Effects of service quality components on customer satisfaction .... Applying SERVPERF model in practice to evaluate service quality in comparison with SERVQUAL ..... The basis for the fo
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GROUP ASSIGNMENT
Student: Nguyễn Hương Giang – 11201091 Nguyễn Thùy Dương - 11204944
Đỗ Đoàn Hương Giang - 11201066 Nguy n Th Hễ ị ương Giang - 11201101 Nguy n ễ Thị Nguyệt H - 11201201 à
Class: E-MQI 62 Course: S vice Quality Management er Lecturer: Dr Dang Ngoc Su
Ha Noi,3/2023
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TABLE OF CONTENT
1 What is the SERVPERF MODEL? 2
1.1 SERVQUAL model 2
1.1.1 Introduction 2
1.1.2 Purpose 2
1.1.3 Elements of the model 2
1.1.4 The basis for the formation of elements in the model 3
1.2 Why was SERVPERF developed? 3
1.2.1 Time of introduction 3
1.2.2 Purpose 3
2 SERVPERF Model 4
2.1 Model 4
2.2 Effects of service quality components on customer satisfaction 4
2 3 How to measure service quality factors? 6
3 Barriers and key success factors 7
3.1 Barriers from SERVQUAL model and Success factors after breaking down these barriers 7
3.1.1 Barriers from SERVQUAL model 7
3.1.2 Success factors after breaking down these barriers 8
3.2 SERVPERF disadvantages 8
3.3 Difficulty in applying SERVPERF model 8
3.3.1 From the company 8
3.3.2 From the market 9
3.3.3 From customers 10
3.3.4 Success factors after breaking down these barriers 10
4 Applying SERVPERF model in practice to evaluate service quality in comparison with SERVQUAL 11
CITATION 14
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1 What is the SERVPERF MODEL?
1.1 SERVQUAL model
1.1.1 Introduction
The SERVQUAL model, also known as the Service Gap model or Service Quality model, was first proposed by A Parasuraman, Valarie Zeithaml, and Leonard Berry in
1985
1.1.2 Purpose
Initially, companies focused on developing the quality of their products Over time, improving the quality of related services has become increasingly important Improved service quality can give organizations a competitive advantage One of the motivations for the development of the SERVQUAL model is the unique characteristics
of services (compared to physical products) that make it difficult for a company to objectively evaluate its own quality level (as opposed to a manufacturer who can test and experiment with physical goods)
Purpose:
• To compare a organization's service quality performance with the customer's service quality expectations
SERVQUAL to assist businesses in identifying strategies to improve the most important concerns
retailers with a structured approach to assessing a set of factors that influence consumers' perceptions of a company's overall service quality
According to SERVQUAL: Service Quality = Perceived Service - Expected Service
1.1.3 Elements of the model
• Tangibles: Emphasizes the appearance of physical facilities, equipment,
personnel, and communication materials
• Reliability: Emphasizes the ability to perform promised services reliably
and accurately
• Responsiveness: Emphasizes the willingness to help customers and provide
services quickly
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• Assurance: Emphasizes employees' knowledge and courteous attitude,
along with their ability to inspire trust and confidence in service users
• Empathy: Emphasizes providing care and concern for customers by
employees
1.1.4 The basis for the formation of elements in the model
The SERVQUAL model refers to five dimensions of service quality that measure customer expectations The SERVQUAL model classifies the factors or components of service quality, which are called the five important service quality attributes In 1985, Parasuraman, Zeithaml, and Berry identified ten components of service quality: reliability, responsiveness, competence, access, courtesy, communication, credibility, security, knowing the customer, and tangibles These ten components were later consolidated into five dimensions of service quality: reliability, assurance, tangibles, empathy, and responsiveness Of the original ten components, only three - reliability, tangibles, and responsiveness - remained, while the remaining seven components were combined into two overarching dimensions: assurance and empathy
1.2 Why was SERVPERF developed?
1.2.1 Time of introduction
The SERVPERF model is a variant of the SERVQUAL model introduced by Cronin & Taylor in 1992, which defines "Service quality is measured by perceived service quality."
