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An Assessment On Service Quality and

Customer Satisfaction In the Canteen of The Mabini Academy

_______________

A Research

presented to

the Faculty of Senior High School Department

The Mabini Academy

In partial fulfillment

of the requirements for Practical Research 2

By

Dimaano, Ma. Cecilia S.


Evangelista, Angelica T.
Evangelista, Dani Laine D.
Maglinao, Martin Fonsy P.
Malaluan, Arvin Phillip C.

07 August 2017
Chapter 1

BACKGROUND OF THE STUDY

Introduction

Service quality is one of the things that consumers look for in an offer,

which service happens to be one. Quality can also be defined as the totality of

features and characteristics of a product or services that bear on its ability to

satisfy stated or implied needs. It is evident that quality is also related to the

value of an offer, which could evoke satisfaction or dissatisfaction on the part

of the user.

When a consumer/customer is contented with either the product or

services it is termed satisfaction. Satisfaction can also be a persons feelings

of pleasure or disappointment that result from comparing a products perceived

performance or outcome with their expectations. As a matter of fact,

satisfaction could be the pleasure derived by someone from the consumption

of goods or services offered by another person or group of people.

Client happiness, which is a sign of customer satisfaction, is and has

always been an essential thing for any organization. Customer satisfaction is

defined by one author as the consumers response to the evaluation of the

perceived discrepancy between prior expectations and the actual performance

of the product or service as perceived after its consumption hence considering

satisfaction as an overall post-purchase evaluation by the consumer.

Service quality in the management and marketing literature is the extent

to which customers' perceptions of service meet and/or exceed their


expectations for example as defined by Zeithaml et al. (1990), cited in Bowen

& David, 2005, p. 340). Thus, service quality can intend to be the way in which

customers are served in an organization which could be good or poor.

Parasuraman defines service quality as the differences between customer

expectations and perceptions of service (Parasuraman, 1988). They argued

that measuring service quality as the difference between perceived and

expected service was a valid way and could make management to identify gaps

to what they offer as services.

On the other hand, Service quality is what the customer perceives and

not what management or workers think (Gronroos, 1990; & Olsen et al, 1998).

Perceived service quality is customers' assessment of the overall excellence

or superiority of a service (Zeithaml, 1988). Perceived service quality is a

subjective concept and therefore, customers' perception of the level of service

quality of a hospitality facility will vary from one customer to another.

Moreover, to know the gaps of the service quality, a tool is used.

SERVQUAL is a multi-dimensiona research instrument, designed too capture

consumer expectation ands perceptons of a service along the five dimensions

that are believed to represent service quality. Delivering superior value to the

customer is an ongoing concern of Product Managers. This not only includes

the actual physical product but customer service as well. Products that do not

offer good quality customer service that meets the expectations of consumers

are difficult to sustain in a competitive market. SERVQUAL (service quality gap

model) is a gap method in service quality measurement, a tool that can be used

by Product Manager across all industries. The aim of this model is to: Identify
the gaps between customer expectation and the actual services provided at

different stages of service delivery, close the gap and improve the customer

service.

For the researcher, the study aims to know the similarities and

differences between the perception of external respondents which includes the

SHS students and internal respondents which include the employees of the

canteen in terms of tangibility, reliability, responsiveness, assurance, and

empathy.

If the study is completed , the researcher will attain the main objective

of the study, which is to perceive the perceptions of the canteen management

and students about the service quality and customer satisfaction. As for the

canteen management, they may be able to reach the level of satisfaction the

students need. Also, the canteen may be able to assess if they meet or exceed

the students satisfaction. Lastly, as for the future researchers, the information

that they may gather would be very beneficial to their researchers to help them

complete and finalize their study.

Statement Of The Problem

This study entitled An Assessment of Service Quality and Customer

Satisfaction to the Canteen of The Mabini Academy aims to answer the

following questions:

1. What is the profile of the respondents in terms of:

a. Age
b. Gender

c. Year level / Number of years in the service

d. Civil Status

2. What are the perceived and expected service quality of the external

respondents and internal respondents in the canteen services of The

Mabini Academy in terms of:

a. Tangibility

b. Reliability

c. Responsiveness

d. Assurance

e. Empathy

3. Is there a significant relationship existing between the profile of the

respondents and their expected and perceived service quality in the

canteen of The Mabini Academy?

