Presentation by

E-TEAM

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 Who is a customer..?

CUSTOMER IS THE KING

A customer is not dependent on us. We are
dependent on him. A customer is not an
interruption of our work, he is the purpose of it.
We are not doing a favor by serving him. He is
doing us a favor by giving an opportunity to do so.
A customer is not some one to argue. No one has
won an argument with a customer.
A customer is a person who brings us his wants. It
is our job to handle them profitably to him and to
ourselves.
CUSTOMER IS ALWAYS RIGHT 2
 Aspects of Service Quality
Service: it is what provided by
organization to its Customers.

Quality : it means “what customer wants”

(a) within a given time
(b) at a price
(c) what he/she is willing to pay

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 Why Quality ?
 The drivers of quality are:
 To Survive
 Customer is demanding
 Competition
 Profitability
 Strive for excellence

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Five principles of Quality
Focus on Customer

Do it together Do it Right

Measure & Record Communicate & Educate

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 What is Service Quality?
Customer satisfaction with service quality
can be measured by comparing the
perceptions of service received, with
service expected.
Service Expected – Service Received = Customer Satisfaction

When, S.R > S.E = Service is of excellent quality

S.R = S.E = Service is satisfactory
S.R < S.E = Service is unsatisfactory

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Quality is an attitude…..

Attitude is what differentiates

between excellence and mediocrity.
Positive attitude leads to high
quality and vice-versa.

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Common attitudinal blocks to
Quality
1. We tried it before, I know it won’t work
2. It won’t work, the way you think
3. It may work in Japan, but not in this country
4. It is a good idea, but we don’t have the budget for it
5. Everybody knows it, what is new in it?
6. If you introduce this idea, it will create some other
problems
7. Why do you want to change it ? Now we are ok
8. Let us discuss it some other day
9. These ideas are more complicated than what you
understand.
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 Dimensions of Service
Quality

Word of Mouth Personal Needs Past Needs

Quality Dimension
Perceived Service
Reliability Expected Service Quality
Assurance E.S >P.S (Surprise)
Empathy Perceived Service E.S = P.S
(Satisfactory)
Responsiveness
E.S<P.S (Poor
Tangible Quality)

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 Reliability
This refers to the ability to perform the
promised service independently and
accurately. Reliability means, every time
the service has to be accomplished on
time and in the same manner without
errors.

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 Responsiveness

This refers to the willingness to help customers to

provide prompt service,without keeping the
customer waiting for no apparent reasons. This
creates negative perceptions of quality.

In the event of service failure, the ability to

recover quickly with professionalism, can create a
very positive perception of quality
E.g Roller Discs from NEC

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 Assurance
This refers to the courtesy of employees
and their ability to convey trust and
confidence. i.e. competence to perform
the service, politeness and respect for the
customer, effective communication with
the customer , and general attitude
E.g Efficiency v/s Effectiveness

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 Empathy

This refers to caring and individualizing

attention to the customer.
Empathy includes approachability, sense
of security and efforts to understand
customer needs.

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 Tangibles
This refers to
 Physical facilities
 Equipment

 Communication material;

 Condition of physical surroundings

The above are the evidence of care

and attention given to the
workplace by service providers
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 How do customers asses your
Quality?

Tangibles Appearance of physical facilities, Equipment,

Communication material

Reliability Dependability & Accuracy

Responsiveness Willingness o help customers and provide service

Competence Possessing the required knowledge and skills to

perform the service
Courtesy Politeness, Respect, Friendliness
Credibility Trustworthiness, believability, honesty of service
provider
Access The case of contact and approachability
Communication Keeping customers informed in a language they know
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 Service Quality Model

Word of Mouth Personal Needs Past Experience

Expected Service
Gap 5
Perceived Service
External
Gap 4
Delivering the Service Communication
Gap 3 to Customers
Gap 1 Service Quality Specification
Gap 2
Management Perception of Customer Expectation
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 GAP – 1 Causes
Gap between Customer Expectations
and Management Perception of
Customer Expectation

 Inadequate market research

 Lack of interaction between
management and customers
 Inadequate upward communication
 Too many levels
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 Market Research
 No MR is done
 MR is done but not made use of
 Concentrating on Day to Day Operations
 In MR
 Data regarding customer expectations not collected

 Data regarding customer perceptions not collected

 Complaint made by customer neglected

 Even if findings are available-not made use of because

of the following reasons
 Too busy
 Research are very complex
 Research is too technical
 Lack of confidence in research

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 Inadequate Upward
Communication
 Personal Customer Contact v/s Top
Management
 Inadequate upward communication
 Upward communication blocked

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 Too many levels
 Acts as an impediment to upward
communication
 At various levels information gets
distorted

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Remedies to close GAP – 1

 Collect data regarding expectations and perception

of the customers.
 Improve upward communication – have a
periodical meeting between management and
customer contact staff; informal or formal
 Direct interaction by the top management with
customer wherever possible
 Reduce levels – helps in faster decision making

