1. Chapter 6. Service Quality

2. 如何做顧客滿意度調查 1. 定義 2. 衡量：不滿意，滿意，非常滿意……
Customer Satisfaction Index (CSI), SERVQUAL, CSI, SSI (J. D. Power)
2. 後果：顧客忠誠
3. 前因：服務績效，成本績效，關係績效

3. Learning Objectives 1. Measuring service quality: five dimensions
2. Diagnose SQ problems: service quality gap model
3. Service design methods: Taguchi, Poka-Yoke, House of quality
4. Achieving SQ: cost of quality, statistical process control, unconditional service guarantees
5. Service recovery

4. Moments of Truth Each customer contact is called a moment of truth.
You have the ability to either satisfy or dissatisfy them when you contact them.
A service recovery is satisfying a previously dissatisfied customer and making them a loyal customer.

5. 1. Dimensions of Service Quality
(1) Reliability: Perform promised service dependably and accurately.
e.g. receive mail at same time each day.
(2) Responsiveness: Willingness to help customers promptly.
e.g. avoid keeping customers waiting for no apparent reason.

6. Dimensions of Service Quality
(3) Assurance: Ability to convey trust confidence. E.g. being polite and showing respect.
(4) Empathy: Ability to be approachable.
e.g. being a good listener.
(5) Tangibles: Physical facilities and facilitating goods. E.g. cleanliness.
Measurement: SERVQUAL (p.112,113)

7. Perceived Service Quality
Word of
mouth
Personal
needs
Past
experience
Service Quality
Dimensions
Reliability
Responsiveness
Assurance
Empathy
Tangibles
Service Quality Assessment
1. Expectations exceeded
ES<PS (Quality surprise)
2. Expectations met
ES~PS (Satisfactory quality)
3. Expectations not met
ES>PS (Unacceptable quality)
Expected
service
Perceived
service

8. 2. Gaps in Service Quality
Word -of-mouth
communications
Personal needs
Past experience
Customer
Expected service
GAP 5
Perceived service
Service delivery (including
pre- and post-contacts)
External communications
to consumers
GAP 3
GAP 1
GAP 4
Translation of perceptions into
service quality specifications
GAP 2
Provider
Management perceptions of
consumer expectations

9. 3. Quality Service by Design
(1) Quality in the Service Package Budget Hotel example
(2) Taguchi Methods
Notifying maids of rooms for cleaning
(3) Poka-yoke
Height bar at amusement park
(4) Quality Function Deployment House of Quality
(5) Walk-through Audit

10. (1) Service Package
Supporting facility: air-conditioning system is decentralized.
Facilitating goods: furnishings are durable.
Information: online computer tracks.
Explicit service: maids are trained.
Implicit service: good interpersonal skills.
 日租式捷運小套房

11. (2) 田口二次式損失函數

12. (3) Poka-Yoke checklist
Server Errors
Task:
Doing work incorrectly
Treatment:
Failure to listen to customer
Tangible:
Failure to wear clean uniform
Customer Errors
Preparation:
Failure to bring necessary materials
Encounter:
Failure to follow system flow
Resolution:
Failure to signal service failure

13. (4) House of Quality * * * + + + + + + + _ Relationships Strong Medium
Weak O O
Relative * *
Customer Perceptions
Service Elements o
Village Volvo
Importance
Informatiion +
Equipment
Volvo Dealer
Training
Attitude
Capacity
Customer Expectations
Reliability 9 8 5 5 + o
Responsiveness 7 3 9 3 2 o +
Assurance 6 5 9 6 + o
Empathy 4 7 + o
Tangibles 2 2 3 + o + o o
Comparison with Volvo Dealer o o _ o
Weighted score
127 82 63
102 65
Improvement difficulty rank 4 5 1 3 2

14. 4. Achieving Service Quality
(1) Cost of Quality (Juran)
(2) Statistical Process Control (Deming)
(3) Unconditional Service Guarantee

15. (1) Costs of Service Quality: 越早越低
Failure costs Detection costs Prevention costs
External failure: Process control Quality planning
Customer complaints Peer review Training program
Warranty charges Supervision Quality audits
Liability insurance Customer comment card Data acquisition and analysis
Legal judgments Inspection Preventive maintenance
Loss of repeat service Supplier evaluation
Internal failure:
Scrap, Rework
Recruitment and selection

16. (3) Control Chart: Departure Delays
100
expected
Lower Control Limit
expected 90
Lower Control Limit 80
Percentage of flights on
time 70 60
1998
1999 n p
UCL - + = 1 ( 3 n p
LCL - = 1 ( 3

17. (4) Unconditional Service Guarantee : Customer View
Unconditional (L.L. Bean)
Easy to understand and communicate (定食八)
Meaningful (Domino’s Pizza)
Easy to invoke (屈臣氏)
Easy to collect (Manpower)
不好吃不要錢？

18. (4)Unconditional Service Guarantee : Management View
Focuses on customers (British Airways)
Sets clear standards (FedEx)
Guarantees feedback (Manpower)
Promotes an understanding of the service delivery system (Bug Killer)
Builds customer loyalty by making expectations explicit
奧客？

19. 5. Service Recovery
You have the ability to either satisfy or dissatisfy them when you contact them.
A service recovery is satisfying a previously dissatisfied customer and making them a loyal customer.

20. 5. Customer Feedback and Word-of-Mouth
The average business hears from 4% of their customers who are dissatisfied with their products/services.
The 4% complainers are more likely to stay with the supplier than are the 96% non-complainers.
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 dissatisfied customer will tell 10~20 other people.
A customer who has had a problem resolved by a company will tell about 5 people about their situation.

21. 5. Customer Satisfaction
All customers want to be satisfied.
Customer loyalty is only due to the lack of a better alternative.
Giving customers some extra value will delight them by exceeding their expectations and insure their return.
Service Benchmarking: FedEx, AT&T, Ritz-Carlton, Merrill Lynch, Xerox

22. 5. Expressing Dissatisfaction
Public Action
Seek redress directly from
the firm
Action
Take legal action
Dissatisfaction
occurs
Complaint to business, private,
or governmental agencies
Private Action
Stop buying the product or
boycott the seller
No Action
Warn friends about the product
and /or seller

23. 5. Approaches to Service Recovery
Case-by-case addresses each customer’s complaint 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 continuous updating.
Early intervention attempts to fix problem before the customer is affected.
Substitute service allows rival firm to provide service but could lead to loss of customer.

24. The Complaint Letter (p.138)
Briefly summarize the complaints and compliments in Dr. Loflin’s letter.
Critique the letter of Gail Pearson in reply to Dr. Loflin. What are the strengths and weaknesses of the letter?
Prepare an “improved” response letter from Gail Pearson
What further action should Gail Pearson take in view of this incident?

25. Interactive Exercise
The class breaks into small groups. Each group identifies the worst service experience and the best service experience that any member has had. Return to class and discuss what has been learned about service quality.

26. Service Recovery Framework
Severity Of
Failure
Perceived
Service
Quality
Psychological
-empathy
-apology
Tangible
-fair fix
-value add
Psychological
-apology
-show interest
Patronage
Loyalty
Satisfaction
Retention
Service
Recovery
Expectations
Follow-up
Service
Recovery
Service
Recovery
Customer
Loyalty
Service
Guarantee
Speed of
Recovery
Frontline
Discretion
Tangible
-small token
Service
Failure Occurs
Provider
Aware of
Failure
Fair Restitution
Pre-recovery Phase Immediate Recovery Phase Follow-up Phase