4. Is there a difference between the perceived and expected service quality

of the external customer in the canteen?

5. Is there a difference between the perceived and expected service quality

of the internal customer in the canteen?

6. Is there a significant difference between expected service quality of the

internal and external customer?

7. Is there a significant perceived service quality of internal and external

customer between service quality in the canteen of The Mabini

Academy?
8. What is the overall expected service quality by the internal and external

customer in the canteen of The Mabini Academy?

9. What is the implication of the study?

10. What is the overall weighted gap?

Objectives Of The Study

The general objectives of the study were to assess the service quality

and customer satisfaction of the internal and external customer in canteen

of The Mabini Academy. The specific objectives of the study is to

determine:

1. The profile of the respondents of the study in The Mabini Academy in

terms of their age, gender and civil status, year level and number of years in

the service.

2. The perceived and expected service quality of the external customers

and internal customers in the canteen services of The Mabini Academy in terms

of tangibility, reliability, responsiveness, assurance and empathy.

3. The difference between the perceived and expected service quality of the

external customer in the canteen.

4. The difference between the perceived and expected service quality of the

internal customer in the canteen of The Mabini Academy.

5. The significant difference between perceived service quality of internal

and external customer in the canteen of The Mabini Academy.

6. The significant difference between expected service quality of internal

and external customers.


7. The overall expected service quality by the customers in the canteen of

The Mabini Academy.

8. The implication of the study.

Significance Of The Study

This study will be a significant endeavor in improving the relationship

between the students and the canteen management as they would know how

they are benefiting from each other. This study will also be beneficial to the

students and the management in how both parties can improve based on the

assessment on the service quality and the customer satisfaction. Moreover, this

study will be helpful to the management in training and informing them in the

area of improving the quality service and the customer satisfaction. It will also

serve as a future reference for researches on the subject of service quality and

customer satisfaction in an institution. It will also be a guide in their study as

they can improve the data they gather to make their study better.

Scope and Limitations Of The Study

This study will involve all the Senior High School students and the

canteen management in The Mabini Academy. The researchers decide to

exclude the Junior High School and the Elementary students which may be

viewed as a restriction that limits the generalization of results. Moreover, it is

also focused on assessing the service quality and customer satisfaction given

by the canteen management. This study also aims to know the perception of
internal and external respondents on the service qualities and customer

satisfaction. The researchers will conduct a series of survey(s) and interview(s)

to satisfy their objectives.


Chapter II

Review of Related Literature and Studies

This chapter focuses on the review of related literature on the research

problem. The chapter introduces the key concepts on customer service, service

quality, customer satisfaction, and relationship between service quality and

customer satisfaction. Also, it shows the analysis of past studies, demonstrates

the theoretical and operational framework.

Related Literature

In order for a companys offer to reach the customers there is a need for

services. These services depend on the type of product and it differs in the

various organizations. Service can be defined in many ways depending on

which area the term is being used. An author defines service as any intangible

act or performance that one party offers to another that does not result in the

ownership of anything (Kotler & Keller, 2009, p. 789). In all, service can also

be defined as an intangible offer by one party to another in exchange of money

for pleasure.

In relation to that, since customer satisfaction has been considered to be

based on the customers experience on a particular service encounter, (Cronin

& Taylor, 1992) it is in line with the fact that service quality is a determinant of

customer satisfaction, because service quality comes from outcome of the

services from service providers in organizations. Another author stated in his


theory that definitions of consumer satisfaction relate to a specific transaction

(the difference between predicted service and perceived service) in contrast

with attitudes, which are more enduring and less situational-oriented, (Lewis,

1993, p. 4-12) This is in line with the idea of Zeithaml et al (2006, p. 106-107).

Regarding the relationship between customer satisfaction and service

quality, Oliver (1993) first suggested that service quality would be antecedent

to customer satisfaction regardless of whether these constructs were

cumulative or transaction-specific. Some researchers have found empirical

supports for the view of the point mentioned above (Anderson & Sullivan, 1993;

Fornell et al 1996; Spreng & Macky 1996); where customer satisfaction came

as a result of service quality.

