Managing Service Quality Theories and Principles in the Travel and Tourism Sector

This report evaluates the management of service quality in the South Quay Hotel in the travel and tourism sector. It discusses the importance of measuring service quality and analyzes the impact of service delivery on staff motivation and engagement. The report also suggests improvements and strategies for developing a customer feedback system.

Service Quality module
in the Travel and
Tourism Sector

Table of Contents
INTRODUCTION ..........................................................................................................................4
TASK...............................................................................................................................................4
An assessment of managing service quality theories and principles. Justify the importance of
measuring service quality............................................................................................................4
TASK 2..........................................................................................................................................10
Analysis of management of service quality for The South Quay Hotel according to the case
study and establish various impact of its present service delivery on motivation and
engagement of staff...................................................................................................................10
SERVICE QUALITY....................................................................................................................10
Reasons & improvements.........................................................................................................11
EMPLOYEE'S MOTIVATION AND EMPOWERMENT...........................................................11
Planning of human resources....................................................................................................13
Job analysis and description......................................................................................................13
Recruitment...............................................................................................................................13
Selection....................................................................................................................................14
Orientation.................................................................................................................................14
Compensation and benefits.......................................................................................................14
Performance..............................................................................................................................14
Termination...............................................................................................................................14
Task 3.............................................................................................................................................14
Customer feedback system........................................................................................................14
CONCLUSION .............................................................................................................................16
REFERNCES:................................................................................................................................17
Books and Journals:..................................................................................................................17

INTRODUCTION
Service Quality maintenance is an integral part of hospitality and service industry as it
assist the organisations in alleviating the customer experiences of the individuals(Al-Gharaibah,
2020). The report focuses on the critical evaluation of the service quality management of the
South Quay Hotel. It highlights upon the assessment of current service scenario of the
organisation and the application of theories and principles that may assist in maintenance of the
service standard. It also focuses upon the appraisal of the management involved in service
quality and the implication of the same on engagement and motivation of the personnel. The
report also involves the development of an effective and productive Customer Service Feedback
for South Quay Hotel so as to better the quality of services provided by them to their customers.
TASK
An assessment of managing service quality theories and principles. Justify the importance of
measuring service quality.
Service quality can be characterised as the comparability between the customer's
expectation of the services provided by a business organisation and the company's ability to cater
and live up to the expectations of the same(Alagarsamy, Mehrolia and Aranha, 2020). Business
organisation that focus and delivering high quality services are likely to achieve greater customer
retention in their respective organisation. In order to sustain the business operations in the market
environment, it is very necessary for the organisations to be assertive in gathering relevant
information and feedbacks from their customers in order to raise the standard of service quality
of the business organisation.
In order to understand the concept of service quality, it is essential to interpret the
interrelatedness between customer expectations of potential consumers, Business performance,
customer satisfaction and customers perception about the quality of services.
Customer expectations
Customer expectations incorporates the expectations and aspirations of the customers
from the business organisation that they are investing their time and money into. It is an attribute
that focuses on the needs and requirements of the customers from the organisations. These
expectations generate from the customer's knowledge and awareness as well as their past service
experiences. In relation with South Quay Hotel, customer's expectation involves high quality

services for them wherein great facilitates are provided to the customers(AlGhamdi, 2020). The
needs and demands need of customers to be taken into consideration and efforts should be made
to fulfil the same effectively.
Customer satisfaction
Customer satisfaction is one of the prominent components which contribute in building a
successful business organisation. The primary objective of a business organisation in the
hospitality and tourism industry is to enhance the customer satisfaction of their potential and
respective customers. The focus on encouragement and increment of customer satisfaction helps
the organisations to achieve higher profits and obtain larger market share in their concerned
industry. South Quay Hotel also needs to build effective and productive strategies and plans so
as to fulfil the desires of customers and provide them with the best leisure experience in order to
satisfy their expectations from the organisation.
Business Performance
Business performance can be termed as the assessment of the progress and growth of the
business organisation in its target market. It is determined as the degree of effectiveness of the
business operations in the market domain. Through the given case study, It can be identified the
current business operations and performance of South Quay Hotel is not satisfactory to the
consumers. The waiting hours have increased and the quality of service has decreased. The
company is excessively focusing on increasing the retention of the consumers and is not giving
enough emphasis on the customer feedbacks. The management personnel of South Quay Hotel is
unhappy with the company's ignorance towards the appraisal and reward system of the
employees. The business performance of the respective organisation needs to be uplifted in
order to receive good feedbacks from the customers and to engage and motivate the existing line
in the organisational activities and operations.
Customer Perception
It can be characterised as the perspective and opinions of the customers towards the
services and offerings of a particular business organisation(Anastasiou, 2020). It is an
assessment of the consumers thoughts and impressions about the business operations of an
organisation. In context to South Quay Hotel, the customers perception has seen a difference due
to their negligibility towards the service and feedbacks of the customer of the business
organisation.

