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Sections

  • Hyundai Automobiles
  • Consumption trends
  • History
  • CMS has many advantages which are stated below: -
  • • Marketing strategy that utilizes the entire
  • organization to:
  • • Technology alone can only meet limited
  • objectives:
  • • Before Relationship Marketing and CMS
  • • Firms need to become “Customer Customer-Centric”
  • • To achieve the necessary structural
  • • Communication ensures the right
  • • Departments must understand each
  • Senior Management Commitment
  • • Senior management must:
  • • Organizations often structure their
  • rewards based on revenue generation
  • • New reward structure will emphasize the
  • objectives of CMS
  • The Customer
  • The Suppliers
  • The Owners
  • The Employees
  • Other Partners
  • PURPOSE
  • NATURE OF CMS
  • According to one industry view, CMS consists of:
  • 1. Does the methodology cover the scope of your CMS Vision?
  • 2. Does the methodology enhance your organisational capability?
  • 4.Do you have the resources to see the methodology through?
  • 4. Are you prepared for Change ?
  • 1. Primary sources:
  • 2.Secondary sources:
  • Gender High
  • Satisfaction Total
  • INFERENCE:
  • High satisfaction Medium
  • S. No Satisfaction levels No. of
  • Levels of management:
  • Educational qualification:
  • Age:
  • Experience
  • Books
  • References

A Project Report On “Customer Management System” at Garve motors Pvt. Ltd.

By “Sonali Dapade” Under the guidance of “Renuka Chandole” Submitted to “University of Pune “ In partial fulfillment of the requirement for the award of the degree of Master of Business Administration(MBA) (20010-12 batch) Through Institute of Science, Poona’s Institute of Business Management & Research, Wakad, Pune-411057

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ACKNOWLEDGEMENT
This project is the outcome of the help and encouragement provided by all faculty members, who were a continuous source of inspiration and who guided me in all my endeavors. I take this opportunity to thank all those who were a great support behind this project and without their unconditional support behind this project. First of all I would like to thank my parents for giving me back and full support in completing this project. I would like to express my heartfelt thanks to Mr. Prakash Sondkar (HR manager) & Mr. Nilesh Mehta (Sr.EDP manager) of Garve Motors Pvt. Ltd. Who permitted to carry out the project work and leaving no stone unturned in providing each and every detail, which I needed throughout the project. My heart felt gratitude to Mr.S.S.Shimpi, Director of IBMR for being motivating figure and making available all resources needed for the project. I earnestly wish to extend my humble gratitude to Mrs.Renuka Chandole project guide without whose support and timely suggestion this report would not have been completed. She has been particularly helpful in smoothing ways and helping me overcome the numerous difficulties that were confronted during the course of the project. I would seriously like thank her for her guidance, inspiration and encouragement throughout this project. Along with her I would express my sincere thanks to other staff members of my institute who directly or indirectly helped me in preparation of my project.

Last but not the least I would like to thank all those who are not mentioned, but whose contribution has been instrumental towards completion of the project.

Sonali Dapade

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CONTENTS
• • • • • • • • • • • • • Introduction to the topic Reason for selecting the topic Company profile Industry profile Introduction to CMS Objective of CMS Scope of CMS Research methodology Analysis and interpretation SWOT analysis Recommendation and suggestions Conclusion Bibliography

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clients and sales prospects. automate. finance and production. and technical support The overall goals are to find. It involves using technology to organize. and reduce the costs of marketing and client service. and synchronize business processes—principally sales activities. influences their relations 4 . but also those for marketing. entice former clients back into the fold. customer service. Measuring and valuing customer relationships is critical to implementing this strategy. one way or another. marketing. The company’s performance becomes more predictable. organizing income accounting and forecasting and the required resources for their implementation. the transparency and effectiveness of all business processes connected with the relationships with customers and partners increase. CMS is a software solution which gives any business or company a chance to become highly organized and oriented on customers having placed them in the center of all information channels related to them and provides sales people the access to the required data. The aim of CMS software development is the increase in the company’s management due to effective interaction and coordination between the management and main departments: sales. Customer management systemdescribes a company-wide business strategy including customer-interface departments as well as other departments.Introduction Customer management system (CMS) is a widely-implemented strategy for managing a company’s interactions with customers. In the customer oriented company sales people will have the access to the whole information which. It allows minimizing resource expenses for attracting new customers and retaining the existing ones. and win new clients. nurture and retain those the company already has. attract.

Instances of a CMS attempting to contain a large. Previously these tools were generally limited to simple CMS solutions which focused on monitoring and recording interactions and communications. as only certain parts are used and the system is not fully functional. Thanks to this. Successful development. sell more goods and services . The increased use of customer management systemsoftware has also led to an industry-wide shift in evaluating the role of the developer in designing and maintaining its software. Companies are urged to consider the overall impact of a viable CMS software suite and the potential for good or harm in its use.The customer oriented companies handle clients’ requests more quickly and accurately as the whole necessary information is stored in one place. and the sales pipeline itself. This fragmented implementation can cause inherent challenges. implementation. opportunities.with customers. COMPLEXITY Tools and workflows can be complex. letters. there are obstacles that obstruct the user from using the system to its full potential. complex group of data can become cumbersome and difficult to understand for an ill-trained user. while others may be pushed aside. territories. Negotiations. complaints. but often. all the information which has been sent to the customer everything that can influence the ability of the sales people to provide services and. especially for large businesses. as a result. an interface that is difficult to navigate or understand can hinder the CMS’s effectiveness. Software solutions then expanded to embrace deal tracking. use and support of customer management systemsystems can provide a significant advantage to the user. causing users to pick and choose which areas of the system to be used. Next came the advent of tools for other client-interface business 5 . informal discussion. reclamations. Additionally. the company can have a higher index of client retention than the competitors that are organized traditionally.

as described below. offered as onpremises software that companies purchase and run on their own IT infrastructure. Customers are likely not as patient to work through malfunctions or gaps in user safety. keeping the system from full use and potential. This bloated software can appear sluggish and/or overwhelming to the user. In many cases. implementation can be fragmented or not entirely complete. Two 2008 case studies show that the layout of a system provides a strong correlation to the ease of use for a system and that it proved more beneficial for the design to focus on presenting information in a way that reflected the most important goals and tasks of the user. thus not allowing the system to work as fully intended. and there is an expectation that the usability of systems should be somewhat intuitive: “it helps make the machine an extension of the way I think not how it wants me to think. These tools have been. the growth of capabilities and complexities of systems has hampered the usability of a customer management systemsystem. An overly complex computer system can result in an equally complex and non-friendly user interface.functions. rather than the structure of the organization. With a difficult interface for a user to navigate. This “ease of service” is paramount for developing a system that is usable. 6 . A series of 1998 research indicates that each item added to an information display can significantly affect the overall experience of the user. POOR USABILITY One of the largest challenges that customer management systemsystems face is poor usability.” An intuitive design can prove most effective in developing the content and layout of a customer management systemsystem. The importance of usability in a system has developed over time. and still are.

Instead. Some developments and shifts have made companies more conscious of the lifecycle of a customer management systemsystem. Companies now consider the possibility of brand loyalty and persistence of its users to purchase updates. poor usability can lead to implementations that are fragmented — isolated initiatives by individual departments to address their own needs.FRAGMENTATION Often. A fragmented implementation can negate any financial benefit associated with a customer management systemsystem. in the past. only employees or partners were aware of it. it is important that support for the CMS system is companywide. upgrades and future editions of software. Additionally. Poor usability and low 7 . The outcome of internal fragmentation that is observed and commented upon by customers is now visible to the rest of the world in the era of the social customer. and dysfunctional processes. Addressing the fragmentation requires a shift in philosophy and mindset in an organization so that everyone considers the impact to the customer of policy. Human response at all levels of the organization can affect the customer experience for good or ill. Systems that start disunited usually stay that way: siloed thinking and decision processes frequently lead to separate and incompatible systems. with a 2002 study suggesting that less than half of CMS projects are expected to provide a significant return on investment. as companies choose not to use all the associated features factored when justifying the investment. CMS systems face the challenge of producing viable financial profits. The challenge of fragmented implementations may be mitigated with improvements in late-generation CMS systems. BUSINESS REPUTATION Building and maintaining a strong business reputation has become increasingly challenging. Even one unhappy customer can deliver a body blow to a business. decisions and actions.

8 .usage rates lead many companies to indicate that it was difficult to justify investment in the software without the potential for more tangible gains Reasons for selecting the topic This project has been taken to enrich my knowledge and enhance my understanding as well as share my experience on CUSTOMER MANAGEMENT SYSTEM by doing some study and research. It also aims to understand the problems associated with understanding the system used for customer management and suggest measures to be adopted to overcome this issues.

