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Measuring Quality in a Service Industry

Measuring Quality in a Service Industry

Quality is measured quantitatively. In manufactured goods, everything is spec'd out by plan and processes must create the components to spec within given tolerances. The final product must do what it is designed to do. Service industries are somewhat different, there is no product and no quantitative specifications. What are some ways that service businesses measure quality? Provide some examples and also discuss this in more general conceptual terms as well.

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Service companies primarily measure quality through a set of metrics, which depend upon the type of business is involved. For instance, a hotel chain could be considered part of the service industry. Quality can be measured by customer feedback on questionnaires, fill rate of rooms, number of guests returning for repeat visits, and referrals. To further measure quality, exit information is obtained from guests, as well as information from surveys emailed or mailed to guest's homes. The Four Season's chain does a good job of this, and is renowned for customer service.

Quality is "conformance to requirements" (Crosby, 1979), and as such service companies must set up the parameters with which it demands its' employees conform to. Setting up concrete behaviors which are measurable is key to ensuring ...

Solution Summary

THis solution addresses measuring quality in a service industry, as compared to in manufactured goods. It gives examples of how service industries can measure quality, and discusses this issue in conceptual terms as well.It includes links.