The Customer Satisfaction By Measuring Service Quality Tourism Essay

The measuring and direction of service quality are cardinal to the endurance and success of service companies Legcevic, 2008. The hotel sector is a big section of the service industry which provides services and adjustments to a broad scope of clients. To do certain that a hotel is fulfilling its clients ‘ demands, it is necessary to mensurate service quality sporadically to place countries in demand of betterment. There are several methodological analysiss used for mensurating service quality, but this research survey shall use one of the more popular theoretical accounts – called the SERVQUAL theoretical account. This theory was developed by Parasuraman, Zeithaml and Berry. They were early research workers surveies about the construct of quality ( Jain and Gupta, 2004 ) . The SERVQUAL theoretical account was created to mensurate service quality as perceived by the client ( Parasuraman et al. , 1985 ) .

Harmonizing to Shangri-La Hotels Annual Report of twelvemonth 2008 and 2009, the tenancy rate of the Shangri-La Hotel, Bangkok has declined continuously ( Shangri-La Asia Limited, 2008, Shangri-La Asia Limited, 2009 ) . The most likely cause of this job is the political instability that hit Thailand late. On the other manus, it is possible that this diminution in the figure of clients was a consequence of a diminution in service quality. Even though the Shangri-La Hotel continued to stress client demands and supply first-class service to their clients, it is still important to mensurate service quality to guarantee that the clients are satisfied with the hotel ‘s services and reactivity to client demands. The consequence of mensurating service quality besides helps direction to understand precisely what their clients expect from the hotel and the degree to which they are satisfied with their experience at the hotel. This measurement theoretical account maps as a tool to advance communicating between the hotel direction and their clients.

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This research was conducted to detect client perceptual experiences about hotel services by mensurating service quality utilizing the SERVQUAL theoretical account at the Shangri-La Hotel, Bangkok. The benefits of this research are non merely to understand the degree of client satisfaction ; but furthermore, it can utilize as a guideline to heighten service quality and advance client trueness.

Title of undertaking:

“ A Study of Customer Satisfaction by Measuring Service Quality ; A Case Study of Shangri-La Hotel, Bangkok ”

Statement of research job:

A continual diminution in the figure of hotel clients over the past few months has had a direct consequence on the hotel ‘s income. The chief factor which is believed to hold caused this diminution was internal political instability in Thailand. In an attempt to transform a crisis into chance, this is an appropriate clip to detect client perceptual experiences of service quality in order to assist hotel direction better quality and fix their concern for when the state of affairs returns to normal.

Undertaking aims:

The aims of this research are as follows:

To mensurate service quality of Shangri-La hotel, Bangkok by utilizing SERVQUAL theoretical account,

To understand the relationship between client satisfaction and service quality, and

To derive a clearer apprehension of client perceptual experiences of service quality from Shangri-La Hotel, Bangkok in order to better hotel service quality in the hereafter.

Conceptual model

Dependability

SERVQUAL Dimensions

Responsiveness

Assurance

Customer Satisfaction

Empathy

Tangibles

Scope of the survey:

The range of this research focuses on measuring of service quality at the Shangri-La Hotel, Bangkok by utilizing the SERVQUAL theoretical account which considers service quality from the following five dimensions: a ) dependability, B ) reactivity, degree Celsius ) confidence, vitamin D ) empathy and vitamin E ) tangibleness. The sample population would be a random sample of 100 hotel clients during the period from June to July, 2010. The study technique would use the usage of questionnaires. This survey focuses on the relationship between client satisfaction and service quality.

Definitions of footings used in the survey:

SERVQUAL theoretical account: An instrument for mensurating service quality comprised of five dimensions such as: a ) dependability, B ) reactivity, degree Celsius ) confidence, vitamin D ) empathy and vitamin E ) tangibleness. Parasuraman summed up that clients perceive service quality by comparing their outlooks with the existent organisational public presentation, and they evaluate service quality in different dimensions ( Parasuraman et al. , 1988 ) .

Service Quality: A merchandise or result of all the staff & A ; directors of the Shangri-La Hotel, Bangkok working together to fulfill their clients. In other words, high-quality service is a service that meets or exceeds client demands and outlooks ( Wisniewski, 2001 ) .