1. Models and theories of service quality
Gap Model of service quality
Gap model of service quality can be taken into consideration in order to analyse and
assess the degree and standard of service quality showcased by business organisation. It provides
the bases for the formulation of systematic and detailed preview of satisfaction gaps of the
consumers(Belias, Vasiliadis and Mantas, 2020). The main purpose behind the formulation of
this model was to identify and determine the potential gaps in service quality so as implement
various innovative and creative action plans to overcome these identified gaps.
The application of Gap model in relation with business operations of South Quay Hotel is
mentioned below :-
Knowledge Gap
Knowledge gap can be defined as the difference between the customer's exceptions
of the potential service quality of a particular organisation and the management's perception
about the requirement and expectations of customers from the business organisation. The
existence of Knowledge gap in South Quay Hotel is due to their insufficiency of understanding
the needs and wants of the consumers(Clemes, Dean and Thitiya, 2020). The management of
South Quay Hotel is equipped with good facilities but the services provided by them is
quite poor. They need to acquire more knowledge about the expectations of customers from the
Hotel and need to adjust their operations in alignment of the same.
Policy gap
The respective gap may be described as the incompetency of the management to
translate the policies driven for organisation services into systematic and set procedures of rules
and regulations for the staff members and personnel of the organisation. South Quay Hotel is
experiencing this gap due to their inability to map the expectation of their customers into the
delivery of service quality. The management of South Quay Hotel needs to implement
modification in their current service design policies so as to maintain quality service delivery
standard in the business organisation.
Delivery Gap
The specific gap reveals the difference between the service quality specification
provided for the delivery and the actual delivery of service of a business organisation. In relation

with South Quay Hotel, It is is inefficiency of the employees to provide the services to the
customers without any delay. The long waiting hours and inability to provide the accommodation
on time may be few of the delivery gaps in the delivery process of the concerned business
organisation.
Communication Gap
It can be identified by the gap between the claims and promise made to the
consumers through advertisements, promotions and other forms of communications and the real
service delivery of the business organisation(Freitas and de Lima, 2020). In context to South
Quay Hotel, the hotel organisation claims to provide customers with the best leisure experience
with high end facilities and infrastructure. But the company has received negative feedbacks and
responses from the customers in relation with their experience in the hotel organisation. Thus,
there lies a communication gap within the respective organisation and the hotel need to work
towards living up to their claimed prospectus.
Customer Gap
The customer gap details about the customer's expectation of services and their
overall perception after experiencing their service. In South Quay Hotel, The customer gap has
emerged due to the inability of the management of the hotel in understanding and gaining
insights about the expectation of the customers from the hotel. They needs to focus and
concentrate on bridging the gap by changing their current standard of operations and
implementing new standards of customer service execution in business organisation.
 Management of Service quality through focusing on the following components and variables
in the hotel organisation :-
Service Design
It is essential for the hotel organisation to concentrate and align their energies
towards the formulating and designing the service structure in a way that it provided maximum
advantage to the customers as well as also helps the organisation to attract and retain more
customers(González-Rodríguez, Díaz-Fernández and Gómez, 2020). Service design involve the
systematic organisation and arrangement of people, resources, infrastructure, strategies and
programs in order deliver best quality services to the customers so as to enhance their customer

satisfaction levels to greater extents. In relation with South Quay Hotel, the service design needs
to focus on efficiency in operations as well as raising the quality of service execution.
Service Escape Model
It can be characterised as the impact and consequences of the physical state of
environment on the execution of the services provided by an organisation. It focuses on
the impact of a healthy and positive environment on the generation of quality services in
the industry. It lays concern over the fact that the physical environment in which the
business organisation runs its operations has a very major contribution on the degree of
satisfaction provided to the customers of the business organisation. South Quay Hotel can
provide greater emphasis on the enriching its physical environment so as to deliver the
best possible quality of services to its target customers.
Service encounter
The respective element can be characterised as the direct interaction between the
customer and the individual responsible for providing the services to the same(Javed, Tučková
and Jibril, 2020). South Quay Hotel needs to ensure that the service encounter is positive in
nature at the hotel so that the results and outcomes of the services are favourable and are in
accordance with the customers. The results demonstration of the service encounter assist the
organisation in enhancing the degree of customer satisfaction levels in the respective business
enterprise.
Importance of Service quality measurement
SERVQUAL Model
SERVQUAL model is designed and developed to assess and examine the service
quality system of the business organisations operating in service industry. The model aims at
improving and uplifting the service performance of the organisations working in the hospitality
industry. Some of the components that are taken into consideration in order to determine the
responses of customers are listed below :-
Reliability
The concerned component focuses on delivering competent services to the
customers on the right time and with enhanced credibility. It ensures consistent ability of the
organisation to deliver the promised services on time and with full accuracy.

