Chapter 6 Service Quality ShinMing Guo NKFUST Service Gaps - PDF document

Chapter 6 Service Quality Shin‐Ming Guo NKFUST  Service Gaps  Measuring Service Quality  Service Recovery Case: Hotel Shuttle Service • A passenger called the hotel shuttle service at the airport and was told a shuttle was already on its way. 旅館的機場接送服務 • He made two more calls and finally checked into the hotel one hour later. • The receptionist apologized and offered free breakfast. • The next morning the passenger enjoyed the breakfast but was asked to pay when he checked out. Q1: What went wrong in the service process? Q2: How should the hotel manager recover from the service failure? 1

Dimensions of Service Quality • Reliability: Perform promised service dependably and accurately. 可靠 • Responsiveness: Willingness to help customers promptly. 反應速度 • Assurance: Ability to convey trust and confidence. 信任 • Empathy: caring for customers, understanding customer’s needs. 同理心 • Tangibles: Physical facilities and facilitating goods. 有形設施 3 Service Gap = Perceptions 感受 - Expectations 期望 Does this bank Is speed of service important provide fast service? Word of Personal Past mouth needs experience Service Quality Service Quality Assessment Expected Dimensions 1. Expectations exceeded service Reliability ES<PS (Quality surprise) Responsiveness 2. Expectations met Perceived Assurance ES~PS (Satisfactory quality) service Empathy 3. Expectations not met Tangibles ES>PS (Unacceptable quality) 4 2

Types of Service Gap 顧客期望 顧客感受 管理階層 認知 服務執行 服務作業標準 5 Measuring Service Gap  SERVQUAL: a two‐part instrument that pairs an expectation statement with a corresponding perception statement to measure the five dimensions of service quality.  Walk‐through Audit: a operations oriented survey to evaluate service gaps between a customer’s perception and a manager’s perspective. 6 3

SERVQUAL SERVQUAL EXPECTATIONS PERCEPTIONS This survey deals with your opinions of banks. The following statements relate to your feelings Please show the extent to which you think about the XYZ bank that you chose. Please banks should posses the following features. show the extent to which you believe XYZ has Please circle a number that best shows your the feature described in the statement. Please expectations about institutions offering bank circle a number that shows your perceptions services about XYZ bank Strongly Strongly Strongly Strongly Disagree Agree Disagree Agree 1 2 3 4 5 6 7 1 2 3 4 5 6 7 Gap Score (E) (P) P - E Tangibles Tangibles E1. Excellent banking companies will P1. XYZ bank has modern looking have modern looking equipment. equipment. E2. The physical facilities at excellent P2. XYZ Bank’s physical facilities banks will be visually appealing. are visually appealing. E3. Employees at excellent banks will P3. XYZ Bank’s reception desk be neat appearing. employees are neat appearing. 7 Importance-Performance Analysis Service Gap Importance  顧客期望 Cost Reduction Performance  顧客感受 4

Walk-through Audit 9 導覽 服務 多國 資訊 語言 提供 10 5

路線 指引 餐廳 抽菸 Measuring Service Quality • Satisfaction/Success Ratio • Complaint Ratio 客訴率 • Retention Ratio 回客率 • First Response Time 反應速度 • Total Response Time 解決問題的能力 • Stock Out Ratio 缺貨品項的比例 • Due Date Performance • Data Accuracy 6

Example: Pizza Delivery • A pizza store offer delivery service to campus area. Student newspaper has just published an article that criticizes the store for poor service. • The store has kept all customer complaint records. What should the manager do? 13 Step 1: Define Critical Quality Characteristics • Reliability: Wrong orders 訂單內容出錯 • Responsiveness: Late Deliveries, Cold Food 延誤送達 • Assurance: Drop pizza, Unable to answer questions 無法解答 • Empathy: Forget to mention special deals 未告知促銷方案 • Tangibles: Taste 口味 14 7

