Academic Integrity: tutoring, explanations, and feedback — we don’t complete graded work or submit on a student’s behalf.

9. Why is service quality especially important n 10. Discuss the differences bet

ID: 1140186 • Letter: 9

Question

9. Why is service quality especially important n 10. Discuss the differences between manufacturine . today's business environment? g and service organizations. What are the impli these differences for quality management? d11. Explain the roles of people and information tech nology in providing quality service. How does Th. Ritz-Carlton Hotel Company, LLC use employes and information technology for quality service 12. How can business support activities help to sustain quality in an organization? Give examples of som key business support activities and their role in quality d 13. How does quality support the achievement of 14. What did Philip Crosby mean by "Qualityis 15. Explain the role of both design and conformance 16. What evidence exists to counter the claim that uality competitive advantage? free"? quality in improving a firm's profitability. "Quality does not pay"? principles? 17. Why is it important to personalize q

Explanation / Answer

9. Why service quality is especially important in todays business environment?

There is a tremendous competition in all the businesses worldwide. To make profit firms have two basic alternatives 1. To raise prices 2. To cut costs

Raising prices is not an option theses days due to competition. Hence cutting costs can be the key. This however is not possible always and hence offering better service is an easier option. Customer can be attracted and retained with better service. Service quality offers following opportunities to business.

a. Competitive advantage- In India there are many car making companies. Renault had differentiated service and reaping benefits.

b. Niche market- With better service quality company can create its own positive image- For example Dell.

c. Customers may become brand ambassadors.- Satisfied customers always spread good word of mouth.

d. Brand loyalty- Loyal customers are made through better service.

e. Valuable inputs to identify future opportunities- Valuable customer feedback can promote advanced research.

10. Discuss the difference between mfg.and service organizations? What are the implications of this difference for quality management?

Manufacturing companies present tangible goods to customers e.g. Tvs whereas service organizations give intangible products- Eg. Lawyers advice.

Physical capital is main input in mfg. Human capital is main input in service org. Product, price, place and protion, packaging are the key for mfg. whereas along with these P's. People, process and physical evidence is a key for service org.

However, the difference is reducing day by day and customers want same level of commitment today from both kinds of organizations.

It is clear that mfg. needs to focus on product quality, after saler service. bringing differentiated products to market. service org. needs to focus more on training its people, maintain attractive ambience and make process simplest so a layman can consume services.

Mfg. Organization needs to focus more on R & D whereas service organization can survive by focusiing more on quality. Brain drain is more in services sector hence retaining skilled manpower is more challenging in service sector.

11. Explain the roles of people and IT in providing Quality service? How dos the Ritz Carleton Hotel Company LLC. use employees and IT for quality service?- ritz carlton case is not provided by the student to take inputs from and hence instead of this question, question number 13 is answered.

12. How can business supprt activities held to sustain quality in an organization? Give examples of some key business support activities and their role in quality?

Dell is a very successful organization. One of the key reasons for its success is its business support activities. Right from order management to service delivery and resolving customer complaints have different units and all these business support activities are synchronized well. Similarly, Honda a car maker is known for its best inventory management and timely prodcut delivery commitment. This is all due to well defined, decentralized and cost centre based approach followed by their business support activities.

Hence it is clear that business support systems and activities play a vital role. Example a better Research and Development department will give quality input which can make products unique and firms can make profits. Eg. Google, Amazon, Apple.Similarly logistics support can make inventory losses minimal and contribute to cost cutting.

13. How does the quality support the achievement of competitive advantage?

We can take examples of organizations to get clarity- In India there are two two onlie sellers . Amazon and Flipkart. Amazon has got more market share in less time as compared to Flipkart.Why this has happened is mainly becuase service quality is different. Similarly, General Motors went out of India whereas late comer like Renault has survived and growing well becuase of quality products at lower cost. Apple vs Samsung. Apple is a clear winner even thogh Samsung has cost to its advantage because Apple has better quality products.