Responsiveness
It can be termed as the responsibility of the service providers towards the fulfilment
of the needs and requirements of theirs customers(Marković, Janković and Zubović, 2020). It can
be defines as the willingness of the service providers to help the customer at every given point of
time so as to enhance their experience in the organisation.
Tangible
It encompasses the physical attributes of the hotel organisation. In context to South
Quay Hotel, the infrastructure, architect, equipments, reception desks etc. can be assessed as the
tangible attributes of the hotel. The communication substantial can also be included in the
respective element of SERVQUAL Model.
Assurance
It can be termed as the knowledge possessed by the employees and the degree of
dependability on the same. It is the courtesy of the staff members towards the clients and the
extent to which they can win the trust and faith of the same.
Empathy
Empathy can be termed as the ability of the management of the business
organisation to understand the feelings of the customers and considering their point of view.
Being a part of the hospitality and service industry, it becomes necessary for South Quay Hotel
to be empathetic and caring towards their customer and provide them adequate attention so as to
facilitate in the accomplishment and satisfaction of their needs and wants.
Total Quality Management
TQM is a model that details about the approach adopted by the organisational management so as
to foster the prolonged growth and success of the same(Martínez-Sala, Monserrat-Gauchi and
Alemany-Martínez, 2020). The major purpose of implementing the model is to achieve business
excellency in operations of the organisation. It aims at enhancing the degree of satisfaction of the
clients in order achieve greater competitive advantage in the marketplace. In this approach, every
individual gives their contribution and ensures their participation in modifying and improvising
the current services, products, procedures and climate of the organisation.
South Quay Hotel can utilise this approach so as to dominating the competition in the market.
TQM can also help the hotel to enhance their productivity as well as the brand image in the
business environment. The organisation can analyse the feedback and complaints of the

customers and can design the strategies that can work to uplift the quality of service provided to
the same. Total quality management approach can provide assistance to the organisation in order
to alleviate the satisfaction of the customers.
Feedback
The main objective of a hotel organisation is to live up to the expectation of the customers and
provide them with the best service experience of all time(Mitra and Sankar, 2020). In order to
identify the extent to which an organisation is able to achieve this objective, they needs to
formulate a feedback system. South Quay Hotel has also designed a feedback system which will
allow their organisation to get insight about the responses of the customers. But the hotel
organisation also needs to respond to these feedbacks so as to increase the authenticity and
responsiveness of the organisation among the customers and raise the retention of the same in the
company.
TASK 2
Analysis of management of service quality for The South Quay Hotel according to the case study
and establish various impact of its present service delivery on motivation and engagement
of staff.
The South Quay Hotel has been operating since 2005 in East London which is a 4-star
hotel. It is situated near South Quay DLR station. They provide several services to the
organisation in order to provide best experience to their customers. In this context as a service
quality consultant it is necessary to suggest some points for the improvement in the quality of
service to be provided to their customers which also includes improvement in the motivation of
employees and Human resource practices to reach at expected standard of Hotel.
SERVICE QUALITY
In context of the case study, it is observed that modification in conference and banquet
suits results in 100% rise in the prices of rooms and events booking in the Hotel. It helps them to
develop their services and make them more responsible of providing best quality services to their
employees. Infrastructure of hotel with such a high price increases the expectation of customers
to get high quality of services within the time(Ridha and Harris, 2020). It became essential for
hotel to fulfil those expectation in order to satisfy their customers. They are providing best
facilities to their customers but because of their some bad services like extended waiting time