The first Hyundai company was founded in 1947 as a construction company by Chung. Hyundai Heavy Industries Group. the world's largest shipbuilder. Hyundai Group underwent a massive restructuring following the 1997 East Asian financial crisis and Chung Ju-yung's death in 2001. Two of the best-known Hyundai divisions are Hyundai Motor Company. These companies include Hyundai Kia Automotive Group. Hyundai Department Store Group. In 1998 Hyundai bought Kia Motors.[2] Other companies currently or formerly controlled by members of Chung's extended family may be loosely referred to as a part of the Hyundai chaebol.Company profile Hyundai (Korean pronunciation: is a group of companies (or chaebol) founded in South Korea by one of the most famous businessmen in Korean history: Chung Juyung. the oldest South Korean car company which had to file for bankruptcy due to the 1997 Asian financial crisis. after his previous efforts running a rice store and an auto-repair business had to be abandoned due to difficulies with the Japanese military government of Korea. Today many companies bearing the name Hyundai are not part of or legally connected to the Hyundai Group. Kia is (as of 2011) somewhat independent of Hyundai motors. Chung was the CEO and directly in control of the company until the end of his life. as Hyundai no longer owns an outright majority of Kia shares. the world's fourth largest automobile manufacturer by volume as of January 2011[1]. and Hyundai Heavy Industries. and Hyundai 9 .

In 2010. container shipping services. was a former CEO of Hyundai Construction. Hyundai operates the world's largest integrated automobile manufacturing facility in Ulsan. Hyundai Automobiles Hyundai branded vehicles are manufactured by Hyundai Motor Company. Popular models include the Sonata midsize sedan and Elantra compact. all of the named companies are run by Chung's sons or their heirs. which is capable of producing 1.000 dealerships and showrooms worldwide. Hyundai vehicles are sold in 193 countries through some 6. which along with Kia comprises the Hyundai Kia Automotive Group.Development Group. then it remains the single largest company in South Korea and it appears to wield enormous economic and political power in the country.7 million vehicles worldwide. Following the break-up. The current president of South Korea. Headquartered in Seoul. 10 .000 persons around the world. The company employs about 75. Lee Myung-bak. and tourism. Hyundai sold over 1. Hyundai Group's business was reduced to manufacturing of elevators. South Korea.6 million units annually. However. If Hyundai is considered as a family business.

there were about 806 million cars and light trucks on the road in 2007. consuming over 260 billion gallons of gasoline and diesel fuel yearly. The sustainable transport movement focuses on solutions to these problems. markets. manufactures. Russia.Industry profile The automobile industry designs. India and China). Consumption trends About 250 million vehicles are in use in the United States. Other potentially powerful automotive markets are Iran and Indonesia. such as repair shops and motor fuel filling stations. and is one of the world's most important economic sectors by revenue. one-third of world demand will be in the four BRIC markets (Brazil. and delivering a declining level of service despite increasing investments. develops.[1] In the opinion of some. Many of these negative impacts fall disproportionately on those social groups who are also least likely to own and drive cars. and sells motor vehicles. urban transport systems based around the car have proved unsustainable. The Detroit branch of Boston Consulting Group predicts that. 11 . affecting the health of populations. The term automotive industry usually does not include industries dedicated to automobiles after delivery to the customer. consuming excessive energy. Around the world. by 2014.

Benz was granted a patent for his automobile on 29 January 1886. his wife. fitting it into his son's tricycle. the Daimler Reitwagen. and first motorcycle.9 W) 122 cc (7. in 1885. 12 . They also are usually credited as inventors of the first motorcycle.History The first practical automobile with a petrol engine was built by Karl Benz in 1885 in Mannheim. rather than a horse-drawn carriage fitted with an engine. making it at least a candidate for the first automobile. after Bertha Benz.. Since 2008 a Bertha Benz Memorial Route commemorates this event.4 cu in) onecylinder petrol motor. Germany. had proved with the first long-distance trip in August 1888 (from Mannheim to Pforzheim and back) that the horseless coach was absolutely suitable for daily use. Gottlieb Daimler and Wilhelm Maybach in Stuttgart in 1889 designed a vehicle from scratch to be an automobile. patented a 0. but Italy's Enrico Bernardi. in 1882. Soon after. Bernardi enlarged the tricycle in 1892 to carry two adults. of the University of Padua.024 horsepower (17. and began the first production of automobiles in 1888.

retain and understand the customers.CUSTOMER MANAGEMENT SYSTEM  Definition Customer Management System (CMS) is defined as a system for management of all enterprise-wide customer interactions from a single application and interface. acquire. It offers a comprehensive customer management system(CMS) program that helps the organizations to effectively target. 13 .

What exactly is the definition of Customer Relationship Management?  CMS is used to learn more about your key customer’s needs in order to develop a stronger relationship with them. 14 . Customer Management systems and applications (also know as CMS. These business aim to retain and develop a core customer base. The implementation of a robust IT system for collecting and collating customer data is necessary for most large companies these days. it can also identify further opportunities for growth. At the heart of customer management is the customer database. Importantly.  Customer management systemcan be defined as company’s activities related to increasing the customer base by acquiring new customers and meeting the needs of the existing customers. It uses internal business processes from Sales. correctly formatted and accurate data will be able to provide a good level of service as well as saving time and money. processes and applications needed to manage the customer relationship. Good customer management enables companies to ensure the services they provide are inline with what the customer wants. Customer Data is an extremely valuable asset of any business. buying preferences and demographics.Definition of Customer Management would be that it encompasses all the systems. Customer retention and loyalty are important goals for successful companies. or Customer Relationship Management) are used to capture. A business that has clean. Customer Service and Marketing. research and analyse information such as customer behaviour. CMS is about building partnerships with your customers. Even the smallest organization will have a need for some kind of customer management system.

wants. mediated by a set of information technologies that focus on creating two-way exchanges with the customers so that firms have an intimate knowledge of their needs. and buying patterns. it may vary in size. It refers to those aspects of a business strategy which relate to techniques and methods for attracting and retaining customers as well as combining the organisational philosophies. America’s largest chain of departmental stores. mission. In business. duration. loyal customers are more profitable since they promote the products/ services through word-of-mouth publicity. CMS helps companies understand. as well as anticipate the needs of current and potential customers. providing competitive advantage and improved profitability  The most important part of CMS is the “customer-focus  OBJECTIVE OF CMS Customer management system(CMS) as a multifaceted process. vision and objectives to maximise the customer loyalty and satisfaction thereby ensuring continuous growth and profits . The first known organised attempt of CMS was by Wal-Mart. however. values. The philosophy of CMS is the recognition that your long-term relationships with your customers can be one of the most important assets of an organization. In this way. Customer management systemis rightly explained as a management process of acquiring customers by understanding their requirements. 15 . retaining customers by fulfilling their requirements more than their expectation and attracting new customers’ specific strategies marketing approach. scope and quality.

Facilitates identifying an organisation’s target customers and focusing on the best one which helps the firm to optimise their sales and revenue. 3. Helps in understanding the customers. motives. Finally. with an effective CMS strategy a firm can retain its customers as well as gain new ones. 2. research & development. dislikes. likes. As said that the problem in business is not when your customer goes to the competitors. service. lead and opportunity management. 4. telephone. 5. Helps the key functionalities of the firm which includes marketing. storage and analysis of customers in an organised way. which offer scope for growth and continuous improvement to the staff. fax etc.CMS has many advantages which are stated below: 1. their needs. taste and preferences. sales. e-mail. Maximises customer satisfaction and boost customer loyalty which builds long term relationship. thus. wants. However. internet. In modern scenario there are different channels of communication to enhance CMS which includes direct marketing. the problem is when he/she doesn’t come back since the cost involved in retaining the existing customers is approximately ten times lesser than attracting a new one. to conclude CMS is referred as a methodology or a tool that helps business to manage their relationships with the customers also including the capture. •Uses Technology to: 16 . Provides appropriate training and development to the employees.

– Collect – Sort – Integrate customer data •The objectives are: – Understand customer needs better – Maintain long long-term customer relationships – Be able to pursue a strategy of Relationship Marketing  Relationship Marketing • Marketing strategy that utilizes the entire organization to: – Identify individual customers’ needs – Develop relationships that stretch over several transactions – Manage that relationship to the benefit of the customer and the company 17 .

it boosts their morale..When administrative policies and all important announcements are communicated to the employees. Some of the methods that could be used are intranet. The methods chosen for communication also play an integral role. 18 .. monthly newsletters. weekly meetings etc.

the structure of the organization has to undergo significant changes Organizations Must Change the Way They Look at Each Customer. Is CMS Successful • 55% of CMS initiatives are reported to fail – Firms are able to collect large databases of customer data – Lack an understanding of how to effectively use this valuable data – The cost of the CMS is not worth its limited Returns  CMS Needs More Than Technology to Succeed • Technology alone can only meet limited objectives: – Collecting and distributing data – Integrating the data throughout the firm – People issues and the organizational culture are ignored • For CMS to achieve its potential. 19 .

