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AN ASSESSMENT OF SERVICE QUALITY ON CUSTOMER SATISFACTION

2015-16

SUMMER INTERNSHIP PROGRAM A PROJECT REPORT ON “AN ASSESSMENT OF SERVICE QUALITY ON CUSTOMER SATISFACTION AT TATA TELE-SERVICES LIMITED IN PUNE REGION” Submitted To:

Submitted By: AJINKAY MOHITE PGDM MARKETING MM1517401 BALAJI INSTITUTE OF MODERN MANAGEMENT

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COLLEGE CERTIFICATE This is to certify that AJINKAY MOHITE is a bonafide student of this institute and has successfully completed his project titled “AN ASSESSMENT OF SERVICE QUALITY ON CUSTOMER SATISFACTION AT TATA TELE-SERVICES LIMITED IN PUNE REGION” for partial fulfillment of PGDM (MARKETING) from BALAJI INSTITUTE OF MODERN MANAGEMENT, PUNE.

DIRECTOR

Dr. ARCHANA SRIVASTAVA

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ACKNOWLEDGEMENT I would like to take this opportunity to thank my project guide, Mr Vishant Padwal, Manager (Enterprise Business) for mentoring me throughout the project and adding valuable inputs.

I would also like to thank Mr Suraj Kamble, Associate Professor (BIMM), who is our internal mentor and Mr Bhuvanesh Sharma, Associate Professor (BIMM) for helping me throughout the project.

Last but not the least, I would like to thank all the employees of TATA Teleservices, Pune for helping me in this project in every possible manner.

AJINKAY MOHITE MM1517401

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DECLARATION I AJINKAY MOHITE hereby declare that the contents of this project have been obtained from original sources of information and data and statistics are authentic to the best of my knowledge and belief. This is to declare that all the work related to research is a profound and honest work of mine.

Date:

Signature

AJINKAY MOHITE

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TABLE OF CONTENTS SERIAL NO.

CONTENTS

PAGE NO.

1

EXECUTIVE SUMMARY

7-8

2

CHAPTER 1: INTRODUCTION INTRODUCTION BACKGROUND OF STUDY PURPOSE OF STUDY WITH OBJECTIVES

9-11 12-14 14

COMPANY PROFILE 3

CHAPTER 2: LITERATURE REVIEW

15

INTRODUCTION SERVICE QUALITY

16-17

CUSTOMER SATISFACTION

17

SERVICEQUALITY & CUSTOMER SATISFACTION CONCLUSION

18-32

CHAPTER 3: RESEARCH METHODOLOGY INTRODUCTION

33

RESEARCH DESIGN

34-37

DATA COLLECTION METHOD

38

SAMPLING SIZE & DESIGN

39

RESEARCH INSTRUMENT

40

CONCLUSION

41

CHAPTER 4: DATA ANALYSIS & INTERPRETATION

42-43

4

5

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7

CUSTOMER TYPE OF BUSINESS MARKET SHARE OF ENTERPRISE DATA SOLUTION MARKET SHARE OF ENTERPRISE VOICE SOLUTION RESPONDENTS ARE SATISFIED WITH SERVICES PROVIDED RELIABILITY ANALYSIS REGRESSION & CORRELATION CONCLUSION CHAPTER 5 FINDINGS & RECOMMENDATIONS FINDINGS RECOMMENDATIONS CHAPTER 6 LIMITATIONS OF STUDY

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EXECUTIVE-SUMMARY

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CHAPTER 1 INTRODUCTION 1.0 INTRODUCTION:In order to remain competitive and for business to grow, service quality and customer satisfaction are key concepts. Service quality and customer satisfaction are different, but related concepts, but however, these two exhibit a very strong correlation. Satisfaction can be regarded as an antecedent of service quality. Thus, satisfactory experience may therefore affect customer attitude and his or her assessment of perceived service quality. Thus, satisfaction with a specific transaction may result with positive global assessment of service quality. However, other authors have argued that it is the other way round that is service quality is antecedent of customer satisfaction. However, in India, over years, the performance of Tata Tele-services Private Limited has been not satisfactory in this regard. In this study efforts were made to examine how service quality issues are being managed within business organizations in India. It was also imperative to note that this study, also examined the factors that were driving service quality and customer satisfaction which in this study strictly referred to the context of Tata Teleservices Private Limited. Service quality and customer satisfaction are very important concepts to academic researchers studying evaluations and to practitioners as a means of creating competitive advantages and customer loyalty. Many industries are paying attention to service quality and customer satisfaction for numerous reasons and chief among them are increased competition and deregulation. The ever changing and competitive market environment offers challenges and PGDM MARKETING

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opportunities to many organizations across the globe. Customers perception of service quality always pose a great challenge which is unique than other business challenges. Excellence in service quality has become quite imperative for

organizational

sustainability.

The

advances

in

information

and

communication technologies have enabled a number of organizations to provide superior services for customer’s satisfaction. 1.1 BACKGROUND OF STUDY:Today’s fast paced and increasingly competitive global market requires effective and efficient strategies to survive and to make profits which can contribute toward the growth of the organization. Service quality and customer satisfaction and customer retention are global issues that affect all organizations whether private or business, small or large, global or local. Literature available showed that organizations are interested in studying, evaluating, and implementing marketing strategies that aim to improve customer satisfaction and retention with an intention to maximize the financial performance of the firm. International literature showed that there has been a strong advocacy for the adoption of customer retention as one of the key performance indicators. Service quality and customer satisfaction have long been recognized as playing a crucial role towards the organizational success and survival in today’s global competitive market. It is obvious that the customers are more important stakeholders in many organizations and their satisfaction is a priority in marketing management. Customer satisfaction and service quality has been a subject of interest to researchers and organizations as it has been proven by some researchers that service quality is related to customer satisfaction. Profit maximization can be

