Methods Body of the Report Conclusion Recommendations References Timeshare Appendices Terms of references Content Terms of References 3 13 14 15 16 Purpose – This report alms to identify the differences and mismatches between service provider and customers, and analysis the problems with theoretical framework. Problem statement- Level of customer satisfaction Is very perform an important role In a business, as well as In restaurant Industry because satisfied customers are most likely to be loyal and to make repeat orders and to use a wide anger of service offered by a business.
Introduction General context Tea culture is rather broad and diversified. It can be defined by the way tea is made and consumed, people’s behaviors with tea. It also means lifestyle and social process of learning, planting. Tea house can be defined as a part of culture and there has been developed many tea houses in everywhere. In Manner, tea culture is very popular. There are various kinds of tea culture In Manner: not only drink tea dry (lappet chukka) _ plain or crude tea but eat as pickled tea (lappet) served with various accompaniments, Is drunk.
It Is the national drink. Tea sweetened with milk and sugar was Introduced by Indian and become one of Manner favorites. Teashops are Important and Integral part of dally life In Manner. Almost In everywhere from the smallest village to major cities, tea house can be seen. There are many teashops in Yang. The streets are filled with numerous tea-shops and most are situated in the platform. Surprisingly, most of them are filled up with customers. These are the places where friends can meet, business is done and news and tips are exchanged.
Not only young men but women and families enjoy sitting at the teashop and having recasts. The local latest news can be heard by sitting at a tea shop for a few moments. The most crowded times are from 7 AM to 10 AM and 6 PM to 10 PM. People want to enjoy a cup of tea before they start their dally work. In teashop normally, everything for breakfast are served; tea, coffee; fried rice, diverse range of cream cake from snacks to Chinese fried bread sucks and steamed buns to Indian bread and Samos’s.
Green tea Is customarily the first thing to be served free of charge as soon as a customer sits down at a table in all tea shops. Win Any Unsung is small tea house. It has been established since 2006, with the financial help by his brother. The owner has over 20-year waiter’s experience. So, this business seems to be very familiar to him. He has already researched the advantages and weakness of the market, such as choosing location and menu carefully. Research Method In this report, detail information about customer’s expectation in the service delivery process is going to be collected.
Survey method is being used. Mail questionnaires are used to collect data and information by Mixed of qualitative and quantitative method. The Different question to the tea house manager (owner) and customer distraction questions to 25 customers were asked. I arranged a friend to act as a research assistant to distribute the questionnaires on my behalf because it was not possible to visit Manner to carry out the study. Moreover, it was a better way to ensure the survey was carried out effectively.
If I had sent the questionnaires to the manager, they may have been very busy and not remembered to give out enough questionnaires. Body of the report History background of Win Any Unsung Tea House It has been established since 2006, with the financial help by his brother. The owner has over 20-year waiter’s experience. So, this business seems to be very familiar to him. He has already researched the advantages and weakness of the market, such as choosing location and menu carefully. The tea house is a two story building and family type business.
The ground floor is the tea shop and the family and staffs live in the first floor. The building next to the shop is being used store. The tea house was started with 20 tables and now it increases to 30 tables. There are 15 staffs in the tea house. The organization structure is As it is a family business, all the living costs for staffs are paid by owner (excluding salary). Operation Management Operation strategy concerns the pattern of strategic decisions and actions which set the role, objectives and activities of the operation Nonstop and Clark, 2007).
According to Kumar and Surest (2009), operations priorities are established among the following four characteristics of quality (product performance), cost efficiency (low cost price), dependability ( reliable, timely delivery of orders to customers) and flexibility ( responding rapidly with new products or changes in volume). Quality Quality is consistent conformance to customers’ expectations, in other words, doing hints right, but the things which the operation needs to do right will vary according to the kind of operation (Slack, Chambers and Johnston, 2007).