• Before Relationship Marketing and CMS was introduced: – Business was “Product Product-Centric” – Firms believe they exist simply to produce a product or deliver a service • Firms need to become “Customer Customer-Centric” – A belief that a firm exists to deliver value to its customers 20 .

keepers and integrators of data • Departments must understand each others needs and motivations – Cross Cross-functional committees and work teams 21 . Important Structural Changes • To achieve the necessary structural changes a firm must have: – Strong communication between various dependant departments – Senior management commitment and involvement – Appropriately structured reward system Inter Inter-departmental Communication • Communication ensures the right information is delivered to the right people – The users of data must communicate with the collectors.

Figure 1 CUSTOMER INFORMATION  Senior Management Commitment • Senior management must: – Communicate and reinforce organizational changes throughout the company – Continually measure the results of the CMS system to ensure it is performing 22 .

and positive employee morale in the workplace. Many measures meaning that customer satisfaction is a factor in employee motivation. customer management system is the terminology used to describe whether employees are happy and contented and fulfilling their desires and needs at work. Re-Structured Reward System • Organizations often structure their rewards based on revenue generation – Incite employees to think about the immediate sale/revenue • New reward structure will emphasize the objectives of CMS – Building and maintaining long long-term relationships – Delivering customer needs Thus. 23 . employee goal achievement.

or customer relationship management. a reduced need for product sampling and advertising. for the company and all it works with. and increased possibility of cross-selling or purchasing of other products. how long-term value can be created for and with them and the benefits of doing so. positive word of mouth. Its focus is the creation of long-term value. is concerned with the development and maintenance of mutually beneficial relationships with strategically significant partners.SCOPE OF CMS A CMS system may be chosen because it is thought to provide the following advantages]      Quality and efficiency Decrease in overall costs Decision support Enterprise agility Customer Attention CMS. The Customer The customer is of key importance because only relationships with customers generate revenues for a company. Doing so can bring about drastic increases in value due to frequent sales from satisfied customers. The scope of CMS can thus be defined according to its constituencies. 24 . and not just short-term profits. Establishing a good long-term relationship with customers can take the form of the provision of benefits such as special prices and preferential treatment.

such as Bill Marriott and Richard Branson. investment. to the company's value chain. Whichever category a company may fall under. A poor long-term relationship can result in investors selling out and in drops in stock value. such as raw materials. Many businessmen. Purchasing costs can be reduced thanks to elimination of the need to constantly seek cheaper sources.The Suppliers Suppliers provide input. employee satisfaction drives customer satisfaction. Should employees be satisfied and happy with their jobs. claim that their employees or "internal customers" are their most important constituency. more customer-orientated. but at certain points may elect to go public and sell shares in order to spread liability or raise funds for future expansion. technologies. and more supportive of personal initiatives. remaining the property of single proprietors or many owners. it is paramount for its management to establish productive relationships with its owners and create value for them in the form of enduring company and stock value in the long run. or in changes of ownership if the company is sold. not the customers per se. Enhanced performance can result from improved communication and coordination with this set of suppliers. With fewer vendors. A positive climate for service is less rule-driven. human resources and expertise. components. In short. The Owners Companies may remain private for the duration of their lifespan. The Employees Employees are central to CMS practitioners. In 2010 companies have tended to shift to a smaller number of suppliers and create and maintain long-term relationships with them. increased cooperation between the remaining parties in the form of management-information system alignment and customer-information sharing becomes possible. Other companies may start out that way. they will be more apt to provide noteworthy service to the company's external customers. 25 .

and sharing key resources Customer satisfaction Customer satisfaction." In a survey of nearly 200 senior marketing managers. It is seen as a key performance indicator within business and is often part of a Balanced Scorecard. customer satisfaction ratings can have powerful effects. customer satisfaction is seen as a key differentiator and increasingly has become a key element of business strategy. These metrics quantify an important dynamic. Partnering with another firm can thus support the creation and delivery of value through increasing efficiency. supplier networks. Within organizations. its products. customer data and customer bases. Furthermore.Other Partners Establishing a partnering relationship with another company. when these ratings dip. market reach. whose reported experience with a firm. marketing and distribution costs. sharing product development. a term frequently used in marketing. or percentage of total customers. such as a strategic alliance or joint venture. which is both free and highly effective. is done through sharing complementary strengths such as technological expertise. Customer satisfaction is defined as "the number of customers. it gains positive word-of-mouth marketing. When a brand has loyal customers. is a measure of how products and services supplied by a company meet or surpass customer expectation. In a competitive marketplace where businesses compete for customers. 71 percent responded that they found a customer satisfaction metric very useful in managing and monitoring their businesses. They focus employees on the importance of fulfilling customers’ expectations. 26 . they warn of problems that can affect sales and profitability. or its services (ratings) exceeds specified satisfaction goals.

In researching satisfaction. say. firms generally ask customers whether their product or service has met or exceeded expectations. Thus. because customer satisfaction would be way too low. a hundred cell phone plan providers. for example. it is essential for businesses to effectively manage customer satisfaction. There is a substantial body of empirical literature that establishes the benefits of customer satisfaction for firms 27 . As such. a luxury resort. they will be disappointed and will likely rate their experience as less than satisfying.Therefore. firms need reliable and representative measures of satisfaction. To be able do this. such as AT&T and Verizon. cell phone plan providers. participate in an industry that is anoligopoly. For example. For this reason. expectations are a key factor behind satisfaction. The importance of customer satisfaction diminishes when a firm has increased bargaining power. where only a few suppliers of a certain product or service exist. many cell phone plan contracts have a lot of fine print with provisions that they would never get away if there were. might receive a lower satisfaction rating than a budget motel—even though its facilities and service would be deemed superior in “absolute” terms. When customers have high expectations and the reality falls short. and customers would easily have the option of leaving for a better contract offer.

they can hurt the firm by making negative comments about it to prospective customers. the collection. (A second important metric related to satisfaction is willingness to recommend. This metric is defined as "The percentage of surveyed customers who indicate that they would recommend a brand to friends. Much research has focused on the relationship between customer satisfaction and retention.PURPOSE Customer satisfaction provides a leading indicator of consumer purchase intentions and loyalty. Willingness to recommend is a key metric relating to customer satisfaction. individuals who rate their satisfaction level as “5” are likely to become return customers and might even evangelize for the firm. Customer satisfaction data are among the most frequently collected indicators of market perceptions.) Individuals who rate their satisfaction level as “1. Studies indicate that the ramifications of satisfaction are most strongly realized at the extremes." When a customer is satisfied with a product. analysis and dissemination of these data send a message about the importance of tending to customers and ensuring that they have a positive experience with the company’s goods and services Although sales or market share can indicate how well a firm is performing currently. Further. On a five-point scale. This can be a powerful marketing advantage. 28 . satisfaction is an indicator of how likely it is that the firm’s customers will make further purchases in the future. are unlikely to return. relatives and colleagues. he or she might recommend it to friends. Their principal use is twofold Within organizations.” by contrast.

but it is almost always reported at an aggregate level. in a holistic sense.Measuring customer satisfaction Organizations need to retain existing customers while targeting noncustomers. with the room. A hotel. might ask customers to rate their experience with its front desk and check-in service. Customer satisfaction is measured at the individual level. Additionally. with the amenities in the room. measured along various dimensions. It can be. the hotel might ask about overall satisfaction “with your stay. with the restaurants. for example.” 29 .Measuring customer satisfaction provides an indication of how successful the organization is at providing products and/or services to the marketplace. and so on. and often is.