and busy reception makes their customers impatient. Being an service quality consultant there
are various suggestion to implement in order to provide better services to the customers which
will help the Hotel to increase their brand value and the customers also.
Reasons & improvements
As they increase their prices and make it just double which results in high expectation
according to the cost and they require best of services in order to feel satisfied. So the services
provided by management of Hotel should be improved and efficient enough.
Demand of services increases but adequate number of individuals are not recruited by the
HR department of Hotel. It causes shortage of staff which decreases the quality of service. In
order to provide proper service in appropriate time they need adequate number of staff in the
organisation(Sari, 2020). Lack of staff can be a reason for long waiting time for the organisation
which is irritating for the customers. It can be improved by providing them better services and
required to provide services which should be fast or before time.
Busy reception or front desk depicts both the aspects for their hotel. It can depict positive
aspect as it shows that the hotel in high demand and create a mentality that it must be good hotel
to take experience of. But it can also be negative as lots of valuable time of customer gets waste
and also lack of counters to entertain their customers disappoints them. This problem can be
solved by increasing number of counters in the Hotel to solve the queries of their customers.
In case of employees they also loose their confidence because of delivery of less quality
service to the employees. It creates perception in mind of employees that no one cared in the
organisation or there is no ownership. This can be improved by establishing good relations
between employees and administration.
There are various reasons which cause bad effects on quality of service with such
recommendations to improve the quality of service.
EMPLOYEE'S MOTIVATION AND EMPOWERMENT
In order to grow any business there is a high need of motivated employees especially in
case Hotel business where quality of service is completely depends on the dedication of
employees to perform their duties in an organisation(Seočanac, and Sekulić, 2020). In order to
bring empowerment in the organisation it became essential to create a feeling in employees to
became effective and in control. In this modern era, organisations provide authorities to their

employees to take necessary decision to an extent which gives good results and helps to keep
employees motivated within the organisations. Maslow's model can help to describe this
motivation theory in details and includes 5 basic needs of employees like social needs, self
actualisation needs, safety needs, physiological needs and self esteem needs. They are discussed
in detail below:
Physiological needs – These are the basic needs of employees and includes fulfilment of
basic needs of employees like water, shelter, air and other basic facilities(Sifolo, 2020). In South
Quay Hotel there are full availability of basic and physiological needs of employees. The hotel is
employing part time employees which is not enough in order to fulfil basic needs of employees
and they are not satisfied with this.
Safety need – After fulfilment of physiological needs, employees needs to fulfil their
safety needs. In this need employees needs to provide various security in the organisation such as
health insurance, financial security, personal security and many more. As they have high brand
value they need to fulfil this need of employees to prevent from intervention of government.
Social need – This need provides for the fulfilment of needs of employees of being social
in the organisation which includes acceptance of employees in the organisation to prevent them
from feeling depressed and lonely in the organisation. As per the case study there is a
communication gap between employees either because of busy schedule or because of not
providing them appreciation for their hard work.
Self-Esteem needs – Self-respect is more important than to attain respects from others.
And this need includes fulfilment of needs of self-esteem or respect. As per the case study
employees are not appreciated for their hard work which can create feel of insecurity in them
which is also related to self-esteem needs.
Self-actualization need – This need deals with identification of potential of individuals
employed in the organisation. In the present case there is lack of this need to be fulfilled in
Hotel.
Due to lack of fulfilment of above needs the employees of Hotel are not providing their
best services to their customers(Silva and Mattos, 2020). In order to improve motivation in
employees these needs can help management to empower an to motivate employees of Hotel.
Management can offer monetary awards for the hard work of employees in order to make them

feel motivated in the organisation as it can help to solve financial problem of employees and it is
the easy method to motivate them.
HR PRACTICES
HR stands for human resource and HR practices means human resource practices.
Hospitality industry is dynamic in nature where needs and preferences of customers are
becoming high day by day(Trabelsi-Zoghlami, Berraies and Ben Yahia, 2020). Human resource
department deals with numerous issues and covered with issues from tip to toe. It is impossible
to run a business with one person only it required a group or team of good and talented people
for smooth running of a business. Some of the practices for which HR is responsible are Higher
employees satisfaction level, superior customer care services, low staff turnover and many more.
In case of Hotel South Quay there are several problems faced by HR department of hotel like:
 Employee turnover is increasing day by day which is not a good sign for the growth of
Hotel. Low employee turnover show that there is good effect of HR policies.
 As per the case study, there is low satisfaction level of employees. Being a hospitality
industry it should be high for providing quality services to them.
 It is observed from the reviews of hotel's Facebook page as well as trip advisors that there
is lack of superior services in the Hotel from last six months
 Conference halls and Banqueting suite helps the hotel to increase their profitability.
There are various functions of HR departments which are discussed in detail below:
Planning of human resources
Human resource department needs to analyse and predict the needs for staff in the
organisation in future. They need to prepare a strategy to fulfil the need in advance to avoid on
time complications in the organisation. They analyse job and describe it in better manner to
select and recruit individuals. Then they need to provide orientation and training to them and
provide compensation and benefits for the performance and termination of employees. They are
described below:
Job analysis and description
This step is used to describe and evaluate the qualification required for a specific position
in the organisation. It is required to simplify the process of recruitment and section of employees
It is used to define the task as well as responsibility as per the qualification and the post. Job
description refers to the resulting document of the job entitlement.

