1. McGraw-Hill© 2000 The McGraw-Hill Companies 1 S M S M McGraw-Hill © 2000 The McGraw-Hill Companies Part 4 DELIVERING AND PERFORMING SERVICE

2. McGraw-Hill© 2000 The McGraw-Hill Companies 2 S M CUSTOMER COMPANY Provider GAP 3 Service Delivery GAP 3 Customer-Driven Service Designs and Standards Part 4 Opener

3. McGraw-Hill© 2000 The McGraw-Hill Companies 3 S M S M McGraw-Hill © 2000 The McGraw-Hill Companies Chapter 11 EMPLOYEES’ ROLES IN SERVICE DELIVERY

4. McGraw-Hill© 2000 The McGraw-Hill Companies 4 S M Objectives for Chapter 11: Employees’ Roles in Service Delivery Illustrate the critical importance of service employees in creating customer satisfaction and service quality Demonstrate the challenges inherent in boundary- spanning roles Provide examples of strategies for creating customer-oriented service delivery Show how the strategies can support a service culture where providing excellent service is a way of life

5. McGraw-Hill© 2000 The McGraw-Hill Companies 5 S M Service Employees They are the service They are the firm in the customer’s eyes They are marketers Importance is evident in –The Services Marketing Mix (People) –The Service-Profit Chain –The Services Triangle

6. McGraw-Hill© 2000 The McGraw-Hill Companies 6 S M Service Employees Who are they? –“boundary spanners” What are these jobs like? –emotional labor –many sources of potential conflict person/role organization/client interclient quality/productivity

7. McGraw-Hill© 2000 The McGraw-Hill Companies 7 S M Figure 11-3 Boundary Spanners Interact with Both Internal and External Constituents Internal Environment External Environment

8. McGraw-Hill© 2000 The McGraw-Hill Companies 8 S M Figure 11-4 Sources of Conflict for Boundary-Spanning Workers Person vs. Role Organization vs. Client Client vs. Client Quality vs. Productivity

9. McGraw-Hill© 2000 The McGraw-Hill Companies 9 S M Figure 11-5 Human Resource Strategies for Closing GAP 3 Customer- oriented Service Delivery Hire the Right People Provide Needed Support Systems Retain the Best People Develop People to Deliver Service Quality Compete for the Best People Hire for Service Competencies and Service Inclination Provide Supportive Technology and Equipment Treat Employees as Customers Empower Employees Be the Preferred Employer Train for Technical and Interactive Skills Promote Teamwork Measure Internal Service Quality Develop Service- oriented Internal Processes Measure and Reward Strong Service Providers Include Employees in the Company’s Vision

10. McGraw-Hill© 2000 The McGraw-Hill Companies 10 S M Empowerment Benefits: –quicker responses –employees feel more responsible –employees tend to interact with warmth/enthusiasm –empowered employees are a great source of ideas –positive word-of-mouth from customers Drawbacks: –greater investments in selection and training –higher labor costs –slower and/or inconsistent delivery –may violate customer perceptions of fair play –“giving away the store” (making bad decisions)

11. McGraw-Hill© 2000 The McGraw-Hill Companies 11 S M Service Culture “A culture where an appreciation for good service exists, and where giving good service to internal as well as ultimate, external customers, is considered a natural way of life and one of the most important norms by everyone in the organization.”