The customer is asked to evaluate each statement and in term of their perception and expectation of performance of the organization being measured. Utilitarian benefits of a product are associated with the more instrumental and functional attributes of the product (Batra and Athola 1990) Customer satisfaction is an ambiguous and abstract concept and the actual manifestation of the state of satisfaction will vary from person to person and product/service to product/service. This provides the measurer with a satisfaction "gap" which is objective and quantitative in nature. The level of satisfaction can also vary depending on other options the customer may have and other products against which the customer can compare the organization's products. Hedonic benefits are associated with the sensory and experiential attributes of the product.As research on consumption experiences grows. Work done by Cronin and Taylor propose the "confirmation/disconfirmation" theory of combining the "gap" described by Parasuraman. Work done by Parasuraman. Zeithaml and Berry (Leonard L) between 1985 and 1988 provides the basis for the measurement of customer satisfaction with a service by using the gap between the customer's expectation of performance and their perceived experience of performance. The state of satisfaction depends on a number of both psychological and physical variables which correlate with satisfaction behaviors such as return and recommend rate. 30 . evidence suggests that consumers purchase goods and services for a combination of two types of benefits: hedonic and utilitarian. Their satisfaction is generally measured on a five-point scale. The usual measures of customer satisfaction involve a survey with a set of statements using a Likert Technique or scale. Zeithaml and Berry as two different measures (perception and expectation of performance) into a single measurement of performance according to expectation.

the six items asked respondents’ evaluation of their most recent experience with ATM services and ice cream restaurant. Good quality measures need to have high satisfaction loadings. “contented with to disgusted with”. In an empirical study comparing commonly used satisfaction measures it was found that two multiitem semantic differential scales performed best across both hedonic and utilitarian service consumption contexts. Regardless of the scale used. In the study.Customer satisfaction data can also be collected on a 10-point scale. which is a four-item 7-point bipolar scale.. along seven points within these six items: “please meto displeased me”. It is essential for firms to effectively manage customer satisfaction. A semantic differential (4 items) scale (e. we need accurate measurement of satisfaction. was the second best performing measure. respondents were asked to evaluate their experience with both products. “did a good job for me to did a poor job for me”. had the highest item reliability.. According to studies by Wirtz & Lee (2003). which was again consistent across both contexts.g. Eroglu and Machleit 1990). good reliability. In the study. along seven points within these four items: “satisfied to dissatisfied”. Oliver and Swan 1983). which is a six-item 7-point bipolar scale. that consistently performed best across both hedonic and utilitarian services. and had by far the lowest error variance across both studies. they identified a six-item 7-point semantic differential scale (e. It loaded most highly on satisfaction. and low error variances.g. To be able do this. the objective is to measure customers’ perceived satisfaction with their experience of a firm’s offerings. 31 . “very satisfied with to very dissatisfied with”. “wise choice to poor choice” and “happy with tounhappy with”.

The third best scale was single-item percentage measure. along seven points within “delighted to terrible”.“favorable to unfavorable”. . Customer Relationship Management(CMS) is 32 about finding. all measures captured both affective and cognitive aspects of satisfaction. was useful (or not useful). which can result from any product information or experience. All other measures tested consistently performed worse than the top three measures. exceeded the requirements of the situation (or did not exceed). Finally. software.g. These results suggest that more careful pretesting would be prudent should these measures be used. and/or their performance varied significantly across the two service contexts in their study. these scales seem to be good options for measuring customer satisfaction in academic and applied studies research alike. CMS (customer relationship management) is an information industry term for methodologies. independent of their scale anchors. fit the situation (or did not fit). Customer management systemis one of the hottest and most talked about topics in the industry today and for good reason. “pleasant to unpleasant” and “I like it very much to I didn’t like it at all”. the respondents were asked to evaluate their experience on both ATM services and ice cream restaurants. a one-item 7-point bipolar scale (e. On the other hand.. Affective measures capture a consumer’s attitude (liking/disliking) towards a product. It seems that dependent on a trade-off between length of the questionnaire and quality of satisfaction measure. Westbrook 1980). Again. cognitive element is defined as an appraisal or conclusion on how the product’s performance compared against expectations (or exceeded or fell short of expectations). and usually Internet capabilities that help an enterprise manage customer relationships in an organized way. Simply stated.

. A semantic differential (4 items) scale (e. and retaining customers. CMS is at the core of any customer.g. along seven points within these six items: “please meto displeased me”. and low error variances. Customer management system(CMS) is about finding. the six items asked respondents’ evaluation of their most recent experience with ATM services and ice cream restaurant. processes. In an empirical study comparing commonly used satisfaction measures it was found that two multi-item semantic differential scales performed best across both hedonic and utilitarian service consumption contexts. Good quality measures need to have high satisfaction loadings.getting. In today’s hypercompetitive world. and retaining customers. sales. According to studies by Wirtz & Lee (2003). NATURE OF CMS The Customer is King! This credo is more powerful. which is a six-item 7-point bipolar scale. Oliver and Swan 1983).focused business strategy and includes the people. that consistently performed best across both hedonic and utilitarian services. getting. had the highest item reliability. 33 . “wise choice to poor choice” and “happy with tounhappy with”.g. organizations looking to implement successful CMS strategies need to focus on a common view of the customer using integrated information systems and contact center implementations that allow the customer to communicate via any desired communication channel. relevant and true today than ever before. and had by far the lowest error variance across both studies. In the study. success depends on a company’s ability to be with the customer on a round the clock basis… satisfying all their product and service specific needs. Simply stated. Eroglu and Machleit 1990). and service.. and technology questions associated with marketing. It loaded most highly on satisfaction. “very satisfied with to very dissatisfied with”. In a truly customer driven economy. “did a good job for me to did a poor job for me”. “contented with to disgusted with”. good reliability. they identified a six-item 7point semantic differential scale (e.

In today’s hyper-competitive world. software. sales. CMS (customer management system) is an information industry term for methodologies.focused business strategy and includes the people. Customer Relationship Management(CMS) is about finding. getting. Simply stated. and retaining customers.Customer management system is one of the hottest and most talked about topics in the industry today and for good reason. organizations looking to implement successful CMS strategies need to focus on a common view of the customer using integrated information systems 34 . and technology questions associated with marketing. and usually Internet capabilities that help an enterprise manage customer relationships in an organized way. CMS is at the core of any customer. and service. processes.

marketing and customer service are consolidated into a single unified system capable of managing the entire customer life cycle. taking orders using mobile devices)  Allowing the formation of individualized relationships with customers. CMS is all about building long term business relationships with your customers. CMS consists of:  Helping an enterprise to enable its marketing departments to identify and target their best customers. This approach allows employees throughout an organization to have immediate access to a complete profile of important customer information. It is best described as the blending of internal business processes: Sales. with the aim of improving customer satisfaction and maximizing profits. Solutions empower businesses to more efficiently and effectively manage the activities that affect their relationship with their customers. Organizations who are implementing CMS solutions feel confident that providing access to this level of information will assist their sales and support staff in better understanding the needs and buying patterns of their customers.and contact center implementations that allow the customer to communicate via any desired communication channel. Marketing and Customer support with technology. According to one industry view. create a positive customer experience and build customer loyalty.  Assisting the organization to improve telesales. and generate quality leads for the sales team. and streamlining existing processes (for example. account. CMS is to meet and exceed customer expectations. and sales management by optimizing information shared by multiple employees. traditional departmental applications for sales. identifying the most profitable customers and providing them the highest level of service. The ultimate goal of CMS changes all of this and represents a continuing evolution in managing front office operations. With CMS. manage marketing campaigns with clear goals and objectives. 35 .

and distribution partners. businesses have begun to recognize the value and importance of customer retention and are embracing new technology for automating customer service and support. It requires this customer focused business philosophy to support effective sales. For the new millennium. Regardless of company size or industry. Zone of defection where customers are extremely hostile and have the lowest level of satisfaction. strategic planning and personal marketing techniques to build a relationship that increases profit margins and productivity. It uses a business strategy that puts the customer at the core of a companies processes and practices. its customer base. Providing employees with the information and processes necessary to know their customers. understand their needs. and effectively build relationships between the company. marketing. 36 . it seems that the customer has finally become King!!! Customers can be divided into three zones: 1. CMS uses technology. and customer service and order fulfillment.

Organizations that implement CMS and turn their business into e-businesses will find their competitors’ customers ready to welcome them with a “smile“..(employee relationship management) 37 . They have a medium level of satisfaction and loyalty towards the company. Zone of indifference where customers are not sure. If the new entrant adds features like less order turn around time and direct communication then established players are bound to have sleepless nights. This has made companies shift their focus from “mass production” to “mass customization”. CMS focuses on bringing customers from level 1 to level 3 and retaining apostle customers. 3. The sme zone cane bemini and large (chain)super markets government agencies transportation agencies IT companies. Today any company can copy products or services offered by other companies. the CMS market still underdeveloped or not aware of in the SME zone. The top four reasons for implementing CMS are: Gaining customer confidence and loyalty Providing personalized service to customers Acquiring better knowledge of customers and their buying habits Differentiating themselves from the competition CMS SCOPE –INDIA     In india . The third level of customers is in the zone of affection described as “Apostles”.2. The present scenario of companies using “poorly implemented” multi channel strategies for living upto the expectations of customers is bringing both customer satisfaction and customer loyalty down the ladder. Customer demands for customization is increasing with every passing day.

