THC 3: QUALITY SERVICE

MANAGEMENT IN TOURISM
& HOSPITALITY

Lesson Objectives:

1.
Defining Quality:
 Perception meeting and exceeding
expectation (Parasuraman 1996)

 Quality is the ongoing process of building

and sustaining relationships by assessing,
anticipating, and fulfilling stated and implied
needs

 The consistent delivery of products and

services according to expected standards
(Ninemeier et al 2005)
Define Service

 Act or performance offered by one

party to another
 Service is an economic activity that
creates value and provides benefits
for customers at specific times
 The process of helping guests
addressing their wants and needs
with respect and dignity in a timely
manner (Ninemeier et al 2005)
WHAT ARE TOURISM,
HOSPITALITY, AND
LEISURE?
 Tourism was defined as a sum of
relations and phenomena resulting
from the travel and stay of non-
residents, in so far as [travel] does
not lead to permanent residence
and is not connected with any
permanent or temporary earning
activity (Hunziker and Krapf in
Burkart and Medlik, 1981)
 McIntosh, Goeldner, and Ritchie
(1995) defined tourism as a
short-term movement of people
to places other than their normal
place of residence and work,
including the activities of
persons traveling to and staying
in locations outside their places
of residence and work for not
more than twelve months, for
the purpose of:
 (1) leisure (recreation, vacation,
health, study, religion, and
sport); and

 (2) business, family, mission,

and meetings.
Four groups of participants
are involved and are
influenced by tourism:

 (1) tourists,
 (2) businesses providing goods
and services that the tourist
market demands,
 (3) the government of the host
community, and
 (4) the host community
HOSPITALITY
 is concerned with the provision of
accommodation and catering (food
and beverage) services for guests.

 It also refers to the reception and

entertainment of travelers, the way
they are treated by industry
employees (with empathy, kindness,
and friendliness), and an overall
concern for the traveler's well-being
and satisfaction.
 Tourists are not the only
consumers of hospitality
services; local residents also
use them.
LEISURE

 is considered to be part of free time

available to the individual after
necessary work and duties are
accomplished, to be spent at the
discretion of the individual (Miller and
Robinson in Mieczkowski, 1990).

 It refers to the time free from

obligations, filled with specific
activities, without pressure of
necessity.
WHAT ARE PRODUCTS,
GOODS, AND SERVICES?
 Goods and services are both
described as products (cowell, 1991).

 Tangible products are often referred

to as goods, while Intangible
products are often referred to as
services. Services are a different type
of product than goods (Foxall, 1985).
Some products are a
mixture of a tangible good
and intangible service?
 For example, restaurants offer a
tangible product in the form of
food and an intangible product
in the form of atmosphere,
advice on food and beverage
selection, and speed of meal
preparation.
FOUR DISTINCT
CATEGORIES OF PRODUCTS:
 (1) purely tangible goods,
 (2) tangible goods with
accompanying intangible
service,
 (3) a major intangible service
with accompanying tangible
goods, and
 (4) a pure intangible service.
GUESTOLOGY

 A term originated by Bruce

Laval of the Walt Disney
Company.

 Means simply that all the

organization’s employees must
treat customers like guests and
manage the organizations from
the gues’t point of view.
THREE ASPECTS OF THE
GUEST EXPERIENCE
 Service Product

 Service Setting (service

environment)

 Service Delivery
MEETING CUSTOMER
EXPECTATION
 Customer Expectation
- encompasses everything that a
customer expects from a product,
service or organization.

