Chapter 21 Copyright 2010 by John Wiley amp Sons Inc All Rights Reserved SERVICE In an industry that is part of the larger service industry the delivery of good service is vital Word of mouth good or bad emanates from the service experience that a customer has ID: 584128
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The Role of Service in the Hospitality Industry
Chapter 21
Copyright © 2010 by John Wiley & Sons, Inc. All Rights ReservedSlide2
SERVICEIn an industry that is part of the larger service industry, the delivery of good service is vitalWord of mouth (good or bad) emanates from the service experience that a customer hasBad word of mouth spreads faster and fartherService is a major point of differentiationSlide3
SERVICE“Service is all actions and reactions that customers perceive they have purchased”Made up of all “moments of truth”It is how service staff are evaluatedServices are produced and consumed at the same time, creating challengesZero defects is the goalSlide4
TYPES OF SERVICEThere are three types of service: (1) electronic/mechanical; (2) indirect personal transactions; and (3) face to face transactionsStandards must be established for each and each must be managed Slide5
SERVICE TRANSACTIONSSlide6
PERSONAL SERVICEPersonal service is composed of task and interpersonal aspects
Task refers to the procedural elements
Interpersonal refers to the behavioral elementsSlide7
MANAGING THE SERVICE TRANSACTIONOrganizations tend to take either a product view or a process view of serviceTheir view drives how service is managed in their organizationsMcDonald’s takes the product view where all systems are routinized; Four Seasons takes the latter view where everything is focused on the interaction with the guestSlide8
PRODUCT VS. PROCESSSlide9
HOW COMPANIES ORGANIZE FOR SERVICEBy implementing a service strategyBy segmenting the market and servicing specific segmentsBy establishing a service cultureBy recognizing the importance of people and rewarding them accordinglySlide10
THE IMPORTANCE OF PEOPLESelectionTrainingEmployee awardsParticipation in planningSlide11
SERVICE IS THE SUSTAINABLE COMPETITIVE ADVANTAGEHospitality products and services tend to be very similar with the exception of serviceProviding exceptional service should be viewed as an opportunityMuch of a company’s reputation is based on individual service transactions