Individual Report: Service Management Strategies Analysis (SDM404)

This report analyzes service management strategies within the context of the Craig Credence Hotel, aiming to evaluate its service quality and customer satisfaction. The report begins by defining service quality and its dimensions, utilizing the SERVQUAL model to assess tangibles, reliability, responsiveness, assurance, and empathy. It then delves into an analysis of the hotel's existing service management strategies, considering factors like customer-centric approaches, tangible aspects, employee behavior, motivational strategies, leadership styles, and service design. Feedback from customers and employees is incorporated to highlight strengths and weaknesses. The report concludes with recommendations for improving service quality, including suggestions for modifications in front office design, enhanced employee training, and the adoption of inspirational leadership approaches. The goal is to enhance customer experiences and foster loyalty, making this a valuable resource for students studying service management.

Running Head: SERVICE MANAGEMENT STRATEGIES
Service management strategies
Student id:

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SERVICE MANAGEMENT STRATEGIES
Table of Contents
Introduction...........................................................................................................................................2
Evaluation of dimension of service quality............................................................................................2
Analysis of service management strategies:..........................................................................................3
Recommendations.................................................................................................................................5
Conclusion.............................................................................................................................................6
References.............................................................................................................................................8

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Introduction
In the competitive climate, customer service is an essential element for the hotel. Hence, the
service quality dimension should be used by Craig Credence Hotel to get success in the
hospitality industry. Furthermore, hotel managers should have good knowledge regarding the
needs and preference of customers as it may lead to provide effective customer services. This
report evaluates the key service quality dimensions that are used in Craig Credence Hotel. It
also addresses and determines existing service management strategies of Craig Credence
Hotel. This report also recommends modified and new service management strategies that
may improve the customer service and experience towards Craig Credence Hotel.
Evaluation of dimension of service quality
In certain research, service quality is defined as the degree to which the service meets the
need and expectation of the customers. It is the overall impression of customers that contains
both weakness and excellence of services. But, the service quality is referred to as ‘what the
customer gets out and is keen to pay for’ as compared to ‘what the suppliers put in’. Hence,
service quality is demonstrated as the gap between the projected services and actual
perceived services (Erdem and Jiang, 2016). According to Zeithaml, Parasuraman and Berry,
there are five dimensions of customer services that are used to evaluate the service quality. It
is assessed by the SERVQUAL model. Hence, Craig Credence Hotel should focus on these
dimensions in an appropriate manner as it would be beneficial to create loyalty among
customers due to receiving excellent services.
These SERVQUAL dimensions are discussed as below:
TANGIBLES- this dimension contains the appearance of physical services, personnel,
communication material and equipment. Some of the customers have shared their feedback
that the rooms are a bit aged, but the location and the service make up for it. Moreover, “face-
lift” to the lobby and reception area was amazing. Therefore, on the reliability dimension of
service quality, Craig Credence Hotel scored low and was not positively succeed.
RELIABILITY- This dimension incorporates the ability to perform the promised service
accurately and dependable. Some of customers have responded that “Not impressed with the
room. It was too minimalist and lacked warmth. This may decline the reliability of hotel.
Some customers responded that Craig Credence Hotel offers added extras like free coffee in
the morning that may create reliability among customers. But, insufficient gatekeeper
declines its reliability.
RESPONSIVENESS- this dimension shows the willingness of employees to help the
customers and offer prompt services (Rahimi and Kozak, 2017). The Craig Credence Hotel

