Improving Service Quality at Canary Wharf Hotel: A Project Report

Desklib provides past papers and solved assignments. This project report analyzes service quality at Canary Wharf Hotel.

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Project Report

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Title: Service Quality
Table of Contents
Abstract:.....................................................................................................................................3
Introduction:...............................................................................................................................4
Part-1:.........................................................................................................................................5
Importance of Quality Management:.....................................................................................5
History and evolution of service quality:...........................................................................5
Different Schools of Thoughts:..........................................................................................6
Measuring and managing services quality:............................................................................7
Quality management and measuring methods:......................................................................7
Part-2:.........................................................................................................................................9
Service quality impact on Canary Warf Hotel:......................................................................9
Part-3:.......................................................................................................................................12
Customer Feedback System (CFS) Framework:..................................................................12
Conclusion:..............................................................................................................................16
References:...............................................................................................................................17

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Abstract:
This report is being abstracted over the concept of service quality which is an intensively
required in the global organisational business. It has been studied with empirical studies that
rise in service quality leads to gradual growth in profitability and also gives long term
sustainability to the organisation over ever growing market competitions. This report
involved the understanding of service quality as the comparative study between customer
expectancy towards service offerings versus actual quality of services being offered by
company. It is important for an organisation to stand to customer expectations and customer
satisfaction only leads the organisation to sustainable market entities. There are different
ways and methods or tools of management and measuring of service quality. Few to be
mentioned as nomadic model, image model and American perspective model of service
quality management are discussed in this following report. Different tools of service
management and service dimensions followed by its measuring tools and techniques are
studied with examples. Further different schools of management thoughts are studied which
are known as the integral parts of management theories. These management schools of
thoughts play an important role in quality management of service offering by the service
providers.
The case study of Canary Wharf Hotel is taken under consideration to understand impact of
service quality over reputation of the company. Recommendations for improvement of
quality of services are made followed by a Customer Feedback System Framework created to
gain feedback from customers.

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Introduction:
The study topic of this research project report surrounds around the concept of service
quality. The concept of service quality is crucial to understand but plays a vital role in the
globalised market and business reputations, as the customer is highly attracted towards
quality of the service. The concept of service quality can be understood as a perspective
towards analytically viewing the comparison of customer expectations and actual perceived
performance of the service. This concept is sole built on the traditional management concept
expectancy versus disconfirmation paradigm. It has been known from the study that
improvement of service quality turns up into higher economical competency of an
organisation in the global market. (Biggs, 2011) If the service quality is running high then the
profitability gradually increases with long term economical stability to the organisation in
international business market. The extensive literature study has been done on concept of
service quality and management of service quality. The research shows service quality
management is the most contributing field in the business with never ending scope due to
increasing customer demands every day. Customer satisfaction, organisational loyalty and
management of service quality are three interrelated concepts global organisations. It takes
understanding of customer expectancy and reaching up to it with improved service quality.
(Beckford, 2016) Service quality can be improved by understanding the customer
expectations, identifying the problems, finding the solutions for required problems to be
solved.
The study of service quality management and measurement are also important to keep up to
the quality of service offerings. Service quality study is bifurcated in two different models as
nomadic perspective model which takes consideration of technical factors of service quality
management and functional model of service quality maintenance. Further this report sheds
light on concept of service quality dimensions, measurement of quality services and
management of service quality followed by methods to peruse goals.
The case study of Canary Wharf Hotel, which is a 3 start hotel at Canary Wharf, East London
is taken under consideration to study the impact of service quality of the reputation of the
hotel. It was found that this hotel is well placed at an approachable location of East London,
provides modern excellent facilities with lavish rooms, banquet hall, conference hall,
restaurants and bars etc. but the service quality of this hotel were found to be reduced
recently. Recommendation for improvement of quality services were made by newly
recruited service quality advisor. Finally the report is concluded with Customer Feedback
System Framework to reach feedbacks from customers to understand expectancy and
disapproval from customers.( Bhargave et al. 2013)

