Importance of Use a Servqual Model - Research Proposal Example

Servqual Review Report Name: Institution: Date: Table of Contents Table of Contents 2 1.0 Background 3 2.0 Scope and Objectives 3 3.0 Research Methodology 5 4.0 Major Findings 7 References 13 Appendices 14 Appendix 1 14 1.0 Background The service industry has grown and expanded over the recent past. In this case, the industry has experienced increased investors concern and attraction leading to increased need for its performance and challenges. Thus, in order to examine and establish the actual service industry quality levels as well as performance and success rates, the industry applies the serviviqual model of analysis. This report is based on evaluating how the model is applied and key service provision aspects highlighted in the model application. The model development is based on the appreciation of the fact that at times there occur a quality gap between the consumers’ quality needs and organisations provided needs. Reviews in this report such as Ravichandran, Mani, Kumar and Prabhakaran (2010), Chadichal and Misra (2012), Ravichandran and Prabhakaran and Kumar (2011), Sancharan (2012) and Mohamad, Najah, Shafezah, Abas, Noor Junaini and Siti Nurul Aini (2013) seek to evaluate how the model is applied as a service quality metric in the banking industry in the market. 2.0 Scope and Objectives This report, as already argued under the background analysis focuses on evaluating the application of the serviqual model in the banking industry. On one hand, the report seeks to establish if indeed the model application is rational and relevant in today’s banking business society. The evaluation study offered by Ravichandran, Mani, Kumar and Prabhakaran (2011) develops a focus on the applicability and relevance of the servqual model to increased banking industry services evaluation. In this regard, the study is based on the knowledge that the global banking industry has over the years acquired increased liberalization. Thus, this has forced a majority of the banking industry retailers to focus n establishing competitive edges through improved services quality. Through this evaluation, the report focuses on establishing the key strength areas and components that make the model an ideal service quality evaluation tool. Through this approach, the report develops conclusion on the continued relevance for the application of the model in services performance evaluation. In addition, the report focuses on evaluating the nature and actual instances of service quality measurements in the market. In this regard, the evaluation through studies such as the one developed by Sancharan (2012) evaluates the empirical evidence of the application of the model in service quality evaluation. In this regard, it evaluates the five key service quality elements namely the services reliability, assurance, tangibles, empathy and responsiveness. An evaluation of the services reliability and responsiveness is developed through the study conducted by Mohamad, Najah, Shafezah, Abas, Noor Junaini and Siti Nurul Aini (2013). In their analysis, the authors evaluated the nature and extent to which services offered by the banking industry were reliable to the consumers. Moreover, it evaluates on the nature and extent to which such services provided by the banks were responsive and accurate to the actual consumer needs. In this regard, the evaluation seeks to establish if there exists a gap between the banks management and services provider’s quality perception and the banking industry services consumers’ perception on quality. Further, in evaluating the challenges of risk management in services delivery, the report evaluates the approaches and extents to which the application of the model can enhance increased services quality provision risk management. As such, it uses the study developed by Ravichandran, Prabhakaran and Kumar (2010. The study offers a special focus on the on the risks on services offered in the banking industry such as consultancy as well as outsourcing services. In this regard, and in congruence to the report evaluation scope, the study evaluates the gaps in perception and definition of quality between providers and the consumers. Finally, the report offers a review on the nature and applicability of the model in respect to the changing global dynamics. Much debate has been developed in the market on the growing irrelevance of the model with increased automation of marketing operations. In this case, critics of the model argue that it was designed for application on the face to face marketing that has gradually been replaced by the virtual and online marketing platform. As such the report adopts the study developed by Chadichal and Misra (2012) on the challenges facing the model application in the new age and modern day marketing and electronic consumer relationship management models application. In general, the report focuses on establishing three key issues on servqual model application in the banking industry namely The strengths of the servqual model in evaluating services quality in the banking industry Key components of the servqual model and their application in service quality evaluation Challenges facing the model application with the modern day technology changes and application in business The establishment of answers to these questions forms the scope to which the report and subsequent research is undertaken. 3.0 Research Methodology In conducting a research study, there are two alternative data collection approaches namely the primary and secondary data collection approaches respectively. On one hand, the primary data collection approach is involved in direct data collection. In this case, the researchers collect the actual study data from the market and use it to develop appropriate conclusions and recommendations. One major merit for this data collection approach is the increased accuracy likelihood on the collected data. However, the high costs and time involved in the data collection makes the secondary data collection approach a viable alternative. Under the secondary data collection, researchers rely on already collected data, integrate and compare findings to develop logical conclusions and recommendations on respective topics. The report in order to ensure gains from both strategic approaches uses research studies that have applied both the primary and secondary data collection tools. For instance, the study developed by Sancharan (2012) on the quality of services offered by the banking industry providers in terms of reliability and responsiveness applies the secondary data collection approach. In this case, it uses literature review and adopts a bank case study, where the bank records and customer reviews are used as data sources. Similarly, the study developed by Chadichal and Misra (2012) applied the secondary data collection tool. In