Thursday, 15 July 2010

The Impact of TQM on the Service Industry

In the past decade the service industry has changed dramatically. It has moved towards a focus on Total Quality Management (TQM) and a ‘do it right the first time’ approach. The principal organisational objectives are to ensure customer satisfaction, retention and subsequently the generation of profit. The main reason for this change is that services are intangible. It is therefore, more challenging for marketers of this industry (than in the consumer goods industry) to ensure 100% quality. Evidently, customers are more than likely to experience dissatisfaction with a service at one point. As a consequence, customer complaints are common, with the number of recorded complaints increasing (Office of fair trading report, 2006). The aim of this study is to investigate the effects of service recovery on customer satisfaction and loyalty levels. In order to meet this aim, the following research objectives have been proposed:

* To define service recovery and the paradox
* To assess how customers feel when organisations react to complaints, in terms of fairness and justice
* To investigate customer attitude and satisfaction levels after the recovery actions have been undertaken
* To discover how specific aspects of the service recovery method affect customer satisfaction levels
* To evaluate the effect of service recovery on loyalty levels of customers

1. Introduction
Background
Rationale
Research Aims And Objectives
Research
Dissertation Structure

2. Literature Review - Service Failure & Service Complaints
Background To Complaint Culture
Why Do Customers Complain?
Why Do Customers Not Complain?
How Do Customers Complain?
What Do Customers Expect From Complaining?
What Are The Implications Of Complaining On Satisfaction Levels?
Conclusion

3. Literature Review - Service Recovery
What Is Recovery And It’s Paradox?
Why Is Recovery Important For Organisations?
What Recovery Methods Are Organisations Using To Recover?
Are Companies Successful In Undertaking Recovery?
What Methods Can Be Recommended?
Conclusion

4. Methodology
Introduction
Research Rationale
Research Aims And Objectives
Marketing Research
Primarily Versus Secondary Research
Quantitative Versus Qualitative
Discussion Of Methods
The Research Method
The Individual In-Depth Interview As A Research Method
The Sampling Method
The Sample
Limitations
Analysing The Results
Conclusion

5. Findings
Introduction
Customers’ Feelings Before Recovery
Customers Feelings During Recovery
Customer Feelings After Recovery

6. Conclusions
Introduction
Recommendations
Limitations And Future Research

Bibliography

Appendices

Download Here: Dissertation