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Part-1:
Importance of Quality Management:
Quality of a product or a service may be defined as the measure of excellence, acceptance
and utility to the user. It is utterly important to manage the service quality for attending
sustainability in competitive market. There are five different approaches to define and
understand the concept of quality accordingly, user based quality approach, product based
quality approach, transcendent based quality approach, manufacturing based quality approach
and value/cost based quality approach.
Service quality is considered as a crucial term as it depends on profitability and productivity
of services. Management of service quality stands importance in determination of customer’s
expectations about services and customer’s actual gains from services. To maintain
sustainable business it is utterly important to manage and consistently maintain service
quality. Whether its quality of manufacturing or maintenance or distribution it is equally
important for an organisation to stand high with quality standards. To sustain the
compatibility of the globally growing market, the company needs to utilise technology to
analyse the customer requirements. For better performance it is important to understand the
market expectations towards the services being provided by an organisation. (Sallis, 2014)
History and evolution of service quality:
Generally the literature study of service quality shows two different concepts first is Nordic
perspective model that gives understanding of dimensions of service quality for technical and
functional quality terms globally. The nomadic model of service quality applies basic
traditional concepts of customer satisfaction or dissatisfaction from respective services being
provider from the organisation. Technical quality term focuses on service performance
dimensions in relevance to customer satisfaction. Generally the aspects dealt with technical
model of nomadic perspective of service quality are circulated by ‘What’ that means if
focuses on the term of what are the facilities that services is reflecting or supplying.
Functional quality term focuses on process dimensions which cover the way of service
production and delivery to the customers. (Talib et al. 2011) Therefore functional model of
nomadic perspective deals with matter of ‘Why’ that means it covers the concepts of why the
services are being provided or required. It considered the reasons of the service adoption.
Collaboration of both technical and functional models was further developed and it was
entitled as image which could embody third dimensions. Image model was focused on
filtering the quality of services. In order to that technical model considered 5 factors like
technical solutions, knowledge, computerised intelligence, machine quality and employee’s
knowledge of technology assistance. (Weckenmann et al. 2015) Then the functional model
considered 7 factors like appearance, customer contacts, internal relationships, accessibility,
behaviour, attitude and service support.
Second perspective of service quality was American perspective, as it described the concept
of discrepancy with acknowledgment of factors like empathy, responsiveness, reliability,
assurance, and tangibles with introduction of Gaps model of service quality. (Kang et al.
2012)

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Different Schools of Thoughts:
Uncertainty of management theories is that these theories are not really well defined but they
are mere discrete management practices and experiences. These theories suffered enough of
hypothesis, assumption and lack of authentic research therefore they could not be mentioned
as theories. Therefore such management theories are further classified by Koontz’s into six
groups known as schools of management thoughts. These are the schools of thoughts which
helped management theories to solidify the foundational concepts. (Foronda et al. 2012)
These schools were merged by concept to respective management theories such follows;
1. Classical Management Theory
2. Neoclassical Management Theory
3. Modern Management Theory
Following are the listed schools of thoughts;
1. The management process school of thoughts- Classical school of thoughts is the
oldest one. It focuses on scientific management, administrative management and
bureaucratic management. This means in old days the management decisions were
much arbitrary so workers used to take work slow pace intentionally. Therefore this
theory was introduced to manage work environment towards more efficiency.
(Alexander, 2013)
2. The human behavioural school of thoughts- Behavioural schools of management
thought was established for overcoming the drawbacks of classical schools of
thoughts. As the classical school of thoughts focused on emphasize, process and
working principles but many theorist thought that emphasize is more relevant to
human behaviour therefore the study of human behaviour was considered in this new
human behavioural school of thoughts. It focuses on human relations and behavioural
science in the workplace management.
3. The empirical school of thoughts- Management and maintenance service quality is
dependent of empirical trial and errors at some extent. Therefore to maintain Total
Quality Management (TQM) empirical school of management thoughts was
introduced which takes considerations of organisational learning ad management
research.
4. The mathematical school of thoughts- Organisation is considered as an open system
and service maintenance is one of its function that depends on inputs and outputs.
Analysis of input and output takes mathematical process and calculated decisions.
Therefore mathematical school of thoughts gives mathematical real time background
to theoretical assumptions.
5. The social system school of thoughts- As organisation is considered as open system
working on input and outputs it is believed that the social system school could unite
the different sections of management. Management surround the factors like people,
society, ethics and customer to employee relationship which is taken into
consideration in social system school thoughts. (Wenmin et al. 2011)

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6. The decision theory school of thoughts- Decision making is a crucial term that
requires balance in calculations, assumptions and theories. This process from
assumption to accomplishment is what called as decision making. Therefore to make
spontaneous yet effective decisions this decision theory of thoughts is implemented.
Measuring and managing services quality:
The process of quality management and measuring is quite crucial task which includes
different dimensions listed as,
Service quality dimensions:
Technical quality, reception of customer services, functional qualities, service delivery and
sources are the service quality dimensions considered under management and measuring of
services quality. (Lapalme, 2012)
Customer Satisfaction:
This is often primary goal of service provider that service must satisfy customer need. To
achieve customer satisfaction it is required to narrow the gap between customer expectations
and customer service reception.
Management and measuring of the service quality enhances the performance on both the
sides such as good quality and satisfaction for customer and reputational growth for
organisation. Satisfaction of customer with higher service quality improves profitability and
grows business expansion eventually. (Bergman et al. 2010)
Quality management and measuring methods:
Methods of managing service quality:
Once the service is set or ready then the actual crucial task begins to maintain and measure it
thoroughly. This is a great challenge being frequently faced by organisations during service
provisions as it takes excellent intelligence and immense attention. Service standards are
required to handle at first place to maintain its sustainability as well as its measurement under
different parameters plays an important role in service quality. (Dimmock, 2013) There are
two different ways of maintaining service qualities which are adopted by organisations are
proactive and reactive approach, described below;
Proactive Approach: Proactive approach is adopted by organisations in manners to take
constant feedbacks from customers by frequently reaching out to them. This can be achieved
by following ways;
 Survey and questionnaire: This is the most active way of anticipating customer
expectations to align service provision by an organisation. It helps the organisation to
customize the services and distribution according to customer demands.
 Gap model analysis: Utilisation of Gap model for service and process analysis gives
access to understanding of measures being achieved in service offering in comparison
to the standards set by them.