Customer Expectation: is prediction service of client that hotel should be supply to them. Predict service straight influence client satisfaction rating ( Zeithaml et al. , 1993 )

Customer Percept: A feeling or sense possessed by the client which is derived from their experiences at the hotel.

Customer Satisfaction: The degree to which a client perceives that their outlooks were met in the dealing with the hotel ( Hallowell, 1996 ) .

Premises:

A client who receives a high degree of service quality from the Shangri-La Hotel, Bangkok is more likely to be satisfied with the overall degree of service at the hotel.

Restrictions:

Size of sample: The political uncertainness in Thailand during the past several months resulted in a lessening in the figure of tourers all over Bangkok. Furthermore, the tenancy degree at the Shangri-La Hotel, Bangkok has been suppressed due to a decrease in room handiness for internal redevelopments. The limited figure of hotel clients may restrict the sample size, taking to try mistake.

Time frame of informations aggregation: The clip frame is a major job for this research because the research clip tabular array is rather short, particularly sing that this season is the low season for touristry in Thailand. Since the tourer Numberss are much lower than during high season, it could be hard or impossible to make the appropriate sample size.

Human moralss considerations:

This research is being conducted for educational intents to larn about client satisfaction at the Shangri-La Hotel, Bangkok. For this ground, the hotel ‘s direction is leting research workers to roll up informations from their clients. Therefore, the research workers should non coerce the clients to finish the questionnaire if they are hesitating. The questionnaire is being designed so that it does non incorporate sensitive points which would do clients experience uncomfortable.

Practical significance:

Measuring service quality is more hard than mensurating the quality of manufactured goods because the nature of services is intangible ( Bergman and Klefsjo, 1994 ) . The SERVQUAL theoretical account is an efficient tool to assist step service quality and clear up client satisfaction. The consequence of this research would be utile for the Shangri-La Hotel ‘s direction and staff members so that they can break understand their clients ‘ degree of satisfaction with perceptual experiences about the hotel ‘s services. It will assist hotel direction in their attempts to keep and better hotel service quality. In add-on, other hotelkeepers and organisations within the service industries sector could accommodate this research to utilize as footing for surveies into their ain organisations.

Background information:

Shangri-La Hotels and Resorts is a well-established Asiatic hotel concatenation in major metropoliss throughout Asia, Oceania and The Middle East. The central office is located in Hong Kong. Shangri-La Hotel, Bangkok is one belongings of many belongingss of Shangri-La Company, located in the Silom territory, has a sum of 799 suites including serviced flats and other installations such as eating houses, conference suites, watering place, swimming pool and tennis tribunals ( Shangri-La Hotel, 2010 ) .

Shangri-La Hotel, Bangkok is located in a convenient topographic point next to the Chao Phraya River which is the chief river of Thailand, and is merely half an hr from Suvarnabhumi Airport and 10 proceedingss off from cardinal concern by BTS Skytrain. For these grounds, this hotel has the ability to pull legion tourers. Furthermore, Shangri-La Hotel, Bangkok is connected to Sathorn Pier, so tourers can take public boats or long tail boats to go to and see several sorts of tourer attractive forces easy – such as the Temple of Dawn, the Grand Palace, the Flower Market and Khaosan Road. There is a high diverseness of touristry industries which promote the economic system in this territory and along this river.

However, in recent old ages, the Thai economic system has experienced trouble for a assortment of grounds. Figures 1 and 2 compare the public presentation of Shangri-La Hotels and Resorts in the period from 2007 to 2008 with the period from 2008 to 2009.

Figure 1: The Shangri-La Hotel Weighted Average Room Yield 2007-2008

Beginning: Shangri-La Asia Limited ( 2008 )

Figure 2: The Shangri-La Hotel Weighted Average Room Yields 2008-2009

Beginning: Shangri-La Asia Limited ( 2009 )

The figures above show that there was a important diminution in the public presentation of Shangri-La Hotels and Resorts, Thailand in 2008 compared with 2007, and this diminution in public presentation continued into 2009 with a bead on mean room tenancy.

