Hotel & Hospitality Management: Service Quality Report

This report delves into the critical role of service quality within the hotel industry, emphasizing its impact on customer satisfaction and loyalty. The report uses Shangri-La Hotels and Resorts as a case study to illustrate the practical application of service guarantees and the importance of delivering exceptional service. A comprehensive literature review explores key concepts, including the significance of trust in service delivery, the relationship between service quality and hotel performance, and the value of personalized customer service. The report highlights the need for hotels to meet and exceed customer expectations to foster repeat business and maintain a competitive edge. Based on the analysis, the report recommends strategies for Shangri-La to enhance service quality, including providing personalized customer service, updating technology, and ensuring employees are well-trained to meet hotel standards. The study underscores the importance of service guarantees, service recovery, and proactive measures to ensure customer satisfaction and build a strong brand reputation in the competitive hospitality market.

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Hotel & Hospitality Management
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Hotel & Hospitality Management 1
Contents
Introduction......................................................................................................................................1
Literature Review............................................................................................................................1
Recommendation.............................................................................................................................3
References........................................................................................................................................5

Hotel & Hospitality Management 2
Introduction
The purpose of this review is to enlighten the reader regarding the details about the need
and importance of guaranteeing service quality in the business environment. Service refers to the
action performed by one organization with an aim to satisfy the interest of other person present
in the external environment. In case of product delivery, people already know about the
specifications of the product due to which they can decide whether to invest in the product or
not. However, in the case of service delivery, people do not know about the type and quality of
services in the environment. Trust between both the parties is crucial in service delivery because
if the service receiver will not trust the person delivering the service then they would not be able
to attain satisfied services in the environment. As a service cannot be pre-tested or returned due
to which becomes more important for the person delivering service to deliver service in the right
manner otherwise service receiver will not be able to get satisfied in the environment. The below
mentioned review details about the guaranteeing services delivery in the hotel industry.
Information about Shangri- La luxury hotel is discussed in the paper.
Literature Review
This review of literature details about the theme of guaranteeing service quality in the
environment. The hotel industry is itself a service industry that works on the philosophy of
customer satisfaction in the environment. Shangri-La Hotels and Resorts is a Hong-Kong based
multinational hospitality company that was found by Malaysian tycoon Robert Kuok in the year
1971. The company owns and manages more than 100 hotels in the worldwide market (Shangri-
La, 2019). The organization has 5 diverse brands spread across the world that target different
market segments. These five brand of the organization are Shangri-La Hotels, Trader Hotels,
Shangri-La Resorts, Hotel Jen and Kerry Hotels. Further, according to Dedeoğlu, & Demirer,
2015, the fact should be noted that irrespective of the type of brand, it is important for the
organizations present in the hotel industry to serve qualitative services in the environment. Based
on the economic value the organization takes from the customers, it is important for the hotels to
guarantee optimum value to the customers. Furthermore, it is more crucial for the luxury hotels
like Shangri-La to guarantee high quality services to the people in the environment because the

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customers are coming to the hotel with the trust and expectation of getting premium quality
services in the environment (Min, 2018).
Service quality is one of the most important characteristic for a successful hotel business.
Any organization present in the external environment grows and attains profitability in the
market by initiating repeated sales in the market. Repeated sales can only be achieved in the
environment when the customers get satisfied from the services of the hotel first time when they
attained the services from the hotel. Therefore, it should be noted that it is crucial to guarantee
qualitative services to the customers in the environment to successfully initiate future sales in the
environment (Lee, et. al. , 2016).
Service quality of the organization has a deep relationship with the performance of hotels
and expectation of the guests from the hotels. The hotels perform satisfied activities in the
environment that increase satisfaction level of the customers. Based on increasing satisfaction of
the customers, they will give the hotel good remarks and will promise of coming back as well.
The hotels present in the international market promise to deliver satisfied services to the
customers in the environment every time due to the customers also implement repeated sales.
However, according to Jasinskas, Streimikiene, Svagzdiene, & Simanavicius, 2016, if the hotel
fails to deliver the right type of services in the environment then the customers might feel
betrayed. In case of sales of product, the customer can see the product and complain about it
while justifying their reasons. However, in case of services delivery, the customer gets to know
about the quality of service only when they receive it.
Thus, it should be noted that trust is very important in the service delivery process and it
is very important for the organizations to guarantee right type of services so that the customer do
not expect more or less from the organization. For instance, if an economic hotel will ensure to
provide premium quality services in the environment then the customers will get dissatisfied
from them irrespective of the fact that the hotel has provided adequate services to them
according to the pay (Luo, & Qu, 2016). Thus, based on the positioning of the organization, the
hotel should provide fair details to the customers and they should guarantee qualitative services
in the environment. The service quality is the only factor present in the hospitality industry that
helps the organizations to attain growth and competitive advantage in the external environment.
Guaranteeing service quality to the customers helps the organization to let the customers know

