Page 213 - DMGT522_SERVICES MANAGEMENT

Services Management

Notes Perception surveys: These surveys are to know the perceptions of the customers on various
features of the service and on technical as well as functional quality of the service.

Mystery shopping: This approach is being used by many service providers. The top
management of the organisation will personally visit service outlets without revealing
their identities either to the customer or to the frontline employees, and observe the
ongoing activities. They may interact with customers and also frontline employees to
know their experiences and problems and initiate changes immediately.

Analysis of complaints: Consumer complaints are the major source of feedback to the
service firms. The complaints received should be classified properly and routed to the
right personnel at the right time so as to make them able to initiate corrective measures.
The complainants should not be viewed only as a source for compensating the defects in
service execution. They should be taken as sources for identifying operational defects.
Correction should be institutionalised so as to ensure, nowhere such defect reoccur.
Employee’s research: Satisfaction levels of employees should be monitored continuously.
Employee’s research provides required information to the policy makers to develop such
programmes and policies that make the employees satisfied always.

Similar Industry studies: Studies conducted by service firms in the similar businesses also
provide some insights over changing trends in the industry.

Intermediary research: Some social organisations, research institutes, universities, trade
associations and the like, also conduct research on service quality. The findings of such
research studies are useful for the service firms to get market information on service
quality.

Self Assessment

State True or False:
1. According to Philip Kotler, market oriented systematic planning is the material process of
developing and maintaining a viable fit between the organisation’s objectives, skills, and
resources and opportunities.
2. The aim of systematic planning is to shape the company’s business and products so that
they yield target profits and growth.
3. The internal marketing is to cease the pre-requisites for giving promises to customers.
4. The basic objective of any organisation, whether it is in manufacturing sector or in service
sector, is to develop and provide market offerings that satisfy consumer’s needs and wants
and thereby ensure their own economic survival.
10.2 Service Quality Issues

Defining quality in service: In manufacturing, quality is defined by the degree of compliance
between stated goals and achieved targets. It is therefore rather easy to measure and conform to
a standard. In service it becomes difficult to comprehend the concept of quality and measure it.
This is due to the mother of all characteristics for services – the intangibility factor – and it makes
measurement and assessment of service quality extremely challenging. Perception of service
quality is, additionally, felt by all parties involved in a service delivery process: service providers,
customers and suppliers. They should therefore understand each other’s definitions of service
quality.

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