

Setting goals for customer delivery

Service quality control

Controlling service flows by measuring for success

Service quality management

Involving the employees

Service quality improvement

Consistent improvement of service/product

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PURPOSE OF SERVICE QUALITY

ImprovedServicePerformance

IncreasedMarketShare

ImprovedCustomerSatisfaction

IncreasedProfitability

ImprovedCustomerRetention

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To meet assessed needsTo concentrate on service usersTo work for the complete dignity & wellbeing of

service users.To ensure that we are fit to provide service. To provide the highest quality comprehensive service

to all customersTo work with customers to enhance the quality of their

daily life

OBJECTIVES OF SERVICE QUALITY

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Word of mouth

Personal needs

Past experience

Expectedservice

Perceivedservice

Service Quality DimensionsReliability

ResponsivenessAssuranceEmpathyTangibles

Service Quality Assessment1. Expectations not met

ES>PS (Unacceptable quality)2. Expectations met

ES~PS (Satisfactory quality)3. Expectations exceeded

ES<PS (Quality surprise/excellent)

SERVICE QUALITY ASSESSMENT 23

DIFFERENCE BETWEEN ………

Unacceptable quality

Surprise Quality

Satisfactory quality

Bad service

Excellent service

Good service

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Bad Service

Bad Service is when customer gets treatment which is less than his/her expectations

ES>PS (Unacceptable service quality)

Customer Expectation

What Customer receives

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Good Service

Good service is when the customer gets treatment that meets his/her expectations

ES~PS (Satisfactory service quality)

Customer Expectation

What Customer receives

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Excellent Service

When the customer gets a little more than what he/she expected, Good Service becomes Excellent Service

ES<PS (Quality surprise)

Customer Expectation

What Customer receives

+

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DETERMINANTS OF PERCEIVED SERVICE QUALITY

Dimensions of service quality1. Access2. Communication3. Competence4. Courtesy5. Credibility6. Reliability7. Responsiveness8. Security9. Tangibles10. Understanding/knowing

the customer

ExpectedService

PerceivedService

ServiceQuality

Gap

PerceivedServiceQuality

Word ofMouth

PersonalNeeds

PastExperience

External Communication

to Customers

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SERVICE QUALITY GAP MODEL

Customer

Perceptions

Customer

Expectations

Service

Delivery

Service Standards

ManagementPerceptions of Customer Expectations

Managing the Evidence

Conformance Service Design

Understanding the Customer

Customer Satisfaction GAP 5

Customer / Marketing Research

GAP 1

Conformance GAP 3

Communication GAP 4

Design GAP 2

GAP model is a tool to diagnose problems in service design and delivery. Service gap is the most critical

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GAP1: MARKET RESEARCH GAP

Customer’s expectations

Company’s perceptions of customer expectations

Inadequate marketing research orientation

Lack of upward communication

Insufficient relationship focus

Inadequate service recovery

Reasons for

providergap

I

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SOLUTION OF GAP 1

Learn what customers expect

Increase direct interactions between managers and customers

Improve upward communications

Act on information and insights

Improve market research

Reduce the number of levels of

management that distance the customer listen to customers

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GAP 2: DESIGN GAP

Translation of perceptions into service quality specifications

Management perceptions of customer expectations

Poor service design

Absence of customer-defined service standards

Inappropriate physical evidence and services

Inadequate standardization of tasks

Reasons for

provider gap

2

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SOLUTION OF GAP 2

Establish the right service quality standardsTop management commitment to providing service qualityEstablish challenging and realistic service

quality goalsTrain managers to be service quality leadersDevelop new ways to deliver service qualityMeasure performance of service standards and

provide regular feedbackSetting goals and standardizing service

delivery tasks

Service quality award

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GAP 3: CONFORMANCE GAP

Poor human resource policies Lack of teamwork Poor employee Poor technology Failure to match supply and demand Problems with service

Service delivery

Customer-driven service designs and standards

Reasons for

provider gap

3

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SOLUTION OF GAP 3

Actual delivery of service cannot meet the specifications set by managementEnsure that service performance meets standardsAttract the best employeesSelect the right employeesDevelop and support employeesTrain employeesProvide appropriate technology & equipmentEncourage and build teamworkInternal marketing

Can I take your

order?

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SOLUTION OF GAP 3…continue

Retain good employees

Measure and reward service quality achievements

Develop equitable and simple reward systems

You are a Star Service Provider

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GAP 4: COMMUNICATION GAP

External communications to consumers

Service delivery

Lack of integration of marketing communications

Inadequate management of customer expectations

Overpromising

Inadequate communications

Reasons for

provider gap 4

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SOLUTION OF GAP 4

Ensure that delivery matches promisesLack of information provided by contact personnelGain communications between sales, operations and

customersInternal marketing programsIn advertising, focus on service characteristics

that are important to customersReality’ advertising

Real employees, real customers, real situations

Why do we always have to wait?

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GAP 5: CUSTOMER EXPECTATIONS AND PERCEPTIONS GAP

Not knowing what customers expect

Not selecting the right service standards and designs

Not delivering to service standards

Not matching performance to promised

Customer expectations

Customer perceptions

Reasons for

provider gap

5

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SOLUTION OF GAP 5

Customer satisfaction is difficult but not impossible

Surveys of customersResolve customer complaints Employee surveys Focus on a special groups of customersCompetitive market surveys – benchmarkTry to measure the gap between expected service and perceived

serviceCustomer satisfaction depends on minimizing the four gaps that

are associated with service delivery

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CLASSIFICATION OF SERVICE FAILURES

Server Errors

Doing work incorrectly

Doing work not required

Doing work in the wrong order

Doing work too slowly

Failure to listen to customer

Failure to react appropriately

Failure to clean facilities

Failure to wear clean uniform

Customer Errors

Failure to understand role

Failure to engage in correct service

Failure to remember steps in process

Failure to follow system flow

Failure to follow instructions

Failure to learn from experience

Failure to adjust expectations

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SERVICE QUALITY RECOVERY

Disasters can be turned into loyal customers by proper and rapid

service recovery

Frontline workers, therefore, need to be properly trained

Measure the costs

Break the silence and listen closely for complaints

Act fast

Empower the front line

Train employees

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SERVICE QUALITY INSPECTION

Opinion surveys - about quality of service

100 percent inspection - every unit is checked

First article inspection - usually after the process is set up

Acceptance sampling - based on statistical sampling table, a random or stratified sample from a larger lot

If the sample is within the acceptable quality level, the lot passes inspection

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