Page 188 - DMGT510_SERVICES_MARKETING

Unit 10: Role of Employees and Customers in Service Delivery

are involved into specially getting their staff trained in interpersonal skills and customer service Notes
with a focus towards customer satisfaction. In fact many companies have to undergo accreditation
to show that their staffs are better than the rest.
The customers are a part of service delivery, so their role is also as important. In this unit, you
are going to learn about the role of employees and customer in service delivery.

10.1 Role of Employees/Internal Customers

For services, due partly to its characteristics of intangibility, inseparability and variability,
people – mostly its internal customers – have become one of the most important strategic
variables. They, therefore, are the main differentiators for the service firm.

Example: There are over 900 business schools in India. Some of the more important
ways in which they can effectively differentiate themselves is through its faculty and staff
quality (internal customers), pedagogy (process), infrastructure and facilities (process and physical
evidences), etc.
There could be two service organisations in the same business proposition, having the advantage
of same equipments, technology and complementary goods. Nevertheless, they could be
perceived to be radically different in their approach to customer service and consistency in
service delivery.

Example: A good example is the airline service. There are not too many aircraft
manufacturers. In all probability, most competitive airlines of the world must be using either
Boeing or Airbus aircraft... or both. But Singapore Airlines is perceived to be a class apart in
customer service, which is mostly credited to their efficient crew and graceful ‘Singapore Girls’.
Lufthansa, the efficient German airline, is known for its safety and punctuality records. Passengers
have reported to be pleasantly surprised at the breadth of decisions that the employees of the
Swedish airline SAS seemed to have been empowered to take. This was in sharp contrast to the
bureaucratese displayed by most other airline staffs. SAS employees seemed to take many
decisions regarding passenger comforts, upgrading passengers, baggage and other travel
problems themselves without referring them to their superiors.
In India, Jet Airways, compared to the state owned airlines and other private players came in
late yet is better rated in service than most other domestic players. The reason for the above
airlines to be successful is the same: high quality internal customers.
Some of the ways in which the internal customers can contribute to unique and positive
differentiation of the service firm are:

Communicability: The term “internal customers” includes employees of the service firm,
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channel partners like Direct Sales Agents (DSAs), retailers, franchisees, etc., and Business
Process Outsourcers (BPOs).
A better skilled and trained internal customer would be able to communicate better with
the external customer. This includes an incisive analysis of the customer’s needs, his levels
of comprehension (feed forward), assimilation and choice of encoding symbols, message
formulation and delivery. This helps the internal customer to be persuasive in his
communication - making the customer understand and believe in the concept of the service.
The latter is a major inherent drawback that is derived from intangibility. The quality of
the provider’s interaction with the customer is also very high, leaving a lasting impression
of good customer service and satisfaction.

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