Service operation ppt
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Transcript of Service operation ppt
APRESENTATION
ON SERVICE OPERATION MANAGEMENT
TOPIC- Service Culture and managing service delivery
BY-Afreen Jameer (Roll No.-4)
Hussain Mustafa Azad(Roll No.- 29)Rahul Rajkumar(Roll No.- 59)
Service Culture
DEFINING SERVICE:• Corporate culture of an organization is the
pattern of shared values, beliefs, and rules or patterns of common behavior in the organization.
• A service culture implies type of organizational culture that promotes kinds of behavior in its employees that leads to high concern for serving its customers.
• Zeithaml and Bitner (2003) define service culture as:
“Culture where an appreciation for good service exists, and where giving good service
to internal as well as ultimate, external customers is considered a natural way of life
and one of the most important norms by everyone.”
•Service culture can be built in an organization only by a sustained and consistent effort over and extended period. •It cannot be introduced by top management diktats only.
Culture also encompasses the products and services, and the physical appearance of the organization’s facility, equipment, or any other aspect of the organization with which the customer comes into contact.
Building of service culture requires sustained attention to:
Developing the people
to deliver service quality
Hiring right people
Retaining the best people
Providing
needed support system
to peopleService
culture
Organizational view of service culture •Service cultures differ from organization to organization
•Culture includes values, beliefs, norms, rituals, etc.
•Any policy, procedure, action or inaction on the part of an organization and its employees contribute to service culture.
•Employees can play key roles in communicating a company's culture to its customers.
•Examples include: employee dress code, interactions with customers, service provider's knowledge, skill, and attitude.
• An organization’s service culture is made up of many facets, each of which affects the customer and helps determine the success or failure of customer service initiatives.
Successful organizations are customer- centered or customer-centric and focus on individual needs.
• A service culture implies type of organizational culture that promotes kinds of behavior in its employees that leads to high concern for serving its customers.
• Companies develop vastly different service cultures depending on their industry, product, size, business model, etc. The culture is usually set and communicated by top executives.
Elements of a Service Culture
Service philosophy or mission
Employee roles and expectations
Products and services
Policies and procedures
Delivery systems
Management support
Motivators and rewards
Training
• Service philosophy or mission : The direction or vision of an organization that supports day-to-day interactions with the customer.
• Employee roles and expectations: The specific communications or measures that indicate what is expected of employees in customer interactions and that define how employee service performance will be evaluated.
• Delivery systems: The way an organization delivers its products and services.
• Policies and procedures: The guidelines that establish how various situations or transactions will be handled.
• Products and services: The materials, products, and services that are state of the art,
competitively priced, and meet the needs of customers.
• Management support: The availability of management to answer questions and
assist front-line employees in customer interactions when necessary. Also, the level
of management involvement and enthusiasm in coaching and mentoring professional
development.
• Motivators and rewards: Monetary rewards, material items, or feedback that
prompts employees to continue to deliver service and perform at a high level of
effectiveness and efficiency.
• Training: Instruction or information provided through a variety of techniques that
knowledge or skills, or attempt to influence employee attitude toward excellent
service delivery
Managing Service Delivery
Customer Service D-E-L-I-V-E-R-Y
Dedicated Empowered Linked Informed Valued Experienced Representative “Your” responsibility
D E L I V E R Y
Management definitionOf these needs
Translation into design/Delivery specs
Execution of design/delivery specs
Customer perceptions of product execution
Customer needs &expectations
Advertising & sales promises
Customer interpretation of communication
Customer experience relative to expectations
CUSTOMER
Knowledge Gap (1)
Standard Gap (2)
Delivery Gap (3)
Internal Communication Gap (4)
Perception Gap (5) Interpretation Gap (6)
Service Gap (7)
(4)
SERVICE
GA P
MODEL
GAPS IN SERVICE DELIVERY AND DESIGN
• GAP 1 : difference between management perceptions of what customers expect and what customers really do expect.
• GAP 2 : difference between management perceptions and service quality specifications - the standards gap.
• GAP 3 : difference between specific delivery standards and the service provider’s actual performance on the standards.
• GAP 4 : The difference between service delivery and what is communicated externally - are promises made consistently fulfilled.
• GAP 5: The difference between what customers expect of a service and what they actually receive– expectations are made up of past experience, word-of-
mouth and needs/wants of customers– measurement is on the basis of two sets of statements
in groups according to the five key service dimensions
• GAP 6 : The difference between what a service provider’s communication efforts promise and what a customer think was promised by these communication.