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achieved through increase in sales with lesser costs and one of the ways of achieving it is through improving customer satisfaction. Customers are constantly aiming to get the highest satisfaction from products or services that they buy from various organizations across the globe. Thus, it must be noted that winning in today’s competitive marketplace demands that organizations need to build profitable and lasting customer relationship. It is well documented that various business organizations are studying and developing strategies to satisfy customers and meet customer expectations. Research has shown that a very satisfied customer is nearly six times more likely to be loyal to the organization and chances are high when it comes to repeat business. In addition to this, it is generally agreed among scholars that a satisfied client is likely to make recommendation of the product or service to family and friends as compared to dissatisfied customers. A high correlation between customer retention and profitability was established, thus it becomes the aim of this study to test the correlation between service quality and customer satisfaction within the confines of Tata Tele-services Private Limited. Service quality and customer satisfaction playing a very important role towards the success and competitiveness of a firm in today’s dynamic and competitive global market. It must be noted that, considerable research has gone into these concepts. Notably, service quality and customer satisfaction have been linked to customer behavioral intentions like purchase and loyalty intention, willingness to spread positive word of mouth, referral, and complaint intention by many researchers thus this must be assessed in the context of Tata Teleservices Private Limited and see if the same results can be obtained.

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1.3 PURPOSE OF STUDY: To describe how enterprise customers perceive service quality provided by Tata Tele-services.  To help the company to understand the attribute, which need to be focused more within different factors determining the service quality.  To compose correlation of service quality and customer satisfaction, and understanding there interdependence on each other. 1.4 RESEARCH OBJECTIVES:Primary Objective 1. To examine the relationship between customer satisfaction and service quality, with respect to service quality dimensions. Secondary Objective 1. To find out the various expectations of customers for service performance. 2. To construct a SERVQUAL model. 3. To conduct a survey in order to find out the impact of service quality dimension on customer satisfaction. 4. To provide recommendations (if any) 1.5 COMPANY PROFILE:Tata Teleservices Limited spearheads the Tata Group’s presence in the telecom sector. The Tata Group includes over 100 companies, over 450,000 employees worldwide and more than 3.8 million shareholders. Incorporated in 1996, Tata Teleservices Limited was the pioneer of the CDMA 1x technology platform in India, embarking on a growth path after the PGDM MARKETING

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acquisition of Hughes Tele.com (India) Ltd [renamed Tata Teleservices (Maharashtra) Limited] by the Tata Group in 2002. Over the last few years, the company has launched significant services CDMA mobile operations in January 2005 under the brand name Tata Indicom, market-defining wireless mobile broadband services under the brand name Tata Photon in 2008 and 2G GSM services under the brand name Tata DOCOMO in 2009. Tata Teleservices Limited also has a significant presence in the 2G GSM space, through its joint venture with NTT DOCOMO of Japan, and offers differentiated products and services. Tata DOCOMO was born after Tata Group’s strategic alliance with Japanese telecom major NTT DOCOMO in November 2008. Tata DOCOMO received a pan-India license to operate GSM telecom services and rolled out GSM services in all the 18 telecom Circles where it received spectrum from the Government of India in the quick span of just over a year. TTL entered into a strategic partnership agreement with Indian retail giant Future Group to offer mobile telephony services under a new brand name T24, on the GSM platform. Tata Teleservices also has a strategic tie up with Virgin Mobile that primarily caters to youth segment offering mobility services on both CDMA and GSM platform. Tata Teleservices is the undisputed market leader in the fixed wireless telephony market amongst private operators. In the wireless mobility space, the company in the past has been rated as the ‘Least Congested Network’ in India for eight consecutive quarters by the Telecom Regulatory Authority of India through independent surveys.

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The company in the recent past has won many awards. TTSL was named The Best Emerging Markets Carrier by Telecom Asia, and received 8 awards at the World HRD Conference, including 5th Best Employer in India. The company also received 3 awards at the Telecom Operator Awards 2010 from Tele.net; Best Company, CEO of the Year and Best Quality of Service, and Business Standard award for 'Most Innovative Brand of the Year'. Tata DOCOMO was recently recognized as the best “Utility VAS Service Provider” and “Best Mobile Broadband Service Provider” for the year 2012 by Frost & Sullivan. 1.6 BOARD OF DIRECTORS:-

Mr. Kishor Chaukar

Mr. Srinath Narasimhan

Designation : Chairman

Designation: Managing Director.

Prof. Ashok Jhunjhunwala

Mr. D. T. Joseph

Designation : Independent Director

Designation : Independent Director

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Mr. Govind Sankaranarayanan

Ms. Hiroo Mirchandani

Designation : Director

Designation: Independent Director

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CHAPTER 2 LITERATURE REVIEW

2.1 INTRODUCTION:Review of literature forms an integral as well as an essential part of modern research studies. No research study is considered complete unless an extensive literature review is made by the researcher. The basic purpose of undertaking this exercise is to find the research gap between, studies conducted so far or literature available, and also to finalize precisely the topic of research and to get insight into the research topic selected for study. In this sense this exercise becomes a sort of exploratory research. 2.2 SERVICE QUALITY:Parasuraman et al. (1985) describes service quality as the evaluation of the general quality of services being provided to customers. Therefore, it can be noted that service quality is the differentiation between the customers is expectation and the perceptions of services delivered by organizations. Nitecki et al. (2000) describes service quality in terms of surpassing customer perceptions and expectations of service. It is therefore important for this research to concentrate on the assessment of service quality and its resultant impact on customer satisfaction in the context of Tata Tele-services as a state enterprise in India. Keller and Kotler (2009:789) define a service as any intangible performance or work that one party provides to another that does not end up in the ownership of anything”. Therefore, a service can additionally be defined as an intangible PGDM MARKETING

