Models of Service Quality

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    MODELS OF SERVICE

    QUALITY

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    The evolution of

    service quality

    Disconfirmation of expectations

    The Nordic model

    The Gaps model of service quality & SERVQUAL The three component model

    Integrating perspectives

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    The Nordic model(Gronroos 1990)

    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

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    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 thecustomer 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 traditionalmarketing 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.

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    The SERVQUAL dimensions

    Perceived Service Quality

    (Parasuraman, Zeithaml & Berry 1988)

    Reliability (dependability, accurate performance)

    Assurance (competence, courtesy, credibility & security) Tangibles (appearance of physical elements)

    Empathy (easy access, good communications & customerunderstanding)

    Responsiveness (promptness & helpfulness)

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    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 andtaking 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 appropriatelydressed, 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.

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    SERVQUAL

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    The SERVQUAL model/instrument is also based on the disconfirmation model, whichassesses 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 keydimensions, 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 instrumenthas 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 allbe important in every service setting. Take, for example, the services provided by theATM at your local bank. While tangibles and reliability are very important service qualitydimensions for this service setting, empathy will not be important, because the customerinteracts with a machine rather than with one of the banks employees.

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    SERVQUAL (cont.)

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    The SERVQUAL model/instrument is also based on the disconfirmation model, which

    assesses the gap between customers expected level of service and their perceptions ofthe actual service received (gap 5 in the gaps model). SERVQUAL consists of five keydimensions, 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 instrumenthas 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 allbe important in every service setting. Take, for example, the services provided by theATM 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 customerinteracts with a machine rather than with one of the banks employees.

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    The Gaps model of service quality(Zeithaml, Parasuraman & Berry 1990)

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    Based on the disconfirmation model, these models view service quality as the gapbetween the expected level of service and the customers perceptions of the actual

    service received. The gaps model proposes that consumers overall service qualityperceptions are a result of comparisons between expectations and perceptions. Thehigher the service quality expectation in relation to actual performance, the lower thelevel of perceived service quality. Similarly, the lower the expectation in relation to actualperformance, the higher the level of perceived service quality. In this way the gapsmodel 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 whyservice quality is failing, and comprises two primary sections.

    The first section section, comprising four gaps that are aimed at management, reflectspotential 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 thedifference 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 isalso this gap that the SERVQUAL instrument measures