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 Staff training: Companies are nowadays actively training their employees for data
collection and extensive analysis of customer demands therefore it could be applied if
any sudden change in services takes place then company has record of price hike, and
need for improvements. (Smit et al. 2011)
Reactive Approach: Reactive approach is inclined towards recovery of the services, and a
mechanism depending on customer’s complaining feedbacks. Here the problem is customers’
gets negative experience from the service offerings of an organisation then organisation
apologises and further they take steps to redeem the services. This is where reactive approach
fails as it is a reaction towards feedback but not self-assessment of service offering by
organisation. (Ho et al. 2010)
Methods of measuring service quality:
There are different service quality measuring instruments or tools or techniques being
adopted by the organisations to pre-justify the quality of services and work on betterment of
every aspect of it before the services are being provided to the customers. There are different
dimensions of service measurement which are measured by following measurement tools;
SERQUAL: SERQUAL or SERVQUAL is a service measurement instrument that deals with
consideration of multiple dimensions of services. This basically understands the customer
expectations based on disconfirmation paradigm, analysing 5 dimensions of service quality.
(Tajzadeh-Namin et al. 2012)
FEEDBACK: FEEDBACK is a questionnaire system to understand the measure of customer
satisfaction from the provided services.
STANDARDS: STANDARDS is a management framework made for balancing production,
process and distribution of services. The standards of quality management are namely,
expectation match, fit for purpose and delivery status.
TQM: Total quality management (TQM) is a framework to optimise overall management
and service offering process. TQM is only measure that considers service quality, process,
distribution and after services and maintenance together.( Sallis, 2014)
Part-2:
Service quality impact on Canary Warf Hotel:
According to case study of Service quality impact on Canary Warf Hotel, the scenario of this
3 star hotel is clear in terms of service quality and difficulties they are facing towards quality

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services offering. Position of the hotel Canary Warf is very precise and at an excellent
location of East London, which is hardly 10 minutes walking distance from Heron Quays
Dockland Railway Station. This location makes Canary Warf Hotel a very suitable and
accessible choice for the travellers to have accommodation services. The hotel is well
established with a long run of time being situated at the same position which helps them
attract more number of customers due to over time gained trust for their service offerings. It
has been understood that the hotel Canary Warf has successfully implemented innovation and
modifications in facilities like number of standard, executive and premier modern stylish en-
suit rooms, conferencing and banqueting halls for meetings, events etc., gym, spa, swimming
pool, restaurants and bars etc. The hotel is suitable for holiday and business both the ventures
and they also provide comfort with well furnished rooms. It has been noticed from feedback
of trip advisor for last 6 months, that the business from banqueting and conference halls has
been increased by 200% but it has impacted negatively on other service offering feedbacks.
Customers are found to be okay with facilities but unsatisfied with the customer services. It
was found that the customers were not getting enough assistance from hotel staff and the
managerial services were also delayed. It is noticed that even the reception is over loaded and
customers have no one to refer for restaurant and other services so customers turned to
external service options. Comments from customers also reflected a concern that the event
management was not effective as well as the number of staff provided was not sufficient to
cope the guest number satisfactorily. It was found that hotel staff like waiters were very less
interested in their work and hardy bothered to rectify customer’s problems. Every situation
was asked to confirm with manager and no staff was able or willing to solve small problems
of customers. Manager on other hand found to be sluggish which turned up customers to wait
for their compensations quite longer time say over weeks and months. Hotel staff was not
polite enough towards the customers yet they don’t even bother to apologise for mistakes.
Impact and Recommendations for improvement of service quality at Canary Warf
Hotel:
There has been noticed a major need of modification in service quality offering of Canary
Warf Hotel, in order to fit this hotel in organisational business standard. Hotel is providing
multiple facilities with attractive ways but services being provided to the customers are
making the reputation worse and worst day by day. These service quality offering are to be
studied in three different stages to recommend improvements are as follows;
a) Employee’s Empowerment:
Impact: According to the case study the employees of Canary Warf Hotel are held
with degraded motivation standards. The employees no longer feel ownership
attachment to the hotel due to lack of established hotel standards. The employees are
feeling degraded due to not enough pay scale, absence of rewards and lack of respect
from management. The employees are not hired for full time permanent work basis
but they are hired on part time schedules, except management and supervision staff.
Lack of training makes employees under confident and gives less excellence over
work.