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offer by one party which in this research relates to Tata Tele-services, to another in change of cash. Quality, having said that, is one of the products that customers will look for in an offer (Solomon, 2009:413). Kotler et al. (2002: 831) defines quality as the totality of the functions and characteristics of an product or services that bear on its capability to satisfy stated or suggested requirements. Haywood (1998) notes that there are three elements of service quality and they are christened as the 3Ps of service quality. The Haywood (1998), research describes service quality as comprising three elements which are:  Physical facilities, processes and procedures;  Personal behavior on the part of serving staff, and ;  Professional judgment on the part of the serving staff but to get good quality service (Haywood, 1998). Haywood (1998) further states that a very carefully balanced mix of these three elements must be accomplished and it becomes crucial for this study to understand how balanced is the mix of these elements in India in the context of Tata Tele-services and its subsequent result on service quality and eventually customer satisfaction. 2.3 CUSTOMER SATISFACTION:Solomon (2009: 34) describes a customer as the most crucial stakeholder of an organization who provides payment in exchange for product offering provided to him/her by the organization with a goal of satisfying a need and eventually maximizing satisfaction of the same. While there is no any agreement between scholars on the definitions of a consumer and a customer, this research is will go by Solomon (2009: 34) who defines a customer as an individual who does the purchasing of a product offering as compared to the consumer who finally PGDM MARKETING

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uses the product. It must be noted that whenever the customers and consumers are happy with either the product offering or services, it is termed satisfaction. Kotler and Keller (2009:789) define satisfaction as the feeling of delight or dissatisfaction that results from comparing a product’s perceived performance with its expectations. Therefore, it is generally thought by numerous researchers and scholars that satisfaction could be the enjoyment that one derives from the usage of products and services provided and customer pleasure is an indication of consumer satisfaction. Kotler et al. (2002) define consumer satisfaction as the degree to which the perception of a product’s performance matches a buyer’s expectation, while Schiffman and Kanuk (2004) define consumer satisfaction as the individual’s perception of the performance of the products or services with comparison to one’s expectations.

In addition to this, Kotler (1996) defines customer

satisfaction as the level of an individual’s experienced state resulting from contrasting a product’s perceived performance or result in violation to one’s expectations. Consumer satisfaction could be regarded as a relative behavior between inputs beforehand and post- obtainments. There have actually been numerous efforts to measure and determine customer satisfaction. Despite these efforts by Kotler (1996), Kotler et al. (2002) and Kanuk and Schiffman (2004) to determine customer satisfaction, there still remains disagreements regarding the definition (Giese and Cote, 2000). 2.4 SERVICE QUALITY AND CUSTOMER SATISFACTION:Analysis of service quality and customer satisfaction has drawn the interest of researchers and marketers because of the constructs’ relevancy in building the relationship and competition that exists between them (Eshghi et al. 2008). PGDM MARKETING

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More research has been done because researchers desired to discover the connection between them with the aim of enhancing the general overall performance of the service providers (Julander and Magi, 1996:40). Analysis into customer satisfaction has been examined by many researchers for example Cronin and Taylor, (1992) who suggested that the consumers’ feelings towards a service is expected to measure satisfaction while other individuals utilize a multiple-item scale Parasuraman et al. (1985, 1988) and that satisfaction is calculated using different measurements for instance the SERVQUAL proportions. Analysis has shown that the concept of relating service quality and customer satisfaction has existed for a long time as noted by Negi (2009). Negi (2009) investigates the relevance of consumer-perceived service quality whenever determining the general customer satisfaction in the context of mobile services and it had been seen that dependability and community quality had been one of the keys factors in assessing general service quality. This research will look for to discover away if the exact same can be stated of Tata Tele-services and see if empathy can be and guarantee can be ignored in evaluating the general service quality and customer satisfaction. It additionally becomes really crucial for this research to make and recognize an evaluation of the factors which are adding towards a customer observed service quality and customer satisfaction in the context of Tata Tele-services as a state enterprise which drops in the service industry in India. 2.5 CONCLUSION:This chapter’s thrust was to provide a review of related literature from the other researchers’ works in an attempt to expose the flaws and how to avoid them in the research design. In this regard, the researcher gave credibility to PGDM MARKETING

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the researchers who did the groundwork as their works paved the way of discovering explicit recommendations for further research on this topic. The researcher through the works of other researchers has been able to ascertain insights in research approaches. 2.6 BENEFITS OF THE STUDY:2.6.1 To Company:This research will help the company to understand the relationship between service quality and customer satisfaction. This will help them to understand which factor to focus upon, thus helping them increase the customer satisfaction. This will help them thus to increase their revenue and customers. 2.6.3 To Market:In Telecom market, it can be used as Secondary data by other companies to do their study. This will help them as basis for their project. As the factors described under Service quality and their respective attributes are same for companies in this sector. 2.6.4 To Me:It helped me in many ways, firstly I understood how to approach concerned persons and take their appointments. Then, this study helped me to understand how to analyze data and apply various research measurement tools. It helped me to understand and apply the concepts taught in class in practical manner and gave an insight, how the company performs. 2.6.5 To Future researchers:PGDM MARKETING

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They can use my report as a secondary data in their research. Company information, research process for determining the correlation between various attributes and their corresponding factors under Service Quality. And correlation between Service Quality factors and overall customer satisfaction regarding the Services offered by Tata Tele-services.

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CHAPTER 3 RESEARCH METHODOLOGY

3.1 INTRODUCTION:Research methodology is a way to systematically solve the research problem. It may be understood as science of studying how research is done scientifically. In it we study various steps that are generally adopted by a researcher in studying his research problem along with logic behind them. 3.2 RESEARCH DESIGN:Research design as a basic plan or strategy of the research study and the logic behind it that makes it possible and valid to draw more general conclusions from it. Design refers to the format and theoretical structure under which the study would be carried out, that is how the worthiness and contribution of certain elements are. In my study both descriptive and causal research design are used to analyze the data collected. Descriptive research design aims at using graphs and pie-charts to evaluate the data, while causal research design uses various statistical tools to give base to the study. 3.3 DATA COLLECTION METHOD:There are two categories for data collection in carrying out a research i.e. Primary and Secondary data collection method.

