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Customer Satisfaction and Service Quality

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1. Customer satisfaction and service quality are intertwined; however, experts have not been able to completely explain the relationship between the two. On one hand, there are those who believe customer satisfaction leads to perceived service quality, and on the other hand, there are those who believe that the reverse happens, and service quality leads to customer satisfaction. What most experts do agree on, however, is that "customer satisfaction is a short-term, transaction-specific measure, whereas service quality is an attitude formed by a long-term, overall evaluation of a performance" (Hoffman & Bateson, 2011). Both aspects, given their interconnectedness, are not only important to the customer, but also to the organization as a whole. Since customer satisfaction "compares perceptions to what customers would normally expect" and service quality "compares perceptions to what customers should expect" the two essentially go hand-in-hand (Hoffman & Bateson, 2011). Furthermore, after each transaction, the customer evaluates the service, and over time, these evaluations "help revise customers' overall service quality of the firm's performance" (Hoffman & Bateson, 2011).

Hoffman, D. and Bateson, J. (2011). Service Marketing: Concepts, Strategies, & Cases. South-Western, Cengage.

2. When it comes to customer satisfaction and service quality, they are related by how they help each other out. It can be argued by many that customer satisfaction leads to enhanced service quality while others will say that it is service quality that leads to excellent customer satisfaction. Well customer satisfaction does happen when the goods or service meets or exceeds the buyer's needs or expectations. In sale trainings, they are always teaching to under sell and over deliver. In other words, sell the highlights of the service or item (normally those that satisfy the customer's needs at the moment); then, let the good or service deliver everything else it offers that will exceed the buyer's expectations.

As for service quality, I have always understood that it is the expected and perceived quality of a service offering. In other words, if poor customer service is provided then that will give the perception to other potential customers that the business does not aim for customer satisfaction. According to Hoffman and Bateson, most experts agree that customer satisfaction is a short-term, transaction-specific measure, where service quality is an attitude formed by a long-term, overall evaluation of performance (Hoffman & Bateson, 2011).

The importance lies in knowing how to get from delivering excellent service quality and getting to wonderful customer satisfaction. Just like trying to figure out which came first, the chicken or the egg - many will argue that customer satisfaction is more important than service quality. I personally do not think that one is more important than the other.

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1. Customer satisfaction and service quality are intertwined; however, experts have not been able to completely explain the relationship between the two. On one hand, there are those who believe customer satisfaction leads to perceived service quality, and on the other hand, there are those who believe that the reverse happens, and service quality leads to customer satisfaction. What most experts do agree on, however, is that "customer satisfaction is a short-term, transaction-specific measure, whereas service quality is an attitude formed by a long-term, overall evaluation of a performance" (Hoffman & Bateson, 2011). Both aspects, given their interconnectedness, are not only important to the customer, but also to the organization as a whole. Since customer satisfaction "compares perceptions to what customers would normally expect" and service quality "compares perceptions to what customers should expect" the two essentially go hand-in-hand (Hoffman & Bateson, 2011). Furthermore, after each transaction, the customer evaluates the service, and over ...

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This solution provides explanations to questions the concepts of customer satisfaction and service quality.

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Strategic quality management and customer satisfaction

Discuss examples of tools and techniques used to measure quality and customer satisfaction within your selected organization.

Background:

Baderman's mission to our customer, employee, shareholder and community is:
Customer - We will exceed both the expectations and experiences of our members and guests by providing them with excellent service. We will offer only the finest in terms of staffing, facilities and cuisine.
Employee - We will inspire employee pride and commitment by offering above-average compensation, job security, advancement opportunities, performance recognition and open communication.
Shareholder - We will consistently increase the value of Baderman Island for our shareholders while fostering pride of ownership.
Community - We will become a more effective partner with business associates, vendors and the community, to enhance stability and long-term growth. We will continue our leadership involvement in the community, and consistently improve the quality of life through excellent, planned development.
A vision statement tells what a success will look like. The pursuit of this image of success is what motivates people to work together (Alliance, n.p.). The vision at Baderman Island is "To be known as the finest resort and resort community in the world, as recognized by our employees, members, guests and the industry." (University of Phoenix, 2005).

The strategic objectives for Baderman Island are planning for additional resort development, improve transportation and access to grounds, enhance the environmental focus of the Island in its development, and building an all season business model with local and regional stakeholders (University of Phoenix, 2005).
Total Quality Management (TQM) is defined as a management method relying on the cooperation of all members of an organization. TQM is a management method that centers on quality and on the long-term success of the organization through the satisfaction of the customers; as well as a benefit to its members and society (Kwalites, n.p.). TQM is a strategic level objective for Baderman Island's future development because it has an effective strategy that aims to enhance value to customers by designing and continually improving organizational processes and restructuring. The Baderman objective is taking on the role of quality management with primary goals that incorporate values, concepts, and determination of framework for evaluation (Burrell, 1999).

The strategic planning development examines the manner in which Baderman sets strategic directions to strengthen and expand the development of the Island. As a premiere vacation location and the current development of an additional 800 acres, it is evident that management has examined performance and improvement in customer satisfaction, financial and market performance, and operational performance. TQM is a strategy that this business would use because financial and marketplace performance include such measures as aggregate return on investment, market share, business growth, and new markets entered (Ledolter, 1999).

Currently the Baderman is a growing tourist and vacation resort, so TQM would be a strategic level objective to be implemented. The major emphasis here is on continuous improvement and empowerment. TQM relies on fact-based decision- making when development ventures such as this one are in process.

Bader Island will also focus on customer service, by recruiting and maintaining the qualified candidates that have the necessary skills, knowledge, abilities, and other characteristics that will help the organization enhance productivity. TQM also contributes to the organization's revenue and capital by involving employees to acquire skills, knowledge, and behavior that improve their ability to meet the challenges of a variety of new and existing positions. TQM will help to ensure that the organization's business dealings are handled properly in a timely manner and that all guests are accommodated.

Maintaining qualified, experienced, and dedicated staff and faculty who are committed to the organization's philosophy is the direction this organization will follow to attain success. Secondly, the factors of the economic environment should be analyzed. As the economy continues to increase, the financial budget of this immoderate, ravishing hideaway needs to be evaluated on a consecutive basis. Lastly, the advancements of technology have shifted how business is conducted. With the impact of the Internet, consumers can access information such as hotel reservations, forecast predictions, transportation usage, and historical data by logging into the website. While technology is constantly changing, responding to the needs and existence of the business through revisions of training methods and materials can improve the products, process, and people to achieve total quality.

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