people in services
DESCRIPTION
TRANSCRIPT
SM
Contact: +9811635648 Pankaj kr mishra
Chapter 1
INTRODUCTION
TO
PEOPLE IN SERVICES
Introduction
Services are deeds,processes and performance
Intangible, but may have a tangible component
Generally produced and consumed at the same time
Need to distinguish between SERVICE and CUSTOMER SERVICE
Percent of Percent of U.S. Labor Force by IndustryU.S. Labor Force by Industry
0
10
20
30
40
50
60
70
80
1929 1948 1969 1977 1984 1996
Per
cent
of
GD
P
Source: Survey of Current Business, April 1998, Table B.8, July 1988, Table 6.6B, and July 1992, Table 6.4C; Eli Ginzberg and George J. Vojta, “The Service Sector of the U.S. Economy,” Scientific American, 244,3 (1981): 31-39.
Year
Services Manufacturing Mining & Agriculture
0
10
20
30
40
50
60
70
80
1948 1959 1967 1977 1987 1996
Percent of U.S. Gross Domestic Percent of U.S. Gross Domestic Product by IndustryProduct by Industry
Perc
ent o
f G
DP
Year
Source: Survey of Current Business, August 1996, Table 11, April 1998, Table B.3; Eli Ginzberg and George J. Vojta, “The Service Sector of the U.S. Economy,” Scientific American, 244,3 (1981): 31-39.
Services Manufacturing Mining & Agriculture
The Services Marketing TriangleThe Services Marketing Triangle
Internal Marketing
Interactive Marketing
External Marketing
Company(Management)
CustomersEmployees
“enabling thepromise”
“delivering the promise”
“setting thepromise”
Source: Philip Kotler
PEOPLE
Service personnel
Customers
BY SKILLS OF SERVICE PROVIDERS
BY SKILL OF SERVICE PROVIDER
PROFESSIONAL
NON-PROFESSIONAL
Legal services, Medical services, Accounting services, Management Consulting
Taxi, Security, Shoe Shining
BY DEGREE OF CUSTOMER CONTACT
BY DEGREE OF CUSTOMER CONTACT
HIGH CONTACT
LOW CONTACT
Universities, Air Travel, Hotel
Lawn care, Automated Care
wash
Ways to Use the Ways to Use the Services Marketing TriangleServices Marketing Triangle
Overall Strategic Assessment
• How is the service organization doing on all three sides of the triangle?
• Where are the weaknesses?
• What are the strengths?
Specific Service Implementation
• What is being promoted and by whom?
• How will it be delivered and by whom?
• Are the supporting systems in place to deliver the promised service?
Expanded Mix for Services --Expanded Mix for Services --the 7 Psthe 7 Ps
Product Price Place Promotion People Process Physical Evidence
PEOPLE PHYSICALEVIDENCE
PROCESS
Employees Facility design Flow of activities
Customers Equipment Number of steps
Communicatingculture and values
Signage Level of customerinvolvement
Employee research Employee dress
Other tangibles
Table 1-3 (Continued)Table 1-3 (Continued)
Expanded Marketing Mix for Expanded Marketing Mix for ServicesServices
SMPart 1
FOCUS ON THE CUSTOMER
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CATEGORY OF CUSTOMERS
CATEGORY OF
CUSTOMERS
HEAVY USERS
MODERATE
LOW USERS
OCCASIONAL USERS
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PerceivedService
Expected Service
CUSTOMER
COMPANY
CustomerGap
GAP 1
GAP 2
Gaps Model of Service QualityGaps Model of Service Quality
GAP 3
External Communications
to CustomersGAP 4Service Delivery
Customer-Driven Service Designs and Standards
Company Perceptions of Consumer Expectations
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Gaps Model of Service QualityGaps Model of Service Quality
Customer Gap:difference between expectations and perceptions
Provider Gap 1:not knowing what customers expect
Provider Gap 2:not having the right service designs and
standards Provider Gap 3:
not delivering to service standards Provider Gap 4:
not matching performance to promises
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The Customer GapThe Customer Gap
ExpectedService
PerceivedService
GAP
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SMChapter 3
CUSTOMER EXPECTATIONS OF SERVICES
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DEFINITIONS
Customers have different expectations re services – or expected service
Desired service – customer hopes to receive Adequate service – the level of service the
customer may accept
Figure 3-1Figure 3-1
Dual Customer Dual Customer Expectation LevelsExpectation Levels
(Two levels of expectations)(Two levels of expectations)
Adequate Service
Desired Service
Zone ofTolerance
Figure 3-3Figure 3-3
Zones of Tolerance Zones of Tolerance VARYVARY for forDifferent Service DimensionsDifferent Service Dimensions
Most Important Factors Least Important Factors
Level of
Expectation
Source: Berry, Parasuraman, and Zeithaml (1993)
Adequate Service
Desired Service
Zone ofTolerance
DesiredService
AdequateService
Zone of
Tolerance
Desired Service
Adequate Service
Figure 3-2Figure 3-2
The Zone of ToleranceThe Zone of Tolerance
Adequate Service
Desired Service
Zone ofTolerance
Figure 3-5Figure 3-5
Factors that InfluenceFactors that InfluenceDesired ServiceDesired Service
DesiredService
AdequateService
Zone of
Tolerance
Enduring ServiceIntensifiers
Personal Needs
Figure 3-6Figure 3-6
Factors that InfluenceFactors that InfluenceAdequate ServiceAdequate Service
DesiredService
AdequateService
Zone of
ToleranceSelf-PerceivedService Role
Situational Factors
Perceived ServiceAlternatives
Transitory ServiceIntensifiers
Figure 3-7Figure 3-7
Factors that InfluenceFactors that InfluenceDesired and Predicted ServiceDesired and Predicted Service
DesiredService
AdequateService
Zone of
Tolerance
Predicted Service
Explicit ServicePromises
Implicit ServicePromises
Word-of-Mouth
Past Experience
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Figure 4-1Figure 4-1