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PRIMARY DATA: - Primary data as the name suggests is original, problem or project specific and collected for specific objectives and needs spelt out by the researcher. The authenticity and the relevance is reasonably high. The monetary and resource implications of this are quite high and sometimes a researcher might not have the resources or time or both to go ahead with this method. In my study, primary data is collected through using questionnaires and conducting Interviews. SECONDARY DATA: - Secondary data as the name implies is that information which is not topical or research specific and has been collected and compiled by some other researcher or investigative body. The said information is recorded and published in a structured format and thus is quicker to access and manage. Secondly, in most instances unless it is a data product, it is not expensive to collect. SOURCES OF SECONDARY DATA: INTERNAL SOURCES: Internal as the name implies is the organization or environment specific source and includes the historical output and records available with the organization which might be the backdrop of the study. The facts and information may be available (like the employee data in the format where it can be directly used for data interpretation and analysis). Advantages are that they are readily accessible and economical to use. Secondly they are topical and updated to the latest time period with a great amount of precision and details. EXTERNAL SOURCES: Information that is collected and compiled by another source that is external to the organization is referred to as external PGDM MARKETING

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sources of data. There could be two kinds of published data-one that is from the official and government sources-this could include census data, policy documents and historical archives. The other kind of data is that which are prepared by individuals or private agencies or organizations. This could be in the form of books, periodicals, industry data such as directories and guides. 3.4 SAMPLING SIZE AND DESIGN:Probability Random Sampling was done, as it allows every one of the population to have equal chance to take part in the sampling. Target respondents were mostly the IT manager/personnel of particular organization. Beyond that if the IT person was not available, then the people who are aware about Product, Services and are in touch with Customer Service Representative were also included. Sample size was 60 respondents from different areas of Pune and the companies majorly selected were small-medium enterprise. 3.5 RESEARCH INSTRUMENT:3.5.1 QUESTIONNAIRE:The questionnaire was used to collect data from respondents and the items developed for data collection was adopted from previous studies. However, it must be noted that the items in the questionnaire were tailor made to suit the context of Tata Tele-services Private Limited as both a telecommunications and state enterprise company. The questionnaire sought the respondents’ perception about the service quality from Tata Tele-services Private Limited and how it affects the overall customer satisfaction.

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3.5.2 PILOT TESTING:Pilot test was used to test the questionnaire on a small sample of respondents to locate and eliminate potential problems before the large amount of questionnaires were distributed. In this project, 15 respondents were involved in the pilot test, and the questionnaire will be returned and they will be free to write their comments about potential problem and misleading. 3.6 CONCLUSION:This chapter discussed the research design and the study’s population. A sample size of 60 respondents was chosen from a very large population in Pune. In addition to this, the Sampling technique used was simple random sampling. A number of problems were encountered in data collection and the researcher devised methods of dealing with the problems and/or reducing its threshold.

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CHAPTER 4 DATA ANALYSIS AND INTERPRETATION 4.1 CUSTOMER’S TYPE OF BUSINESS:Sr. No.

Particular

1 2 3 4 5 6

IT/software/web development Call center Manufacturing Consulting/Media/advertisement Healthcare Others Total

No. of Respondents 23 14 6 9 4 4 60

Percentage of Respondents 6.67%

6.67% 38.33%

15.00% 10.00% 23.33%

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Interpretation: - As per the above analysis, the maximum business enterprises who are customers of Enterprise products of Tata Tele-services are from IT/Software/Web development industry i.e. they comprise 38% of total respondents and Call center is the second one. Tata Tele-services should target these segments to increase their Market share. 4.2 MARKET SHARE OF ENTERPRISE DATA SOLUTION:-

ENTERPRISE DATA Sr.no. 1 2 3 4 5

Particulars Internet Leased Line Leased Line IPLC MPLS Photon Total

No. of respondents 42 7 3 4 24 80

No. of respondants 30.00%

52.50% 3.75% 5.00% 8.75%

Interpretation: - As per the analysis, more than half the market share is dominated by Internet leased line and at second position is Photon data PGDM MARKETING

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cards. While the other products are having very small share, this might be due to which were

ENTERPRISE VOICE Sr. no. 1 2 3 4 5

Particulars PRI Centrex GSM/CDMA Walky Toll Free Solution TOTAL

No. of respondents 16 4 2 18 1 41

that

the

companies I

visited

small

and

medium enterprise.

But, the awareness regarding these products, other than Internet leased line and Photon data cards is low and thus marketing of their importance and applicability will need to focused upon to increase their share. 4.3 MARKET SHARE OF ENTERPRISE VOICE SOLUTION:-

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No. of respondents 39.02%

2.44% 43.90% 4.88% 9.76%

Interpretation: - In this segment PRI and Walky have dominated the segment. The other solutions need to be focused in terms of their awareness and applicability. And the product solutions which have good demand such as PRI and Walky need to be marketed more so that there share increases from present scenario.

4.4

RESPONDENTS

ARE

SATISFIED

WITH

THE

PROVIDED:Sr no. 1 2 3 4 5 PGDM MARKETING

Particular Strongly Disagree Disagree Neutral Agree Strongly agree Page 29

No. of respondents 5 2 22 30 1

SERVICES

AN ASSESSMENT OF SERVICE QUALITY ON CUSTOMER SATISFACTION Total

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60

35

NO. OF RESPONDENTS

30 25 20 15 10 5 0

Interpretation:- Most of the respondents are satisfied with the services provided i.e 30 of them agree that they are satisfied with the services provided, but on the other hand 22 are neutral about the services provided. Thus, to convert remaining respondents into favorable outcome more efforts need to be put forth to improve services.