Methodology Customer management system(CMS) is a customer-focused business strategy that dynamically integrates sales. Many open source products are available in the market and can be easily implemented.out of the few above.This change 38 . the government could be the best fit for CMS. marketing and customer care service in order to create and add value for the company and its customers.

and Foresee Resusapply the ACSI to websites and other online initiatives. many CMS implementations fail. re-engineering customer-oriented business processes. in spite of companies' interest in this new management model. cash flow. In addition to quarterly reports. long-term firm value . word-of-mouth recommendations.This paper describes a formal methodology for directing the process of developing and implementing a CMS System that considers and integrates various aspects. Inc. the ACSI methodology can be applied to private sector companies and government agencies in order to improve loyalty and purchase intent. sales. management of change and continuous improvement American Customer Satisfaction Index (ACSI) is a scientific standard of customer satisfaction. Two companies have been licensed to apply the methodology of the ACSI for both the private and public sector: CFI Group. andelectronic mail 39 .towards a customer-focused strategy is leading to a strong demand for CMS solutions by companies. One of the main reasons for this lack of success is that the existing methodologies being used to approach a CMS project are not adequate. the computer system. and consumer spending. since they do not satisfactorily integrate and complement the strategic and technological aspects of CMS. higher education. academic studies have shown that ACSI data is related to a firm's financial performance in terms of return on investment (ROI). On the microeconomic level. such as defining a customer strategy. ASCI scores have also been calculated by independent researchers. and an even stronger predictor of Personal Consumption Expenditure (PCE) growth. However. debt financing.Increasing ACSI scores has been shown to predict loyalty. risk. Academic research has shown that the national ACSI score is a strong predictor of Gross Domestic Product (GDP) growth. The ACSI measures customer satisfaction annually for more than 200 companies in 43 industries and 10 economic sectors. cash flow volatility. portfolio returns. for example. human resources management. and purchase behavior. human capital performance. for the mobile phones sector.

One-Dimensional. which incorporates the Stages of Excellence framework and which helps define a company’s status against eight critically identified dimensions. Other research and consulting firms have customer satisfaction solutions as well. known for its top-box approach and automotive industry rankings. POSE Analysis determines both the positioning and strength of a proposition. many methods for measuring impact and satisfaction of e-government services are in use. For Business to Business (B2B) surveys there is the InfoQuest box. The box is targeted at "the most important" customers and avoids the need for a blanket survey. POSE Analysis thus offers a competitive perspective to customer satisfaction. The Kano model offers some insight into the product attributes which are perceived to be important to customers. Power and Associates provides another measure of customer satisfaction.The Kano model is a theory of product development and customer satisfaction developed in the 1980s by Professor Noriaki Kano that classifies customer preferences into five categories: Attractive.T. Power and Associates' marketing research consists primarily of consumer surveys and is publicly known for the value of its product awards.. Must-Be.g. Indifferent. Reverse. POSE Analysis offers an alternative to customer satisfaction.D. Instead of evaluating satisfaction with a proposition. In the European Union member states. J. These include A. SERVQUAL or RATER is a service-quality framework that has been incorporated into customer-satisfaction surveys (e.74%. J. which the eGovMoNet project sought to compare and harmonize 40 .000 surveys (Nov '09) with an average response rate of 72. the revised Norwegian Customer Satisfaction Barometer) to indicate the gap between customer expectations and experience. Kearney's Customer Satisfaction Audit process. This has been used internationally since 1989 on more than 110.D.

SUCCESS ONLY comes to those who get it right.com reported that more than 70 per cent of organisations failed in their attempts to implement a customer-oriented strategy. As the saying goes.These customer satisfaction methodologies have not been independently audited by the Marketing Accountability Standards Board (MAS) according to MMAP (Marketing Metric Audit Protocol) Relationship Marketing and Customer management systemare sweeping Asia in a big way as the millennium’s most effective customer initiatives. CMS. We know that a large part of these failures are caused by IT departments that were made to drive a business initiative. Companies can acquire strategic customers more cost-effectively. knowing the routes and ropes can certainly help to engineer a more successful marketing plan that work its way to the customer’s heart. 41 . and grow their share of wallet for sustainable competitive advantage. retain their loyalty. nobody plans to fail but often fails to plan. journey. not to every organisation that embarks on the Customer Relationship Management. CMSForum. In July 2001. so while there may be no silver bullet to all business challenges. This has given CMS a bad name.

There are some key considerations an organisation could examine when choosing a CMS methodology: 1. marketing or customer service functions. I came across some methodologies which are essentially integrated marketing communications tools. This is a description of an end-state within a stipulated period of three to five years. The methodology that you adopt is a means of getting you there. The users fail to understand that a Customer Relationship Marketing and Management initiative touches all aspects of the organisation. have you defined your vision? Vision as in where you want the company to be. Such tools are as good as campaign management that does little to change the product-centric practice. There are some key considerations an organisation could examine when choosing a 42 . CMS calls for a customer-centric organisational behaviour and an outside-in perspective to treating the customer. Does the methodology cover the scope of your CMS Vision? CMS is not about setting up a call centre and picking up the phone within three rings. not just the sales. but where? First. and what it aims to achieve.

and what it aims to achieve. but where? First. The methodology that you adopt is a means of getting you there. Does the methodology cover the scope of your CMS Vision? CMS is not about setting up a call centre and picking up the phone within three rings. marketing or customer service functions. I came across some methodologies which are essentially integrated marketing communications tools. have you defined your vision? Vision as in where you want the company to be. The users fail to understand that a Customer Relationship Marketing and Management initiative touches all aspects of the organisation. This is a description of an end-state within a stipulated period of three to five years. CMS calls for a customer-centric organisational behaviour and an outside-in perspective to treating the customer. 43 .CMS methodology: 1. not just the sales. Such tools are as good as campaign management that does little to change the product-centric practice.

the list can go on.Very often. Customercentricity should be independent of any IT solution. the people already have the right mindset and skill-set. Executive visioning and gap analysis sessions are critical in assessing the current situation against the vision. and have identical business model. Dell. A good methodology would be one that is nimble enough to allow small 44 . they are only good as a reference point. Does the methodology enhance your organisational capability? Some methodologies only work under perfect conditions. pain-points. Perhaps this explains why several CMS initiatives stalled after a while because you can’t move to next step without accomplishing the first. resource requirement. The methodology may sound very sophisticated. While it is technically correct to model after successful companies. or profitability management. customer experience management. that is. As CMS should ideally be driven as pure business strategy rather than as an IT initiative. Ford Motors) or a marketing programme to differentiate yourselves. whether it is a business strategy to give you a competitive edge (in the likes of Citicorp. carry similar product/service offerings. thresholds and laying the roadmap and milestones. the database must be comprehensive. Depending on how you define your CMS vision. 2. the touchpoints are fairly integrated already. Most CMS solutions vendors have their own methodologies and most conceptual methodology can be implemented by first and second tier solution vendors. which can be demanding and rigid. The core methodology must be able to support a large proportion of the business and process requirements such as management information services. I strongly suggest that you adopt the conceptual approach so that your vision/strategy is not restricted by the capability of any solution. have same target audience as yours. but unless they are in the same industry. You will need to adapt the learning to your unique situation. touchpoint management. so is your requirement for a successful execution. companies tend to emulate so called best practice firms. this initial step has a big part to play in your selection of CMS methodology. revenue and cost drivers.

and expectations) in a CMS execution. "How should CMS Initiatives be Organised and Staffed?" which observed companies that practise successful CMS seem to have a good suggestion on how you may overcome human resource issues. Companies that equate CMS to IT in particular will also be shouldering a heavier burden. To complicate matters. you can safely develop some pilots to proof the concept while buying time to populate the database with more pertinent information. Even a simple methodology such as People-Process-Performance used by several CMS consulting firms has implications on business units. To kick-start the CMS strategy. needs. 4. in most cases. it is better to have few but dynamic information than comprehensive but dated ones as information is perishable. it does not mean spending the next one to two years building that up before you can do something about your customers. By supplementing field experience. purchase behaviour. sales. time. So if you were to multiply them to the power of X you can imagine the resources required to see it through. and money. preferences. marketing. using proxies and hypothesis. each step of the methodology has a series of sub-steps. you will need to be able to proactively identify your customers (such as their demographics. finance. Suppose you only have basic customer information. should have one project manager responsible for the successful delivery of each initiative. A report from Gartner. It can be an expensive exercise involving a lot of people. it was thought that each domain of CMS. for example. Do you have the resources to see the methodology through? One should never underestimate the resources required in a CMS journey. value to your company. product. CMS is a learning process with the customers.implementations based on what you have so as to generate some quick wins for you to consolidate your gains with the customers. IT. operations. For example. and have never captured their survey feedback at personal level. sales and marketing. The project should include both IS 45 . have never tracked their purchases. psychographics.

