Service Quality: Internal and External Factors in Food & Beverage

This report delves into the critical aspects of service quality within the food and beverage industry, highlighting the interconnectedness of internal and external factors. It emphasizes the need for businesses to balance both internal and external service quality to achieve growth and profitability, particularly in restaurants. The report explores the relationship between customer satisfaction, employee satisfaction, and the overall business performance, as well as providing a detailed analysis of the determinants of both internal and external service quality. The report discusses the importance of customer perception, expectations, and the use of SERVQUAL as a service quality measurement tool and examines the impact of service quality on consumer loyalty and business efficiency. The report underscores the significance of employee satisfaction and productivity in delivering high-quality services that ultimately drive customer satisfaction and business success.

Running head: SERVICE QUALITY 1
Internal and External Service Quality Relationship
Student’s Name
Institution Affiliation

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Executive Summary
This paper addresses the links that are usually evident in the service quality in foods and
beverages business firms. The firms needs to balance both factors, since they dictate growth and
profitability of the business. Operating restaurants, (which are the major outlets of foods and
beverages) is extremely sensitive since it deals directly with clients who desires satisfaction
through provision of quality products utilizing quality service providers. The external customers
demand high standards of service delivery, while the firm on the hand, seeks to provide excellent
services through motivation of their internal customers. This paper additionally tries to give the
connection between client observations, desires and fulfillment or satisfaction. Holes advancing
between the service of an association and the impression of the clients are assessed in detail. The
last piece of the paper concentrates on SERVQUAL which is a service quality measurement.
Five essential measurements of service quality have been assessed in detail. The determinants of
both types of service qualities, that is, internal and external, have been distinguished as far as
carrier industry and the connection between conveyance of service quality and consumer loyalty
has also been featured.

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Introduction
People around the world always have the desire of desiring the best. The service
providers always strive to offer quality services to the clients irrespective of whether they are the
monopoly or not. According to Akbar and Parvez (2009), external factors that include the
customer satisfaction is one of the major drives that have excited an enormous increase in
productivity. In foods and beverages industry where service is given priority, the external service
quality directly corresponds to increase in profits of any business enterprise since more
customers are attracted by the external appearance and reputation of the service. As the number
of customers increases, the turnover also increases accordingly. Foods and beverage outlets
should ensure quality service since it attracts return customers, who in most cases, recommend
the same to their friends. Smith also noted that social influence is a critical issue that needs to be
addressed since most of the recommendation will be affected by the initial service, and the
manner in which it is offered.
The employees of every firm are the internal customers, who largely depend on the
outputs of their colleagues in various departments to serve their external and internal customers,
and therefore, there is need to provide an internal service quality. The business should strive to
satisfy their employees, which are their internal customers, for them to provide quality services
to the external customers. Failure to address the needs of one of the internal quality chain
participate will contribute to a series of problems on other sections which directly or indirectly
affects the internal and external customers. The customers provides judgement about the services
provided basing on their perceptions and whether their expectations have been met or not. The
link that exists between both internal and external quality services is derived from analyzing the
individual quality dimensions.

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Service Quality
Service quality of food and beverages companies or restaurants has developed as an
essential capacity under dialog in most of the countries which has been recognized as one of the
productive structures for the performance of most of the hotels in the competitive industry. The
service quality of the hotel and foods and beverages industry provides nearly similar services,
building up high service quality, supplement consumer loyalty, and extend the hierarchical
benefit of suppliers and piece of the overall industry (Chou et al. 2011). Most restaurants conduct
research on the criticality of issues, to assessing service quality, consumer loyalty, and client
assumptions in regards to the administration quality. As Gonzalez, and Comesana, (2007),
service quality has developed as an issue of significance for the foods and beverages business it
has been distinguished as a standout among the best means by building a focused position and
enhancing authoritative excellence. Consumer loyalty and client desires are two vital factors in
assessing the service quality and settle on fundamental choices concerning the future
investments. A standout among the most vital improvement angles in foods and beverage
framework is the developing thought toward benefit nature of restaurants by conveying valuable
information and quality support of the clients. The service quality can either be internal or
external.
External Service Quality
This includes services that directly or indirectly influences the customer’s demand for
particular beverage or food from specific outlets.
Organizational image

