Store and Purchase Evaluations, NERIST

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Measurement of Service Quality of Store & Purchase Department NERIST Sidananda Dutta MBA/14/11 Under the Supervision of Under the guidance of Dr. Saibal Chatterjee Mr. Shibabrata Choudhury Professor. Electrical Dept. Asst. Professor (CMS) ,NERIST NERIST

Transcript of Store and Purchase Evaluations, NERIST

Page 1: Store and Purchase Evaluations, NERIST

Measurement of Service Quality of Store & Purchase Department NERIST

Sidananda DuttaMBA/14/11

Under the Supervision of Under the guidance ofDr. Saibal Chatterjee Mr. Shibabrata Choudhury Professor. Electrical Dept. Asst. Professor (CMS) ,NERISTNERIST

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CONTENTS• Introduction• Review of Literature + Servqual• S&P Department Of NERIST• Research Methodology• Objectives• Hypotheses• Results & Discussions• Analysis• Recommendations• Conclusions• References

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INTRODUCTION• Store and Purchase Department adopt procedures for the

purchase of various kinds of equipment and stores by Departments/Inter-disciplinary Programmes /Centres/Central Facilities/Units/Sections, both from Institute’s main account as well as from the projects funds.

• It address to the needs of the actual users vis a vis promote an environment of efficient and economic objectives for furtherance of institute activities.

• Aspects of accounting, record keeping, inventory, stock verification, asset register, etc. will be given proper attention so as to make a overall Stores and Purchase system efficient and transparent.

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REVIEW OF LITERATURE Developed in 1985 (Parasuraman, Zeithaml, & Berry, 1985), SERVQUAL

is a measurement tool for service quality that aim to measure service quality along several dimensions, namely tangibles, reliability, responsiveness, assurance and empathy

Wang and Shieh, (2006, p. 195) quality is the difference between customer expectations and perceptions about the services and activities provided by the company.

SERVQUAL instrument(Parasuraman et al., 1988) includes 22 paired questions for measuring expectations and actual perceptions about service quality.

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REVIEW OF LITERATURE (Mattsson, 2007) in his study has revised and enhanced existing inventory

control models in a way that allows them to be used more efficiently in environments with short lead times.

The purchase of technical and scientific equipment and supplies is relatively complex, and at a time can not be straight – jacketed in a specification. This may require certain flexibility in evaluation of different quotations as each of them may have varying specifications, but can perform the intended function (Gopalakrishnan and Sundaresan, 1994).

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SERVQUAL

• SERVQUAL is a service quality framework , developed in the eighties by

Zeithaml, Parasuraman & Berry, aiming at , measuring the scale of Quality in

the service sectors.

• Service quality is an approach manage business process in order to ensure full

satisfaction of the customers and quality in service provided.

• If expectations are greater than performance, the perceived quality is less than

satisfactory and hence customer dissatisfaction occurs.

• SERVQUAL was originally measured on 10 aspects but in 1988 the 10

components were collapsed to 5 dimensions (RATER) Reliability, Assurance,

Tangibles, Empathy, Responsiveness.

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SERVQUAL Measuring Parameters

SERVQUAL

RELIABILTIY

ASSURANC-E

EMPATHYTANGIBLES

RESPONSI-VENESS

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NERIST Store & Purchase Department

Process

Make Payment

Receive Supplies

Place Order

Negotiation with Suppliers

Solicit Quotation

Receive Requisition

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• Types Of Tendering– OPEN TENDER– NOTICE INVITATION TENDER– SPOT PURCHASE– PROPIEROTAROY ITEM DIRECT PURCHASE

FROM MANUFACTURER (SOLELY)

NERIST Store & Purchase Department

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NERIST Store & Purchase Department

  SAMPLE

NORTH EASTERN REGIONAL INSTITUTE OFSCIENCE & TECHNOLOGY(Deemed University) Nirjuli:791109: Itanagar: Arunachal Pradesh

