Quality Management in Airbnb

This report discusses the concept of quality management and its evolution. It also outlines the problems currently experienced by Airbnb and assesses the impact of techniques on delivering consistent and effective quality management.

Report for quality
manager for Airbnb
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EXECUTIVE SUMMARY
Quality management is the philosophy, a continuous improvement approach to pursue
business by using a new management model in order to gain desirable outcomes. For an
organisation it is very potential to evaluate areas in which they can improve their performance by
focusing on concepts of Total quality management such as leadership, employee's involvement
and continuous improvement and many more.
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Table of Contents
EXECUTIVE SUMMARY.............................................................................................................2
INTRODUCTION ..........................................................................................................................4
MAIN BODY...................................................................................................................................4
Identify and describe the concept of quality management..........................................................4
Outline the problems being currently experienced by Airbnb....................................................6
Assess the impact of following techniques could have on Airbnb in terms of delivering
consistent and effective quality management.............................................................................8
RECOMMENDATIONS...............................................................................................................10
CONCLUSION..............................................................................................................................10
REFERENCES .............................................................................................................................12
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INTRODUCTION
Quality management is a defined act helps in evaluating various activities and tasks
within a firm to ensure that products and services offered to consumers provides delighted
experience to them. It includes determination of quality policies, building and implementing
quality planning for bringing quality improvements positively. Respective report is based on the
Airbnb which is the online market provides lodging, majorly home stays or tourism related
services to their consumers. Organisation do not have any real estate listings not have any host
events but it act as a broker to provide services to end user by receiving commission on every
kind of service. Respective report is based on the identification and evolution of quality
management for providing best products and services to consumers. Further it includes issues or
concerns currently encountered by Airbnb in giving best quality products and services to their
potential consumer by considering various factors. It also includes impact on standards could
have impact on organisation providing consistent and effective quality. At last it includes
recommendations in regards of identified problems and concept of TQM.
MAIN BODY
Identify and describe the concept of quality management.
Evolution of Quality:
In the 18th and 19th century quality control measures are not existed as today business
operators use, however some crucial kind of activities prevailed informally at workshop level.
Quality control started and developed in 20th century, JC penney way first individual that
presented significance of Total quality management in year 1913 by proposing principles of
customer satisfaction, quality, fairness and value for them. Further in the early 1900s Father of
scientific management Fredrick W. Taylor bring out other quality principles (A Brief History of
Quality: How the Concept of Quality has Evolved, 2020). Since early 20th century,
manufacturing industries pace towards adopting the control practices in order to assure quality of
their products. In the year 1913 Ford Motors Company by framing line of assembly in their
newly opened factory for achieving quality products and enhance manufacturing volume. Over
the past decades several leaders contribute in developing the quality that prevails in today's
scenario.
Quality Gurus:
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In quality Gurus includes Dr. W. Edwards Deming, Joseph Jura, Philip Crosby and many
more that contributes a lot in structuring the quality and its significance for organisation as well
as individual in achieving one of best outcomes (Quality Gurus, 2020).
Dr. W. Edwards deming:
He is best known for reminding management and work for improve system so that
workers to gain effective outcomes from them. He argued that higher quality is very much
important as it leads higher level of productivity that bring competitive strength in marketplace.
His philosophy summarised in his famous points that demonstrate for quality and improving
productivity potentially.
Dr. Joseph Juran:
Juran founded the Juran Quality improvement as he was very curious to maintain the
quality standards in products and services in order to remain competitive in marketplace. His
quality trilogy focus on roles of quality planning, quality control and bring potential quality
improvements in products and services.
Concept of Quality management:
The core concept of Total quality management is to describe the management set
parameter which helps to decide about superiority or inferiority of a product or service. Quality
defined as an attribute that helps to differentiate goods and services from their fierce competitors
in order to gain sustainability and competitive edge of market. Quality plays very much essential
role in the business and marketers need to rely on quality of their products over quantity to
survive in cut throat competition environment. Total quality management is the continuous effort
from the side of management as well as personnel in a specified organisation to gain long term
consumer satisfaction and loyalty (Acar and Toker, 2019). As one happy and satisfied
consumer bring ten new consumers and a disappointed consumer by bad word of mouth spoil
their existing as well as potential consumers. So it is very crucial for organisation to set standards
for achieving respective standards put one of their best efforts for survival and growth. In context
of Airbnb they committed for the offer most exciting and reviewed to make sure that they can be
able to meet consumers expectations by setting quality standards such as expertise, insider
access, connection. From the collected information it evaluated that they continuously upholding
their standards in order to meet their consumers expectation level positively . Quality
management has the four major components that includes quality planning, quality assurance,
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quality control and continuous improvement. Respective factors includes the procedures, tools
and techniques that proved useful to gain the desirable outputs and benefits in order to meet
consumers expectations positively.