-are created in the minds of customers

based upon their individual
experiences and what ther have
learned, combine with their pre–
existing experience and knowledge.
GUESTOLOGIST

 Seeks to understand and plan for the

expectations of an organization’s
targeted customers before they ever
enter the service setting, so that
everything is ready for each guest to
have a sucessful and enjoyable
experience.
What is Serving Internal
Customers and Meeting
Increased Competition?
UNDERSTANDING THE
GUEST

1. The traditional demographic

breakdown of age, race,
gender, and guests hom
loactions
UNDERSTANDING THE
GUEST

2. The psychographic breaksdowns

of how they feel, what their
attitudes, beliefs and values, are
and what kind of experience they
need, want and expect the
hospitality organization to deliver
UNDERSTANDING THE
GUEST

3. The capabilities (their

knowdlege, skills and abilities
(KSAs) to coproduce the
experience.
THE GUEST EXPERIENCE

Guest experience = service

product + service setting + service
delivery system
COMPONENTS OF THE
GUEST EXPERIENCE
 The Service Product

 The Service Setting

 The Service Delivery System

THE SERVICE PRODUCT

 Sometimes called the service

package or service / product mix, is
why the customer, client, or guest
comes on the organization in the first
place.

 Have both tangible and intangible

elements and can range from mostly
product with little service to mostly
service with little if any product.
THE SERVICE SETTING

 In which the experience takes place.

 Servicescape is the landscape

within which service is experienced,
has been used to describe the
physical aspects of the setting that
contribute to th guest’s overall
physical feel of the experience.
THE SERVICE DELIVERY
SYSTEM
 Includes the human components, the
physical production processes and
the organizational and informational
systems and techniques that help
deliver the service to the customer.
What is Service Encounter?

 Is often used to refer to the person to

person interaction or series of
interaction between the customer
and the person delivering the
service.
THE NATURE OF SERVICES

1. Services are Partly or Wholly Intangible

2. Services are Consumed at the Moment

or during the Period of Production or
Delivery

3. Services usually Require Interaction

between the Service Provider and the
Customer, Client or Guest.
 Services are Partly or
Wholly Intangible
 The service includes a tangible item,
then the total guest experience is the
sum of the service –product mix, the
environment within which it is
delivered, and the service product’s
delivery.
Services are Consumed at
the Moment or during the
Period of Production or
Delivery
 Services usually Require
Interaction between the
Service Provider and the
Customer, Client or
Guest.
 This interaction can be as short as
the breif encounter between the
customer qne the order taker and
these interaction can be face to face,
over the phone, on the Web or by
mail, e-mail or texting.
The Different Relationships
between
Customer/Guest/Client
and Service Provider

SERVICE Hospitality, Lawn, service,

PROVIDER Medical, jewelry repair
PRESENT Professional

Electric/Gas/Phon On-line stores

e/Internet utilities, and travel
SERVICE ATM, vending services,
PROVIDER NOT machines technical help
PRESENT lines, answering
services

CUSTOMER CUSTOMER
PRESENT NOT PRESENT
 QUALITY, VALUE AND
COST DEFINED

QUALITY
Qe = Qed - Qee

 Qe = Quality of Guest Experience

 Qed = Quality of the Experience as
Delivered
Qee = Quality Expected
 As reflected on the right side of the
equation, quality as perceived by the
guest will be affected by changes at
either guest expectation or
organizational performance.

 If Qe is high enough, the guest had an

exceptional, memorable, or wow
service experience.

 If quality is average or above average,

the guest can be described as satisfied
but if quality is below average the
guest is dissatisfied.
VALUE
Ve = Qe
All costs incurred by guest

 Ve = Value of Guest Experience

 Qe = Quality of the Experience

All costs incurred by guest

Organization add value to their guests’

experience by providing additional
features and amenities without
increasing the cost of the guests.
COST

The time expenditures are considered

as a cost such as time spent getting to
your restaurant, waiting for a table and
waiting for service.

All tangible and intangible, financial

and nonfinancial cost comprise the “all
cost incurred by guest”.
COST OF QUALITY

Is often used as a reminder not of

how much it costs the organization to
provide service quality at a high level
but of how little it costs compared to
the cost of not providing quality.
TWO COMPLIMENTARY GOALS:

Exceed expectations to deliver wow

to the level of guest delight

Prevent failures
Who defines Quality & Value?
 Only the guest can define value and
quality.

 No matter how brilliantly the

organization designs the service, the
environment and delivery systems or
develop measurable service standards,
if the guest is dissatisfied with any of
these elements, the organization has
failed to meet guest’s expectations.