4.5 RELIABILITY ANALYSIS:Reliability analysis seeks to establish the internal consistency of the variables in a research instrument, and in other words, seeks to establish the overall reliability of any research instrument. By convention, the Cronbach’s Alpha is the best method to use for reliability analysis. The alpha statistic ranges

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between 0 and 1. According to Bryman and Bell (2007), a minimum threshold of 0.7 is acceptable for instrument reliability. Reliability Statistics Cronbach's Alpha

N of Items .939

23

The computed Cronbach’s Alpha for the 23 SERVQUAL items was found to be 0.939. This being greater than 0.7, it shows that there is greater internal consistency of the items in the scale, and that the research instrument used was very reliable. 4.6 REGRESSION AND CORRELATION:4.6.1 OVERALL TANGIBILITY AND ITS ATTRIBUTES:Correlation analysis is used to measure the degree of association between two sets of quantitative data. And it is followed by regression analysis, Regression Analysis is used to explain variation in dependent variable based on variation of independent variable.

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Correlations STAFF

INFORMATIO N DELIVERY INFORMATION

Pearson Correlation

DELIVERY

Sig. (2-tailed)

VISUAL APPEAL OF

Pearson Correlation

OFFICE,EQUIP.AND

Sig. (2-tailed)

MAT.

N

STAFF

Pearson Correlation

ATTRACTIVENESS AND

Sig. (2-tailed)

PROFESSIONALISM

N

OVERALL TANGIBILITY

59 .466

ATTRACTIVE

APPEAL OF

NESS AND

OFFICE,EQUI PROFESSION P.AND MAT.

1

N

VISUAL

**

ALISM **

.803**

.000

.000

.000

59

59

59

1

*

.738**

.047

.000

.466

.260

59

59

59

**

*

1

.563**

.260

.000

.047

59

59

59

59

**

**

**

1

.803

N

.486

59 .486

Sig. (2-tailed)

TANGIBILITY **

.000

Pearson Correlation

OVERALL

.738

.000

.563

.000

.000

.000

59

59

59

59

**. Correlation is significant at the 0.01 level (2-tailed). *. Correlation is significant at the 0.05 level (2-tailed).

Interpretation:- From the above table, the Pearson Correlation between overall tangibility and information delivery is more near to 1, followed by visual appeal and attractiveness of its products. Thus, there is +ve correlation between overall tangibility and information delivery & visual appeal with attractiveness of the product. Thus, for satisfaction from tangibility to increase Information about the product should be delivered properly with making it attractive and userfreindly. And all the attributes are statistically significant with respect to Overall Tangibility.

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Model Summary Model

R

R Square .920a

1

Adjusted R Square .847

Std. Error of the Estimate

.838

.271

di

m

en

si

on

0

a. Predictors: (Constant), STAFF ATTRACTIVENESS AND PROFESSIONALISM, VISUAL APPEAL OF OFFICE,EQUIP.AND MAT., INFORMATION DELIVERY

Interpretation:- The R value represents the simple correlation and is 0.920, which indicates very high degree of correlation. The R sqr. value indicates how much of the total variation in the dependent variable is explained by independent variable. In this case 84.7% is explained by dependent variable, which is pretty good.

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Coefficientsa Model

Standardized Unstandardized Coefficients B

1

Std. Error

(Constant)

.013

.232

INFORMATION DELIVERY

.388

.052

VISUAL APPEAL OF

.389

.210

Coefficients Beta

t

Sig. .057

.955

.491

7.436

.000

.051

.456

7.624

.000

.062

.206

3.399

.001

OFFICE,EQUIP.AND MAT. STAFF ATTRACTIVENESS AND PROFESSIONALISM a. Dependent Variable: OVERALL TANGIBILITY

Interpretation: - Over all Tangibility = K + a(inf. Del.) + b(Vis. appeal) + c(staff attr.) i.e. Overall Tangibility = 0.149 + 0.511(inf. Del.) + 0.006(Vis. appeal) + 0.355(staff attr.) Thus from above relation Information delivery has more impact on Overall Tangibility. 4.6.2 OVERALL RELIABILITY AND ITS ATTRIBUTES:-

PGDM MARKETING

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Correlations DEPENDABILI

DELIVERY OF SERVICE

Pearson Correlation

TIMELY

Sig. (2-tailed)

KEEPING

TY AND

DELIVERY OF

PROMISES

CONSISTENC

SERVICE

TO

Y IN SOLVING

OVERALL

TIMELY

CUSTOMERS

PROBLEM

RELIABILITY

1

N KEEPING PROMISES TO

Pearson Correlation

CUSTOMERS

Sig. (2-tailed)

59 **

.751

Pearson Correlation

CONSISTENCY IN

Sig. (2-tailed)

SOLVING PROBLEM

N

OVERALL RELIABILITY

**

.660**

.000

.000

.000

59

59

59

1

**

.810**

.000

.000

.751

.000

N DEPENDABILITY AND

**

59

59

59

**

**

1

.698**

.702

.000

.000

59

59

59

59

**

**

**

1

.660

Sig. (2-tailed)

.702

59 .723

Pearson Correlation

.723

.810

.000

.698

.000

.000

.000

59

59

59

N

59

**. Correlation is significant at the 0.01 level (2-tailed).

Interpretation:- Keeping promises to customers is highly correlated to Overall reliability as compared to other attributes and all the attributes are statistically significant.

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Model Summary Model

R

R Square .830a

1

Adjusted R Square .690

Std. Error of the Estimate .673

.529

di

m

en

si

on

0

a. Predictors: (Constant), DEPENDABILITY AND CONSISTENCY IN SOLVING PROBLEM, KEEPING PROMISES TO CUSTOMERS, DELIVERY OF SERVICE TIMELY

Interpretation:- The R value represents the simple correlation and is 0.830, which indicates high degree of correlation. The R sqr. value indicates how much of the total variation in the dependent variable is explained by independent variable. In this case 69% is only explained by dependent variable, which is pretty good.

Model

Standardized Unstandardized Coefficients B

1

Coefficients

Std. Error

(Constant)

.811

.242

DELIVERY OF SERVICE

.003

.109

.550

.240

Beta

t

Sig.