SERVPERF inherits the advantages of SERVQUAL, evaluating quality based on five attributes and the basis for the formation of these five attributes is similar to the SERVQUAL model However, instead of measuring both perceived and expected quality like SERVQUAL, SERVPERF only measures perceived quality
1.2.2 Purpose
The authors believe that service quality is best reflected through perceived quality without the need for expected quality or weighting of the five components
According to SERVPERF: Service quality = Perceived service quality
The reason is that, based on theory, adding weights (Bolton and Drew, 1991a) does not significantly improve the measurement ability of the scale
(Explanation of weights: The importance of different quality attributes used in service quality scales can vary significantly across different service industries and customer types For example, security may be a top-quality determinant for bank
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customers but may not be as meaningful to customers of a beauty salon Because service quality attributes are not expected to be equally important across service industries, importance weights have been proposed for service quality measurement scales (Cronin and Taylor, 1992; Parasuraman, Zeithaml, and Berry, 1995, 1998; Parasuraman, Berry, and Zeithaml, 1991; Zeithaml, Parasuraman, and Berry, 1990)
2 SERVPERF Model
2.1 Model
SERVPERF scale set aims to measure service perception through 5 service quality components including: Tangibility, Reliability, responsiveness, assurance, empathy
2.2 Effects of service quality components on customer satisfaction
Tangibles emphasizes the appearance of the facility, reflected in the appearance,
clothing of service staff, equipment to perform the service
Tangibility does not always mean something has an external appearance, it refers
to a business image If a business has an e-commerce store, the tangible elements will include the website, online store, product photos, website layout, product description, payment methods that the business allows permits, online customer support If the business is a local travel agency, the tangible elements will include the office, transportation, staff uniforms Your customers may also notice invisible things, but it affects the service you provide In fact, invisibility has a significant effect on sales The more modern the facilities and equipment, the more professional and professional the external image of the business, the more satisfied customers are Paying
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attention to external appearance can show that the company takes customer comfort very seriously While appearance is not the most important aspect of a service, it does make a difference in how customers perceive a business, especially for brands that promise to deliver to customers offer an upscale or luxurious experience
Reliability: Emphasizes the ability to perform the promised services reliably and
accurately The service you provide must be reliable and this can be achieved when you provide it on time, regularly and accurately
The more accurate the service provider is, true to what it has committed and always keeps its promise to the customer, the higher the customer satisfaction This requires consistency in service performance and honoring commitments and promises to customers When you don't deliver the service to your customers as they expect, your company won't be trustworthy to them When you can't deliver the product on time, when your product doesn't deliver what they asked for, or when the product is defective there are just a few instances where your company will become unreliable
When your company is unreliable, it means one or two things:
+ You cannot deliver the promised service to your customers
+ Your customer has misunderstood what your service is
So, the service you provide must be clearly communicated You need to create customer expectations based on the service you will provide them When you don't set the right expectations, it ends up making your business unreliable
All companies need to be aware of customer expectations regarding reliability
Promote customer satisfaction right from the first time they use the service
Responsiveness emphasizes the willingness to help customers and provide
services quickly This dimension focuses on two essential factors, including willingness and promptness How effectively you respond to customers and how quickly you do it You must be ready to respond to customers when they need you Therefore, businesses must ensure that customers receive their services quickly without delay and make customers feel that you are very interested in helping them Responsiveness will be determined by how long the customer waits for answers or solutions from the service provider The sooner a customer's problem is resolved, the faster the response will be The responsiveness solves the customer's problem as soon as possible by providing tentative information or an alternative product
For example, customers expect a response within an hour This is called responsiveness If the company meets this response rate is considered to have a quick response, if the company does not, the customer will not be satisfied with the service
- Assurance emphasizes the professionalism and politeness of employees along with
their ability to inspire, trust and confidence in service users These skills will help the organization gain the trust and credibility of its customers This attribute ensures a combination of four factors: competence, courtesy, credibility, and security First, competence means having the necessary skills and knowledge; Courtesy refers to the
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courtesy, respect, consideration and friendliness of the contact staff; reputation is the trustworthiness, reliability and honesty of the staff; Ultimately, security means protecting the customer from danger, risk or suspicion
The higher the competence and professionalism of the staff, the more satisfied customers are It is the behavior of the staff that makes customers have confidence when using the service again
- Empathy emphasizes the staff's care and concern for customers, helping customers
always feel warmly welcomed at all times The human factor is the core part of this success When a customer contacts support and shares a problem, they want you to listen to the problem, offer support, and let the customer know that you're looking for a solution The more the service provider cares about the customer, the more sympathy will be When customers receive the sympathy and concern of employees, they will feel satisfied Until now, there are still many different opinions regarding service quality However,
if businesses want to improve their brand position, they need to focus on service quality
Thus, in the eyes of customers, you will have more weight than your competitors
2 3 How to measure service quality factors?