Quality is the most visible part of operation process. High quality in a tea house might mean the good condition foods, clean and tidy store, comfortable decoration and environment. The tea house offer a high quality of tea, but, customers cannot satisfy the cleanliness of the interior and exterior environment. Dependability Serving the goods or service to the customers in time when they are needed or when they were promised is dependability (Indian, 2007). Dependability affects the likelihood that customers will select the service- they have already consumed it.
No matter how cheap and tasty the foods are, if the service is always late, delivery not on time, or product out of stocks, and then obviously clientele may swift to competitors serve the customers who come and eat in time. They also take care individually, for example, remembering the customer’s order and prepare when they enter the tea house. Speed means the elapsed time between customers’ requesting products or services and their receipt of them (Slack, 2007). Waiters form Win Any Unsung tea house have a good relationship with customers and knows the regular customers’ orders.
This can save the waiting time. Form the customer survey 80% of them said that the waiting is within minutes (see Appendix 3). So it is obvious that the sped of service is also satisfied by customers. However, the delivery service to outside be not efficient. About 65% of the customers do not satisfy. Flexibility Changes the way of doing business in an organization as a result of a dynamic environment can be defined as flexibility. It is the ability to adapt, in a reversible manner to an existing situation, as opposed to evolution, which is irreversible (Buck and Piques, 2000).
The tea house can manage very well the flexibility to the customers. Although they do not offer a wide variety of menu like other tea shops such as, fried rice, they serve the customers by ordering foods from other shops surroundings, which they make alliance. Location and Layout design Choosing the best location and layout is crucial, as both will have a direct impact on the sales and profit margins of a business. The factors that will be affected by location and layout include ease of serving customers, speed of service provision, and bevel of customer support and costs of delivery, all of which influence both sales and profits.
The location of any business or organization must be carefully in order to secure the best net gain both now and in the long-term. Choice of location can affect initial as well as future development costs, the resulting trading cots when providing services or products to customers, sales revenues and the extent to which a facility is able to provide agreed level of customer service. There are some factors that influence choosing location; * A well-developed infrastructure * Proximity to markets and suppliers Hospitable business climate * Availability of staff * Quality of life for employees * Being near to resources and customers (Hill.
A and Hill. T, 2012) If Win Any Unsung is analyses by these factors, it can be said that the location is the competitive advantage for it. As it is located in the centre of the township, all the transportation can access. Raw materials and resources can be available in the surroundings and it can reduce the transportation charges. For the employee cases, staffs are recruited form the villages and all living cost for food, shelter and clothing are taken by the owner. Layout design has to be decided according to the organization’s task, culture, space availability, the need for flexibility and health & safety (Hill.
A and Hill. T, 2012). Layout design in fast-food restaurants and automobile assembly cannot be the same. It provides facility to working, reception, storage, reception and administrative areas. Poor layouts can greatly reduce the overall capacity and productivity. So, designing layout must be taken carefully (Beechen, 2002). Moreover, in some organizations which sales demand vary significantly, layout designs need to be flexible according to the levels of demand. In Win Any Unsung tea house, they provide tables and stools for customers.
Segmentation and Positioning Segmentation creates opportunities for the company where they can meet customers’ needs not only for today but also for the future (Macdonald and Dumber, 1998). Firstly, to know who to focus on and why, attractive segments should be created to know the consumer criteria. Rises and Trout (1972) suggest that Chirography’s creates values, perceptions, lifestyle, attitudes and motivations of the customers. However, tea is the favorite drink in Manner so that tea house chooses the geographic segmentation. Most teashops select the place where crowded e. G. Itty centre or near the school or market. Win Any Unsung is situated in the centre of the Changing township, Junction and, near to the local bazaar. This quarter is very crowded with middle class people. There are many training centers and game centers surroundings the tea house. So, most of the customers are young people. In the morning and evening, mostly families come and enjoy breakfast. In the afternoon and evening, most young people and some workers come for appointment, chatting and enjoy as pastime activity. At night, customers come for leisure and to watch oddball channel.