Harmonizing to the 2008 Shangri-La Asia Limited Annual Report, tenancy and RevPAR for Shangri-La Hotels decreased in 2008 by 15 and 10 per centum points severally ( Shangri-La Asia Limited, 2008 ) . Furthermore, the overall leaden norm RevPAR for Shangri-La Hotel and Resorts ‘ Thai belongingss decreased a farther 11 per centum in 2009 ( Shangri-La Asia Limited, 2009 ) . The planetary fiscal crisis, the extended redevelopments at the Shangri-La Hotel, Bangkok and political uncertainness are cited as the chief grounds for this diminution.

Literature reappraisal:

There are several pieces of literature sing surveies of service quality which say that if a client had a pleasant service experience, they would likely utilize that service once more and would be probably to ask for their friends or state person else to use those same services. In the same manner, if client had a hapless service experience, they by and large ne’er bury about it, and many clients will kick and travel elsewhere ( Assael, 1987, Farrington et al. , 2009, Peter and Olson, 1987 ) .

Word of oral cavity is a powerful communications tool. Customers may state others whenever they experience hapless service quality, and this would hold a direct consequence on the organisation ‘s image – ensuing in an eventual lessening in gross. The power of this communications tool has ever been apparent from the yesteryear until the present. Consequently, organisations must ever guarantee that their service quality is the most pleasant and best to bring forth clients ‘ satisfaction. This is because the anchor of service organisation growing is non merely a high quality merchandise or pricing scheme, but it is besides the combination with good client service. “ When clients receive good service the results are positive ” ( Farrington et al. , 2009 ) .

Presents, companies progressively emphasize service quality and client satisfaction throughout, so that they can increase client trueness, because it has determined that high client trueness is cardinal to success in their market section ( Cronin et al. , 2000 ) . Service quality is widely studied and utile in service industries ( Carman, 1990, Collier and Bienstock, 2006, Cronin and Taylor, 1992, Cronin et al. , 2000, Gronroos, 1984, Parasuraman et al. , 1985, Parasuraman et al. , 1988 ) . Many bookmans have taken an involvement in service quality issues because of their intangibleness, which makes them really hard to mensurate ( Bergman and Klefsjo, 1994 ) . For these grounds, several research workers created a theoretical account to assist clear up the measuring of service quality. The most popular and extensively used theoretical accounts are Gronroos ‘ Service Quality Model and Parasuraman ‘s Gap Model ( Legcevic, 2008 ) . It could be describes of each theoretical account as followers ;

Gronroos ‘ Service Quality Model splits client perceived service into two dimensions: 1 ) proficient quality, and 2 ) functional quality ( Gronroos, 1984 ) .

1 ) Technical quality or result quality is what client receives as result of the procedure in the resources.

Functional quality is how client receives from proficient result ( Legcevic, 2008 ) .

Parasuraman ‘s Gap Model indicates that five spreads exist between direction and clients during the service bringing procedure ( Parasuraman et al. , 1985 ) . For my research, I will use the SERVQUAL graduated table by utilizing spread tonss to assist step service quality.

Service Quality:

Today quality become recognized as a strategic tool to heighten and improved concern existent public presentation both of goods sector and service sector. The cardinal factor to success in service industry is service quality. The intent of service quality is to fulfill the client. Hence, service quality and client satisfaction influence each other. As mentioned in the beginning, service quality is defined as a merchandise or outcome ensuing from all members in the organisation seeking to fulfill their clients ( Wisniewski, 2001 ) . Service quality besides could be defined as important decision-making standards for service consumers ( Cronin et al. , 2000 ) . Customers evaluate service quality by comparing organisational public presentation with their outlooks ( Zeithaml et al. , 1993 ) . However, Parasuraman proved and indicated that there is a job with client perceptual experience of service, because five spreads exist between the client and the service supplier during service bringing. The figure below illustrates the Service Quality Gap Model by Parasuraman.

Figure 4: The Service Quality Gap Model

Beginning: Parasuraman, Zeithaml, and Berry ( 1985 )

Harmonizing to figure as above, it could be describes each spread as followers ;

Gap1: Service supplier non cognizing what the clients expect

Gap2: Service supplier non choosing the right service design

Gap3: Service supplier non presenting to serve criterion

Gap4: Service supplier non fiting public presentation to promises

Gap5: The difference between client outlooks and client perceived service ( Legcevic, 2008 )

A spread which may happen between client outlook and client perceptual experience is non the lone measuring of service quality. However, it is a determiner of client satisfaction or dissatisfaction. If the service supplier ‘s response to client demands is below their outlooks, the client would gauge that the quality is low. “ Measuring the spread between expected and perceived service is a everyday method of using client feedback ” ( Pizam and Ellis, 1999 ) .