this regard, in its evaluation of the nature of applicability of the model in banking organisations across the globe it used the literature review approach through which it critically reviews existing data on IT application in banks. As such, the review relies on data collected from respective banks as well as industry analysis on critical consumer management and relationship issues. This offers it increased validity and reliability of the study. On the other hand, the report adopts studies using the primary data collection approach. In this case, the reviews source data directly from the market. For instance, the study evaluation on the nature of applicability of the model in evaluation consumers’ satisfaction levels in the banking industry applies the primary data collection approach. In this case, the research study uses questionnaires and a sample of 300 respondents collected on a sample random sampling technique across the Indian market. In particular, the study draws its respondents from two top private banks to evaluate extent to which their services quality to external consumers can be established. Moreover, the study by Mohamad, Najah, Shafezah, Abas, Noor Junaini and Siti Nurul Aini (2013) developed an empirical primary data collection form the bank of Islam Malaysian Berhad (BIMB). Through its focus on this bank as its case study, the evaluation collected data specific to the bank service provision. The attained specificity of the study offers an increased opportunity through which the banking industry specific focus on quality can be established. In the same context, Ravichandran, Prabhakaran and Kumar (2011) applied the primary data collections approach in India. In this regard, the study used a survey of approximately 500 respondents. In this case, the respondents were selected and chosen from a sample top five banking organisations in India. The collection and use of the primary data collection approach served as a key research study validation through accuracy enhancement. The adoption of the above studies with their diversified data collection approaches ranging from literature review, through case studies to surveys ensures that the report remains objective and that its satisfactorily evaluates the concept and the application of the servqual model as a metric in service quality evaluation across the banking industry. 4.0 Major Findings The major study findings in this report are classified based on the three key issues that the scope and purpose sought to establish and reveal. On one hand is the element of the strengths and applicability of the servqual model in analyzing and establishing service quality measures in the banking industry. In this regard, the study developed by Ravichandran, Mani, Kumar and Prabhakaran (2010) evaluated on the question of whether it could be applied in evaluating the nature and extent of satisfaction of consumers in the banking industry In this case, the study findings established that the model key five components are applicable and of metric evaluation value in the banking industry. In this case, the study subsequently applied the model as a metric tool and in turn established that external consumers’ satisfaction in the banking retail industry was directly proportional to the consumer systems and practices applied by the respective banking firms in the market. A second findings category was on the actual empirical evidence of the application of the five key model features in establishing service quality and consumers’ satisfaction levels in the banking industry. In this case, the findings of the study developed by Ravichandran, Mani, Kumar and Prabhakaran (2011) on an evaluation of the quality of services in the banking sector came in handy. In this regard, the study established that indeed the application of the servqual model on service qualify focus can be applied to establish t eh nature and extent of consumer satisfaction. In its review it argued on the increased retention of valued customers if banking organisations were to apply the model under an appropriate framework. This is a clear evidence and empirical show of the extent to which model application remains relevant and applicable in today’s service industry. Moreover, this focus objective was delivered through the findings on the study by Mohamad, Najah, Shafezah, Abas, Noor Junaini and Siti Nurul Aini (2013). In this case, using the example of the Islam bank in Malaysian, the study evaluated the satisfaction levels of the bank consumers on the offered services. As such, the analysis established that through a multiple regression analysis, there was a link between the variables. For instance, there was a relationship between the responsiveness rates and tangibility of the services to overall consumers’ satisfaction. Therefore, it concluded that the model application remains applicable and relevant as a metric measure of services evaluation in the market. Finally, the report classified its findings on the evaluation of the role and applicability of the approach in the current IT and market applicability. In this case, an evaluation of the Sancharan (2012) study findings established satisfaction with the model metrics measurement of external consumers’ services delivery. However, the evaluation noted that there was a gap in the models ability to evaluate the quality and satisfaction levels of the internal organizational consumers. Moreover, the evaluation by Chadichal and Misra (2012) established that with increased technology changes and the emergence of virtual and online marketing, the servicescape dynamics are changing in the globe. As such, its findings demonstrated that the model variables and evaluation metrics developed to cater for the physical markets and physical consumers are no longer applicable in the online and virtual market platforms especially under the application of e-CRM in the banking industry. Therefore, the findings establish failing model strength in showcasing internal consumers’ satisfaction rates as well as on the online virtual markets. 