This becomes the common habit for middle class people and workers. According to the collective data, 60% of customers are families, gamers and workers. * Positing Field (2007) states positioning possesses an idea or perception in the customer’s attention. While Shims (2011) defines that positioning has two actions namely, brand in (the consumer’s mind) and against (competitive positioning strategies). However, Clan and Krieger (2000) show that positioning is all about stating a short statement or message to imprint in customers’ minds.
Win Any Unsung take the position as a good environment for all kinds of customers: family, children and women, while other competitors do not provide a safe environment for young women. Marketing Mix The promise and offer of the tea house are going to be described with the marketing mix ups. A qualitative analysis of specific factors for success identified five critical elements for restaurant to achieve success: having a good location, pricing their food appropriately for the market, maintaining the quality of their food, using promotional tactics to encourage new and continued visits, and good communication of staffs. Product Product is the food offered on the menu. This includes the variety of food on the menu, the presentation of food to customer, the quality of the food in terms of flavor, consistency, and freshness, the uniqueness of the menu items relative to those offered in the immediate trade area and consistency or rotation on and off of items on the menu. The product is the heart of the marketing exchange. If the product does not deliver the benefits the customer wanted or if it does not live up to the expectations created by the other elements of the marketing mix, then the whole exercise has been in vain (Pettiest.
S, 1997). Win Any Unsung offer the best quality reduce, tea. Even though they don’t offer a wide variety of menu, they promise the noodle, the customers can eat original taste. According to the survey, 85% of customers like the food quality of Win Any Unsung rather than competitive tea house. * place Place is specific to the location of the restaurant. As it is situated in the Junction and near to the market place, it can be said the best location for tea shop.
Place is related to the number of or lack of competitors in the immediate area, the demographics of the immediate area, and if the physical structure of the housing the restaurant existed or not and whether a physical structure was inhabited previously by another restaurant or not. Part of the responsibility of a marketing oriented organization is to get the product to the customer in the right place at the right time. This has led to the development of extremely efficient and sophisticated distribution systems (Pettiest. S, 1997). They cannot give the satisfactory delivery service. Price Price is the amount of money that is exchanged for the menu items. It is correlated to customer value for the money received in exchange for it. Determination of price elated to competition, food costs, and desired profit also affect price. Win Any Unsung tea house offer the same price with other shops. If there are changes in price, let the customers know via the waiters. (By the answer of the manager) * Promotion Promotion is the essential technique which is used by business. Promotion techniques can be identified into four broad categories: advertising, public relations, sales promotions, and direct selling.
Win Any Unsung do not use any specific promotion strategy. However, customers can watch football matches channels and news channels in the tea shop. * People The impact of people (staffs) on marketing cannot be underestimated. At its most obvious, this element covers the front line sales and customer service staff who will have a direct impact on how the product is perceived. Their knowledge, motivation and investment support the success of the restaurant. Although any other element of the marketing mix can affect the business, people element is one where the importance of regarding marketing as an integral part of the way of doing business.
There are 15 staffs in Win Any Unsung including waiters, baker and tea master. They are very active and have good relationship with customers. Even though there is no systematic staff training, they are trained to remember the behavior and habits of the regular customers. SOOT Analysis In order to provide a better understanding of the current state of Win Any Unsung tea house, and potential strategies to achieve the stated objective, a SOOT analysis are going to be undertaken. SOOT Analysis is used to evaluate the Strengths, Weakness, Opportunities and Threats involved in a project, or any other situation requiring a decision.
Once the strengths and weaknesses are determined, they are combined with the opportunities and threats in the market place. This is known as SOOT analysis (Strengths, Weaknesses, Opportunities, and Threats). The business can then determine what it needs to do in order to increase its chances of marketing successfully. Mismatch between expected service and perceived service When the researcher surveys the customer satisfactions, the dispensaries between Noise * Inefficient Delivery Service * Personal Hygiene of Waiters are found. 1.