NOTICE INVITING TENDER Application in respect of Tender in sealed envelops are invited on behalf of the Director, NERIST from reputed manufacturers/firms for supply of items for new cable connection from power house to mechanical dept. at NERIST with enclosure as per IS 11171 within 08.03.2016 (4 pm). For more information Institute’s website (www.nerist.ac.in) may please be visited or the undersigned be contacted at 0360-2257401 *6412.Electrical Engineer

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NERIST Store & Purchase Department

OPEN TENDER SAMPLE

NORTH EASTERN REGIONAL INSTITUTE OF SCIENCE AND TECHNOLOGY NIRJULI :: ARUNACHAL PRADESH

Telephone No. (0360) 2257401-11 (Extn. No.6374/6010), FAX – (0360) 2258533/2257872

TENDER NOTIFICATION NO. PUR/80/OT/2015-16 Dated.04/01/2016Sealed tenders are invited from reputed manufacturers/authorized dealers/ suppliers for purchase of Laboratory/Office equipments/Other Items. The details of tender can be downloaded from our website : www.nerist.ac.in. Tender fee of Rs.1500/- (non refundable). The last date of receiving tender is 27/01/2016 up to 04.00PM and the date of opening of tender is 28/01/2016 at 11.00AM. The Director, NERIST reserves the right to accept or reject any tender partly or fully without assigning any reasons whatsoever.

Assistant Registrar (S&P)

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Research Methodology

• Research Design:Formal Questionnaires were being adopted to find out the answers for the research questions .

• Area Of Study:– Within NERIST

• Sample Size: – 20 Respondents (willingness to respond)

• Sampling Method:– Simple Random

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Research Methodology

• Secondary Sources– Data taken from various sources , such as research papers, official

brochures and websites of NERIST.

• Primary Sources– Collected directly by structured questionnaire and through face-to-face

interview with the respondents

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OBJECTIVES

• To measure the service quality of Store and Purchase Department of NERIST by using SERVQUAL.

• To find significant difference between Expectation and Percepted service quality of the Users, by using Hypothesis Testing (Null and Alternate Hypothesis).

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HYPOTHESES TESTING

H₁: There is significant difference between expectation and perception of employees in terms of ASSURANCE of Store and Purchase department.

H₂: There is significant difference between expectation and perception of employees in terms of EMPATHY of Store and Purchase department.

H₃:There is significant difference between expectation and perception of employees in terms of TANGIBLES of Store and Purchase department.

H₄: There is significant difference between expectation and perception of employees in terms of RESPONSIVENESS of Store and Purchase department.

H₅: There is significant difference between expectation and perception of employees in terms of RELIABILITY of Store and Purchase department.

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Results and Discussions

• Descriptive StatisticsSL No.

Variables N Min. Max. Mean Std.Deviation

1 Assurance 20 2.75 6.50 4.6625 0.99431

2 Empathy 20 2.40 6.40 4.4900 0.96567

3 Tangibles 20 3 6 4.3125 0.82268

4 Responsiveness 20 1.75 6.25 4.0125 1.12821

5 Reliability 20 1.60 5.20 3.5100 0.98296

6 Valid N(List wise)

20

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SUMMARYScale:1-71=Strongly Disagree7=Strongly AgreeAssurance:

Behaviour SatisfactionsContended ApproachCourteousKnowledge to answer queries

Empathy:Individual Attention

Convenient Working Hours

Personal attention

Respects Individual Interest

Understand Specific Needs

Tangibles:Latest equipment'sPhysical FacilitiesAppear NeatMaterials are appealing

Responsiveness:Orders execution timePrompt ServiceWilling to helpNever Busy To Respond

Reliability:Promises on timeInterest in solving problemsDoes not Postpone IssuesConduct fair enquiriesInsist on error free records

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DESCRIPITIVE STATISTICS (ASSURANCE)

.

SL. No Variable Mean Standard Deviation

Mean Difference (P-E)

1 Behaviour Satisfactions

4.60 1.27 -2.40

2 Contended Approach

4.55 1.09 -2.45

3 Courteous 5.15 1.26 -1.85

4 Knowledge to answer Queries

4.35 1.46 -2.65

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One Sample T- Test(ASSURANCE)

.