• GAP 7 : The difference between what customers expect to receive and their perception of the service that is delivered.
Strategies for closing the gap
Zeithaml Prasuraman and Berry propose a series of generic steps for closing gap 1 to 4..GAP 1: (the Knowledge Gap)• Learn what customers expect.• Increase direct interactions between
managers and customers to improve understanding.
GAP 2 (the Standard Gap)• Establish right service quality standards.• Set, communicate, and reinforced customer-
oriented service standards for all work units.• Establish clear service quality goals that are
challenging , realistic and explicitly designed to meet customer expectations.
GAP 3(the Delivery gap)• Ensure that service performance meets standards.
Clarify employee roles.• Ensure that all employees understand how their jobs
contribute to customer satisfaction.• Match employees to job by selecting for the abilities
and skills provide employees with the technical training needed to perform their assigned task effectively.
Gap 4(the internal communication gap)• Ensure that communication promise are
realistic.• Seek inputs from operations personnel when
new advertising programs are being created• Get sales staff to involve operations staff in face
to face meetings with customers.• Develop internal educational,motivational,and
advertising campaigns to strengthen links among marketing,operations and human resource department.
GAP 3 :• Clarify employee roles• Ensure that all employees understand how their jobs
contribute to customer satisfaction. GAP 4 :• Ensure that communication promises are realistic.• Develop internal educational, motivational, and
advertising campaigns to strengthen links among marketing, operations and human resource department.
GATI – Ahead In Reach
• Among the top 5 players in the country.
• Best domestic logistics company award.
• Network reaches up to 580 districts out of 590 districts.
• International operations.
Customer needs &expectations
Management definitionOf these needs
Translation into design/Delivery specs
Execution of design/delivery specs
Advertising & sales promises
Customer perceptions of product execution
Customer interpretation of communication
Customer experience relative to expectations
CUSTOMER
Knowledge Gap (1)
Standard Gap (2)
Delivery Gap (3)
Internal Communication Gap (4)
Perception Gap (5) Interpretation Gap (6)
Service Gap (7)
(4)
SERVICE
GA P
MODEL
Key Factors Leading to
KNOWLEDGE
GAP
Customer needs & Expectations
Management definition of these needs
Improper field level Information.
Business Intelligence not available for decision making at all levels.
Least attention paid to small customers.
GATI’S SOLUTION:
Customer’s information is collected through feedback forms.
Appointment of executives to cater all types of customers.
Key Factors Leading to Standard Gap
STANDARD
GAP
Translation into Design
No proper service design for customers.
Fluctuation in fuel prices.
No Insurance for goods.
Improper allocation of funds.
GATI’S SOLUTION:
Sharing the burden of increasing fuel prices.
Insurance for goods.
Management definition of these needs
Key Factors Leading to Delivery Gap
DELIVERY
GAP
Execution of Design
Poor employee-technology job fit.
Delay in delivering the service.
Over pricing to match demand.
GATI’S SOLUTION:
Employees are properly trained.
Promptness in delivery.
Translation into Design
Key Factors Leading to Communication Gap
COMMUNICATION
GAP
Execution of Design
Improper horizontal communication.
Customer enquiry constraints. Absence of strong internal marketing.
Lack of adequate education for customer.
GATI’S SOLUTION:
Toll Free Number available to provide information to the customers.
Gati.net.
Advertising And Sales Promises
Key Factors Leading to Perception Gap
PERCEPTION
GAP
Execution of Design
Indifferent attitude towards customers.
Improper design leading to negative perception.
Improper information transparency to their supply chain partners to maintain competitiveness.
GATI’S SOLUTION:
Should have a positive attitude towards the customer.
Proper market research to change design accordingly.
Customer Perceptions of product execution
Key Factors Leading to Interpretation Gap
INTERPRETATION
GAP
Advertising And Sales Promises
Overpromise, under delivery.
Main customers - Corporate customers. Hence interpretation of a local customer varies differently.
GATI’S SOLUTION:
Should focus on B to C advertising apart from B to B advertising.
Provide services as promised .
Customer interpretation of communication
Key Factors Leading to Service Gap
SERVICE
GAP
Customer perceptionsOf product execution
Value added services.
Ware housing facility.
Reverse logistics.
GATI’S SOLUTION:
Started giving value added services in some areas.
Customer Interpretation of communications
Customer experienceRelative to expectations
Thanks!!!!