Service Quality

Monitoring &
Feedback System

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 01
Introduction Conceptualizing
Service Quality
 Service quality 

-Is a system to manage business processes to guarantee total satisfaction to the client at all stages (internal and
external; Gržinić, 2007).

-It is a method that leads to increased competitiveness, effectiveness, and flexibility of the whole company (Gržinić,
2007). 

- measures how well the service level provided matches customer expectations and delivers quality service meaning
conforming to customer expectations consistently.

 
 
- It helps organizations boost sales by satisfying customers and encouraging repeat sales.
 Measuring Service Quality

 Service quality measurement is the significant

managerial tool to understand consumers' needs
and wants by analyzing the experience of
consumers in the service provided. It can help
firms to find their weaknesses and advantages to
make a better service for consumers. 
 
 Service Audit

An audit enables you to

analyze the positive and
negative aspects of your
company's operations and
employee performance.
 Martin (1986) claims that service audit is a form
MBWA- management by walking around. Peter
and Waterman also found out that this technique is
was one used by successful organization.
 

Example of service audit

Evaluate the quality of the service.
Compare the quality with the previously
established goal.
Identify gasp for improvement.
Shoppers Studies- A technique used by
marketing research firms and
organizations to gauge job performance
and service quality.

In shoppers study it is when a field

of worker poses as a customer and
following predefined steps and
criteria, makes mental notes but
later on used in written reports and
notes, about the service quality
he/she receives from the
organization.
Critical Incidents- is a research technique in which subjects are asked to recall and describe
an instance in which a behavior, action, or occurrence affected (either positively or negatively) a
predetermined outcome.

This technique has been developed to study the satisfactory and unsatisfactory
service quality in the industry.
 Example of service audit
- Evaluate the quality of the service.
- Compare the quality with the previously established goal.
- Identify gasp for improvement.

Shoppers Studies- A technique used by marketing research firms and organizations to gauge job
performance and service quality.
This technique has been developed to study the satisfactory and unsatisfactory service quality
in the industry.
Example of a critical incident technique
Comment Cards- a card on which customers write their opinion of a company or its products
and services.
 2 Major Problems of using Comment Cards

 First, most customers do not fill them out.

- those people that are far from being a representative sample
customer.
 
 Second, is that even when they are filled out and turn in it is
impossible to tell what they mean. Some people rate almost
everything as “fair”
- Some of it are not true in, just for the titled that they filled the
comment card.
 
 03
Complaint Logs and
Requests Logs
•Hospitality Management should
love to hear complaints and
receive suggestions or special
requests . They are a valuable
form of customer feedback.

Request log •A service request may be

defined as a formal request that a client
or an employee of the client makes,
asking a service provider to provide
them with something that would be
useful in the business’s day-to-day
operations.
Handling Complaints
Complaints - is an expression of dissatisfaction with a
situation.
•Responsive
•Attitude
•Open-Door
Here are the five steps of the process.
•Listen
•Solution
•Facts
•Follow-up
•Customers
 Focus Groups
•A focus group is made up of individuals who share a common characteristic
who participate in a moderated discussion.

There are 3 primary uses of focus group technique .

•One is to identify a comprehensive list of service quality
attributes that are important to customers .
•In one focus group with older travelers, security took on the
aspect of name tags being printed large enough for aging
eyes to read easily.
•Finally , focus groups are an excellent tool to pretest aspect such as menu
design, media messages, or proposed new names or logos.
 What is the primary goal of an employee focus group?

Customer Value Workshop

•The customer value workshop or (CVW)
overcomes many of the problems inherent in
the focus group technique. The CVW is more
structured than a focus group and generally
involves more customers.
 What is the importance of customer value?

Survey
•The survey is still the most commonly used tool for
measuring service quality.

What is the purpose of a customer service

survey?
 04
Managing Service
Failure Through
Recovery
The tourism and hospitality industry offers a range of
service, including accommodation, food and beverage,
transport, tours, and Attraction. Successful service
provisions require a matching of expectation and
behaviors, a task that is difficult to achieve under condition
of time pressure and customer variability. For all of these
reasons, achieving zero defects a quite difficult and
inevitably, service failure sometimes occurs.
 Facet analysis?

-is a model illustrating the process of service

failure, recovery, and outcomes is depicted,
and implications for services management,
marketing and research are discussed.

The context in which the failure occurs, personal

factors influencing failure and recovery, process
factors, response to failure and consequences of
failure and recovery. Each of these broad facets is
broken down into more specific second level sub
facets and where appropriate, third-level facets and
example are given
Causes of Service Failure
 What is failure?
-Failure means evident.

