A service has been described as a deed, act or performance. The literature suggests that differences between goods and services exist, resulting in four basic characteristics of services: intangibility, inseparability of production and consumption, heterogeneity, and perishability. Zeithaml and Bitner claim that intangibility is the key determinant of whether an offering is a service or product. These service characteristics have created problems and challenges for managers of services.
A recurring theme in service companies is the difficulty managers experience in translating their understanding of customers’ expectations into service that employees can understand and execute.
This proposition will be discussed in the following.
Table of Contents
1. Introduction
2. Understanding customer expectations of service
2.1 Customer expectations
2.2 Implications for managers
2.3 Example Singapore Airlines
3. Service-quality specifications
3.1 Service design
3.2 Service standards
3.3 Physical evidence
4. Service delivery by employees
4.1 Key roles of employees
4.2 Human resource policies
5. Conclusion
Objectives and Key Themes
This work examines the critical challenges service organizations face in understanding customer expectations and translating them into consistent service delivery. It explores how management can bridge the gap between customer needs and employee execution through effective design, standards, physical environments, and human resource strategies.
- Analysis of customer expectations and the "zone of tolerance."
- Methodologies for translating expectations into service specifications.
- The impact of servicescapes and physical evidence on employee performance.
- The strategic role of front-line employees and internal marketing.
- Best practices illustrated by companies like Singapore Airlines and Southwest Airlines.
Excerpt from the Book
2.1 Customer expectations
Expectations have been defined “(…) as beliefs about service delivery that serve as standards or reference points against which performance is judged” (Wilson et al., 2008, pg. 55). Customers evaluate service quality by comparing their perceptions of service with their expectations. Service quality dimensions are those attributes of service about which customers may have expectations and which need to be delivered at some specified level (Johnston/ Clark, 2001). Service quality and customer service expectations respectively can be categorized into five overall dimensions: tangibles, reliability, responsiveness, assurance, and empathy (Parasuraman/ Berry/ Zeithaml, 1991a). Travellers for example might expect no-frills service for a short domestic flight but would be very dissatisfied wit the same level of service on a full-service airline flying from Glasgow to New York (Lovelock/ Wirtz, 2004). It is therefore the key challenge for service operation managers to understand customer expectations of their own firm’s service offering.
According to Parasuraman/ Berry/ Zeithaml (1991b) customers have different types of expectations about service, classified in two service levels: The desired service level is the service the customer hopes to receive (“can be” or “should be” expectations). The adequate service level is the service the customer finds acceptable (“will be” expectations) and reflects the minimum performance level expected by the customer without being dissatisfied. These two service level expectations are the upper and lower boundary of the zone of tolerance.
Summary of Chapters
1. Introduction: This chapter defines the basic characteristics of services—intangibility, inseparability, heterogeneity, and perishability—and highlights the core management challenge of aligning customer expectations with service execution.
2. Understanding customer expectations of service: This chapter explores how customers form expectations, introduces the concept of the "zone of tolerance," and discusses how managers can use marketing research and upward communication to stay aligned with customer needs.
3. Service-quality specifications: This chapter focuses on the necessity of translating customer understanding into concrete service design, clear standards, and optimized physical evidence (servicescapes) to ensure consistent delivery.
4. Service delivery by employees: This chapter examines the critical role of front-line employees as the "brand" and emphasizes the importance of human resource policies and internal marketing in motivating and empowering staff to meet customer expectations.
5. Conclusion: This chapter summarizes the complexity of meeting service expectations and reiterates that success depends on a holistic approach including research, design, and internal culture.
Keywords
Service Quality, Customer Expectations, Zone of Tolerance, Service Design, Service Standards, Servicescape, Front-line Employees, Internal Marketing, Employee Empowerment, Service Branding, Singapore Airlines, Southwest Airlines, Human Resource Strategies, Service Encounter, Customer Satisfaction.
Frequently Asked Questions
What is the core focus of this publication?
The publication addresses the fundamental challenge service-based organizations face in identifying customer expectations and successfully translating those expectations into tangible service delivery and employee behavior.
What are the primary thematic areas covered?
The text focuses on four main pillars: understanding customer expectations, establishing service-quality specifications, managing the physical service environment, and optimizing human resource policies for service delivery.
What is the primary objective of this work?
The primary goal is to provide a comprehensive view of how management can bridge the gap between organizational service promises and the actual experience delivered to the customer by focusing on internal processes and staff empowerment.
Which scientific methods or approaches are utilized?
The work utilizes a literature-based analysis, synthesizing established academic models such as SERVQUAL, the service-profit chain, and the zone of tolerance, while supporting these theories with case studies of global leaders like Singapore Airlines.
What topics are discussed in the main body?
The main body details how service firms define and measure quality, the role of service blueprints and standards in design, the psychological impact of the physical environment (servicescape) on employees, and strategies like internal marketing to retain top-tier staff.
Which keywords characterize this document?
Key terms include Service Quality, Customer Expectations, Servicescape, Front-line Employees, Internal Marketing, and Service Branding.
How does the author define the "zone of tolerance"?
The author defines it as the range between the "desired" service level (what the customer hopes for) and the "adequate" service level (the minimum acceptable performance), within which customers accept variations in service quality.
Why is internal marketing considered a solution for service quality?
Internal marketing treats employees as internal customers, ensuring that those who serve the external client are motivated, trained, and empowered to deliver the service brand promise consistently.
What role does the "servicescape" play for the employee?
Beyond its impact on customers, the servicescape is seen as a key factor in employee satisfaction and motivation. A well-planned environment can prevent negative physical impacts and facilitate better performance by front-line staff.
Why are Singapore Airlines and Southwest Airlines highlighted?
They serve as best-practice examples of companies that successfully align their internal human resource policies, recruitment, and management communication to ensure their employees consistently meet or exceed high customer expectations.
- Quote paper
- Daniel Hischer (Author), 2008, Service Marketing - an introduction, Munich, GRIN Verlag, https://www.grin.com/document/93495