In relating customer satisfaction and service quality, researchers have

been more precise about the meaning and measurements of satisfaction and

service quality. Satisfaction and service quality have certain things in common,

but satisfaction generally is a broader concept, whereas service quality focuses

specifically on dimensions of service. (Wilson et al., 2008, p. 78). Although it is

stated that other factors such as price and product quality can affect customer

satisfaction, perceived service quality is a component of customer satisfaction

(Zeithaml et al. 2006, p. 106-107). This theory complies with the idea of Wilson

et al. (2008) and has been confirmed by the definition of customer satisfaction

presented by other researchers.

According to, Zeithaml V.1 (1981) has stated that Customers of

hospitality often blame themselves when dissatisfied for their bad choice.

Employees must be aware that dissatisfied customers may not complain and
therefore the employees should seek out sources of dissatisfaction and resolve

them. Greenrooms Christian (1982) had illustrated that service quality is what

differentiates hospitality establishments, lacking a clear definition of service

quality. However, a few different suggestions of how to define service quality

by dividing it into image, functional and technical components. Another way is

to check service quality by determining its fitness for use by internal and

external customers. In absence of a definition, it is widely accepted that service

quality is wholly dependent on guests needs and expectations. Knowing that

both service quality and value is difficult to measure, hospitality companies

heavily rely on guests quality perception and expectations. It could be achieved

by asking guests questions related to expectations and their perceptions of the

service quality through carefully designed surveys. Parasuraman (1988) enlists

the components of perceived service quality as Assurance, Reliability,

Tangibles, Empathy and Responsiveness.

Moreover, the SERVQUAL scale which is also known as the gap

model by Parasuraman, et al. (1988) has been proven to be one of the best

ways to measure the quality of services provided to customers. This service

evaluation method has been proven consistent and reliable by some authors

(Brown et al., 1993). They held that, when perceived or experienced service

is less than the expected service; it implies less than satisfactory service

quality; and when perceived service is more than expected service, the

obvious inference is that service quality is more than satisfactory (Jain et al.,

2004, p. 27). From the way this theory is presented, it seems the idea of

SERVQUAL best fits the evaluation of service quality form the customer
perspective. This is because when it is stated perceived and expected

service, it is very clear that this goes to the person, who is going to or is

consuming the service; who definitely is the consumer/customer.

The original study by Parasuraman et al., (1988) presented ten

dimensions of service quality.

Tangibles: the appearance of physical artefacts and staff

members connected with the service (accommodation, equipment,

staff uniforms, and so on).

Reliability: the ability to deliver the promised service.

Responsiveness: the readiness of staff members to help in a

pleasant and effective way.

Competence: the capability of staff members in executing the

service.

Courtesy: the respect, thoughtfulness, and politeness exhibited

by staff members who are in contact with the customer.

Credibility: the trustworthiness and honesty of the service provider.

Security: the absence of doubt, economic risk, and physical danger.

Access: the accessibility of the service provider.

Communication: an understandable manner and use of language

by the service provider.

Understanding the customer: efforts by the service provider to

know and understand the customer.

In first SERVQUAL model that came had 22 pairs of Likert-type items,

where one part measured perceived level of service provided by a particular


organization and the other part measured expected level of service quality

by respondent. (Kuo-YF, 2003, p. 464-465). Further investigation led to the

finding that, among these 10 dimensions, some were correlated. After

refinement, these ten dimensions above were later reduced to five

dimensions as below:

Tangibility: physical facilities, equipment, and appearance

of personnel

Reliability: ability to perform the promised service

dependably and accurately

Responsiveness: willingness to help customers and

provide prompt service

Assurance: knowledge and courtesy of employees and

their ability to inspire trust and Confidence

Empathy: caring individualized attention the firm provides

to its customers

Relationship between Reliability and Customer Satisfaction

Reliability is defined by Zeithaml et al., (1990) as the ability to perform

the required service to customers dependably and accurately as promised to

deliver Dealing whatever the problems in services encountered by customers,

performing the required services right from the first time, services being

rendered at the promised time and maintaining error-free record are the

paradigm of reliability in terms of service quality which will strongly influence

the level of customer satisfaction (Parasuraman et al., 1988).