The authors used a scale from 1 to 7 to survey perception The questionnaire includes 22 items in accordance with 5 service quality dimensions
From sentences 1 to 4, tangible attributes The authors focus on equipment, facilities, appearance of employees and documents related to business services
Sentences 5 to 9 belong to reliability It is demonstrated through the fulfillment of commitments, keeping the promises and the ability to provide the correct service to the customer
Verses 10 to 13 belong to the ability to respond It is expressed through the willingness to help, solve the problems of customers and the ability to provide services quickly to customers
Verses 14 to 17 are about assurance It is shown through the professional knowledge and polite attitude of the staff when providing services and thereby creating the trust of customers
Verses 18 to 22 are about empathy It is shown through the care and concern of employees to the interests and needs of customers so that they find it convenient to experience the service
Service Quality… None 10-1108 Ijcthr-10-2014-0087 Service Quality… None
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3 Barriers and key success facto rs
3.1 Barriers from SERVQUAL model and Success fac tors after breaking down these barriers
3.1.1 Barriers from SERVQUAL model
The SERVPERF model was born with its predecessor, the SERVQUAL model, where there are inherent disadvantages that are considered barriers to the effectiveness of the SERVQUAL model After being studied and removing these barriers, a number of success factors have emerged, or in other words, the improved achievements of the SERVPERF model
Expectation factor has a negative impact on the measurement of quality service The concept of expected value is confusing for respondents, easy to confuse
between expected value and perceived level, which can affect the quality of collected data, leading to reduced reliability and instability of the observed variables
Eg: A group of people were asked about the expected value with translation quality
of a supermarket, they chose 4 and 5 (on a Likert 5 scale) for all statements It can be seen
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here, a common mentality that they always expect to receive high quality of service while their spending is limited
When asked about the perceived level, customers will tend to compare the quality received with the desired quality Sometimes, although the product has done its function well, it has not achieved the quality that customers expect, so they think this is a bad product This inadvertently reduces and distorts the true quality of the service Setting a high expected value on service quality, making the perceived level rarely exceed the initial expected value
The length and nature of the questionnaire have a negative impact on the measurement of quality service Questionnaires that are too long can be time-consuming,
boring for respondents, leading to vague, reluctant answers and affecting service quality research results
3.1.2 Success factors after breaking down these barriers
Service quality is most objectively reflected through a factor of perceived service quality Service quality is only measured by perceived level Ignore the customer's expected value to limit errors in the quality of collected data, avoid negative impacts from customers' personal factors or external circumstances Avoid misleading respondents about expected value with expectations beyond the ability to meet their current costs Optimized questionnaire for efficient data collection The questionnaire is shorter than ½, does not cause boredom, takes time, and simplifies the processing of results Simple and easy to implement, less time consuming and surveying costs More effective in capturing the perception of service quality
3.2 SERVPERF disadvantages
In terms of service quality survey purposes, if a manufacturer wants to find a way
to improve service quality, the SERVPERF model will raise a problem:
Decision makers are not able to grasp important information that affects the perceived service quality of customers, that is, customer expectations
This model does not indicate which service characteristics are highly expected by customers as the basis for service providers to improve product quality (Diagnostic power)
3.3 Difficulty in applying SERVPERF model
3.3.1 From the company