Outline the problems being currently experienced by Airbnb.
For an organisation it is very much potential to provide one of best products and services
in order to gain sustainability and growth of market (Alrawadieh and et.al., 2020). In context of
Airbnb that founded in the year 2008 in San Francisco since they are one of leading service
provider organisation. It shows in news due to various reasons in regards of not reliable services
that hinders their self interest in gaining potential outcomes. Here are the several instances of
their problem in providing best experience to their consumers that are as follows:
 There are millions of fraud cases of holiday makers found victim on respective
organisation.
 They also found accused of cancelling the 1.1 million bookings at last moment and
elaborate unable to oneself to take care of people who suffer from it.
 They not provide good consumer services as mostly people had bad experience as they
say they found oneself hopeless and treated very rudely.
 From the travel blog it identified that there are no. of stories of bad experience of people
and they are very dissatisfied with their services.
In that regards they build various strategies and tactics to improve their service quality such as
they adopt security measures to swept out fraudsters (Ayouba and et.al., 2019). Also by
appointing Former deputy chief of staff that is head of trust and risk management in order to
resolve various issues or concerns. They also by adopting guides to assist guest and protect
oneself in order to gain desirable outcomes. But after adopting respective practices organisation
can not be able to achieve the positive outcomes. So after reviewing the consumers responses
that they face various issues or concerns while availing services with such as cancelling of last
minute bookings that bound them to wandering in unfamiliar streets and rude behaviour that
impacts a lot. In that regards it is very much potential for an organisation to review their
consumers, products and services on specified time period by accumulating information so that
strategies and tactics accordingly formulated.
Here are the Dimensions of service quality in order to enhance consumers experience positively
that are as follows:
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Service provider such as Airbnb well know the way to care about consumers. Service quality is
very much important as consumers care about it. By conducting research to collect necessary
knowledge and information regarding consumers opinion and areas where they lack behind (The
5 Service Dimensions All Customers Care About, 2019). There are five dimensions of evaluating
service quality used by consumers helps to build loyalty in mind of them potentially.
 Tangibles: Respective dimension of evaluating service quality refers to organisational
aesthetics. It is majorly concerned for physical appeal for consumer that are expected
from them to specific industry (Belias, Rossidis and Velissariou, 2019). In context of
Airbnb that deals in hospitality industry in which consumers at least expect good stays,
scheduled plans, sanitation and properly greeting of consumers. In that regards they not
able to treat properly with people and not having any scheduled plans. In that regards
they need to train their employees and by setting standards need to enhance potentiality
of plans. As it is very important to provide best tangibles to consumers because it directly
affect their decision making positively.
 Reliability: Reliability refers to organisational ability to execute service in most accurate
and dependable manner (Chen, Zhang and Liu, 2020). To build reliability it is very
potential to keep in mind the three dimensions that are service, time and consistency to
provide products and services. Respective dimension helps to consumers in decision
making regarding avail service of Airbnb or not. In context of Airbnb as per the
consumer reviews they experienced that they cancel 1.1 million bookings on last time
that forced to consumers to wander in unfamiliar lanes that spoil their upcoming plans. In
that regards it is very much potential for respective organisation to schedule and plan
activities in proper manner to serve consumers in best way. As reliability plays very
important role in formulating consumers experiences positively.
 Responsiveness: Respective factor is based n ability of organisation to be very much
responsive for consumers wants and always eager to respond promptly. Respective factor
helps to reach at large no. of consumer base as it build distinctive image in mind of
consumers towards organisation and enables in decision making process. To become
responsive it is very potential to track the consumers interest by using social media and
other tools to build products and services accordingly. In context of Airbnb they are
responsive as while they observe the consumer reviews take several decisions to amend
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their performance such as adopt security measures to lessen down cases of fraud. Also
they appoint the deputy chief of staff that possess own value to address problems. With
they develop the new guides in order to help guests and hosts to protect and compile their
self interest positively. So it can be said that they are responsive for consumers reviews
positively.
