Service Design Management: Importance of Managing Customer Relationships

Service and design
management
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Table of Contents
Table of Contents.............................................................................................................................2
INTRODUCTION...........................................................................................................................3
Main Body.......................................................................................................................................3
Managing service failure and recovery........................................................................................3
Describe the importance in managing external and internal customer relationships................4
apply one strategy to manage internal customer relationship......................................................4
CONCLUSION................................................................................................................................5
REFERENCES................................................................................................................................6
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INTRODUCTION
Service design management is consider as an activity of planning as well as organising
infrastructure ,people ,communication as well as material components of a service within order
to enhance its quality as well interaction among the service provider and its consumers. Present
Report focuses on the service failure and recovery. It also focuses on the importance in managing
external and internal customer relationships as also apply strategy to manage internal customer
relationship (Raleigh, & et.al (2017).
Main Body
Managing service failure and recovery
It has been analyzed that Samudra grand hotel is providing a variety of services to its
customers. With that they are able to create a strong brand image. Furthermore, hotel is
considering for automation in service process. This is done to improve service quality. However,
it is identified that there may occur certain service failure as well. This will highly impact on
service process and operations of hotel (Crainic., & et.al. (2018). The first is that as there is
automation in process so it might get failed. The automation might not be according to
requirement. So, it will result in affecting on service process. Another potential failure is that the
service quality may get degrades due to automation. The employee may not be able to provide
high quality services to customers. It will highly impact on further service process. In addition,
the quality of service may Not be maintained. The service is not provided as per set standard
with use of automation in it. This will result in poor quality of services ( Vezzoli, & et.al, .
(2017). The staff may not be able to handle and manage guest as they are not given training. So,
all services are not delivered on time (He, , & et.al (2017)
So, it is necessary to recover service process. For this there are different theory and model
applied. Here, paradox theory will be applied. It states that if a service firm exhibits an excellent
recovery in the event of a service failure, then the customer’s satisfaction may exceed pre-failure
levels. The customer satisfaction can be increased after a service failure (Mourtzis, et.al 2018.).
First is to fix mistake so that customer service failure is encouraged. Second is that through
process recovery customer satisfaction is increased and loyalty is gained. Moreover, it is
analysed that customer experience determine whether to avail service again or not. So, if
experience is poor than image of hotel decreases.Thus, recovery process needs to be highly
effective so that experience is improved. But in a study overall satisfaction was low for those
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