3.349

.001

.003

.027

.978

.106

.629

5.187

.000

.110

.254

2.187

.033

TIMELY KEEPING PROMISES TO CUSTOMERS DEPENDABILITY AND CONSISTENCY IN SOLVING PROBLEM a. Dependent Variable: OVERALL RELIABILITY

Interpretation:- Over all Reliability = K + a(Del. Of serv.) + b (keeping promise) + c(dependability & Consistency) PGDM MARKETING

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i.e. Overall Reliability = 0.811+ 0.003(Del. Of serv. Timely) + 0.550(Keeping Promise) + 0.240(dependability & consistency) Thus from above relation Keeping promise with customer has more impact on Overall Reliability.

Model Summary Model R 1

R Square .826

a

Adjusted R Square .682

Std. Error of the Estimate

.665

.593

di

m

en

si

on

0

a. Predictors: (Constant), ACCURATE TIME OF PERFORMANCE OF SERVICE GIVEN, PROMPT SERVICES, HELPING CUSTOMERS IN EMERGENCY SIT.

4.6.3 OVERALL RESPONSIVENESS AND ITS ATTRIBUTES:Interpretation:- The R value represents the simple correlation and is 0.826, which indicates high degree of correlation. The R sqr. value indicates how much of the total variation in the dependent variable is explained by independent variable. In this case 68.2% is only explained by dependent variable, which is pretty good.

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Coefficientsa Model

Standardized Unstandardized Coefficients B

1

(Constant)

Std. Error -.323

.317

PROMPT SERVICES

.310

.104

HELPING CUSTOMERS IN

.414

.311

Coefficients Beta

t

Sig.

-1.017

.313

.270

2.979

.004

.090

.421

4.581

.000

.091

.323

3.427

.001

EMERGENCY SIT. ACCURATE TIME OF PERFORMANCE OF SERVICE GIVEN a. Dependent Variable: OVERALL RESPONSIVENESS

Interpretation:- Over all Responsiveness = K + a (Prompt Serv.) + b (Helping cust. in emergency sitn. ) + c (Accurate time of performance) Over all Responsiveness = - 0.323 + 0.310(Prompt Serv.) + 0.414(Helping cust. in emergency sitn.) performance)

PGDM MARKETING

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+ 0.311(Accurate time of

AN ASSESSMENT OF SERVICE QUALITY ON CUSTOMER SATISFACTION

2015-16

Correlations

PROMPT SERVICES

HELPING

ACCURATE

CUSTOMERS

TIME OF

IN

PERFORMANC

OVERALL

PROMPT

EMERGENCY

E OF SERVICE

RESPONSIVEN

SERVICES

SIT.

GIVEN

ESS

Pearson Correlation

1

Sig. (2-tailed) N HELPING CUSTOMERS IN

Pearson Correlation

EMERGENCY SIT.

Sig. (2-tailed)

59

Pearson Correlation

PERFORMANCE OF

Sig. (2-tailed)

SERVICE GIVEN

N

OVERALL

Pearson Correlation

RESPONSIVENESS

Sig. (2-tailed)

.618**

.000

.000

.000

59

59

59

1

**

.708**

.000

.000

**

.449

.000

N ACCURATE TIME OF

**

.449

**

.514

59

59

59

59

**

**

1

.672**

.492

.514

.000

.000

59

59

59

59

**

**

**

1

.618

N

.492

.708

.000

.672

.000

.000

.000

59

59

59

**. Correlation is significant at the 0.01 level (2-tailed).

Thus from above relation Helping customer in emergency situation has more impact on Overall Responsiveness.

Interpretation:-Helping customers in emergency situation is highly correlated to Overall responsiveness as compared to other attributes and all the attributes are statistically significant.

4.6.4 OVERALL EMPATHY AND ITS ATTRIBUTES:-

PGDM MARKETING

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Correlations TECHNICAL STAFF IS

EFFECTVEL

EASILY

Y

AVAILABLE

TECHNICAL STAFF IS

Pearson

EASILY AVAILABLE

Correlation

COMMUNICA CONVENIEN

DURING

TE AND

T

PERSONAL

EMERGENC

SOLVE

OPERATING

SERVICE IS

OVERALL

Y

PROBLEMS

TIMES

GIVEN

EMPATHY

1

DURING EMERGENCY Sig. (2-tailed) N EFFECTVELY

Pearson

COMMUNICATE AND

Correlation

SOLVE PROBLEMS

Sig. (2-tailed) N

CONVENIENT

Pearson

OPERATING TIMES

Correlation Sig. (2-tailed) N

PERSONAL SERVICE

Pearson

IS GIVEN

Correlation Sig. (2-tailed) N

OVERALL EMPATHY

Pearson

59 **

.339

**

**

.148

.245

.009

.262

.000

.062

59

59

59

59

1

**

*

.305

.708**

.000

.019

.000

.339

.009

.677

.757

59

59

59

59

59

.148

**

1

.146

.448**

.270

.000

.677

.262

.000

59

59

59

59

59

**

*

.305

.146

1

.567**

.000

.019

.270

59

59

59

59

59

.245

.708**

.448**

.567**

1

.062

.000

.000

.000

59

59

59

59

.757

.000

Correlation Sig. (2-tailed) N **. Correlation is significant at the 0.01 level (2-tailed). *. Correlation is significant at the 0.05 level (2-tailed).

PGDM MARKETING

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59

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Interpretation:-Effectively communicate and solve problems is highly correlated to Overall Empathy as compared to other attributes and all the attributes are statistically significant.

Model Summary Model

Std. Error of the R

1

R Square .887a

.787

Adjusted R Square

Estimate

.772

.385

dim

ens

ion

a. Predictors: (Constant), PERSONAL SERVICE IS GIVEN, CONVENIENT OPERATING TIMES, EFFECTVELY COMMUNICATE AND SOLVE PROBLEMS, TECHNICAL STAFF IS EASILY AVAILABLE DURING EMERGENCY

Interpretation:- The R value represents the simple correlation and is 0.887, which indicates high degree of correlation. The R sqr. value indicates how much of the total variation in the dependent variable is explained by independent variable. In this case 78.7% is only explained by dependent variable, which is pretty good.

