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MANAGING SERVICE

QUALITY & GAPS

Definition of
service
Berry define
service as act,
deeds, & performance.

Aerican Mkt Association define


service as activities, benefits or
satisfaction that are offered for
sale, or provided in connection
with the sale of goods.

Performed by..
People, machine, people with
machine
Service is
an
activity
Deed,
Performance
Efforts.

Service

Directed at.
people and
Business users

Rendered by
profit,
Non profit

In

What is quality

the words of crosby:-Quality


is conformance to
requirements
American Society Quality C
Define:- Quality is the totality
of features and characteristics
of a product, or service that
bear on its ability to satisfy
stated or implied needs.

What is service
quality?
Anassessment of how well adelivered

service conforms to theclient's


expectations.Service business operators
often assess the service quality provided
to theircustomers inorder toimprove
their service, to quickly
identifyproblems, and to better assess
clientsatisfaction.

What is service quality?


Expected
service
Service
quality
Perceived
service

Customer
satisfaction

Customer
loyalty

GAPS MODEL OF
SERVICE QUALITY

The Customer Gap

The Gaps Model was proposed


by A Parasuraman, Valarie
Zeithaml and LL Berry in 1985 in
the Journal Of Marketing

Professor A.
Parasuraman

Dr. Valarie Zeithaml

Dr. Leonard L. Berry

Customer gap:

Difference between expectations and perceptions

Provider gap 1:

Not knowing what customers expect

Provider gap 2:

Not selecting the right service designs and


standards

Provider gap 3:

Not delivering to service standards

Provider gap 4:

Not matching performance to promises

Provider gap 5:

Not matching performance to assumption

Provider Gap 1
CUSTOME
R

Expected
Service

GAP 1
COMPAN
Y

Company
Perceptions of
Consumer
Expectations

GAP 1

Reasons
Reasons
for
for
Provider
Provider
Gap
Gap
II

Inadequate marketing research orientation

Lack of upward communication

Insufficient relationship focus

Inadequate service recovery

Key Factors Leading to


Customer
Provider Gap
1
Expectations

GAP
1

Company Perceptions of Customer

GAP 2

Provider Gap 2
CUSTOMER

COMPANY

Customer-Driven
Service Designs
and Standards
GAP 2
Company
Perceptions of
Consumer
Expectations

GAP 2

Reasons
Reasons
for
for
provider
provider
gap
gap
22

Poor service design

Absence of customer-defined service


standards

Inappropriate physical evidence and


services cape

Key Factors Leading to Provider


Customer-Driven
Service
Gap
2
Designs and Standards

GAP
2

Management
Perceptions of
Customer

Provider Gap 3
CUSTOMER

COMPANY
GAP 3

Service
Delivery
Customer-Driven
Service Designs
and Standards

GAP 3

Reasons
Reasons
for
for
provider
provider
gap
gap
33

Poor human resource policies


Failure to match supply and demand
Customer not fulfilling their roles
Problems with service intermediaries

Key Factors Leading to Provider


Customer-Driven
Gap 3Service
Designs and Standards

GAP
3

Service

Provider Gap 4
CUSTOMER

COMPANY

Service
Delivery

GAP 4

External
Communicatio
ns to
Customers

GAP 4

Reasons
Reasons
for
for
Provider
Provider
Gap
Gap
44

Lack of integration of marketing


communications

Inadequate management of customer


expectations

Overpromising

Inadequate horizontal communications

Key Factors Leading to Provider


Service
Delivery
Gap
4
GAP
4

External
Communications to
Customers

Provider Gap 5
CUSTOMER
Expected Service

GAP 5

COMPANY

Perceived Service

GAP 5

Reasons
Reasons
for
for
Provider
Provider
Gap
Gap
55

Lack of communications between


service provider & customer

Management is busy in providing


service

The Services Marketing


Triangle
Company
(Management)
Internal
Marketing

External
Marketing

enabling the
promise

Employees

setting the
promise

deliveringMarketing
the promise
Interactive

Customers

Gaps Model of Service


Quality
CUSTOMER
Expected
Service
Customer
Gap 5

COMPANY
Gap 1

Gap 3

Perceived
Service
Service
Delivery

Gap 4

Customer-Driven
Service Designs and
Standards

Gap 2
Company Perceptions of
Consumer Expectations

External
Communicatio
ns to
Customers

Closing the gaps

Gap 1: Learn what customers expect


Gap 2: Establish the right service quality
standards
Gap 3: Ensure that service performance meets
standards
Gap 4: Ensure that delivery matches promises
Gap 5: Establish good Communication system