Relationship between Assurance and Customer Satisfaction

Assurance is defined as the knowledge and good manners or courtesy

of employees (Van Iwaarden et al., 2003). Further, it is also defined as the

ability of employees with the help of the knowledge possessed to inspire trust

and confidence will strongly strike the level of customer satisfaction

(Parasuraman et al., 1988). In banking services provided to the customer,

assurance means providing financial assistance in a polite and friendly manner,

ease in accessibility of account details, comfort or convenience inside the bank,

a well experienced and professional management team and will have favorable

outcomes on customer satisfaction (Sadek et al., 2010). The above arguments

will lead to the development of the following hypotheses: H2: Assurance will

have a significant impact on Customer Satisfaction.

Relationship between Tangibility and Customer Satisfaction

Iwaarden et al. (2003) defined tangibility as physical facilities, equipment

and appearance of employees and management team. Further, it is also

defined as the ease in visibility of resources necessary for providing the service

to customers, well groomed employees and ease in accessing written materials

like pamphlets, brochures, folders, information books etc will have a favorable

consequence on the level of customer satisfaction (Parasuraman et al., 1985).

Modern looking or sophisticated equipments and visually appealing or attractive

ambience are viewed as the positive impacts of tangibility on customer

satisfaction in banking sector (Ananth et al., 2011). The above arguments will
lead to the development of the following hypotheses: H3: Tangibility will have a

significant impact on Customer Satisfaction.

Relationship between Empathy and Customer Satisfaction

Empathy according to (Iwaarden et al., 2003) is the ability to take care

of customer's attention individually in providing service to customers. Further,

it is researched that understanding customer expectations better than

competitors in providing the required customer service at any time without any

inconvenience will strongly influence the level of customer satisfaction

(Parasuraman et al., 1988). Convenient working hours, individualized attention,

better understanding of customer's specific needs, enhanced communication

between management and customers will have a positive outcome on customer

satisfaction (Ananth et al., 2011).

Relationship between Responsiveness and Customer Satisfaction

Zeithaml et al. (1990) defined responsiveness as the interests shown in

providing prompt service to customers when required. Further, it is researched

that willingness or readiness of employees to provide the required customer

service without any inconvenience at any time will strongly influence the level

of customer satisfaction (Parasuraman et al., 1988). Customers get satisfied

when banks provide individual attention and the employees are paying attention

to problems experienced by customers regarding safety in transaction (Kumar

et al., 2009).

According to the study of Brandt (2014) the purpose of this objective is

to describe the influence of the four items of the tangible dimension on


customers perception regarding to their workplace catering service quality,

which according to Parasuraman, Zeithaml and Berry (1988) describe service

quality as the gap between customer expectations and perceptions of a

received service. The up-to-date equipment item shows and overall score gap

of -0.652, which stresses that on average, customers are highly unsatisfied with

the canteens equipment. Regarding to the second item, customers are also

unsatisfied with the physical facilities of their workplace canteen, with a gap

score of -0.3579. The employees appearance item score gap was the smallest

gap out of the four, with a value of -0.0948, very close to zero, but also

expressing some unsatisfied customers. At last, the cleanliness item was the

one that customers were more unsatisfied with, having a gap score value of -

0.8421, and this is because most of the customers responses were strongly

agree (88.4%) regarding to their expectations of a very clean canteen

environment. In general, it was discovered that, regarding to the tangible

dimension of the SERVQUAL model, Aviva employees perceptions do not

meet their expectations.

In addition, after all the finding and the analysis of the primary research

made in their chapter 4 regarding to the reliability dimensions items, the

researcher concludes that Avivas employees are not satisfied with the service

offered by the canteen catering provider in terms of the reliability dimension of

the SERVQUAL model. More specifically, the promises fulfilments item shows

a high and negative gap of -0.7684, denoting a lack of compromise by the

canteen provider. The problem solving item had also a high and negative gap

score with a value of 0.7473, which is related to irresponsibility issues from the
canteen company. The third item, the service dependability one had the highest

score gap, whose value was -0.8844 and denoting that the canteen service is

not constant throughout the time. The service delivered at the promised time

item had the smaller gap score with a figure of -0.4632, revealing that the

canteen makes an effort to stick provide what they promise. Records kept

accurately by the canteen is the fifth and last item of the dimension, and it

shows a score gap of -0.831, but this is because for customers it is not easy to

know how the canteen provider keeps their records, which lead to a total o 59

responses to the neither disagree nor agree alternative.