 Assurance: Respective factors relies heavily on ability of personnel to build trust as well
as ability to gain the confidence of their consumers by treating and serving them well
(Chin And et.al., 2019). Assurance can be build by using knowledge and their ability of
smooth communication with them. Respective dimension can be maintained by using
four characteristics that are competence, respect for consumers, effective communication
and basic attitude to treat them. In context of Airbnb they need to conduct survey and
provide training to their employees so that they can convey in better manner with their
consumers as it leads towards organisation sustainability. In context of Airbnb employees
not able to properly communicate with them in order to gain desirable outcomes.
 Empathy: Respective dimension of service quality refers to employee's ability to convey
care and concern for their consumers. There are majorly three components that are
customer service representative approachable, seem sensitive and representative
understand consumers needs. In context of Airbnb, they need to consider the employees
need on first priority and accordingly serve them to remain competitive in the
marketplace. To use respective approach organisation have to be enough sensitive by
collecting reliable information regarding consumers taste and preferences in order to
serve them properly.
Assess the impact of following techniques could have on Airbnb in terms of delivering consistent
and effective quality management.
For an organisation managing quality plays very much important role, to manage the
quality various kinds of tools and techniques are available such as key performance indicators
and benchmarking, cause and effect diagram, control charts, histogram, Pareto Charts and flow
charts (Joseph and Varghese, 2019). Respective techniques directly impact on the
organisational ability for delivering consistent and effective kind of quality management. In
context of Airbnb by using the benchmarking they amend their performance positively.
Benchmarking:
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Benchmarking defined as an chain of activities used for measuring products, services and
various processes of organisation. It proved beneficial tool to gain the competitive insight and
provides the evidence based views of performance through out the product life cycle. In general ,
benchmarking is the application which allows the organisation to determine regarding their
performance of organisational processes and activities which represents the best practices. In
context of Airbnb by using respective practice they can be able to determine way business unit,
division, organisations or corporation to performing in comparison to the other similar
organisations. Benchmarking in the organisation proved useful to communicate the business
goals and objectives as it helps in setting standards. It bring professionalisation in the work or in
processes that is must for any organisation to done the work in systematic manner.
Benchmarking adopted by various organisations due to the budgetary reasons as it defines the
components in order to gain the desirable outcomes. It is very much potential for an organisation
to evaluate or access the advantages and disadvantages of an attribute so that crucial decisions
should be framed in order to gain desirable outcomes.
Advantages of Benchmarking:
Benchmarking is the common practice and sensible exercise in order to establish
baseline, by defining practices to gain opportunities within the organisation. Here are the
advantages of benchmarking that are as follows:
Improve the learning methodology:
Benchmarking pace towards the idea generation and sharing business practices that
provides learning experiences for the organisation (Benchmarking, 2020). In context of Airbnb
they with the help of benchmarking set standards and take experience from their own working so
that important outcomes should be obtained.
Initiates technological up gradation:
With the help of benchmarking the organisation can be able to acknowledge about the
new technology and techniques that are adopted by the market leaders. So by evaluating the
marketing trends Airbnb plan accordingly to enhance the experiences of their consumers as they
facing the issues from the services.
Improves the organisational standards:
For an organisation it is very much important to enhance the standards, in that regards
organisation analyse and conduct study by comparing with the competitors. Setting standards not
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only reduce errors but also improves in product features positively. So it is very important
attribute for respective organisation to set standards by using benchmarking.
Disadvantage of Benchmarking:
There are some disadvantages of Benchmarking that are as follows:
Lack of information:
In context of Benchmarking, sometimes organisation face the problem in collecting
adequate knowledge and information on specified subject matter. It leads towards poor
performance with that of their competitors. In context of Airbnb, for improving the performance
it is potential to collect necessary knowledge that create hurdle in front of them.
Enhance dependency:
By using the benchmarking organisation tend to rely on the other companies strategies to
become successful. In that regards Airbnb by sacrificing their individuality and uniqueness starts
following the path of others.