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 GAP – 2 Causes
Gap between Management Perception
of Customer Expectation and Service
Quality Specification
 Inadequate management
commitment to service quality
 Perception of infeasibility
 Absence of goal setting

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 Lack of Commitment
 Operation orientation
 Lack of support from middle
management due to lack of
motivation and incentive
 Middle management attitude”what
is in it for me”

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 Perception of Infeasibility
 It involves finance
 Our personnel may not be capable of
delivering customer expectations -
shortage of skills required (9 blocks)
 Lack of technology available

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 Absence of Goal Setting
 Goals are not set
 Set goals are not clear
 SMART Goal setting

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Remedies to close GAP – 2
 Mind set:
 Remove the mind block – open mindedness;
‘Can Do’ attitude
 Willingness to – investing money to buy
technology;spend time with employees to
satisfy customer requirements
 Middle Management to be involved all the
more in Quality programmes
 Train the employees
 “Lack of time concept” should be converted
to “enough time” by following the principles
of time management
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 Contd…
 Absence of goal setting
 Most goals on quality should be based
on :
 Customer requirement
 Specific

 Acceptable to employees

 Realistic

 Designed to meet customer specifications

 Should not become a pious intention

 Have a proper feedback system

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 GAP – 3 Causes
Gap between Service Quality
Specification and Service Delivery
 Role ambiguity
 Role conflict
 Job fit
 Inappropriate supervisory control system
 Lack of perceived control
 Lack of team work

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 Role Ambiguity
 Lack of information from the top
 Lack of training to perform the job
 Uncertainty about superiors
expectations
 Method of evaluation by superiors

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 Role Conflict
 Conflict between role expectations and
perceptions
 Personal attention requirement from customer
vis-a-vis time limit from employee side
 Management constraints and customer
expectations
 Varied customer demands

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 Job Fit
 Making job psychograph v/s individual
psychograph
 Hiring of people qualified for the job
 Do management spend enough time and
resources on hiring the best people who are in
direct contact with customer?
 Skills required for the job v/s existing
employee skills

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Inappropriate Supervisory Control
System

 Do the employees know “what aspect of their

job will be stressed more in performance
evaluation?”
 Are employees evaluated on “how will they
interact with customers?”
 Do employees who make special efforts to serve
the customer receive increased financial reward
of recognition?
 Do employees get a word of appreciation for
their contribution?
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 Lack of Perceived Control
 Are employees given the freedom to make the
individual decision to satisfy the customer
needs?
 Are employees required to get approval from
another department before delivering the
service to the customer?
 Are they encouraged to learn new ways of
servicing the customer better?

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 Lack of Team Work

 Do managers and employees contribute a team

effort in servicing the customer?
 Do employees of other departments provide
good service to customer contact employees?
 Are there any competition amongst employees
to impress some one at the cost of team work?
 Do they help each other than pulling each other
to reach a goal?

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Remedies to close GAP – 3
 Improve communication
 Train the employee in time management
 Train the employee in prioritizing the task
 Top management must spend enough time in
hiring and selection of employees
 Hire and use appropriate technology
 Pushing down decision to lower levels
 Avoid too many people in decision making
 Encourage team work – concept of internal
customer
 Job rotation and job training
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 GAP – 4 Causes
Gap between Service Delivery and External
Communication to Customer
 Inadequate horizontal communication
 Differences in policies and procedures across
branches or departments
 Over promising

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 Inadequate Horizontal
Communication
 Coordination between Marketing & HR
 Corporate Advertising & Operations
 Advertisement & Public Relations

In general this refers to the internal

communication between departments

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 Over Promising
 Time Dimensions
 Quantity Dimensions
 When promise do not match delivery, the
service quality suffers

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Remedies to close Gap 4
 Opening channels of communication between
advertising and operations
 Opening channels of communication between
sales and operations
 Opening channels of communication between
HR, Marketing and Operations
 Providing consistent service across branches
or outlets
 Developing appropriate and effective
communications about service quality

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 Communications on Service
Quality
 Emphasize primary quality
determinants
 Managing customers expectations
 Customer role in service delivery

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The Service Struggle

Unwillingnes Willingness
s to Serve
to Serve
4 1
Ability
to Serve

3 2
Inability
to Serve

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 Getting Started
 Get ready to work hard
 Base decisions on Data
 Use a portfolio of research methods
 Do on going research
 Do employee research
 Share findings with employees
 Organize for change
 Create service improvement rules
 Create an integrative mechanism
 Develop a statement of direction
 Involve many and emphasis teamwork
 Think evolution rather than revolution

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 Getting Started contd…

 Leverage the freedom factor

 Symbolize service quality
 Promote the right people to
management positions
 Identifying leaders
 The footprints-in-the-sand test
 The stand-for-something test

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 Challenges Ahead
 Designing quality into service
 Service blue-printing
 Hard but worthwhile work
 Making technology as a servant
 Combining high tech with high touch
 Use technology to support the service strategy
 Focus technology on the customer
 Attacking the labor shortfall
 Mismatch
 Need for innovative approaches
 Raising our service aspirations

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Thank You

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