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got moderate score in this dimension because one of customer has responded that only select
staff members were accommodating and most seemed to not know what they were doing.
Some customers have responded that while some members of the staff were polite, most had
a bad attitude. Hence, there is needed to make modification in their strategy.
ASSURANCE-This dimension depicts the understanding and courtesy of workforces and
their competency to convey trust with confidence. Service providers are projected to be
experts of service they are delivering. Some of customers have said that “the main reason of
selecting this hotel was its location. Upon arrival, room was not even ready at 3.00pm when it
was ‘guaranteed’ and we requested an early check in. They came up with every excuse in the
book as to why the room wasn't ready and why they couldn't give us a different one. It was
our anniversary and everywhere we had been had congratulated us and even given us a bottle
of champagne. They could not care less here. At the price we were paying, I would have
expected more. In this dimension, Craig Credence Hotel got minimum score due to not
offering services as expected.
EMPATHY- This dimension shows the caring and individualized attention that the company
should provide to its customer. Service should be delivered completely to specification
(Dzhandzhugazova, Zaitseva, Larionova, Petrovskaya, and Chaplyuk, 2015). Some of
customers have responded that “Our rooms were reasonably clean at time of check-in, but
after a few days, we found the cleaning service was rather shoddy. On one occasion, the lady
who "cleaned" our room just changed the towels, refilled the teas/cutlery but did not touch
the rest of the room. In addition, not all cleaners were qualified nor trained which shows
Craig Credence Hotel has scored moderate score in this dimension.
Analysis of service management strategies:
Considering the feedback gathered through the employees of Craig Credence Hotel, it can be
concluded that there are many service strategies made by management of Craig Credence
Hotel but it was not supportive for them. This could create many issues in terms of retaining
the customer. These strategies are customer-centric approach, tangible approach, appearance,
and action of employee’s strategy, motivational approach, effective leadership style, and
service design. Some of employees gave feedback that “Management had made it easy for us
to communicate with hotel guests with some simple scripting and situations when we had to
‘think on our feet’. I wish there is update on this so that we as employees are given more
leeway conversation-wise to make us look and sound less robotic.” Craig Credence Hotel

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made the customer-centric approach that is used to attracting a large number of consumers
and the accomplishment of the desired goal. Customer centricity is a strategy to do the
business that concentrates on offering an optimistic word of mouth (Kimes and Wirtz, 2015).
It supports to decline all friction between consumers and employees. Craig Credence Hotel
offers free morning coffee to their consumers that enable to make a positive relationship with
them. But at the same time, it is analysed negative attitude of a staff member could decline
the satisfaction level of consumers. From the survey of customers, it is analysed that staff
members do not give preference to their consumers as it makes a negative image of firm
among consumer’s mind.
Another strategy is a tangible approach as it used by Craig Credence Hotel to attract a huge
amount of the consumers. Through this approach, the organization has offered a convenient
location to their customer for consuming the goods and services of the firm (Lu, Capezio,
Restubog, Garcia, and Wang, 2016). The location and cleanness of hotel attract consumers
for using their services. But at the same time, it is also evaluated that there is lack of power-
points to plug and lacked warmth as it declines the satisfaction level of consumers towards
services of the organization.
Appearance and action of employee’s strategy could enable the employees for performing an
appropriate behaviour at the working place. It could lead an employee to make a real
relationship with their consumers (Fraj, Matute, and Melero, 2015). In addition, it is
analysed that employees could also be responsible for managing all the issues of the
customers and treat as the family members. There are many responsibilities that are
performed by the employees like displaying courteous behaviour, information sharing, being
uncommonly attentive, and personalization of services process and output. But at the same
time, it is observed by the customer’s feedback that employee performs an inappropriate
behaviour to their consumers. It could make a negative image of the Craig Credence Hotel in
the consumer’s mind. The employee has a lack of empathy that could also dissatisfy the
consumers as it would negatively influence the financial condition of the firm.
The motivational approach is used to increase the morale of the employee. It could also be
effective for increasing the productivity of the organization as well as an employee in the
least time (Molina-Azorín, Tarí, Pereira-Moliner, López-Gamero, and Pertusa-Ortega, 2015).
Through this method, Craig Credence Hotel understand intrinsic and extrinsic factor and
increase the interest of the employee in their allocated work by satisfying their needs. But, at
the same time, it is also observed by the employee survey that organization pressurize to do
more than eight hours with lower compensation, which could create stress among employees.