Environmental Cleanliness and Noise Restaurant cleanliness is considered as one of the most significance conditions when customers evaluate overall restaurant quality of decide their levels of satisfaction. Restaurant cleanliness has been perceived by researchers to be one of the key factors in customers’ restaurant quality evaluations (Becker, Murrain et al. 1999; Gang and Ill 2009). According to Pursuant, Chitchat et al. 1998; Ray and Gang 2008, it is important to keep clean not only interior of the restaurant: dining room, the but also the overall images of the restaurant.
Providing safe and clean restaurant environment by reducing the burden of disease from food is the responsibility of restaurant owners and employees. The drainage system near the tea house is not good. Some tables are decorated outside the tea house, on the pavement, so that it floods in the rainy season. Compare to other tea shop, 80% of customers rate the cleanliness of the shop as an unsatisfactory factor. Moreover, the tables and facilities are also dirty. The causes of this problem is that the drainage system and insufficient labor. In the most crowded time, waiters are in short supply.
According to the answer of the manager upon the problem, shortage of labors, they have limited budget to hire more labors for full time and part-time workers are unavailable. This can also be the root cause for inadequate delivery service problem. Most of the customers for delivery service are from the bazaar, and only in the morning. So it is very costly to recruit full time labor, which causes the time delay problem. They cannot serve in time and sometimes, forget the order. According to the customer survey, 65% of customers do not satisfy the delivery system. 2.
Personal Hygiene of Waiters In the restaurant industry, cleanliness of the restaurant and staffs are one of the determined factors that can design the products and service to meet customers’ expectations. Several scholars have conducted studies about restaurant cleanliness ND they found relationship between customer satisfaction, service quality evaluation and restaurant cleanliness (Stevens, Unstop et al. 1995; Becker, Murrain et al. 1999; Barber and Scarcely 2009). It is obvious that employees play the important role of the restaurant to succeed. The problem of cleanliness of waiters is the major problem of the tea house.
According to the survey, more than 60% of customers dissatisfy. In Win Any Unsung tea house, uniform are not provided to staffs and dressing styles for waiters are not restricted. Customers rate the cleanliness of waiters worse than competitors. According to the tea house manager, there is no brake time for waiters from the morning until the finishing time. Based on this facts, it shows that the root cause is that there is no systematic duty shift and exact Job description. SURVIVAL The importance of quality and service would be measured with SURVIVAL analysis method based on these findings.
This has been used in worldwide to assess customer service quality evaluation. This was designed to measure the difference encounter and their subsequent perceptions of the service received and five dimensions, reliability, assurance, tangible, empathy and responsiveness, were assured ( Pursuant, Chitchat et al. 1985). After analyzing the results, the dispensaries that found are 1. Lack of human resource management: Shortage of labors 2. Unsystematic and in effective recruitment 3. Lack of staff training. To summarize, the customer satisfaction play an important role in doing business.
It can be one of the most important outcomes in the organization success. Moreover, it can control the repeat purchase and brand loyalty (Suppressant and Churchill, 1982). If the organization can offer more than customer’s expectation, customers would feel it is worth for the product and quality. Importantly, Holistic Marketing is essential to give a value which is more than customers’ expectations (for example) that would bring satisfactions and customers will become hard-core loyal and will unlikely to switch brands in the predictable future (Kettle and Keller, 2006).
As far as I concerned, although some parts of the tea house are satisfactory, they cannot manage the human resource and operation systematically. If they can overcome these problems, they can stand out among other competitors. Recommendation When I analysis the gap between customers and service provider, the root cause mess to be the shortage of labors in peak time and peak season. In that uncertainty situation, short -term capacity adjustment such as overtime or hiring temporary staff might be the appropriate solution.
Moreover, they need to launch chase demand capacity plans (examples recruiting temporary labors or flexible staff. In order to cope with the demand at the peak time and increase individual skills, staff training and retention should be given. Besides, the manager should focus on interior and exterior cleanliness, personal hygiene of waiters such as providing uniforms for waiters. As they have to deal with the customers directly, it can aid them to have a significant effect on a customer’s perceived value of the service which could create a good reputation to tea house.