Use research, complaint


analysis, customer panels
Increase direct interactions
between managers and
customers
Improve upward
communications
Act on information and insights

listen to
customers

Top management commitment to providing


service quality
Set, communicate, and reinforce customeroriented service standards
Establish challenging and realistic service
quality goals
Train managers to be service quality leaders
Be receptive to new ways to deliver service
quality
Standardise repetitive tasks

Service Quality Awards

Prioritise tasks
Gain employee acceptance
of goals and priorities
Measure performance of
service standards and
provide regular feedback
Reward managers and
employees for achievement
of quality goals

Attract the best employees


Select the right employees
Develop and support employees

train employees
provide appropriate technology &
equipment
encourage and build teamwork
empower employees
internal marketing

Can I
take your
order?

Retain good employees


measure and reward
service quality
achievements
develop equitable and
simple reward systems

You are a
Star Service
Provider

Seek input from operations personnel on


what can be done
Reality advertising

real employees, real customers, real situations

Seek input from employees on advertising


Gain communications between sales,
operations and customers
Internal marketing programs

Ensure consistent standards in


multi-site operations
In advertising, focus on service
characteristics that are
important to customers
Manage customers expectations

What are realistic expectations?


Explain industry realities

Tiered service options


Offer different levels of
service - user pays

Why do we
always have
to wait?

Inform the patients

Be Communicative with patient and


relatives

Gap

Brief Summary Gaps in Service


Quality
Problem

Cause(s)

1. Consumer
expectation
mgmt. perception

The service features


offered dont meet
customer needs

Lack of marketing research; inadequate


upward communication; too many levels
between contact personnel and
management

2. Management
perception
service quality
specification

The service specifications


defined do not meet
managements
perceptions of customer
expectations

Resource constraints; management


indifference; poor service design

3. Service quality
specification
service delivery

Specifications for service


meet customer needs but
service delivery is not
consistent with those
specifications

Employee performance is not


standardized; customer perceptions are
not uniform

4. Service delivery
external
communication

The service does not meet


customer expectations,
which have been
influenced by external
communication

Marketing message is not consistent with


actual service offering; promising more
than can be delivered

5. Expected
Service

The service provided but


customer assumptions

communcation

Key Factors Leading to Provider


Gap 1

Key Factors Leading to Provider


Gap 2

What is Internal Marketing?


With an internal marketing strategy, employees are treated as
internal customers who must be convinced of a company's vision
and worth just as aggressively as external customers. The goal of
internal marketing is to align every aspect of a companys internal
operations to ensure they are as capable as possible of providing
value to customers.
If a company can operate in a coordinated and standardized way,
that company can provide a more consistent experience to their
customers.
Internal marketing is based on the idea that customers attitudes
toward a company are based on their entire experience with that
company, and not just their experience with the companys
products.
Any time a customer interacts with an employee, it affects their
overall satisfaction. Everyone from a sales clerk to an over-thephone tech support specialist helps to shape that customer's
experience. Therefore, customer satisfaction is deeply dependent
on the performance of a company's staff.

What is Internal Marketing?


For example, Apple has a unique organizational culture that
emphasizes innovation, creativity, and expertise. In order to promote
this culture, they are highly selective when they recruit employees
and extremely thorough when they train them.
Apple realizes that the best way to promote the image of their brand
is for every employee, particularly the ones who work with customers,
to accurately represent that image. Anyone who has been to an Apple
store knows that the employees are experts in the products they sell
and are willing to answer an endless number of questions. They are
smart, accessible, and knowledgeable, positively reflecting the
company company as a whole.
Human resources professionals typically spearhead internal marketing
campaigns. Since internal marketing focuses on leveraging the value
of employees, strong communication between the company and the
employees is crucial. Their primary responsibility will be to
disseminate information about the company's goals and strategies,
and to provide training and support to help employees achieve those
goals.

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