Recruitment
It refers to the procedures to search talented employees for the Hotel which is accomplished by
using various methods.
Selection
Selection is a process of hiring best suited and talented person in the organisation which
is practised by HR.
Orientation
It is duty of HR to introduce the new employee with the Hotel and put a positive impact
of the organisation on them.
Training and development
Training and development is an important function of HR as it helps to develop skills and
knowledge of employees. It will help them to perform well for present work as well as
advancement for the future work.
Compensation and benefits
Hotel needs to provide various benefits to employees and they need to be clear about all
those incentives which includes both incentives s well as other benefits.
Performance
In order to create a supportive as well as encouraging environment in the workplace, HR
needs to monitor performance of employees and provide feedback accordingly.
Termination
HR also needs to clarify various policies for leaving the hotel due to any other cause or
termination from the Hotel.
All these functions are performed by HR department in order to ensure smooth running of
Hotel.
Task 3
Customer feedback system
It is essential for the organisations in hospitality industry to manage the process of
feedback in the organisation as growth of the industry is only depends on the experience of
customers(Trabelsi-Zoghlami, Berraies and Ben Yahia, 2020). In order to maintain customers for

longer period of time and attract new customers in the organisation it is essential to manage
customer's feedback. This includes addresses of complaints of customers with providing proper
recommendation and provide better services for the next time.
There are several techniques which can be used by Hotel South Quay for taking
timely feedback from the customers. As per the given case study there are three ways that can be
used in order to take feedback of their customer and evaluate satisfaction level of employees
with their responses. That are discussed in brief below:
1. Interviews: They can conduct direct interview in order to get detailed evaluation
of satisfaction level of the customer. They can also take telephonic interview of
customer to ask several questions such as Best services, past services worst
services, future improvement areas and many more. It requires a critical analysis
that can be gathered from customers.
2. Questionnaire: It is used to collect primary data based on qualitative as well as
quantitative approach. There are several questions which are developed for
various areas of organisation. That questionnaire is need to be filled by customers
of Hotel South Quay either in physical or online mode. The answers of this
questionnaire helps the organisation in betterment of services provided by them
and have customer insights.
As per the case study a questionnaire is developed which can be utilized from Hotel South Quay
to evaluate in detail the level of satisfaction of employees.
Questionnaire
1) Does you visit to Hotel South Quay on repetitive basis or it was your first time?
 Repeated
 First time
2) have you feel like your expectations are fulfilled successfully?
 Yes
 No
3) What attracts you the most in the Hotel?
 Hotel services
 Behaviour of staff members

 Management was available to solve all the issues
 room services and food quality
 Any other please mention below
…..............................................................
4) Do you face any operational issues in checking in and checking out?
 Yes
 No
 There were some issues
5) Rate your overall experience in Hotel South Quay?
 Good
 Excellent
 Poor average
 Can be improved
6) Any recommendations you like to provide to the management of Hotel South Quay?
…............................................................................
3. Comment cards: In Hotel South Quay this method is utilized in effective manner
to facilitate communication between management and guest of the hotel. It works
as a chance for guest of Hotel to provide a comment on quality of services. It I
used to evaluate the feedback of guests collected from across the world.
The numerous ways are described above to get feedback from the customers nd have a
detailed analysis of the response of customers(Trabelsi-Zoghlami, Berraies and Ben Yahia,
2020). The feedback can be of both types positive as well a negative for the organization which
is normally in form of reviews as well as star rating. This reviews and stars helps the prospective
individuals before visiting to the Hotel. They also helps them to get insights of hospitality
industry to grow their business.
CONCLUSION
From all the it is concluded that quality of services plays an important role in order to
grow in hospitality industry. Services are provided by employees in this industry which requires
dedicated and motivated employees to grow. The hotel South Quay works on its infrastructure
and improve it which increases its cost but bad at providing services to their customers. It can

also concluded that if employees are provided proper benefits and motivation they can improve
their quality of services.
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