Steering Committee. retaining and growing customers in place of traditional allocation. Through measurements of sales. 4. and not just the IT or marketing personnel. It is not necessary to roll out the whole CMS methodology at one go. the interconnected structure increases communication between team members. Architecture Office. COO. Are you prepared for Change ? Organisational change and company politics make up more than 50 per cent of the causes of failure. CIO. Because CMS is a business strategy rather than a marketing strategy.managers and business managers. By recognising the interconnectivity among all the team members and bringing the enterprise-wide view of the customer to the centre for decision-making. As the initiative becomes increasingly complex. Change Agents Governor–CMSO. Both shareholders and stakeholders need to see positive results to be motivated about the CMS initiative. besides knowing your organisation’s capabilities. External Customers. 46 . it will inevitably affect the whole enterprise. CFO Sales and Marketing budgets can also be reallocated for recruiting. External Service Providers Users–End Users. look beyond tangible financial returns. You should evaluate areas of organisation readiness against beneficial and visible impact on the customers. Project Owners Advisor–Relationship Managers. Therefore. Trying to fulfill all the sub-steps may take too long and that causes the CMS initiative to lose its momentum. customer satisfaction. the taskforce would then move on to a more sophisticated level comprising: Core Team–Project Managers. and they will eventually add up to the ROIs your company is looking for. Business Sponsors. not just sales and marketing. leaving no stone unturned. process Managers Expert–Subject Specialists. A good methodology is one that cuts through the organisation. systems analysts Finance–Project Financial Analyst. and brand perception. Partners Doers–Shared services. you will be able to evaluate if this creative means of budget utilisation is indeed more effective than the conventional way in building business and relations with strategic customers. you need to set some expectations of short-term wins.

try implementing the methodology in bite-size doses. your achievement towards customer-centricity will be superficial. Customer management systemis a method used by businesses that emphasizes the importance of managing customer relationships. reiterate the directive. Once you have decided on the methodology. plan and promote their CMS implementation while building up their capabilities in small piloted steps are twice as likely to achieve planned business benefits as enterprises that pursue projects without a framework. It is also dangerous to hype it up too much. and your customer-centric vision will come to life.CMS is a long-term investment because trust and relationship are earned and built over time. overall sales and repeat sales will increase. make sure you budget and allocate sufficient resources to see it through. know what you want to achieve in your CMS initiative.” Before you start shopping for a methodology. When you arrive at this stage. half the battle is won. To help people overcome inertia. Be committed to the tedious job of change management. More often than not. 47 . allowing the stakeholders to adjust and fine-tune. and then under-deliver. Under such circumstances. According to a Gartner report: “Through 2005. and business processes in stages towards the CMS goals. have a big bang. and assess your company’s strengths and weaknesses versus customer opportunities. enterprises that use a strategic CMS framework to estimate. for that matter change does not have many friends. This may put you in a better position to generate quick positive results to sustain the momentum. responsibilities. Unless you have planned an integrated change approach. the CEO needs to reaffirm his commitment. Mindset change is more challenging than skill-set change. The consequences are not just negative market and customer sentiments but demoralised internal customers who are less than enthusiastic to any new projects introduced by management. The methodology behind CMS is that if customers of a business are managed properly. you will find that the managers are the stumbling blocks themselves rather than the implementers. Define the business requirement concisely before realigning people's roles. and show active interest.

As there is no proper definition of job satisfaction . Induced to do work efficiently and effectively 2.The term jobs satisfaction was brought to limelight by Hoppock(1935).it has been considered as a state of condition where people are: 1. “I am happy at my job. Prepared to act efficiently during contingencies 4.The term employee satisfaction is often confused with the term job satisfaction. More happy and satisfied with their job Thus job satisfaction is a part of employee satisfaction and not whole of it Employee dissatisfaction Top Triggers of Employee Dissatisfaction: • • Ambiguity in role and responsibilities Responsibility without accountability. Interested in promoting the image of the organization 6. Prepared to welcome in the organization 5. In this case if they 48 .” It has also been defined as the end state of feeling.’It is an important dimension of morale and not morale itself. If one has responsibility but no power to take decisions or accountability one gets de-motivated as one cannot show results or move things forward. • Sometimes employees set too high unrealistic standards/ expectations for themselves and that too sometimes lead to against within them.according to him job satisfaction is a combination of psychological physiological and environtmental factors that makes a person too admit. Convinced to remain in the enterprise 3.But there is a considerable difference between the two.

salary. working conditions etc. lack of systems and processes also leads to employee angst. 6) Misbehavior: An employee may express anger. working hours. 2) Lack of interest: When an employee who stays at work until his job is done. • Lack of professionalism. now begins to leave at sharp 5 pm no matter his job is done or not. 4) Complaints by employee: Many complaints are put forward by the employee regarding hours. Biased approach/ favouritism /discrimination at work Lack of challenge in the work/lack of opportunities to move up the career ladder • • The employees sent out some signals to express their discontent and the organization should not take it lightly. which come out due to frustration. 5) Off job work: Misusing the company facility for his personal use during working Effects of Dissatisfaction Recognizing the dissatisfaction is only half the battle. The company should consider the reason for the burnout and should try to solve those problems because it will affect other employees also. benefits. it could indicate either his personal problems or job dissatisfaction.do not have a good mentor. Otherwise it will affect the company in many ways like 49 . frequent argument with association and team member. 1) Excessive absenteeism: When a regular employee suddenly begins to take leave or is late to work. it may lead to a lot of stress and pressure as inability to achieve unrealistic goals may be due to circumstances beyond their control. 3) Lack of quality and quantity in work: When an employee is dissatisfied in his job then automatically his mental state is reflected in his quality of his work.

* Low productivity * High employee turnover cost * Poor employee morale

Importance of employee satisfaction
Purpose / benefits of employee satisfaction include as follows: 1. For organization • Enhance employee retention. • Increase productivity. • Increase customer satisfaction • Reduce turnover, recruiting, and training costs. • Enhance customer satisfaction and loyalty. • More energetic employees. • Improve teamwork. • Higher quality products and/or services due to more competent, energized employees. 2. For employees • Employee will believe that the organization will be satisfying in the long run. • They will care about the quality of their work. • They will create and deliver superior value to the customer. • They are more committed to the organization. • Their works are more productive.

Outcome of Employee Satisfaction:
a. Satisfaction and Productivity: employees. b. Satisfaction and Absenteeism: Satisfied employees have few avoidable absenteeism. Satisfied employees are not necessarily more

productive. Employee productivity is higher in organization with more satisfied

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c. Satisfaction and Turnover: Satisfied employees are less likely to quit. Organization takes actions to retain high performers and to weed out lower performers. d. Satisfaction and Organization Behaviour: Satisfied employees who feel fairly treated by and are trusting of the organization are more willing to engage in behaviours that go beyond the normal expectation of their job. e. Satisfied employee increase Customer Satisfaction: Because they are more friendly, upbeat and responsive. They are less likely to turnover which helps build long-term customer relationship. They are experienced.

Scope and purpose of the study

1. The study of "employee satisfaction" helps the company to maintain standards & increase productivity by motivating the employees. 2. This study tells us how much the employees are capable & their interest at work place and what are the things still to be satisfy to the employees. 3. Although "human resources" are the most important resources for any organization, so to study on employee’s satisfaction helps to know the working conditions & what are the things that affect them not to work properly? Always majority of done by the machines/equipments but without any manual moments nothing can be done. So to study on employee satisfaction is necessary

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Objectives
• • • Measure job satisfaction of the employees of GARVE MOTORS PVT.LTD. To assess the general attitude of the employees towards the company To ascertain the different factors affecting the level of satisfaction of employees of an organization and the extent up to which these factors influence the working of individuals of an organization. • • To find out the de-motivating factors and suggest ways to remove them, so that the employees are provided with a decent as well as satisfactory working condition. To offer suggestions to the company to improve their employee’s satisfactory level.

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Research Methodology Research design: A research design is the arrangement of conditions for collection and analysis of data. This RSD focuses attention on the following:     Formulating the objectives of the study. 53 . Designing the methods of data collection. in a manner that aims to combine relevance to research purpose with economy in procedure. Selecting the sample. Processing and analyzing the data. Collecting the data.