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It refers to the overall reputation of the foods and beverage firm which builds the
confidence of the external consumers. It is the outlook of the restaurant, treatment of customers,
the appearance of the waiters or staff. The brand image may attract more customers to purchase
the product, and this depends on the first impression that the customers gain from the
environment.
Safety and choice
The factor describes the accessibility of the restaurant to most of the population, the
various variety of the dishes, the waiters address and responses to customer’s demands and
questions. The several varieties will give the external customers the ability to select the brands or
favorite dishes and beverages from the available alternatives (Dhurup, 2012).
Empathy
It refers to the hours of operation that gives convenience to the customer’s needs and
demands. The business should ensure that they serve their customers giving priority to individual
attention.
Product
The factor takes into consideration the prices offered by the restaurants and other outlets
are in conformity with the quality. The packaging sizes, tastes, quality of the brands as well as
the appearance should be in line with the demands of the customers.
Responsiveness
It refers to the ability and availability of the staff members such as the waiters to respond
to the demands and requests of the customers. The staff should always be eager to serve their
customers by delivery quality services possible.
Internal service quality

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Empathy
The factor describes the interactions among the individual member staff, which in this
manner should be polite and proper addressing of the internal providers. It describes the feeling
of satisfaction as a result of interactions and transactions with store keepers and the kitchen
personnel in the restaurant or any outlet.
Professionalism
It describes the attractive nature of the dishes and beverages offered. The personnel
should have sufficient knowledge on how to prepare attractive and quality food.
Responsiveness
It refers to efficiency and punctuality in service provision by the kitchen staff to their
fellow waiters. Factors, such as the appropriate temperature reaching to customers, is as a result
of quick and good flow of service offered to the waiters by the chefs.
Safety
This describes the confidence that is provided through self-trust by the internal workers
of the restaurant. The good appearance of the service providers instills the necessary confidence
that inspires individual members internally.
Reliability
The factor characterizes the accuracy through accurate keeping of kitchen and other
records such as store details. The kitchen staff and waiters should always be accurate and keep
their timelines accordingly to ensure consistent reliability of the services they offer to customers.
Service Profit Diagram

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Employee satisfaction is the ability of the company to serve their employee needs,
listening to complains and responding to them promptly. Satisfied employees are productive and
improves the quality of services provided which boosts the reputation of the organization leading
to subsequent increase in profits.
Customer loyalty depends on the treatment offered by the restaurant management. The
management should be friendly, especially if they are providing quality services.
Employee productivity: this is the case where employees use their abilities to full
potential in working environment. Chefs for example should show competences and ensure they
deliver quality dishes that will create customer’s attraction.
Customer satisfaction: refers to contentment of the customers due to the service
delivery offered by the waiters and other responsible personnel in the restaurant. To ensure
customer satisfaction, the services should be prompt, and the quality and standards required by
the clients be met.

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Measuring Consumer’s Service Quality Perception
The demands of both, the internal and external customers should be considered,
especially during the process of service delivery. In measuring service quality, either internal or
external, SERVQUAL is the most used tool. In this tool caparison of before and after service is
done. The dimensions that are put into consideration include: responsiveness, tangibles,
assurance and reliability.
The setting of service quality has not been seen consistently. (Kumar, Tat Kee, & Taap
Manshor, 2009).) for example depicted two arrangements of quality setting: objective, and saw
quality; the main concentrates on the measures and rules being set up by proficient bodies, while
the second relates to clients’ recognitions. Essentially, the administration quality into specialized
and practical. All things considered, writing on benefit quality has been arranged behind the most
recent class while kept up a level of deterioration with the first. Then again, researchers have
tried to enhance benefit quality. Their models that conceptualize benefit quality change
incorporated the disconfirmation, saw quality, SERVQUAL, and Six Sigma (Ladhari, 2008).
Also, Mosahab, Mahamad & Ramayah, (2010) explained two different models in particular
Berry’s model and Gronrros’ model, however put them inside the setting of the inner promoting
hypothesis. Be that as it may, the previous models saw benefit quality from a thin point of view;
none have had an all-encompassing perspective of value. This clarifies the irregularity in
conceptualizing administration quality where the apparent administration quality continued to
gauge clients’ fulfillment specifically.
In the food and refreshments business, most investigators are possessed with extending
customer dedication; satisfied customers tend to return and make the advantage to business. The
described buyer faithfulness as a measure of how the customer sees advantage movement. As