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Recommendations:
 To improve the staff response and empower them for better working it’s
important to assure them a full time permanent job with fixed and appropriate
salary.
 It is important to train the staff with excellence for longer practice time to
improve effectiveness of employee work as well raise their confidence.
 It is recommended to keep the staff motivated with incentives, job security,
and raise in payment, best employee awards and respectful public
acknowledgement of good work. (Koller et al. 2010)
b) Service quality culture:
Impact:
The service quality culture at Canary Warf Hotel is noticed to be abrupt and
disgraceful towards the customers. The customers are feeling ignored or unassisted
even by the manager. This makes the customers least interested in this hotel.
Customers are not getting timely attention from staff causing discomfort for them.
Customers are seeking for gratified behaviour from staff but they are clearly showing
disinterest.
Recommendations:
 It is recommended to the staff of hotel to be enthusiastic and more assisting or
attentive to the customers. Managers are advised to pay more attention on
customer feedbacks and take actions to solve problems.
 The employees should be trained for effective problem solving at the times of
customer discomfort.
 Employees and managers need to be taught with the customer service ethics
such as instant gratitude and apologies for mistakes.
c) Understaffing/Recruitment practices:
Impact: During events the staffs of this hotel was found to be understaffed and
struggling to attend the vast range of guests. It caused lack of effectiveness in event
management. The staffs were also not well trained to be pleasant towards customers
and show gratitude. The staff should have been recruited with skills than appearance,
that’s what customers were hoping for.
Recommendations:
 It is recommended that the hotel management should hire more staff by testing
the abilities and excellence of work.
 Proper training should be provided to the employees so that there would be
confidence in employees and further only well skilled employees should b
appointed for full time employees with appropriate salaries.
 Employees should be pleasant to the customers so that they don’t feel insulted
or brutally behaved.
 For effective event management the hotel should assign a well experienced
event management staff should be assigned so that there will not be any glitch
at events.

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 Problem solving abilities of the employees should be garnished and they
should be able to take decisions at the required instance without consulting to
their manager if not available. (Balia et al. 2012)
Part-3:
Customer Feedback System (CFS) Framework:
Customer feedback system framework is basically a layout to investigate the service quality
and further follow it by strategies to bring changes for betterment in service offerings of a
service provider. As discussed earlier that customer satisfaction towards utility, effectiveness
and productivity from utilisation of service matters the most in business management. The
maintenance and measurement of service quality is definitely a crucial task and strategizing it
step by step in the feedback framework makes the task easier and effectiveness of service

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quality management improves. The impacts of service quality on Canary Wharf Hotel have
been studied already with ample of difficulties in maintenance of hotel status due to lack of
understanding towards service maintenance. The recommendations for the service quality
management are made according to customer comments, and feedbacks collected in case
study. (Pasquale et al. 2012)
Customer feedback system framework takes consideration of different manners of collecting
feedback in effectiveness. Here feedback means the opinion given by customer after
experiencing the services offered by service provider about the expectations, and defect that
could not reach customer satisfaction. A set of customer feedbacks is further collected in data
storage and then it is used in the service quality improvement strategies. (McTavish et al.
2010)
There are different ways f feedback collections. The ways of feedback collection are detailed
as follows;
Direct Feedback:
Direct feedback is a way of fetching reviews about the customer’s experiences at utilisation
of services. Asking and collecting feedback for service quality from customer basically
means direct feedback method. (Assimakopoulos et al. 2015) Following are the individual steps
that can be taken to apply direct feedback method;
 Feedback proforma is an effective way of asking for direct but anonymous feedback
from the customers. It takes circulation of feedback forms to the customers and
requesting them to fill it with their experiences. These forms are designed in
questionnaire formats and give quick access to customer experiences over customer
expectations. In case of Canary Wharf Hotel, customer comments were direct
feedback.
 Face to face evaluation is performed by some organisations as well as telephonic
feedbacks are taken.
Indirect Feedback:
Indirect feedback means feedback from third party source. Following are the ways of getting
indirect feedbacks.
 Online website feedbacks like in case of Canary Wharf Hotel, reviews at trip adviser
were third party feedback therefore they are considered indirect feedbacks.
 Repeat order evaluation is definitely taken as feedback that if a service was reordered
then customer was satisfied or if the service was returned then the feedback is
negative.
Feedback framework of Canary Wharf Hotel includes input to customer and output from
customer feedback.
Input to customer feedback: