1. Quality Management Lecture 1.
Quality of Products and services

2. Quality of products

3. Concept of quality 1
Totality of features and characteristics of a product or service that bears upon its ability to satisfy spoken or latent needs.
Spoken need
Latent need (basic or innocative)
These needs can be
Objective (determined in contracts, or in standards) – easy to measure
Subjective (usefulness) – it belongs to the custemer

4. Concept of quality 2
Nowadays it has a strategic definition, because it not just mean the quality of a product, but it : „It is a basic business strategy, which means that products and services should totally meet both internal and external customers stated and latent needs.
Quality is defined as meeting customers requirements

5. 5 Approaches to Defining Quality – Garvin 1
The Transcendent Approach: a quality cannot be defined precisely, we learn to recognize it only through experience
Innate excellence
Pictures of Picasso:

6. 5 Approaches to Defining Quality - Garvin 2
The Product-based Approach: quality is precise and measurable variable, products can be ranked – quality products have more attributes (computer with more memory)

7. 5 Approaches to Defining Quality - Garvin 3
The Manufacturing-based Approach : products or services meet stated requirements,
Manufacturing and engineering practise - Quality is measured by the manufacturer’s ability to target the requirements consistently with little variability

8. 5 Approaches to Defining Quality - Garvin 4
The User-based Approach : quality of a product is determined by the consumer. There is widely varying individual preferences;

9. 5 Approaches to Defining Quality - Garvin 5
The Value-based Approach : quality is defined in costs and prices. How much is the benefit of the good or servce outweigh the cost?
Did the costumer get his or her money’s worth?

10. 8 Dimensions of product quality - Garvin
Performance – refers to a products’ primary operating characteristics
Features – „bells and whistles” added to a products
Reliability – probability that the product will not fail in a specific period of time (MTPF – mean time between failure)
Conformance – the degree to which a product or service meets its specifications
Durability – a measure of the product life
Serviceability – this is the speed, the competence and easy of repair
Aesthetics – how the product looks, feels, sounds, tastes and smells. This is clearly a matter of personal judgment
Perceived quality – images, advertising, and brand names can be critical to give information about the product quality

11. KANO-model Attractive quality One-Dimensional quality Must-Be quality
Indifferent quality
Reverse quality

12. KANO-model

13. SERVice QUALity (SERVQUAL model)

14. HIPI principles
Heterogenity (variability in the quality of service because services are provided by people, and people perform inconsistently)
Intangibility (there is no specimen )
Perishability (vary in demand can occure, difficulty in supply)
Inseparability (good service can’t be separated from bad service)

15. 10 quality dimensions of services
Reliability - service is performed on a high level of standards again and again, with high accuracy
Responsiveness - the willingness of employees to provide the service and how fast the service is provided
Competence - possession of required skills, and knowledge
Access - approachability and ease of contact
Courtesy -comprises politeness, respect, friendliness
Communication - informing the customers in an understandable way and listening to them
Credibility - trustworthiness and honesty
Security - physical and financial safety
Understanding the customer - steps to know customer better
Tangibles - all physical products that are involved in service delivery

16. The basic of SERVice QUALity - RATER model
Reliability - service provider perform the promised service dependably and accurately.
Assurance – Involves knowledge and courtesy of employees and their ability to inspire trust and confidence
Tangibles – equipment, the personnel and communication materials.
Empathy – Which is caring, individualized or customized attention the organization provides its customers
Responsiveness – willingness to be helpful and prompt in providing service (waiting time )
It is an efficient model in helping an organization shape up their efforts in bridging the gap between perceived and expected service.

17. GAP model customers’ requirements are affected by:
needs
Earlier experience
Word of mouth
Service provider’s communication
Expected service  perceived service quality

18. GAP MODEL
Influenced by many factors
EXPECTED SERVICE
GAP 5
Customer
PERCIEVED SERVICE
GAP 4
Service
provider
Service delivery
External communications to the customer
GAP 3
Translation of perceptions into service quality specifications
GAP 1
GAP 2
Management perceptions of the customers expectations

19. GAP model
GAP 1 (Knowledge Gap) – the difference between guest’s expectation and management perceptions of those expectations, i. e. not knowing what consumer expect
GAP 2 (Standards Gap) – difference between managements perceptions of guest’s expectations and service quality specifications , i.e. improper service quality standards
GAP 3 (Delivery Gap) – difference between service quality specifications and service actually delivered, i.e. the service performance gap
GAP 4 (Communication Gap) – difference between service delivery and the communications to the guests about service delivery, i.e. whether promises match delivery?
GAP 5 (Overall Gap) – the difference between guests expectation and perceived service.

20. Dimension
Question
Tangibles
1-4
Reliability
5-9
Responsiveness
10-13
Assurance
14-17
Empathy
18-22

21. Thank You for Attention