SERVQUAL Scale:

The chief benefit of the SERVQUAL instrument is that it helps direction to mensurate the quality of service by comparing clients ‘ outlook of service and client perceived service which categorising each job aspect into five dimensions. It lets them sort the jobs into dimensions, assisting direction to concentrate on the jobs and better service quality in the right manner when some elements of service are found to be missing. The SERVQUAL theoretical account was created by Parasuraman, Zeithaml and Berry in 1985. The 1985 version consisted of 10 dimensions. The theoretical account was further developed, and in 1988 it was refined into five dimensions. The SERVQUAL theoretical account has been widely used as an efficient instrument for mensurating service quality in many service industries ( Asubonteng et al. , 1996 ) . The five dimensions are: 1 ) dependability, 2 ) reactivity, 3 ) confidence, 4 ) empathy and 5 ) tangible. Harmonizing to Parasuraman, Zeithaml and Berry ( 1985 ) , they defined each dimensions as follows:

Dependability:

Ability to execute the promised service faithfully and accurately

Responsiveness:

Willingness to assist clients and supply prompt service

Assurance:

Knowledge and courtesy of employees and their ability to animate trust and assurance

Empathies:

Caring, individualised attending the house provides its clients

Tangible:

Physical installations, equipment, and visual aspect of forces

The most of import dimension that the client used to measure service quality is the dependability dimension ( Legcevic, 2008 ) . Parasuraman developed a set of questionnaires utilizing 22 parallel inquiries to mensurate clients ‘ outlook of service and client perceptual experience of service in the five dimensions. The measuring uses a Likert Scale with seven degrees runing from strongly hold to strongly differ. The service quality measuring of each brace of inquiries utilizations public presentation subtraction outlook. A positive mark represents positive service quality ( Parasuraman et al. , 1988 ) .

Quality = Performance – Expectation

However, there are legion of academic surveies which do non back up these five dimensions. These surveies determined that jobs occur with this measuring method. Chen ( 2008 ) argued that SERVQUAL should add more dimensions to give the consequence more cogency and credibleness ( Chen, 2008 ) . Carman ( 1990 ) argued that each dimension should non be general because each service industry is different. Therefore, this theoretical account could non be used in the same format across industries ( Carman, 1990 ) . Although, there are weak points bing in SERVQUAL theoretical account, the construct of dimensions is still utile and when anyone interested in service quality issue, one pick which remind is SERVQUAL graduated table because its great to demonstrative power ( Jain and Gupta, 2004 ) . Then, it is used often today.

SERVPERF Scale

When discuss about SERVQUAL graduated table, it can non bury to negotiations about SERVPERF graduated table every bit good. SERVPERF is one of service quality measurement graduated table. The consequences of both graduated table ( SERVQUAL and SERVPERF ) , when comparison these method to each other, the consequence which occurs are rather similar. However, there are differences in mensurating procedure. Furthermore, it is difference in dependability. To sort divergency between SERVQUAL graduated table and SERVPERF could be concise explain as following ; SERVQUAL usage clients ‘ outlook of service and client perceived service to happen service quality while SERVPERF use merely clients ‘ perceptual experience for consideration. Cronin and Taylor ( 1992 ) comparison between these two graduated tables a found that SERVPERF is adequate for step service quality. However, the SERVQUAL graduated table is effectual than SERVPERF graduated table because it provide more matter-of-fact diagnosing of service quality ( Jain and Gupta, 2004 ) .

Customer Satisfaction:

There are plentiful research workers ‘ surveies on client satisfaction. The definition of client satisfaction is besides diverse. Pizam and Ellis ( 1999 ) states that client satisfaction is a psychological construct associating to a feeling of pleasance and wellbeing which is a consequence between demands in head and an appealing merchandise or service ( Pizam and Ellis, 1999 ) . The sense of satisfaction brings about positive attitudes which leads a client seek that fulfilling experience once more ( Assael, 1987 ) .

