Service Encounter NKFUST Role of Technology Service Organization - - PDF document

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Service Encounter NKFUST Role of Technology Service Organization - - PDF document

Jun 08, 2023 231 likes •334 views

Shin Ming Guo Service Encounter NKFUST Role of Technology Service Organization and Culture Managing Variability Managing Difficult Interactions Role of Technology in Service Encounter Technology Technology Technology

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Service Encounter

Role of Technology

Service Organization and Culture

Managing Variability

Managing Difficult Interactions Shin‐Ming Guo NKFUST

Role of Technology in Service Encounter

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Technology Technology Technology Technology Technology Customer Customer Server Server Server Server Server Customer Customer Customer

  • D. Technology‐Mediated

Service Encounter

  • E. Technology‐Generated

Service Encounter

  • A. Technology‐Free

Service Encounter

  • B. Technology‐Assisted

Service Encounter

  • C. Technology‐Facilitated

Service Encounter

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Evolution of Service Encounter

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Service Industry Human Contact Machine Assisted Internet Facilitated Banking Teller ATM Online banking Grocery Checkout clerk Self‐checkout station Online order/ pickup Airlines Ticket agent Check‐in kiosk Print boarding pass Restaurants Wait person Vending machine Online order/ delivery Movie theater Ticket sale Kiosk ticketing Pay‐for‐view Book store Information clerk Stock‐availability terminal Online shopping Education Teacher Computer tutorial Distance learning Gambling Poker dealer Computer poker Online poker

The Service Encounter Triad

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Service Organization Efficiency versus satisfaction Efficiency versus autonomy Customers Contact Personnel Perceived control

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  • I. Service Organization

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Employee Selection  Training Control + Empowerment Strategy + Culture The service encounter occurs within the context of an

  • rganization’s culture as well as its physical surroundings.

Definitions of Corporate Culture

  • Culture is a pattern of beliefs and

expectations shared by the

  • rganization’s members.
  • Culture is the traditions and beliefs of an
  • rganization that distinguish it from others.
  • Culture is shared orientations that hold the

unit together and give a distinctive identity.

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Ritz-Carlton Hotel- The Seven Day Countdown

  • Day One: Staff Orientation

– Warm welcome, Philosophy, Gold Standards,…

  • Day Two: Departmental Vision Sessions

– Group work, understand working purpose,…

  • Day Three through Seven: Skills Training

– Daily line‐up, uniform fittings, handling guest

difficulties, technical training,…

  • II. Contact Personnel

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 Selection

  • 1. Abstract Questioning
  • 2. Situational Vignette
  • 3. Role Playing

 Training

Unrealistic customer expectations Unexpected service failure

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Example: Amy’s Ice Cream

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 What was your most rewarding past

experience and why?

 What are you looking for in your next job?  What have you done in the past to irritate a

customer?

 What flavor of ice cream best describes your

personality?

Empowerment and Training

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Train and trust the inherent power within employees to evaluate choices and competently execute creative decisions.

  • 1. Invest in people as much as in machines.
  • 2. Use technology to support contact personnel rather than to

monitor or replace them.

  • 3. Consider the recruitment and training of contact personnel as

critical to the firm’s success.

  • 4. Link compensation to performance for employees at all levels.
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Unethical Behaviors of Employees

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Misrepresenting the Nature of the Service Customer Manipulation General Honesty and Integrity

  • Promising a

nonsmoking room when none is available

  • Using bait‐and‐switch

tactics

  • Creating a false need for

service

  • Misrepresenting the

credentials of the service provider

  • Exaggerating the

benefits of a specific service offering

  • Giving away a

guaranteed reservation

  • Performing

unnecessary services

  • Padding a bill with

hidden charges

  • Hiding damage to

customer possessions

  • Making it difficult to

invoke a service guarantee

  • Treating customers

unfairly or rudely

  • Being unresponsive to

customer requests

  • Failing to follow stated

company policies

  • Stealing customer

credit card information

  • Sharing customer

information with third parties

  • III. The Customer

Unrealistic customer expectations

  • 1. Unreasonable demands
  • 2. Demands against policies
  • 3. Unacceptable treatment of employees
  • 4. Drunkenness
  • 5. Breaking of societal norms
  • 6. Special‐needs customers

Unexpected service failure

  • 1. Unavailable service
  • 2. Slow performance
  • 3. Unacceptable service

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Managing Customer-Introduced Variability

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A trade‐off between cost and service quality (customer satisfaction)

Managing Customer-Introduced Variability

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The Customer is Not Always Right

 Southwest managers tell employees they are

Southwest's No. 1 customer, that the paying customer is not always right. Thinking the paying customer is right all the time, Southwest executives say, only undermines the trust between management and employees.

 "The theory goes that if we treat our employees well,

they'll treat the customer well," a Southwest executive

  • said. And that translates, most of the time anyway, into

profits.

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Washington Post April 08, 2003

Southwest Tops All Airlines in Customer Service

The University of Michigan’s Ross School of Business in partnership with the American Society for Quality and CFI Group announced the results of their American Customer Satisfaction Index (ACSI)—an annual customer service study—and Southwest Airlines had the best score among all airlines for the 16th consecutive year. “Southwest appears well prepared for today’s economic conditions with its no‐frills approach, low fares, and reliable service,” said Claes Fornell, founder of the ACSI. “The airline has a record of being able to deliver the basics well—getting both passengers and their luggage to the same destination on time.”

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Service Encounter Success Factors

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Service Provider Human Machine Human Employee selection

Interpersonal skills Support technology Engender trust Intuitive interface Verification Security Easy to access

Machine

Easy to access Fast response Verification Remote monitoring Compatibility Tracking Verification Security Failsafe

Customer

Satisfaction Mirror

Higher Customer Satisfaction More Familiarity with Customer Needs and Ways of Meeting Them Greater Opportunity for Recovery from Errors Higher Employee Satisfaction Higher Productivity Improved Quality

  • f Service

More Repeat Purchases Stronger Tendency to Complain about Service Errors Lower Costs Better Results

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Summary

 Service encounter is viewed as a triad.  Select and empower the contact personnel.  Training to anticipate possible situations.  The Customer is Not Always Right.  New area: machines serving human customers

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