MODELS OF SERVICE QUALITY

The evolution of service quality

The Nordic model

Represents the service experience on the basis of

functional and technical elements Technical quality refers to what the customer receives from the service Functional quality refers to service delivery Model emphasises companies must be careful what they promise

Grnrooss (1984) model represents the service experience on the basis of functional and technical elements. The concept of technical quality refers to what the consumer receives from the service, or the outcome of the service process for example the actual haircut from a hairdresser or legal advice from a solicitor. The functional quality of the service refers to the way the service is delivered as reflected through the consumers perception of interactions that occur during the service encounter. This might include, for example, the friendliness of the hairdresser, the amount of attention given to the customer and so on. Within this model, Grnroos contends that, in forming service quality perceptions, consumers compare the expected level of service and the actual service performance they receive. The key implication of this model for managers is the clear distinction drawn between the service itself and how it is delivered. This model emphasises that companies must be careful what they promise to consumers. The attributes and benefits popularised by companies through traditional marketing activities, such as advertising and promotion, must be realistic when compared to the service that customers eventually receive. If firms promise a level of service above what they can actually deliver, customers will be unsatisfied and unhappy with the service they receive.

The SERVQUAL dimensions Perceived Service Quality

Reliability
Tangibles Empathy
understanding)

(dependability, accurate performance)

Assurance

(appearance of physical elements) (easy access, good communications & customer

Responsiveness

(promptness & helpfulness)

Reliability refers to the firms ability to deliver a promised service dependably and accurately (Parasuraman, Zeithaml & Berry 1985). An example of this is a taxi driver arriving promptly and taking you to your destination safely and efficiently. Assurance refers to the knowledge and courtesy of employees and their ability to inspire trust and confidence (Parasuraman, Zeithaml & Berry 1985). For example, an accountant is knowledgeable, skilled, qualified and has a good reputation. Tangibles are the physical facilities, equipment and the appearance of staff (Parasuraman, Zeithaml & Berry 1985). For example, a hairdressing salon should be neat and tidy, employees appropriately dressed, and so on. Responsiveness refers to the service providers willingness to help customers and provide prompt service (Parasuraman, Zeithaml & Berry 1985). In a dentist surgery, for example, the dentist should be accessible, there should be no waiting and staff should be willing to listen. Empathy is demonstrated by giving caring, individualised attention to customers (Parasuraman, Zeithaml & Berry 1985). For example, employees should understand consumers needs, listen to their concerns and be patient.

SERVQUAL

The SERVQUAL model/instrument is also based on the disconfirmation model, which assesses the gap between customers expected level of service and their perceptions of the actual service received (gap 5 in the gaps model). SERVQUAL consists of five key dimensions, upon which consumers evaluate service performance. These are reliability, assurance, tangibles, responsiveness and empathy, as summarised in table 4.2. Designed as a generic model to measure service quality, the SERVQUAL instrument has been applied across many service industries including local government, libraries, banks and financial institutions, and hospitals.

While these five dimensions are important in service quality evaluation, they may not all be important in every service setting. Take, for example, the services provided by the ATM at your local bank. While tangibles and reliability are very important service quality dimensions for this service setting, empathy will not be important, because the customer interacts with a machine rather than with one of the banks employees.

SERVQUAL (cont.)

The SERVQUAL model/instrument is also based on the disconfirmation model, which assesses the gap between customers expected level of service and their perceptions of the actual service received (gap 5 in the gaps model). SERVQUAL consists of five key dimensions, upon which consumers evaluate service performance. These are reliability, assurance, tangibles, responsiveness and empathy, as summarised in table 4.2. Designed as a generic model to measure service quality, the SERVQUAL instrument has been applied across many service industries including local government, libraries, banks and financial institutions, and hospitals.

While these five dimensions are important in service quality evaluation, they may not all be important in every service setting. Take, for example, the services provided by the ATM at your local bank. While tangibles and reliability are very important service quality dimensions for this service setting, empathy will not be important, because the customer interacts with a machine rather than with one of the banks employees.

The Gaps model of service quality

Based on the disconfirmation model, these models view service quality as the gap between the expected level of service and the customers perceptions of the actual service received. The gaps model proposes that consumers overall service quality perceptions are a result of comparisons between expectations and perceptions. The higher the service quality expectation in relation to actual performance, the lower the level of perceived service quality. Similarly, the lower the expectation in relation to actual performance, the higher the level of perceived service quality. In this way the gaps model sees service quality as a disconfirmation between expectations and perceptions. The gaps model (see figure 4.2) serves as a useful diagnostic tool for evaluating why service quality is failing, and comprises two primary sections.
The first section section, comprising four gaps that are aimed at management, reflects potential service failure as a result of managements actions. These gaps provide a framework for management to understand the causes of service quality failure. The second section, or fifth gap, occurs at the consumer level. This gap suggests that the difference between expected and perceived levels of service form consumers overall perception of service quality. It is this gap that is the central focus of the gaps model. It is also this gap that the SERVQUAL instrument measures