Co-Creation of Quality Service In Hospitality Management

Co-Creation of Quality Service In Hospitality Management

1. CO-CREATION OF QUALITY SERVI CE 20XX

2. LEARNING OBJECTIVES Understand the role of customers in service delivery and co-creation of service experiences; Differentiate and learn the concept of self-service technology and customer participation in the delivery of service; and Identify the different strategies involving customers to increase satisfaction, quality, value and productivity. Presentation Title 2 20XX

3. CUSTOMER’S ROLE IN VALUE CO-CREATION 3 20XX

4. Customer involvement in service innovation provides benefits for firms through the co-creation of value. VALUE CO-CREATION = defined as a collaboration between an organization and its customers to deliver or create the service that would be acceptable to the latter. The joint undertaking is expected to create new ideas, to improve products, and to better services. Presentation Title 4 20XX

5. Customers role is viewed as partnership wherein the insights relayed by the clients become valuable inputs in improving the services. In the creation of value, both customers and service organizations develop a collaborative relationship which creates benefit for both. It is very important that value co-creation should be sourced from both sides of stakeholders. Presentation Title 5 20XX

6. 3 MAJOR ROLES PLAYED BY CUSTOMERS IN SERVICE CO-CREATION AND DELIVERY 6 20XX

7. 1. CUSTOMER AS EXTENDED EMPLOYEES Among service-oriented organizations, customers are significant part of the organization's ability to deliver service. Oftentimes, customers are participants in the production process of services by means of contributing time, effort, and even resources. Presentation Title 7 20XX

8. 2. CUSTOMERS AS PROPONENTS TO QUALITY OF SERVICE The primary objective of customers is to have their needs met by the service organization. If the customer participation has been effectively designed, then it is likely that the needs of the customers will be met and the benefits would be attained. These services would be realized based on the satisfaction and expected results required by customers no less. In essence, the customers share in delivering their own satisfaction and value for services. Presentation Title 8 20XX

9. 3. CUSTOMERS AS COMPETITORS This role of service customers suggests that customers can be the competitors of the service organizations. If the customers realize that they can perform the required service whether partially or entirely, then the service provider may not be needed at all. In this way, the customer performs the tasks on his/her own and lets go of the service provider. Presentation Title 9 20XX

10. SELF-SERVICE TECHNOLOGY (SST) Presentation Title 10 20XX

11. Self-service technology is an innovation in providing service outputs created exclusively by customers without interaction or engagement with the employees of service organizations. Self-service technology is defined as "technological interfaces that enable customers to produce a service independent of direct service employee involvement" ( Meuter , Ostrom, Roundtree, & Bitner, 2000; Considine & Cormican , 2016). Presentation Title 11 20XX

12. LIST OF SOME OF THE SELF SERVICE TECHNOLOGIES 12 20XX

13. 1. Automated teller machine of banks 2. Automated and interactive voice response phone systems 3. Airline reservation and check-in 4. Airport Reception and information kiosks 5. Automated and online gambling or betting machines 6. Food ordering and delivery 7. Hotel Reservation, check-in, and check-out Presentation Title 13 20XX

14. 8. Electronic blood pressure machines 9. Smart watches and gadgets monitoring health conditions 10. Self-scanning (price scanner) at groceries and retail stores 11. Internet banking 12. Package and money transfer tracking 13. Online shopping 14. Online training and education 15. Online applications 14 20XX

15. ADVANTAGES AND DISADVANTAGES OF USING SSTs 15 20XX

16. ADVANTAGES CONVENIENCE CONTROL LESS COST EFFICIENCY 16

17. 1. CONVENIENCE Convenience may include ease of use, faster transactions, 24-hour service, and presence in strategic areas. Customers will enjoy access to SSTs where they have the ability to pay bills anytime of the day and through simple use of cellphones from anywhere in the country. Presentation Title 17 20XX

18. 2. CONTROL Customers prefer organizations that could provide them options where they can easily make decisions, monitor the progress of their transactions (forwarding organizations provide global positioning system or GPS tracking), or personalize the service offered (banks, hotels, and restaurants readily provide the usual preferences of their regular customers). Presentation Title 18 20XX

19. 3. LESS COST Customers are not just looking for cheaper prices, but also value for money. If an organization can provide customers with the same quality of service at a lower cost, the organization would most likely be the choice. At present conditions, most customers are looking for possible transactions that can provide them with alternatives that could minimize costs and yield better returns. Presentation Title 19 20XX

20. 4. EFFICIENCY Many customers who have availed of SST-aided transactions will agree that it is faster to transact business because of the accuracy of data and uniform process undertaken do not vary from time to time. Also, users get detailed information and complete transactions faster than they could through face-to-face encounters or telephone contact (Wirtz & Lovelock, 2018). Presentation Title 20 20XX

21. DISADVANTAGES BREAKDOWNS DESIGN OPTIONS 21

22. 1. MACHINE FAILURE/BREAKDOWN Since services are mostly assisted by machines, it is not remote that something might happen along the way. It may be frustrating for customers when, as least expected, the machine breaks down resulting in becoming offline, not properly dispensing goods, access is rejected, or simply is not issuing receipts. Since expectation of convenience is high among these SSTS, failures to deliver may often result in frustration more than those in normal process. Presentation Title 22 20XX

23. 2. POOR DESIGN/NOT USER-FRIENDLY Machines are sometimes difficult to use. Sometimes, the process is complicated, elaborate, and fixed (no flexible alternative), and it takes several tries to get the transaction or registration process completed. In these scenarios, customers would prefer personal transactions with company representatives. Presentation Title 23 20XX

24. 3. LIMITED OPTIONS Most of the time, only the options that are included in the menu page can be transacted successfully. Personal needs or customized requirements cannot be accommodated and processed. Questions beyond the usual procedures cannot be processed outright. Personal touch of service is eliminated. Presentation Title 24 20XX

25. GUEST INVOLVEMENT AND CUSTOMER PARTICIPATION 25 20XX

26. The design and scope of customer participation in delivering the service affect the organization's productivity, the quality of service it renders, level of customer satisfaction, and competitiveness against its rivals. Hence, the objective of customer participation is to enhance the organization's productivity and increase the level of customer satisfaction and encourage efficient use of the system by customers. Presentation Title 26 20XX

27. DETERMINE THE ROLE OF THE CUSTOMER 27 20XX

28. Service-oriented organizations should identify the level of participation of customers during the formulation of strategies. Different types of services may require different levels of customer participation, Purchase of food or groceries may only require minimal participation from clients; whereas, purchase of airline ticket or hotel booking may ask for inputs about customers' profile and preferences. In some cases, greater participation in co-creating the service is needed such as weight reduction programs, online education, or competency training. Presentation Title 28 20XX

29. THANK YOU! Hannah Gabrielle Hope S. Casabuena Instructor 20XX

30. ACTIVITY Find /Think a hospitality situation in which the guest is required to co-produce the service experience. 1.Descrbe and evaluate how the organization prepares its employees and its guests for successful guest participation. 2.How effective is the co-production strategy? 3. In what ways is this guest participation beneficial for the guest, the organization, or both? Presentation Title 30 20XX