PGDM MARKETING

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AN ASSESSMENT OF SERVICE QUALITY ON CUSTOMER SATISFACTION

2015-16

Coefficientsa Model

Standardized Unstandardized Coefficients B

1

Coefficients

Std. Error

(Constant)

1.137

.248

TECHNICAL STAFF IS

-.474

.077

.683

Beta

t

Sig.

4.582

.000

-.604

-6.175

.000

.088

.700

7.740

.000

-.051

.081

-.055

-.637

.527

.599

.070

.819

8.503

.000

EASILY AVAILABLE DURING EMERGENCY EFFECTVELY COMMUNICATE AND SOLVE PROBLEMS CONVENIENT OPERATING TIMES PERSONAL SERVICE IS GIVEN a. Dependent Variable: OVERALL EMPATHY

Interpretation:- Over all Empathy = K + a(Easily available during emergency) + b(Effectively communicate)

+ c(Convt. Operating

time) + d(Personal service) i.e. Over all Empathy = 1.137 - 0.474(Easily available during emergency) + 0.683(Effectively communicate) - 0.051(Convt. Operating time) + 0.599 (Personal service) Thus from above relation Effectively communicate and solve problems has more impact on Overall Empathy.

PGDM MARKETING

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AN ASSESSMENT OF SERVICE QUALITY ON CUSTOMER SATISFACTION

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4.6.5 OVERALL ASSURANCE AND ITS ATTRIBUTES:-

Correlations

FIX PROBLEM

Pearson

QUICKLY

Correlation

EXCELLENT

ABILITY OF

TECHNICAL

PROVIDING

FIX

KNOWLEDG

GOOD

COME WITH

PROBLEM

E AND

QUALITY

INNOVATIVE

OVERALL

QUICKLY

SKILLS

PRODUCTS

PRODUCTS

ASSURANCE

1

Sig. (2-tailed) N EXCELLENT

Pearson

TECHNICAL

Correlation

KNOWLEDGE AND

Sig. (2-tailed)

SKILLS

N

ABILITY OF

Pearson

PROVIDING GOOD

Correlation

QUALITY PRODUCTS

Sig. (2-tailed) N

COME WITH

Pearson

INNOVATIVE

Correlation

PRODUCTS

Sig. (2-tailed) N

OVERALL ASSURANCE Pearson

.008

**

.341

**

.572**

.627

.951

.008

.000

.000

59

59

59

59

59

.008

1

.539**

.322*

.491**

.000

.013

.000

59

59

59

1

**

.878**

.000

.000

.951 59

59

**

**

.341

.539

.665

.008

.000

59

59

59

59

59

**

*

**

1

.729**

.627

.322

.665

.000

.013

.000

.000

59

59

59

59

59

.572**

.491**

.878**

.729**

1

.000

.000

.000

.000

59

59

59

59

Correlation Sig. (2-tailed) N **. Correlation is significant at the 0.01 level (2-tailed). *. Correlation is significant at the 0.05 level (2-tailed).

PGDM MARKETING

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Interpretation:- Ability of providing good quality products is highly correlated to Overall Assurance as compared to other attributes and all the attributes are statistically significant.

Model Summary Model R

R Square .929a

1

Adjusted R Square .864

Std. Error of the Estimate

.854

.324

di

m

en

si

on

0

a. Predictors: (Constant), COME WITH INNOVATIVE PRODUCTS, EXCELLENT TECHNICAL KNOWLEDGE AND SKILLS, FIX PROBLEM QUICKLY, ABILITY OF PROVIDING GOOD QUALITY PRODUCTS

Interpretation:- The R value represents the simple correlation and is 0.929, which indicates high degree of correlation. The R sqr. value indicates how much of the total variation in the dependent variable is explained by independent variable. In this case 86.4% is only explained by dependent variable, which is pretty good.

PGDM MARKETING

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AN ASSESSMENT OF SERVICE QUALITY ON CUSTOMER SATISFACTION

2015-16

Coefficientsa Model

Standardized Unstandardized Coefficients B

1

(Constant)

Coefficients

Std. Error

Beta

-.057

.227

FIX PROBLEM QUICKLY

.291

.063

EXCELLENT TECHNICAL

.105

t

Sig. -.250

.804

.310

4.638

.000

.062

.104

1.695

.096

.644

.071

.687

9.076

.000

.034

.064

.044

.537

.593

KNOWLEDGE AND SKILLS ABILITY OF PROVIDING GOOD QUALITY PRODUCTS COME WITH INNOVATIVE PRODUCTS a. Dependent Variable: OVERALL ASSURANCE

Interpretation:- Over all Assurance = K + a( Fix Problem Quickly) + b(excellent tech. knowledge)

+ c(Providing good quality) +

d(Innovative Products) i.e. Over all Assurance = -0.057 + 0.291 ( Fix Problem Quickly) + 0.105 (excellent tech. knowledge) + 0.644 (Providing good quality) + 0.034(Innovative Products). Thus from above relation, Ability of providing good quality products has more impact on Overall Assurance.