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Further, it could demotivate the employee towards their work as it would directly impact on
their productivity.
Organization practices effective leadership style for their employee to relation them for the
long term. Bureaucratic leadership is used by Craig Credence Hotel as it enables the
subordinates to follow the instruction of the top management without any argument (Xie,
Zhang, and Zhang, 2014). This leadership prevent to the use of creativity and motivation
level, which could negatively impact on employee’s performance. It is also observed that this
leadership style could create conflict among the employees, which would influence the
overall productivity of the firm. It is analysed that there is lack of coordination among the
different department that could negatively impact on the customer’s satisfaction level by
decline quality of goods and services.
Craig Credence Hotel has used the services design strategy for attracting a large number of
consumers towards the products and services of the firm. It is used to provide the positive
experience to their consumers (Assaf, Josiassen, Cvelbar, and Woo, 2015). But, it is analysed
that employees of Craig Credence Hotel are failed to deliver the quality and timely services
to their consumers caused by lack of teamwork and coordination skills. It could negatively
impact on the productivity of the organization.
Recommendations
The result of the study suggests that Craig Credence Hotel should focus on effective service
management strategies and needs to modify in their existing strategies.
It should also make modification in style, design as well as technology in order to repeat their
guest for staying and persuading them to write a positive review. It should also modify in the
front office and make it attractive because the first impression may catch the attention of
customers for staying long period (Arenoe, van der Rest, and Kattuman, 2015).
In Craig Credence Hotel, Manager should make direct communication with their employees
to lead them in delivering the quality services. In this way, talking of employees should entail
the specific words and terms to communicate with their guests as it would satisfy them to a
higher extent. Since, lack of communication may negatively influence the employee to handle
the customer’s complaints and deal with them (Tseng, Lin, Lim, and Teehankee, 2015).
The manager should clarify the role of each service providers in Craig Credence Hotel as it
may be beneficial to decline the conflicts among staff member. It would be also beneficial to
perform all activities in less time. As a result, it would satisfy the customers toward services
of Craig Credence Hotel. Craig Credence Hotel should make medication in recruiting
procedure such as it should hire the workforces who are passionate regarding their services.

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As a result, it would be beneficial to effectively deal with the guest in the hotel and attract
them for taking services (Buil, Martínez, and, Matute, 2016). Craig Credence Hotel should
use inspirational leadership approach. In this way, it can use transformational or transactional
leadership. Transformational leadership is used to develop and expect a vision for upcoming
period and encourages other to lead their direction. In addition, transaction leadership shows
the competency to deal with the day to day management of operations. In this way, the
transformational leadership approach would be beneficial for Craig Credence Hotel to lead
their employees (Deery and Jago, 2015). Effective training and development method should
be implemented by Craig Credence Hotel to train their employees in order to deal with the
customers. Effective training can encourage the employees to perform their job and offer
better customer services. Craig Credence Hotel should also build the morale among
employees as it would prone to attract the customers. Since high morale employees may build
effective rapport with the customers. Hence, it would lead to influence the customer’s
perception and satisfy them.
Craig Credence Hotel should use Customer handling approach in order to handle the
grievance of customers. In this way, it can prompt respond on the company’s website towards
the customer grievance and tackle their problem rapidly (Patiar and Wang, 2016). Craig
Credence Hotel should modify in their service quality. For example, if a customer late to
reach at their hotel then, it should understand their issues rather than cancelling the
reservation. It can also provide the opportunity to the customer to reserve the rooms in
advance and also offers an appropriate discount. It would be effective to pull the attention of
new customers and retain the existing customers in the longer period (Min, Lim, and
Magnini, 2015).
Conclusion
With respect to the above discussion, it can be concluded that there are many key dimension
that could be used by Craig Credence Hotel to determine the services quality of firms like
reliability, tangibility, responsiveness, assurance, and empathy. From the utilization of such
factors organization would be capable to understand the actual services situation of the firm.
Moreover, it can also be summarized that there are many services management strategies that
are used by the Craig Credence Hotel to operate their business like customer-centric
approach, tangible approach, appearance, and action of employee’s strategy, motivational
approach, effective leadership style, and service design. It can also be illustrated that
organization should use new service management strategies for operating their business and

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get competitive benefits like transformation leadership style, service design, customer
handling approach, effective communication, and appropriate motivational technique.

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References
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Arenoe, B., van der Rest, J. P. I., & Kattuman, P. (2015). Game theoretic pricing models in
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