Customer Perceptions of Customer Perceptions of Service Quality and Service Quality and
Customer SatisfactionCustomer Satisfaction
ServiceQuality
Reliability
Responsiveness
Assurance
Empathy
Tangibles
ProductQuality
PricePersonalFactors
CustomerSatisfaction
SituationalFactors
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Check-InCheck-In
Request Wake-Up CallRequest Wake-Up Call
CheckoutCheckout
Bellboy Takes to Room Bellboy Takes to Room
Restaurant MealRestaurant Meal
Figure 4-4Figure 4-4
A Service Encounter A Service Encounter Cascade for a Hotel VisitCascade for a Hotel Visit
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Sales CallSales Call
Ordering SuppliesOrdering Supplies
BillingBilling
Delivery and Installation Delivery and Installation
ServicingServicing
Figure 4-5Figure 4-5
A Service Encounter A Service Encounter Cascade for an Industrial Cascade for an Industrial
PurchasePurchase
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Figure 6-3Figure 6-3
Underlying Logic of Customer Underlying Logic of Customer Retention Benefits to the Retention Benefits to the
OrganizationOrganization
Customer Retention &Increased Profits
Employee Loyalty
QualityService
Customer Satisfaction
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SMSMChapter 11
EMPLOYEES’ ROLES IN SERVICE DELIVERY
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SM Service EmployeesService Employees
• They are the service
• They are the firm in the customer’s eyes
• They are marketers
• Importance is evident in– The Services Marketing Mix (People)– The Service-Profit Chain– The Services Triangle
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SM Service EmployeesService Employees
• Who are they?– “boundary spanners”
• What are these jobs like?– emotional labor– many sources of potential conflict
• person/role• organization/client• interclient• quality/productivity
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SMSERVICE PERSONNEL SERVICE PERSONNEL
QUALITYQUALITY
FUNCTIONAL QUALITY (HOW?) Attitudes Behaviour
Internal Functional
Relations Quality Accessibility
Customer Appearance
Contact
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SM
Figure 11-3Figure 11-3
Boundary Spanners Interact Boundary Spanners Interact with Both Internal with Both Internal
and External Constituentsand External Constituents
Internal Environment
External Environment
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SMFigure 11-4Figure 11-4
Sources of Conflict for Sources of Conflict for Boundary-Spanning WorkersBoundary-Spanning Workers
• Person vs. Role
• Organization vs. Client
• Client vs. Client
• Quality vs. Productivity
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Figure 11-5 Figure 11-5
Human Resource Strategies Human Resource Strategies
Customer-oriented Service Delivery
Hire theRight People
ProvideNeeded Support
Systems
Retain theBest
People
DevelopPeople to
DeliverServiceQuality
Compete
for
the B
est
People
Hire for Service
Competencies and Service Inclination
Provide Supportive Technology
and Equipment
Tre
at
Em
plo
ye
es
a
s
Cu
sto
me
rs
Em
po
we
r E
mp
loy
ee
s
Be the Preferred
Employer Train for
Technical and
Interactive
Skills
Prom
ote
Team
wor
k
Measure
Internal
Service
Quality
Develop Service-
oriented Internal
Processes
Mea
sure
and
R
ewar
d S
tron
g S
ervi
ce
Pro
vide
rs
Include
Em
ployees in
the
Com
pany’s
Vision
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SMSMChapter 12
CUSTOMERS’ ROLES IN SERVICE DELIVERY
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37
SMImportance of Importance of OtherOther
Customers in Service Customers in Service DeliveryDelivery
• Other customers can detract from satisfaction• disruptive behaviors
• excessive crowding
• incompatible needs
• Other customers can enhance satisfaction• mere presence
• socialization/friendships
• roles: assistants, teachers, supporters
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Figure 12-2Figure 12-2
Customer Roles in Service Customer Roles in Service DeliveryDelivery
Productive Resources
Contributors to Quality and Satisfaction
Competitors
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SM Customers as Productive Customers as Productive ResourcesResources
• “partial employees”– contributing effort, time, or other resources to
the production process
• customer inputs can affect organization’s productivity
• key issue:– should customers’ roles be expanded? reduced?
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SMCustomers as Contributors Customers as Contributors
to Service Quality and to Service Quality and SatisfactionSatisfaction
• Customers can contribute to– their own satisfaction with the service
• by performing their role effectively
• by working with the service provider
– the quality of the service they receive• by asking questions
• by taking responsibility for their own satisfaction
• by complaining when there is a service failure
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SMCustomers as CompetitorsCustomers as Competitors
• customers may “compete” with the service provider
• internal/external decision often based on:
– expertise
– resources
– time
– economic rewards
– psychic rewards
– trust
– control
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Figure 12-3Figure 12-3
Strategies for Enhancing Strategies for Enhancing Customer ParticipationCustomer Participation
EffectiveCustomer
ParticipationRecruit, Educate,
and Reward Customers
Define CustomerJobs
Manage theCustomer
Mix
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SMThanksThanks
• Have a nice and delight day
pankaj kr mishra
Shabas azmi