 Sampling

Reporting the findings

This deals with the methods of selecting items to be observed for the given study. In the given project we have targeted the employees working in Garve Motors Pvt. Ltd. for the purpose of collection of data. The sampling elements were the individual employees of the at Garve Motors Pvt. Ltd. My sampling sizes were 60 employees. Sampling plan was probability sampling also known as random sampling or chance sampling. Under this sampling every item of the universe has an equal chance of inclusion in the sample. Here it is blind chance alone that determines whether one item or other is selected.

Collection of data
The task of data collection begins after the research problem has been defined and the research design plan checked out.

Sources of data collection
While deciding about the method of data collection to be used for the study the researcher have two types of data viz.,

1. Primary sources: Primary data are those which are collected afresh and for the first time and thus, happen to be original in character.

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It include personal experience, which has been gained through conducting a survey on the employees of at Garve Motors Pvt. Ltd. for the purpose of collecting data about the variation in satisfaction level of the employees on the basis of different variables of work environment 2. Secondary sources: Secondary data are those which have already been collected by someone else and which have already been passed through statistical process. The secondary sources include : • Information gathered through Garve Motors Pvt. Ltd. websites, human resources websites. • Information available on various human resource books.

Methods of data collection are:
• OBSERVATION METHOD: Under this method the information is sought by way of investigator’s own direct observation, without asking from the respondent. For this, I visited to the service, technical & sales department and spent time with the workers and supervisors during the working hours. • QUESTIONNAIRE: This method is quite popular particularly in the case of big inquires. In this method a questionnaire is given to the person concerned with the request to answer the question and return it to the respondent has to answer the question on their own. For this, we had prepared a questionnaire which is shown in the annexure. 55

• INTERVIEW METHOD: It involves collection of data, presentation of oral-verbal stimuli and reply in the terms of oral-verbal response. This can be done with the help of personal interviews or telephonic interviews. In this project I have selected Survey Method of data collection. This is one of the common and widely used methods for primary data collection. We can gather wide range of valuable information about the behavior of the employee’s viz. attitude, motive and options etc.

LIMITATIONS OF STUDY
• The research was conducted within a limited duration. So a detailed and comprehensive study could not be made. • The sample was confined to 60 respondents. So this study cannot be regarded as “full – proof” one.

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• There was a fear of reprisal among the employees to reveal their personal feelings and the result may not reflect the actual satisfactions. For each of the factor three levels of satisfaction were assigned namely high. Based on their responses the Satisfaction score obtained by each respondent was found out.• Some respondents hesitated to give the actual situation. Points or scores were allocated based on the response. Analysis and Interpretation The Respondents were asked to state their level of Satisfaction relating to twenty.five factors. 57 . medium and low. • The findings and conclusions are based on knowledge and experience of the respondents sometime may subject to bias. they feared that management would take any action against them.

The total scores secured by each respondent were thus arrived at. TABLE – 1: Satisfaction levels of employees on the basis of Personal variables Table1. The score secured by the respondents who falls between the score as up to • • • 00 – 25 indicates less satisfaction of the respondents.For high satisfaction three points were given. All the 50 respondents were classified based on their level of satisfaction.1 Relationship between Gender and Level Of Satisfaction: Level of satisfaction 58 . for Medium two and for low satisfaction one point was given. of the respondents. 25 – 50 are got average satisfaction of the respondents. 50 – 75 respondents are highly satisfied.

e. Table 1.51%. 38%.Gender Male Female Total High Satisfaction 22 ( 51%) 4( 25%) 26( 48%) Medium Satisfaction 15 ( 35%) 6( 37%) 21( 39%) Low Satisfaction 6( 14%) 7( 38%) 13( 13%) Total 43(72 %) 17( 28%) 60(100%) INFERENCE: From the above table the percentage of highly satisfied respondents is more in Male employees i.e. In Female employees the highest percentage is in low satisfaction i. 2: Relationship between Designation And Level Of Satisfaction: Levels of satisfaction Medium Low satisfaction 1 (25 %) 10( 44%) 9( 30%) 59 satisfaction 1(25 %) 4( 4%) 5 ( 7%) Age Top management Middle management Lower management High satisfaction 2 ( 50%) 12 (52 %) 16(53 %) Total 04 26 30 .

In medium satisfaction the highest percentage is in middle management group i. In low satisfaction again lower management group respondents are more i.e.e. Table 1.e. 44%.Graduate Total High satisfaction 20(47 %) 6(33%) 26 Total 42 18 60 60 .3 Relationship between Qualification and Level of Satisfaction: Level of satisfaction Medium Low satisfaction 15 (36 %) 8 ( 45%) 23 Satisfaction 7 (7 %) 4 (22%) 11 Qualification Graduate Post.. 50%.Total 30 20 10 60 INFERENCE: From the above table the percentage of highly satisfied respondents is more in top management group i.7%.

4: Relationship between Employee Age And Level Of Satisfaction: Level of satisfaction Medium Low satisfaction satisfaction 10 ( 29%) 12 ( 43%) 3 ( 38%) 25 5( 15%) 6( 21%) 2( 25%) 13 Employee age 20 – 30 Yrs 31 .INFERENCE: From the above table the percentage of high. 50%. 47% & 36% respectively.e. medium & low satisfied respondents is more in graduates i. Table 1.40 Yrs Above 40 Yr Total High satisfaction 19 ( 56%) 10 ( 36%) 3( 37%) 32 Total 24(40 %) 28( 47%) 08( 13%) 60(100 %) 61 .

In low satisfaction again above 40 yrs.e. 56%.5:Relationship Between Experience And Level Of Satisfaction: Level of satisfaction Medium Low satisfaction 15 ( 24%) 7( 28%) 1 ( 25%) 20( 40%) Satisfaction 3 ( 15%) 3( 12%) 1 (25 %) 6(12 %) Experience Below 5 Yrs 5 – 10 Yrs Above 10 Yrs Total High satisfaction 13( 62%) 15 (60 %) 2( 50%) 24( 48%) Total 31(51 %) 25( 42%) 4 (7 %) 60 (100%) 62 .age g group respondents are more. 43%.e. age group i. In medium satisfaction the highest percentage is in 31-40 yrs. Table 1.INFERENCE: From the above table the percentage of highly satisfied respondents is more in 20-30yrs. age group i.

INFERENCE: From the above table the percentage of highly satisfied respondents is more in below 5yrs. experience group i. experience group i. In medium satisfaction the highest percentage is in 5-10 yrs.e.1 Relationship between opportunities provided for expressing one’s views and Level of Satisfaction: 63 . TABLE – 2 Satisfaction levels of employees on the basis of Organizational variables Table 2. 43%. In low satisfaction 5-10 yrs. 62%.e. experience group respondents are more.

Table 2.S. No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No. of employees 26 20 14 60 Percentage 44 33 23 100% INFERENCE: From the above table the 40% employees are highly satisfied with opportunities provided for expressing one’s views and another 33% & 23% employees have medium and low satisfaction respectively.2: Relationship between Strict action taken if negligence is observed and Level of Satisfaction: 64 .

of employees 27 23 10 60 Percentage 45 38 17 100% INFERENCE: From the above table the 45% employees are highly satisfied with Strict action taken if negligence is observed and another 38% & 17% employees have medium and low satisfaction respectively. Table 2.S.3: Relationship between recognizition of Good performance and Level of Satisfaction: 65 . No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No.

Table2.S.4:Relationship between working under pressure and Level of Satisfaction: 66 . No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No. of employees 26 17 17 60 Percentage 44 28 28 100% INFERENCE: From the above table the 44% employees are highly satisfied with recognizition of Good performance and medium and lowly satisfied employees are 28% each.

5: Relationship between working hours of the company and Level of Satisfaction: 67 . Table 2.S. No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No. of employees 21 24 15 60 Percentage 35 40 25 100% INFERENCE: From the above table the 35% employees are highly satisfied with working under pressure and Level of Satisfaction and another 40% & 25% employees have medium and low satisfaction respectively.

No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No.S. Table 2. of employees 25 18 12 60 Percentage 45 33 22 100% INFERENCE: From the above table the 45% employees are highly satisfied with working hours of the company and another 33% & 22% employees have medium and low satisfaction respectively.6: Relationship between enough opportunities to learn and grow and Level of Satisfaction: 68 .

No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No. of employees 31 22 7 60 Percentage 51 37 12 100% INFERENCE: From the above table the 51% employees are highly satisfied with enough opportunities to learn and grow and another 37% & 12% employees have medium and low satisfaction respectively Table 2.S.7: Relationship between training provided as & when required and Level of Satisfaction: 69 .