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indicated by Santouridis, and Trivellas, (2010), shopper dependability is a segment of
organization execution concerning the customer seek. Thus, it is basic to perceive how customer
covet is confined with a particular true objective to perceive the components of organization
satisfaction. As (Yee et al. 2010) inspected the way that unmistakable customers have different
cravings, in light of their understanding into a thing or administration. This can be surmised that
a customer may survey what the organization execution will be or may think what the execution
ought to be. If the organization execution meets or outperforms customers’ needs and wants, the
customers will be satisfied. The services rendered by these businesses should meet the
expectations of their customers to avoid frustrations and negativity towards the firm. As noted
above, a more noteworthy number of fulfilled clients will make the lodging business more
fruitful and more beneficial. Past research investigated consumer loyalty in regards to the
administration nature of all territories in the lodging with the goal that the inn can evaluate the
client observation. This examination distinguished five variables of administration quality by
concentrating on the front office staff just, and investigated the customers and desires and
observation levels of these services. The aftereffects of this quantitative appraisal of
administration quality might give a few bits of knowledge into how clients rate the
administration quality and evaluated customers and fulfillments.
Service Quality and Efficiency
There is a constant competition between business entities which offer similar goods and
services globally. The measure of this competition keep rising annually and the need to enhance
hierarchical execution has never been more prominent. Numerous businesses regularly spend
adequate assets to pull in individuals who are appropriate for the higher positions. Frequently
there are huge expenses related with drawing in, preparing and terminating of an awful or

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frustrating workers, and the cost of the more it takes to understand that a sufficiently
representative not expanded. Hence, cautious choices are given toward beginning about who to
get included can be very cumbersome. Thus, the group of the choice is made more than one
individual to assess and select a viable representative.
The focal part of representatives in the hierarchical viability and service quality is recognized by
analysts and experts (Siddiqi, 2011). The general population working in the organization, the
source and reason for the utilization of different sources (Ladhari, 2008). Therefore, by methods
for a viable determination framework, an organization's representatives are, fundamentally, a key
resource.
Outlining the primary discoveries of this work, majority of clients are satisfied by the
quality service offered by the restaurant, whereby most supporters being more fulfilled than first
time guests. Factor investigation of client information uncovered six elements (measurements)
of outside administration quality, four of which (security and decision, sympathy, unwavering
quality and responsiveness) were like those found in the writing while the other two (item and
hierarchical picture) gave extra help to the perspective.
Conclusion
For one to raise the service quality delivery in the foods and beverage industry, one needs
to employ and assess the regularly to ensure that their experience and services correlates with the
needs and objectives of the firm. Both, the internal and external customers takes into critical
consideration on attributes such as the reliability and high levels of quality in services offered by
the internal providers. For restaurants and other similar outlets to make viable progress, they
need to understand how their clients view their service quality, and to understand how to

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measure such quality. By measuring the service quality, the management is able to obtain vital
information that they will subsequently use in offering quality services to their clients.
From the above, it can be seen that supervisors of food and beverages outlets should
concentrate on ensuring that internal service quality is always upheld if they wish to enhance
outside administration quality, e.g. improve internal correspondence and coordinated effort
among offices that are connected in work process and help evacuate bottlenecks and take part in
critical thinking (Gunawardane, 2011). Regarding particular arrangements that might be
promptly actualized, discoveries demonstrate that it might be sufficient to gather information
from internal clients (a less demanding assignment) with a specific end goal to get an inclination
for the nature of service towards outside clients. Additionally, since outer clients detailed that
they got institutionalized services, it might be a smart thought for internal providers (i.e. chefs, or
those working in the kitchen) to be more adaptable with the goal that they may react to
individualized client needs. At last, the consequences of this examination convey the
consideration of specialists to the idea that while the item (i.e. sustenance) may fulfill needs of
external clients (i.e. eatery benefactors), low quality of services may in any case negatively affect
the general achievement.

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