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what to expect from the organization. A successful hotel is one that delivers excellent quality
services to establish customer satisfaction in the environment. Guaranteeing service quality helps
the organization to maintain adequate brand image of the hotel and attract more and more
customers in the environment (Lo, Wu, & Tsai, 2015).
Lastly, it should be noted that service guarantee is the factor that helps the hotel like
Shangri-La to attain competitive advantage in the target market. Service guarantee ensures the
customers that the organization will provide them quality services every time they visit to the
location. Resulting in which, the customers will start to trust on the activities of the hotel and
will implement sales. In the perspective of Liat, Mansori, Chuan, & Imrie, 2017, in this way, the
circle of profitability will work by initially guaranteeing right type of services to attain trust of
the customers and lastly implementing satisfied repeated sales in the environment. It is important
for the management of hotel to guarantee service in the environment and deliver it as well. If the
customers does not get satisfied from the quality of the services, then the hotel should
remunerate the customers their money back. Service guarantee not only include the promise to
deliver adequate services in the environment, but it also promise to compensate the customers if
they do not like the services. In this way, quality service guarantee process works in a hospitality
industry (Ali, 2016).
Recommendation
The above mentioned review of literatures highlighted the facts about the process of
service guarantee in a hotel industry. Below mentioned are the recommendations given with the
help of which hotel Shangri-La can successfully deliver right type of services in the environment
and attain profitability as well:
 Provide Personalized Customer Service: The organization should train the employees to
provide personalized services to the customers coming at Shangri-La. Personalized
services involves differential services provided to specific employees based on their
characteristics and interest level in the environment. Personalized services significantly
increase the satisfaction level of the customers in the environment and insist them to
initiate repeated sales with the organization in the external international environment. The
organization should train the employees to analyse the behaviour of the customers and

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provide them personalized services accordingly so as to increase their level of satisfaction
in the environment. Providing personalized service to every guest will help the hotel to
increase the brand image in the market and increase the customer’s satisfaction as well.
This type of activity will help the hotel to attain competitive advantage in the target
market (Lee, & Cheng, 2018).
 Update Technology Toolbox: technology is one of the most important factor that helps
the companies in achieving sustainable competitive advantage in the target market. Use
of this type of feature in the business will help the hotel to create a differential position in
the environment. Use of technology will streamline various functions of the business and
will help the customers in easy check-in and check-out services as well. The hotel
software will eliminate the occurrence of mistake and will reduce the burden of the
employees. Thus, it should be noted that in this way the organization would increase the
satisfaction of customers by making use of hi-tech technology in the environment (Lo,
Im, Chen, & Qu, 2017).
 Train employees according to Hotel Standards: every problem of the hotel can be
resolved and every objective can be achieved in the environment by providing right type
of training to the employees in the organizational setting. Training process is grooming
process for the employees of hotel, so it helps the organization in successfully delivering
the required services to the customers in the business environment. Training should not
be seen as a one time activity for the hotel and it should be considered as a priority in the
environment (Kirillova, & Chan, 2018). Training process will help in implementing on
time delivery of the services, it will also help the front line employees to clearly
understand the concern of the organization and then provide them services accordingly. It
is important for the employees to understand the emotions of the customer because they
are the people who deliver them services to attain satisfaction. So, the hotel management
should train the employees to judge the behaviour of the customers coming to the hotel
and then provide them customized services accordingly.


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References
Ali, F. (2016). Hotel website quality, perceived flow, customer satisfaction and purchase
intention. Journal of Hospitality and Tourism Technology, 7(2), 213-228.
Dedeoğlu, B. B., & Demirer, H. (2015). Differences in service quality perceptions of
stakeholders in the hotel industry. International Journal of Contemporary Hospitality
Management, 27(1), 130-146.
Jasinskas, E., Streimikiene, D., Svagzdiene, B., & Simanavicius, A. (2016). Impact of hotel
service quality on the loyalty of customers. Economic research-Ekonomska
istraživanja, 29(1), 559-572.
Kirillova, K., & Chan, J. (2018). “What is beautiful we book”: hotel visual appeal and expected
service quality. International Journal of Contemporary Hospitality Management, 30(3),
1788-1807.
Lee, W. H., & Cheng, C. C. (2018). Less is more: A new insight for measuring service quality of
green hotels. International Journal of Hospitality Management, 68, 32-40.
Lee, Y. C., Wang, Y. C., Chien, C. H., Wu, C. H., Lu, S. C., Tsai, S. B., & Dong, W. (2016).
Applying revised gap analysis model in measuring hotel service
quality. SpringerPlus, 5(1), 1191.
Liat, C. B., Mansori, S., Chuan, G. C., & Imrie, B. C. (2017). Hotel service recovery and service
quality: Influences of corporate image and generational differences in the relationship
between customer satisfaction and loyalty. Journal of Global Marketing, 30(1), 42-51.
Lo, A. S., Im, H. H., Chen, Y., & Qu, H. (2017). Building brand relationship quality among hotel
loyalty program members. International journal of contemporary hospitality
management, 29(1), 458-488.
Lo, A., Wu, C., & Tsai, H. (2015). The impact of service quality on positive consumption
emotions in resort and hotel spa experiences. Journal of Hospitality Marketing &
Management, 24(2), 155-179.

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Luo, Z., & Qu, H. (2016). Guest-defined hotel service quality and its impacts on guest
loyalty. Journal of Quality Assurance in Hospitality & Tourism, 17(3), 311-332.
Min, H. (2018). Measuring the service quality of luxury hotel chains in the USA. International
Journal of Services and Operations Management, 30(4), 465-479.
Shangri-La., (2019). Our Brands. Available from < https://www.shangri-la.com >