RECOMMENDATIONS
For an organisation collecting the opinions and views of other individual is very much
important in order to amend the performance positively in order to remain competitive in
marketplace. In context of Airbnb, they face the problem of scheduling activities in proper
manner and not serving consumers properly both areas are very potential for them in order to
enhance consumer experiences. In that regards it is very potential to pay attention on enhancing
the knowledge of employee's by adequately provide them training and development so that they
can contribute and treat in positive manner with the consumers. The another very important area
to improve is scheduling the works and activities in proper manner with the help of digitalized
guest experience in which they balance side of demand and supply by recording information
related to guests. With the help of Benchmarking they can set standards and accordingly put one
of their best efforts in achieving the desirable outcomes. In Total quality majorly the six concept
includes that are leadership, customer satisfaction, employee involvement, continuous process
improvement, supplier partnership and performance measures. In context of Airbnb the most
important aspect is to continuous improvement as they face various kinds of problems in current
situation so by using continuous improvement organisation can be able to gain desirable
outcomes.
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CONCLUSION
From the above report it has been concluded that Quality management is very much
important for an organisation to deliver one of best products and services to the ultimate
consumers positively. To apply the quality it is very much important to find out spheres in which
organisation can improve their performance and achieve desirable outcomes. To eliminate the
errors and enhance consumers experience quality management tools plays very significant role as
it set standards so that employee's can give one of their best efforts in achieving the
organisational goals and objectives. With the help of dimensions of service quality that are
reliability, responsiveness to amend performance and gain desirable outcomes. With the help of
techniques such as KPI and benchmarking organisation can be able to set standards by evaluating
objectives and goals.
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REFERENCES
Books and journals:
Acar, M. and Toker, A., 2019. Predicting consumer personality traits in the sharing economy:
The case of Airbnb. Applied Marketing Analytics. 5(1). pp.83-96.
Alrawadieh, Z. and et.al., 2020. Budget and midrange hotel managers’ perceptions of and
responses to Airbnb. International Journal of Contemporary Hospitality Management.
Ayouba, K. and et.al., 2019. Does Airbnb disrupt the private rental market? An empirical
analysis for French cities. International Regional Science Review,
p.0160017618821428.
Belias, D., Rossidis, I. and Velissariou, E., 2019. Shaping the Consumers Behavior Who Are
Using Airbnb—The Case of Airbnb’s Users in Greece. In Smart Tourism as a Driver
for Culture and Sustainability (pp. 393-406). Springer, Cham.
Chen, Y., Zhang, R. and Liu, B., 2020. Fixed, flexible, and dynamics pricing decisions of Airbnb
mode with social learning. Tourism Economics, p.1354816619896956.
Chin, T.A. And et.al., 2019. Factors Driving Consumers Participation in Collaborative
Consumption with Airbnb. Journal of Arts & Social Sciences. 3(1). pp.10-22.
Joseph, G. and Varghese, V., 2019. Analyzing Airbnb customer experience feedback using text
mining. In Big Data and Innovation in Tourism, Travel, and Hospitality (pp. 147-162).
Springer, Singapore.
Lee, H., Yang, S.B. and Koo, C., 2019. Exploring the effect of Airbnb hosts' attachment and
psychological ownership in the sharing economy. Tourism Management. 70. pp.284-
294.
Lin, P.M. And et.al., 2019. Spend less and experience more: Understanding tourists’ social
contact in the Airbnb context. International Journal of Hospitality Management, 83,
pp.65-73.
Oskam, J.A., 2019. The Future of Airbnb and the Sharing Economy: The Collaborative
Consumption of our Cities. Channel View Publications.
Ruiz-Correa, S. and et.al., 2019. Mi Casa es su Casa? Examining Airbnb hospitality exchange
practices in a developing economy. ACM Transactions on Social Computing. 2(1).
pp.1-24.
Wang, S., 2019. Motivations and Experiences of an Airbnb Host: An Explorative Study in Umeå,
Sweden.
Yang, Y. and Mao, Z., 2019. Welcome to my home! an empirical analysis of airbnb supply in us
cities. Journal of Travel Research. 58(8). pp.1274-1287.
Online:
A Brief History of Quality: How the Concept of Quality has Evolved, 2020. [Online]. Available
through. <https://www.processexcellencenetwork.com/lean-six-sigma-business-
performance/articles/a-brief-history-of-quality-how-the-concept-of-qual>.
Quality Gurus, 2020. [Online]. Available through.
<https://www.referenceforbusiness.com/management/Pr-Sa/Quality-Gurus.html>.
The 5 Service Dimensions All Customers Care About, 2019. [Online]. Available through.
<http://www.serviceperformance.com/the-5-service-dimensions-all-customers-care-
about/>.
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Benchmarking, 2020. [Online]. Available through.
<https://theinvestorsbook.com/benchmarking.html>.
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