SL No Variables T Significant Value(P- Value)

1 Behaviour Satisfactions -8.43 0.000

2 Contended Approach -9.96 0.000

3 Courteous -6.52 0.000

4 Knowledge to answer Queries

-8.11 0.000

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One Sample T- Test(Assurance)

.

SL No Variables T Significant Value(P- Value)

1 Behaviour Satisfactions -8.43 0.000

2 Contended Approach -9.96 0.000

3 Courteous -6.52 0.000

4 Knowledge to answer Queries

-8.11 0.000

Significant at P- Value 0.01. So here , we can

reject the null hypothesis and accept alternate hypothesis.

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Mean Rank for Assurance

.

3.84.24.6

55.15

4.6 4.554.35

Mean

Service Quality

ME

AN

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Results and Discussions

• Descriptive StatisticsSL No.

Variables N Min. Max. Mean Std.Deviation

1 Assurance 20 2.75 6.50 4.6625 0.99431

2 Empathy 20 2.40 6.40 4.4900 0.96567

3 Tangibles 20 3 6 4.3125 0.82268

4 Responsiveness 20 1.75 6.25 4.0125 1.12821

5 Reliability 20 1.60 5.20 3.5100 0.98296

6 Valid N(List wise)

20

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Results and Discussions

Assurance Empathy Tangibles Responsiveness Reliability

0123454.6625

4.494.3125

4.01253.51

SERVICE QUALITY DIMENSIONS

Service Quality

MEA

N

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FINDINGS

• There lies a significant difference between expectation and the percept service quality to the users.

• Assurance with Mean score 4.6625 has the highest positive responds, which reflects that the behaviour of Store and Purchase Department employees, instils satisfaction, are courteous, and have the knowledge to answer the questions to its requesters.

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FINDINGS AND DISCUSSIONS

• Empathy with Mean score 4.49 reflects that S&P Department gives individual attention, and understand specific needs of the users if any.

• Tangibles with Mean score 4.31 lies moderate, which reflects that the providing of latest equipment's, and visually appealing materials to its users , lack as per expectation

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FINDINGS AND DISCUSSIONS• Responsiveness with Mean score 4.01 has comparatively

a lower response rate, which reflects that S&P Department are not able to deliver their orders as per their commitment and unable to provide prompt service

• Reliability with Mean score 3.51 has the lowest response rate, which reflects that promises as desired are not fulfilled, postpone issues, shows less interest in solving problems, and does not insist on error free records.

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FINDINGS

• Says Clerical Problem, lack of promptness.• Need to go often to the S&P Department to

make it process.• Shortage of Manpower.• Takes a long time in procurement of orders.

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RECOMMENDATIONS

• Online ordering and Tracking of goods should be done to make it transparent.

• S&P Dept. should select reputed suppliers who can deliver quality as well as on time.

• Regular review meetings should conduct between Departmental Heads and S&P Dept.

• A feedback mechanism system should be there.• Reduce the procedures for file movement.

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RECOMMENDATIONS

• Quality of products procured should be best.• Follow up for orders after the orders are

placed.• Full Transparency should be maintained while

selecting bidders.• Should maintain e-records for error free.

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CONCLUSIONS

• From the above results it can be conclude that the S&P Department of NERIST should be very concerned about timely procuring of orders, should show sincere interest to the Departmental Request, should solves any issues fast and should not postpone things and should reduce the time of the file movements, and most importantly update from its traditional method to Online procurement.

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REFERENCES www.nerist.ac.in

NERIST manual.

INTE 2014 “Quality of graduates’ preparation for labor market - a ServQual analysis” Agata Pradela

“A Comparison of Purchase and Inventory Management System of two Educational Institutes” Sharif, Dean of Faculty Affairs Office, IIT Kanpur

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References

“Understanding the purchasing behavior of a large academic institution and urban freight demand” Paulus T Adtjandra*, Thomas H Zunder

• “The Effect of Customers’ Perceived Value of Retail Store on Relationship between Store Attribute and Customer Brand Loyalty” Some Insights from Malaysia Seyed Rajab Nikhashemia*, Arun Kumar Tarofderb , Sanjaya Singh Gaura , Ahasanul Haque.

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THANK YOU