8: Relationship between management demands but fairness to every employee and Level of Satisfaction: 70 . Table 2.S. of employees 25 20 15 60 Percentage 42 33 25 100% INFERENCE: From the above table the 42% employees are highly satisfied with trainings provided as & when required and another 33% & 25% employees have medium and low satisfaction respectively. No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No.

S. of employees 28 20 12 60 Percentage 47 33 20 100% INFERENCE: From the above table the 47% employees are highly satisfied with management demands but fairness to every employee and another 33% & 20 employees have medium and low satisfaction respectively. No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No.9 Relationship between authority to approach top management (for a reasonable cause) and Level of Satisfaction: 71 . Table 2.

10: Relationship between management guidance & support and Level of Satisfaction: and another 28% & 15% employees have 72 . of employees 34 17 9 60 Percentage 57 28 15 100% INFERENCE: From the above table the 57% employees are highly satisfied with authority to approach top management (for a reasonable cause) medium and low satisfaction respectively. No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No. Table 2.S.

Table 2. No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No. of employees 30 18 12 60 Percentage 50 30 20 100% INFERENCE: From the above table the 50% employees are highly satisfied with management guidance & support and another 30% & 20% employees have medium and low satisfaction respectively.S.11: 73 .

INFERENCE: From the above table the 43% employees are highly satisfied with communication channels between the departments and another 33% & 27% employees have medium and low satisfaction respectively. of employees 26 22 12 60 Percentage 43 33 27 100% .12 Relationship between the way you are being treated with dignity & respect and Level of Satisfaction: 74 .Relationship between communication channels between the departments and Level of Satisfaction: S. No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No. Table 2.

S. No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No. of employees 30 20 10 60 Percentage 50 33 17 100% INFERENCE: From the above table the 50% employees are highly satisfied with the way you are being treated with dignity & respect another 33% & 17% employees have medium and low satisfaction respectively. Table 2.13: Relationship between proper support & assistance provided by team and Level of Satisfaction: 75 .

No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No.S. of employees 34 20 6 60 Percentage 57 33 10 100% INFERENCE: From the above table the 57% employees are highly satisfied with proper support & assistance provided by team and another 33% & 10% employees have medium and low satisfaction respectively. Table 2.14: Relationship between Proper Handover given to you by team and Level of Satisfaction: 76 .

of employees 30 26 4 60 Percentage 50 43 7 100% INFERENCE: From the above table the 50% employees are highly satisfied with Proper Handover given to you by team and another 43% & 7% employees have medium and low satisfaction respectively. No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No.15 Relationship between conflicts are resolved honestly. effectively and quickly and Level of Satisfaction: 77 . Table 2.S.

of employees 33 18 9 Percentage 55 30 15 100% INFERENCE: From the above table the 55% employees are highly satisfied with conflicts resolution process and another 30% & 15% employees have medium and low satisfaction respectively. Table 2.S.16 Relationship between lunchroom kept clean at all times and Level of Satisfaction: 78 . No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No.

Table 2.) and Level of Satisfaction: 79 . No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No. passage etc.S. of employees 25 21 14 60 Percentage 45 32 23 100% INFERENCE: From the above table the 45% employees are highly satisfied with lunchroom kept clean at all times and another 32% & 23% employees have medium and low satisfaction respectively.17 Relationship between the cleanliness of common areas (toilets.

) and another 28% & 27% employees have medium and low satisfaction respectively.18 Relationship between first aid treatments available to treat any injury at work and Level of Satisfaction: 80 . of employees 21 23 16 60 Percentage 35 28 27 100% INFERENCE: From the above table the 35% employees are highly satisfied with the cleanliness of common areas (toilets. No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No. Table 2. passage etc.S.

Table 2. of employees 20 23 17 60 Percentage 34 38 28 100% INFERENCE: From the above table the 34% employees are highly satisfied with first aid treatments available to treat any injury at work and another 38% & 28% employees have medium and low satisfaction respectively. No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No.S.19 Relationship between enough lighting in your work area and Level of Satisfaction: 81 .

Table 2. No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No.S.20: Relationship between get proper materials and equipment needed to perform your work and Level of Satisfaction: 82 . of employees 40 10 10 60 Percentage 66 17 17 100% INFERENCE: From the above table the 66% employees are highly satisfied with enough lighting in your work area and employees having medium and low satisfaction are 17% each.

No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No.S. of employees 24 17 19 60 Percentage 40 28 32 100% INFERENCE: From the above table the 40% employees are highly satisfied with proper materials and equipment needed to perform your work and employees having medium and low satisfaction are 28% each. Table 2.21: Relationship between Paid holidays and Level of Satisfaction: 83 .

Table 2.S.22: Relationship between Sick leave policy and Level of Satisfaction: 84 . of employees 17 16 27 60 Percentage 28 27 45 100% INFERENCE: From the above table the 28% employees are highly satisfied with Paid holidays another 27% & 45% employees have medium and low satisfaction respectively. No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No.

Table 2.S. of employees 25 9 26 60 Percentage 42 15 43 100% INFERENCE: From the above table the 48% employees are highly satisfied with Sick leave policy and another 15% & 43% employees have medium and low satisfaction respectively.23: Relationship between the amount of health care paid and Level of Satisfaction: 85 . No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No.

of employees 18 17 25 60 Percentage 30 28 42 100% INFERENCE: From the above table the 30% employees are highly satisfied with amount of health care paid and another 28% & 42% employees have medium and low satisfaction respectively. Table 2.24 Relationship between Grievance handling procedure and Level of Satisfaction: 86 . No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No.S.

25 Relationship between human resource policies of the organizations and Level of Satisfaction: 87 .S. No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No. Table 2. . of employees 18 26 16 60 Percentage 30 43 27 100% INFERENCE: From the above table the 30% employees are highly satisfied with Grievance handling procedure and another 43% & 27% employees have medium and low satisfaction respectively.

No 1 2 3 Satisfaction levels High satisfaction Medium satisfaction Low satisfaction Total No. SUGGESTIONS AND CONCLUSION FINDINGS: Gender: 88 .S. FINDINGS. of employees 21 19 20 60 Percentage 35 32 33 100% INFERENCE: From the above table the 35% employees are highly satisfied with human resource policies of the organizations and another 32% & 33% employees have medium and low satisfaction respectively.

The two-way table says that the high level of satisfaction is obtained by the male group Levels of management: • • • The percentage table indicates that the majority of the respondents are in lower management group. The two-way table showing the high level of satisfaction is derived by the graduated respondents Age: • • .• • From the percentage table the majority of the respondents are from the male group. Educational qualification: • • From the percentage table the majority of the respondents are in graduated group. Experience • From the percentage table majority of the respondents were in below 5 years of experience. The percentage table reveals that the majority of the respondents are belongs to the group 21 years to 30 years of age. • The two way table reveals that the high level of satisfaction is derived by the group 5 to 10 years of experience. 89 . The two-way table tells us the high satisfaction is derived by the respondents who are in top level management. The two-way table shows that the high satisfaction is derived by the old age group.

Garve Motors Pvt.SUGGESTIONS: • • • • • • Garve Motors Pvt. may provide loans and advances to it’s workers. Ltd. should formulate it’s working time. It may introduce shift working pattern. should employ the canteen facilities in addition to lunch rooms provided. Ltd. Ltd. Garve Motors Pvt. Garve Motors Pvt. Ltd. Garve Motors Pvt. Should provided instant First aid treatment to workers in case of any injury during the work. Ltd. Ltd. should handle the grievance handling system more efficiently Garve Motors Pvt. 90 . should reduce the autocratic management style.

org/wiki/Automotive_industry on 25th July 2011 • Hyundaihttp://en. pg no. New Age International Publsihers Research Design -Pg no.com/what-is-employee-satisfaction.com/en/pdf/white-papers/employeesatisfaction.com/od/employeesurvey1/g/employee_satisfy.org/wiki/Hyundai on 26th july 2011 91 .Gankar “Personnel management” Himalaya publishing. Kothari “Research Methodology”.96 & Questionaires -Pg. • Employee satisfaction (Introduction)http://www.95.wikipedia.100 on 29th July References • Introduction to the project-http://www.pdf on June 26th at 7:30 pm.no.Memoria & S.wisegeek.wikipedia.about.BIBLIOGRAPHY Books • C. 37 Methods of data collection -Pg.64 • VSP Rao “Human resource management” • C.htm on 8th July 2011 • Automobile industryhttp://en.V. no.31.htm on 5th July 2011 • Employee satisfaction(Meaning and measurement) http://humanresources.R.B.cvent.

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