- For the purposes of this topic, service failure or break down

will be defined as that which does not meet the customers
expectation. It is the customers perception of service failure
that is critical, not wither the service provider was responsible,
nor wither the perceptions are fair and reasonable.
-Failure as a result of omission means that some part of the
service offering is not given. For instance, a particular service is
not available. In contrast, failure as a result of commission
occurs when the service is delivered but does not meet the
expected standards.
 Service failure usually involved either:

*Core Activities - The core service break downs may

include occurrences such a hotel room not being ready, or
a steak being cooked well done when requested rare.
* Peripheral activities - that may contribute to a perceived
breakdown of service breakdown of service include a lack
of interpersonal skills (ex . Friendliness) on the part of the
service provider.
The following discussion is organized around the causes of service failure and
other dimension of failure are mentioned in passing only.

*Omission -Service failures

something occur due to
nonavailability. For instance,
certain dishes are advertised on a
restaurant’s menu but are no
longer available. Alternative, failure
may occur if critical details of the
service are not provided to the
customer at the time of sale.
The following discussion is organized around the causes of service failure and
other dimension of failure are mentioned in passing only.

*Commission- The largest

proportion of failure arise when
a service is delivered but does
not meet the customers
expectation.
05
Quality of the
Product
Failures of service quality may relate to either core or peripheral
aspects of service.

Core Aspects – include all that is central to the service.

Meal served at a restaurant Safe transport between two airports provided by

an airline
 Provision of accommodation at a hotel

Peripheral Aspects – include all that is tangential to the core service,

particularly the interpersonal relations between the service provider and
customer.
Examples of factors that could negatively affect service delivery:

 moody or unhelpful waiter or receptionist

 ignoring the customer during the waiting
process
 deflecting responsibility and sending the
customer to another department
Timing

Location

The service has been provided, but not in the

expected location.
 Agency
Cost

A failure may occur if an account has been

incorrectly added up. In a study conducted by Keavency
(1995), billing problems were cited as a major category of
Service may fail if the usual or expected provider is service failures.
not available to deliver it.
Sources of Service Failure
Service Failures occur because of a
combination of actions attributable to
more than one of these sources. This
section examines three potential
sources of failure.
Organizations frequently contribute to service
breakdown by creating false expectations in
their customer’s minds or their unwillingness
to invest in the resources necessary to deliver
the expected service.
1. They don’t define customer service goals
They are not improving how to measure customer
service, speeding up response times, making it easy
for customers to get in touch.
2. They don’t provide proper training
Training is not something you do one time. It’s not
something you teach during orientation and never
bring up again. It’s an ongoing effort.
3. They are lack of staff
A lack of staff or staffing shortage occurs when there
is a lack of employees within an organization. A
situation in which an organization does not have
enough employees to do its work properly.
4. They forget customers comes first
The organization should put the customer at the
centre of organizational decision-making and will
lead you into knowing your customers better.
 Customer Actions
The customer can also contribute to service failure,
Customer actions are basically the steps a customer
takes when they interact with your company that can
cause service failure.

Erroneous Booking/Incorrect Booking

A failed booking attempt generally means that a
segment of your booking process was incomplete or
incorrect.
Other Customers
This is a service failure that a customer’s complain from another
or other customers. There are some evidence exists to suggest
other customers can contribute to service failures.
Example Situation how customers exacerbate a service failure:
A traveller reported an incident following a long-haul flight
(seven-ten hours). The traveller was required to transfer
another plane on arrival and proceed to the check-in point for
seat allocation. On arrival, most counters had long queues, so
the travel lined up for with the other customers. A check-in
counter in the next line opened and a customer from the rear of
the queue pushed forward to take front position.
A range of factors relating to the individuals involved,
both the customer and service provider, are
likely to influence whether the service delivery is
perceived as a failure and whether action taken
constitutes a satisfactory recovery process. These
personal factors include the parties demographic
background, personality, attitudes and values, abilities,
and current physical
and emotional state.

—PERSONAL FACTORS OF
SERVICE FAILURE.
ZONE OF TOLERANCE
Service failure decurs when the delivery does not meet a
customer expectations. A range of reasons
for service failure have been suggested; however, not all
customers will perceive the same actions as
failures. Parasuraman, Berry, and Zeithaml (1991) propose
that customers have what is termed a *zone
of tolerance. that is, helicts regarding what constitutes both
adequate and desired levels of service
expectations. The space& between the adequate and
desired service ex- expectations is the zone of
tolerance, This space can expand or contract, resulting in
differing evaluations of service delivery. The
zone width may vary between customers and from one
situation to another.
PHYSCHOLOGICAL FACTORS
Those who are more committed to the tirm) hold higher expectations about the
service recovery effort of the firm. Similarly, as a customer experience
increases it may also serve to narrow the zone of tolerance. For instance, a
regular customer may have higher expectations and a narrower tolerance
level. Other psychological factors such as the
customers or service providers mood may contribute to the service failure or
the recovery process. Mood has been shown to influenee consumer actions
and