Step 2: Measure the Process Run Chart % of complaints 0.18 0.16 0.14 0.12 0.1 0.08 0.06 0.04 1 2 3 4 5 6 7 8 9 10 11 12 Time (months) 15 Step 3: Analyze the Process 80/20 Total=251 complaints 250 1 number of complaints 200 0.8 cumulative % 150 0.6 100 0.4 50 0.2 0 0 late wrong cold food taste other deliveries order 16 8

Step 4: Cause and Effect Diagram 17 Total Quality Management • Kaizen: continual improvement 企業文化 • Competitive benchmarking 標竿學習 • Employee empowerment: 加快反應速度 • Team approach: 品管圈 • Decisions based on facts: 收集數據 • Knowledge of tools: training • Supplier quality 供應商品質 • Champion: managers need to be leaders 管理者以身作則 • Quality at the source: do it right the first time 源頭品質 ? 9

Cost of Quality 檢查成本 Failure costs Detection costs Prevention costs 客訴後的 預防 潛在損失 External failure : Process control Quality planning 成本 Loss of future business Peer review Training program Negative word‐of‐mouth Supervision Quality audits Interest penalties Customer comment card Recruitment Legal judgments Inspection Supplier evaluation 自我更正 Internal failure: 的成本 Scrapped forms Rework 客訴後的 Recovery: 更正成本 Expedite disruption Labor and materials 19 Service Recovery A Service Recovery is satisfying a previously dissatisfied customer and making them a loyal customer. 服務復原 About 60% of the complainers would stay as customers if their problem was resolved and 95% would stay if the problem was resolved quickly. A customer who has had a problem resolved by a company will tell about 5 people about their situation. A dissatisfied customer will tell between 10 and 20 other people about their problem. 20 10

Service Recovery Framework 顧客期望 服務復原 後續關懷 21 United Express Flight 3411 • On April 9, 2017, O'Hare airport police forcibly removed a passenger from the aircraft, after he refused to give up his seat to make room for four airline employees who needed to travel to the destination. 11

Southwest Flight 1380 • On 4/17/2018, Southwest Flight 1380 was scheduled to fly from New York to Dallas. When the engine on the left wing broke, the plane made an emergency landing in Philadelphia. • When it was all over, the pilot came out of the cabin and walked through the aisle and talked with passengers to make sure they were all right. • Passengers received a letter from Southwest three days later. "We value you as our customer and hope you will allow us another opportunity to restore your confidence in Southwest… we are sending you a check in the amount of $5,000 to cover any of your immediate financial needs." Approaches to Service Recovery 個案  Case‐by‐case addresses each customer’s complaint 處理 individually but could lead to perception of unfairness.  Systematic response uses a protocol to handle complaints but needs prior identification of critical failure points and 標準程序 continuous updating.  Early intervention attempts to fix problem before the 預先處理 customer is affected.  Substitute service allows rival firm to provide service but 替代服務 could lead to loss of customer. 24 12

Service Guarantee: Customer View  Unconditional (L.L. Bean)  Easy to understand and communicate (Bennigan’s)  Meaningful (Mobile phone service)  Easy to invoke (Internet shopping)  Easy to collect (Amazon) 25 Service Guarantee: Management View 努力達標 Service Guarantees As Design Drivers 的動能  Focuses on customers (British Airways)  Sets clear standards (FedEx)  Guarantees feedback (Proactive approach)  Promotes an understanding of the service delivery system (Bug Killer)  Builds customer loyalty by making expectations explicit 26 13

Summary  Most quality programs fail for one of two reasons: they have systems without passion, or passion without system. ― Tom Peters 缺乏制度或決心  Pay attention to norms and rituals 注意社會禮俗  Training to anticipate possible situations. 訓練應變  Customers are the ultimate judges of a service’s value. 顧客口碑決定服務價值  Let the punishment fit the crime in service recovery 27 14