5.0 Impacts of the Findings These research findings have numerous implications on the management of organisations and especially in the service industry. In this case, the report findings are bound to change the perception and use of the servque model in service quality evaluation. On one hand, the establishment of the model strengths and the empirical affirmations presented by these findings is bound to influence the nature and approach through which the model is applied in the market. In this regard, the affirmation by the studies that the model evaluation metrics are reliable for evaluating and establishing service quality gaps across industries is expected to rise. In this regard, its application will raise growth in the corporate and retail banking industry sectors. In addition, the findings on the expected increased application of the model as Sancharan (2012) argued will increase its use. In this case, the study findings recommended the expansion of the model to include the perception and quality gaps for internal uses. As such, it is expected that organisations and business ventures will seek to establish improvements and changes to this model. Apparently, in its current status, the model cannot establish the existing service quality gaps for internal users. Therefore, it is expected that changes and improvement recommendations will be executed to improve and align it with internal consumer business service users. Further, the findings establishment of the demerits of the model application in the light of changing technology needs and approaches in the consumer industry will lead to change. In this regard, the findings offer a conclusion that the model is insufficient in the changing servicescape. Therefore, through this approach organizations applying the online platform to deliver services are expected to shift their services evaluation through the use of alternative models. Moreover, as already evidenced by the changing market conditions, a majority of the organisations are increasingly applying ICT and using the online platform to their service provision. Therefore, one of the implications of the report study findings is an expected gradual but consistent decline on the usage and application of the model. Thus, it is expected that with time and increased application into the future the model use and reliability in developing service quality metrics as well as gaps will decline. Nevertheless, the recommendation for the model application in developing internal consumer’s quality gap and levels will see a new phase in its application. As such, although its application will subsequently decline in the evaluation of service gaps for the external consumers, the model application and use on evaluating internal consumers service quality gaps is expected to enter its growth stage upon the publication of the study findings and the accompanying merits, of increasing internal organisations productivity, efficiency as well as the eventual sustainable competitive edges development. 6.0 Conclusion In summary, his report develops a critical evaluation of the relevance, strengths, application and challenges of the servque model on service quality gap and perception. As such, the report adopts five key journal article studies on the topic evaluating its three key objectives and scope which include the model strength, application and challenges. In their evaluation, the adopted studies apply diverse data collection tools and approaches. In this case, the articles apply both the secondary data collection tools on literature evaluation and the primary data collection approach including case studies and surveys on the population through large and representative sample sizes. The major report findings on the study establish that indeed the model can be applied in evaluating service quality gaps in the banking industry. As such, it is evident that any of the market industries can apply this model as its service quality evaluation metric. Moreover, it establishes that the interrelationship and connections of the various model evaluation tools increases the model effectiveness and viability as a service quality gap and level analysis in the market. However, an evaluation of the model suitability for internal users’ service quality gap evaluation as well as in the age of increased technology use establishes a major challenge. As such, the evaluation establishes that the metrics fail to consider internal users while lacking synergy with the online and virtual servicescape needs. Finally, conclusions on the study findings establishes a growing likelihood of decrease on the model use in evaluating external service consumer gaps and quality as more banks increase their technology use in the market. Moreover, it use on evaluating internal consumers service gap is bound to increase into the future. References Chadichal, S. S., & Misra, S. (2012). Exploring web based servqual dimensions in green banking services impact on developing e-CRM. Asia Pacific Journal of Management & Entrepreneurship Research, 1(3), 289-312. Mohamad, I. R., Siti Najah, R. S., Shafezah, A. W., Abas, N., Noor Junaini, A. Y., & Siti Nurul Aini, M. R. (2013). Adaptive of SERVQUAL model in measuring customer satisfaction towards service quality provided by bank Islam Malaysia Berhad (BIMB) in Malaysia. International Journal of Business and Social Science, 4(10) Ravichandran, K., Mani, B. T., Kumar, S. A., & Prabhakaran, S. (2011). Influence of service quality on customer satisfaction application of servqual model. International Journal of Business and Management, 5(4), 117-124. Ravichandran, K., Prabhakaran, S., & Kumar, S. A. (2010). Application of servqual model on measuring service quality: A Bayesian approach. Enterprise Risk Management, 2(1), 145-169. Roy, Sancharan,B.E., M.B.A. (2012). Assessing Banking Industry Quality Using the Servqual Model. International Journal of Marketing and Technology, 2(10), 78-89 Appendices Appendix 1 For example: Studies examining services quality etc... Author (s) DV=Dependent Variable IV=Independent Variable Relationship with DV Measurement used Country Method Number of Respondent & Response Rate Population size Survey method Unit of Analysis Ravichandran Mani, Kumar & Prabhakaran (2011) DV=The banking industry servqual model application IV=the banking services providers The education sector relies on IT to increase competitiveness Servqual model India Quantitative 300 respondents Surveys The extent to which the model application fits consumer service quality perception Chadichal & Misra (2012). DV-The servqual model IV-Internet The nature of the influence of the internet of the model relevance Servqual model Global Qualitative Literature review The nature and extent to which the model is relevant in internet based servicescape Ravichandran, Prabhakaran & Kumar (2010) DV-The banking industry consumers IV-The banking industry service providers The consumers rate of satisfaction with the offered services by banking industry service producers Servqual model India Quantitative 500 respondents Questionnaire survey Producers commitment and responsiveness to consumers needs Sancharan (2012) DV-Banking industry consumers IV-Bank industry providers The consumers rely on services offered in the industry Servqual model Global Qualitative Literature review case study The relationship between the industry services and their ability to meet consumer needs Mohamad, Najah, Shafezah, Abas, Noor Junaini & Siti Nurul Aini (2013) DV=The banking industry consumers IV= The banking industry The consumers rely o the services quality for satisfaction Servqual model Malaysia Quantitative Case study The relationship between banking services and the consumer needs Read More