DEMOGPRAPHIC
A range of demographic variables such as age, education, and sex
may impact upon the recovery process. For example, older
customers may expect a more formal service delivery style than do
youngerin customers. To date, some studies have investigated these
demographie variables con- junction with complaining behaviors.
However, little support for the pre- dictive power of these variables is
evident (Bearden and Oliver, 1985; Bolfing. 1989; Singh, 1990).
 Processes

Before outlining the ways in which providers

respond to service failures, it is necessary to consider
some of the OVERT (observable/behavioral) and
COVERT (unobservable/hidden) processes that takes
place during, and immediately after the service
encounter.
 Overt
●This service encounter and it’s
consequences are characterized by a
range of overt actions by both the
provider and the customer. These overt
actions can include both verbal and non-
verbal actions that are communicated
between parties.
 
 So when errors do occur, the key to the recovery processes
lies in the action taken by the service provider such as:

-Apologizing
Apologize to the customer about what happen

-Showing sincerity about the the problem

The customer must know that you are ready to help
without any hesitation

-Demonstrating effort to fix the problem

With this, the customer would feel that they are
being taken care of
 So when errors do occur, the key to the recovery processes
lies in the action taken by the service provider such as:

-Being receptive to the customer’s needs

So that the customers won’t feel being ignored

-Acting quickly. Don't give the customer time to be upset about the
problem
By acting quickly means less argument among the establishment and
the customer

-Follow up
Always follow up your customers for you to know if they still need
anything
 Covert

Covert simply means that this service is not directly

observable and can only be deduced by the employee or
reported by the customer.
 
In order to assess and evaluate the events that occur,
participants in all service recovery points participate in a
variety of covert cognitive and affective processes. The
focus of the brief explanation that follows is on a small
fraction of these processes, specifically those that have to do
with making decisions regarding fairness.
So when errors do occur, the key to
the recovery processes lies in the
action taken by the service provider
such as:
 
-Analyzing the situation
-Think of possible actions needed

-Proceed to judgement whether

the formulated response should
be given or performed
-Evaluating the performance
done after solving the problem
 RESPONSE
Recognition of Service Failure
 For service recovery to take place, it is first necessary
that the service provider recognize that a problem has
occurred. Service failures frequently go undetected.
Service failure refers to an instance when customers
experience dissatisfaction as a result of an actual
service performance not meeting expectation.
Nonrecovery
Actions
  Denial and Avoidance
 One response option open to a
service provider is to deny or
largely ignore the service
failure.
 
 SERVICE
RECOVERY
 Service recovery is the process of dealing with a
service failure situation with the aim of restoring
the customer's satisfaction. Service recovery
refers to the ability of a company to solve a
dissatisfied customer's problem through good
customer service.
SERVICE RECOVERY ACTIONS
 FIX THE PROBLEM
 APOLOGY
 EXPLANATION
 CUSTOMER INPUT
 COMPENSATION

SERVICE RECOVERY
PARADOX
 CONSEQUENCES

- Once a service recovery tactic has been used and evaluated, the customer is likely to
have formed feelings of satisfaction or dissatisfaction. The action taken by service firms
in response to a service failure and resulting satisfaction levels.
- It should be noted that, in addition to satisfaction, there is a number of other potential
consequences, both immediate and long term of the service recovery process.
 IMMEDIATE OUTCOMES
 Direct Complaint Behavior
When a failure occurs, one option open to customer is to
complain directly.
 Satisfaction
A key concern of the service recovery process is
customer satisfaction. Within the service
context, customer satisfaction is concerned
with judgements about an event or encounter.
 LONG-TERM
OUTCOMES
- Some outcomes of the failure and recovery process are more long-
term in nature. The information communicated by a satisfied or
dissatisfied customer may be ongoing and may have wide
ramifications.
WORD-OF-MOUTH
ACTIONS

- One outcome of the recovery process may

be that positive or negative word of mouth
(WOM) is communicated. Generally WOM
communication are comments made by
personal sources such as business
colleagues, friends, or relatives.
 LOYALTY TO FIRM

- According to Zeithaml, Parasuraman, and Berry (1996) that among customer

who experience services problems, those who receive satisfactory resolution
are more likely to remain loyal to the firm that are those who experience
unsatisfactory resolution. Hence, effective service recovery significantly
improves behavioral reuse intentions.
 
 References
Kandampully, J., Mok, C., & Sparks, B. A. (2010).
Service Quality Management in Hospitality, tourism, and
Leisure. Haworth Hospitality Press.

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