PGDM MARKETING

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AN ASSESSMENT OF SERVICE QUALITY ON CUSTOMER SATISFACTION

2015-16

Correlations CUSTOME

OVERALL

Pearson

TANGIBILITY

Correlation

OVERALL

OVERALL

OVERALL

TANGIBILI

RELIABILI

RESPONS

OVERALL

TY

TY

IVENESS

EMPATHY

1

Sig. (2-tailed) N OVERALL

Pearson

RELIABILITY

Correlation Sig. (2-tailed) N

OVERALL

Pearson

RESPONSIVENES

Correlation

S

Sig. (2-tailed) N

OVERALL

Pearson

EMPATHY

Correlation Sig. (2-tailed) N

OVERALL

Pearson

ASSURANCE

Correlation Sig. (2-tailed) N

CUSTOMER

Pearson

SATISFACTION

Correlation Sig. (2-tailed) N

59 .049

ASSURAN

SATISFAC

CE

TION .446**

.310

.712

.026

.017

.000

.000

59

59

59

59

59

1

**

**

**

.564**

59

*

**

.439

.439

.359

.000

.000

.005

.000

59

59

59

59

1

**

**

.384**

.000

.010

.003

59

59

59

1

**

.672**

.000

.000

.026

.000

59

59

59

*

**

**

.686

.686

.510

**

.289

59

.310

*

R

.049

.712

.289

*

OVERALL

.609

.609

.335

.716

.017

.000

.000

59

59

59

59

59

59

.510**

.359**

.335**

.716**

1

.742**

.000

.005

.010

.000

59

59

59

59

59

59

**

**

**

**

**

1

.446

.564

.384

.672

.000

.742

.000

.000

.003

.000

.000

59

59

59

59

59

*. Correlation is significant at the 0.05 level (2-tailed). **. Correlation is significant at the 0.01 level (2-tailed).

4.6.6 OVERALL SERVICE SATISFACTION AND FACTORS OF SERVICE QUALITY PGDM MARKETING

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Interpretation: - Over all assurance is highly correlated to Overall service satisfaction i.e. Customer Satisfaction as compared to other Factors and all the Factors are statistically significant. Thus this implies that, if assurance is improved i.e. the customers are assured that the service will be good, then accordingly the overall satisfaction will also increase because they are positively corelated.

Model Summary Model

Std. Error of the R

1

R Square .819

a

Adjusted R Square

.670

.639

Estimate .538

di

m

en

si

on

0

a. Predictors: (Constant), OVERALL ASSURANCE, OVERALL RESPONSIVENESS, OVERALL RELIABILITY, OVERALL TANGIBILITY, OVERALL EMPATHY

PGDM MARKETING

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Interpretation: - The R value represents the simple correlation and is 0.857, which indicates high degree of correlation. The R sqr. Value indicates how much of the total variation in the dependent variable is explained by independent variable. In this case 73.5% is explained by dependent variable, which is pretty good.

Coefficientsa Model

Standardized Unstandardized Coefficients B

1

(Constant)

Std. Error -.479

.447

OVERALL TANGIBILITY

.207

.127

OVERALL RELIABILITY

.367

OVERALL

Coefficients Beta

t

Sig.

-1.071

.289

.156

1.625

.110

.110

.379

3.344

.002

.009

.091

.010

.094

.926

-.038

.188

-.034

-.202

.841

.579

.140

.547

4.143

.000

RESPONSIVENESS OVERALL EMPATHY OVERALL ASSURANCE

a. Dependent Variable: CUSTOMER SATISFACTION

PGDM MARKETING

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AN ASSESSMENT OF SERVICE QUALITY ON CUSTOMER SATISFACTION

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Interpretation: - 1. Customer Satisfaction = K + a (Overall Tangibility)

+ b (Overall

Reliability)

+ c

(Overall

Responsiveness) + d (Overall Empathy) + e (Overall Assurance) i.e. Customer Satisfaction = -0.213 + 0.315 ( Overall Tangibility) + 0.459 (Overall Reliability) - 0.023 (Overall Responsiveness) 0.245(Overall Empathy) + 0.549 (Overall Assurance) Thus from above relation, Overall Assurance has more impact on Overall Service Satisfaction. 2. In other words, the relative impact of each of the service quality factors on customer satisfaction in order of decrease in impact, measured by the magnitude of the beta coefficients include: 1. 2. 3. 4. 5.

Assurance Reliability Tangibility Responsiveness Empathy

What this means is for Tata Tele-Services to effect a significant boost in the satisfaction of their customers, it need to concentrate more on Assurance of its services and products and making their customers believe that, whatever this company promises it fulfills it. It also need to improve upon reliability, followed by high investment in improving its Tangibles. 4.7 CONCLUSION:-

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This chapter presented the interpretations of the research, appropriate analysis were done, and the results were presented thematically answering the research objectives. The next chapter will summarize the findings of the research, conclusions will be made based on the findings and recommendations will be made as per the findings.

CHAPTER 5 FINDINGS AND RECOMMENDATIONS 5.1 FINDINGS:1) About 38% of total customers are from IT & Software Industry and 23% of customers belong to call center service industry. 2) In enterprise data solution 52% of total market is captured by Internet Leased Line, followed by Photon data cards covering 30%. 3) In enterprise voice solution 44% of total market is covered by Walky product, followed by the PRI product covering 39% share of market. 4) 30 out of 60 customers, agree that they are satisfied with the services provided and 22 customers are neutral about the services provided. 5) Information delivery about the products has maximum impact on overall Tangibility. PGDM MARKETING

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6) Keeping Promise with the customers has maximum impact on overall Reliability. 7) Helping customers in Emergency situation has maximum impact on overall Responsiveness. 8) Effectively communicating and solving problems has maximum impact on overall Empathy. 9) Ability & Assurance to provide good quality products has maximum impact on overall Assurance. 10) Overall Assurance has maximum impact on Overall Customer Satisfaction.

5.2 RECOMMENDATIONS:1)

PGDM MARKETING

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AN ASSESSMENT OF SERVICE QUALITY ON CUSTOMER SATISFACTION

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CHAPTER 6 LIMITATIONS OF STUDY Every project is limited by some constraints. A researcher cannot go beyond a certain level in a project he or she undertakes. In the same way this project is also limited by some constraints.

    

Due to geographic constraint the sample size got restricted. Time constraint was a major issue as lot of time could not be provided to one particular respondent. Weather conditions at times affected the research work At few places unavailability of the respondent also deterred the research work Unavailability of data also created roadblocks in the research work at times

PGDM MARKETING

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