Customer satisfaction besides has an influence on corporate endurance. Naumann ( 1995 ) states that in order to pull a new client, an organisation has to pay costs in the signifier of clip and resources equal to about five times that which is necessary to retain an bing client ( Naumann, 1995 ) . Therefore, it leads the organisation to find quality as the ability to retain bing clients.

However, non every client will comprehend the same degree of satisfaction with the same degree of service, because their sense of satisfaction is related to word of oral cavity communicating and their past experiences ( Pizam and Ellis, 1999 ) . All people have had different experiences, therefore they besides have different aims, demands and outlooks. To guarantee that the organisation provides a high degree of service quality, client satisfaction studies are necessary. Parasuraman, Zeithaml, and Bery ( 1994 ) suggested that merchandise quality, service quality, and monetary value are each factors that encourage satisfaction ( Parasuraman et al. , 1994 ) . Customer trueness develops when clients become satisfied with these different factors provided by the organisation ( Farrington et al. , 2009 ) . The followers is a conceptual model demoing the connexion of each component which involves client satisfaction.

Figure 3: A Conceptual Framework for the Effectss of Perceived Product Quality, Service Quality, and Pricing Fairness on Consumer Satisfaction and Consumer Loyalty

Customer Satisfaction

Product Quality

Perceived Product Quality

Perceived Service Quality

Service Quality

Customer Loyalty

Perceived Price Fairness

Monetary value

Beginning: ( Bei and Chiao, 2001 )

Understanding the critical elements described supra, how they are related, and how they help the organisation is a foundation to success in the service industry.

Datas required:

The information required for this survey would be based in information collected from Shangri-La Hotel, Bangkok clients. This research besides requires the usage of SERVQUAL as the chief theoretical account to assist step service quality. Furthermore, may use some other theories from journal articles and text editions which are related to this research. Other beginnings of information may include Shangri-La Hotel and Resorts ‘ information, peculiarly with respects to general information and tenancy informations as needed supporting in this research.

Datas beginnings:

This research will use the undermentioned two types of informations:

Primary informations: The primary informations for this research will be collected from 100 hotel clients who stay at the Shangri-La Hotel, Bangkok for least one dark. The invitees will be selected by simple random sampling technique, and they will make full out questionnaires sing hotel service quality. Each questionnaire shall incorporate three parts: the first portion will be general information, the 2nd portion will be about the outlooks, perceived service quality and 3rd portion is degree of satisfaction of the client.

Secondary informations: The secondary informations will be gathered from literature such as journal articles, text editions, Shangri-la Hotel, Bangkok informations and hotel web site beginnings. The procedure of informations aggregation shall be conducted from June to July, 2010.

Data aggregation techniques:

This research would be collects the information from 100 of clients of Shangri-La hotel, Bangkok who stay at the hotel at least one dark. The research worker would be choice population sample by employ random trying method and utilizing questionnaire as the tools. The measurement service quality instrument in this research is SERVQUAL. The questionnaire composes of three parts as followers ;

First portion is about demographic informations of clients ( gender, age, nationality, business, ground for stay, how frequently that they have been stay at Shangri-La hotel, Bangkok and why they selected here as a topographic point to remain ) .

Second portion, it would be concentrating on clients ‘ outlook of service quality ( client ‘s outlooks ) and received service quality ( client ‘s perceptual experiences ) , in this country client would reply both of these two facets into SERVQUAL dimensions. This research would utilize Likert ‘s graduated table to mensurate into five point graduated tables. Likert ‘s graduated table is a instrument to assist mensurate attitude and sentiment ( Laerhoven et al. , 2004 ) . On the clients ‘ outlook inquiry side would be ask client to rate runing from “ Very unneeded ” 1,2,3,4,5 “ Very necessary ” . On the clients ‘ perceive service inquiry side would be ask client to rate runing from “ Very hapless ” 1,2,3,4,5 “ Very good ” .

Third portion would be ask client one inquiry about their satisfaction of overall hotel service quality. In add-on, research worker would go forth the country for client to add any recommendation.

Datas analysis:

As for this research would be use SPSS plan ( Statistic Package for Social Science ) to assist analyse questionnaire study.

Timeline:

Researcher has 13 hebdomads to treat this study. This research procedure began on May 22, 2010. Due day of the month of research proposal is on June 20, 2009. As for research concluding study is require to be submit on August 15, 2010