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Determinants of service quality with example
Quality management case study
Quality management case study
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Introduction Many companies have benefited from improvements of quality and service both internal and external aspect in global market which performance in company revenues increasing, higher margins, cost reduction, reputation of the company enhancement and some other positive effects on social or public perception. However, quality is an item that has visible and invisible inherent characteristics which can satisfy customers’ requirements (Dale, 2003). Therefore, quality of product is fundamental to firms, customer satisfaction will affect the profit of companies directly and quality improvement strategy is an effective approach to get financial return. In addition, as another form of definition of quality to exist, service for customers also an important reason for firms’ financial benefits. Using quality service to make customers feel more satisfied or resolve their problems to change dissatisfied emotion usually increase their loyalty (Dale, 2003). As a result, the problem of product often can be made up by quality service even brings new customers. In others words, it can not only avoid the loss, but also get more benefits to some extent. Although quality service improvements strategy is profitability, there also exist some failure cases that some companies assume the financial benefits of quality as a religion to believe in but go a wrong way so that fail to get outcomes of their quality efforts (Rust & Zahorik, 1995). This phenomenon indicate that ignore the effective approach and blind pursuit of financial benefit will lead to the consequences that fail to achieve the expectation even caused losses to companies. In this situation, it is necessary to firms that to make service quality improvement efforts financially... ... middle of paper ... ...l investigation. Quality Management Journal, Vol. 4, pp. 43–59. Hill, R.C., (1993), "When the Going Gets Rough: A Baldrige Award Winner On the Line," Academy of Management Executive, Vol. 7, pp. 75-79. Kelemen, M. L., (2005), Managing Quality, SAGE Publications Ltd. Rust, R.T., Zahorik, A.J., & Keiningham, T.L., (1995) Return on Quality (ROQ): Making Service Quality Financially Accountable, Journal of Marketing, Vol. 59, pp. 58-70. Rust, R.T., ZeithamI V.A., & Lemon, K.N., (2000), Driving Customer Equity: How Customer Lifetime Value Is Reshaping Corporate Strategy. New York: The Free Press. Wiesendanger, B., (1993), "Deming's Luster Dims at Florida Power & Light," Journal of Business Strategy, Vol. 14, pp. 60-61. Zeithaml, V. A., Berry, L. L., & Parasuraman, A., (1996), The behavioral consequences of service quality. Journal of Marketing, Vol. 60, pp. 31–46.
Rouse, M. M. (2005). Lowe’s Companies, Inc. In T.L. Wheelen & J. D. Hunger (12th ed.),
In other words, the company cannot be good at everything. Moreover, to achieve Service Excellence it is needed to compromise some of the service attributes, mainly by reducing the ones that the targeted group of customers values less, in order to focus on the improvement of the service’s qualities that the customers want most.
Customer Value is a very important factor to all businesses let along business that supply products or services to the public. Value is relative to each individual customer but many researchers have found a simple way of defining customer value. Customer value equal the result produced for the customer plus process quality divided by the price to the customer plus the costs of acquiring the product (McMurrian & Matulich, 2016). The customer must purchase the product or service and experience it for the company to be able to benefit from the feedback. The four mechanisms within customer value, the results, process quality, price and customer access cost, are all very important for a company to understand in order to fully understand customer value.
Robbins, S. P., Decenzo, D. A., & Coulter. M. (2013). Fundamentals of Management (8th ed.). Upper Saddle River, NJ: Pearson.
Soman,D & Marand, S (2009). Managing Customer Value: One Stage at a Time.: World Scientific Publishing. p9-14.
Robbins, S. P., Decenzo, D. A., & Coulter. M. (2013). Fundamentals of Management (8th ed.). Upper Saddle River, NJ: Pearson.
Also the objection to meet high customer service has depleted a company’s capability to separate itself from its competitors. These factors help find new and different ways in creating a competitive advantage for a company.
...ough quality or enough service, satisfaction will result. However, we have evidence to support that quality and service alone can not produce recurrent satisfaction. Satisfaction is a distinct and separate issue.
Robbins, S. P., & Coulter, M. (2009). Management (10th ed., pp. 164-175). Upper Saddle River,
Suuroja (2003) in his study compared the different views of service quality conceptualization by different authors and observed the coincidences in their works. Such include the dimensions of service quality derived from the different factors; and the different overview levels of the factors. The connecting of the different overviews, a general framework was conceived for PSQ indicating the converging and diverging points in the framework. Based on the key parts of service delivery process and distinguishing between the process involved in service and the outcome of service as the overall dimensions, customers use in evaluating service quality.
Stephen P. Robbins and David A.Decenzo, Fundamentals of management: essential concepts and applications (USA: pearson prentice hall, 2003), PP.13-14.
Quality is a very important thing in an organization; therefore it is not possible to improve the quality of a product or service substantially without major changes in all aspects of the organization. Because quality is so important if changes aren’t made throughout the organization the output of the product will no be very successful. Everyone in the organization plays a major role in the out come of its products.
Every organization should ask itself, “How do customers see us?” Most organizations mention their dedication to serving their customers in their mission statement. The balanced scorecard, through the customer perspective, requires management to break down their general mission statement on customer service into four specific measures: time, quality, performance and service, and cost (Kaplan and Norton January/February 1992, 72-74). “Customers must believe that, when a product or service is purchased, the value received was worth the price paid” (Kinney and ...
When organization always provide high-quality products and good services, customer will create their satisfaction and increased customer loyalty.
(1) efforts to improve the quality of their services, and (2) efforts to market themselves more effectively. Both service quality and services marketing have received considerable attention from researchers over the years and the application of these concepts in the service settings is therefore not surprising (Parasuraman et al., 1985; Rust and Oliver 1994; Zeithaml et al., 1990). One evidence of the importance of service quality and service