Moreover, the aim of this objective is to evaluate the four items of the

responsiveness dimension of the SERVQUAL model, and how it influences the

Aviva employees perception of the service quality provided by the canteen

within their workplace facilities. The first item, which is about canteen

employees willingness to provide information had the highest negative score

gap with a value of -0.9895, and this is because logically customers

expectations are really high, with 57 of the responses for the strongly agree

choice, against only 16 for the same choice but regarding to their own

experience in their buildings canteen. The following item, concerning of

employees promptness of giving service had also a negative gap score (-

0.2843) but way lower than the previous one, and it shows to be close to cero

which is the point where customers expectations are met (Parasuraman,

Zeithmal and Berry, 1988). Third item regarding to canteen staff willingness to

help customers had also a negative gap score (-0.2316) but the closest one to

cero of the four items, indicating the presence of a kind and polite employees
of the canteen. The last dimension item had negative gap score with a value of

-0.4737, expressing that canteen employees are not always available to

respond customers requests and causing them some dissatisfaction. Overall,

Aviva employees expectations are not met by their perceptions of the quality

service offered by the canteens employees in their workplace regarding to the

responsiveness dimension of the SERVQUAL model.

Furthermore, this fourth objective aims to examine those factors

contained in the assurance dimension of the SERVQUAL model that influence

on customers perception of the canteen service quality. In this regard, the first

item of the dimension, trustiness on canteens employees, had a negative value

of -0.1684 and very close to cero, showing one again an unsatisfied customer

but by a very little gap. Item 2, safeness regarding to transactions with

canteens employees also shows a negative and even smaller score gap, with

a figure of -0.1263 and once again quite close to cero, this is because Aviva

employees perceptions are almost met in terms of transactions safeness. The

third dimensions item possesses also a negative and the lowest value of -

0.1052, denoting that Aviva employees expectations regarding to canteen

employees politeness are still not met bur very close to do so. Lastly, the item

concerning of canteen employees service knowledge has the highest score

gap amongst them all with a value of -1.2526, which is not surprisingly at all

because 61 of the responses went to the choice of strongly agree in terms of

their expectation, while regarding to their experience most of these responses

went to the neither disagree nor agree one with a total of 51, and expressing

the existence of a kind and polite staff but an unknown level of knowledge. In
total, the expectations of the employees of Aviva are not met by their

perceptions of the quality service offered by the canteens employees in their

workplace regarding to the assurance dimension of the SERVQUAL model.

Lastly, the aim of this fifth is to analyse the five items contained in the

empathy dimension of the SERVQUAL model that influence on customers

perception of service quality offered by the canteen catering provider in their

workplace. In this respect, item number 1 (canteens willingness to offer

individual attention) has a negative gap score of -0.2105, and confirming a not

so interested canteen in terms of provided individual attention to their

customers. Item 2 of this dimension and concerning about canteen employees

personal attention to customers is the only one item out of 24 with a positive

gap score, with a value of 0.4 and slightly higher than cero, and this is because

Avivas employees perception regarding to this item are higher than their

expectation, with a total of 33 responses for each of the strongly agree and

agree options. Item 3, about canteen employees knowledge about the

customers needs presents also a low and negative gap score of -0.2211,

stressing customers dissatisfaction and some disinterest from canteens staff

in terms of what their customers really want. Item 4 regarding to the canteen

and its customers interest at heart also shows a negative and higher gap score

(-0.462) value than the previous ones, but this can also be considered as a

tricky item for customers to know in a proper way and it can be seen through

the 41 responses for the neither disagree nor agree option respecting to their

perceptions. Lastly, item 5 beside of having a negative value of -0.621 it is also

the highest one of the dimension, denoting a clear dissatisfaction regarding to


the canteen operating hours, which basically they are not the most appropriate

ones for the Avivas employees. In total, this dimensions items can be

considered as the one with best results compared to other dimensions ones,

because most of them are slightly close to cero and one of them is even higher

than cero, but generally, the expectations of the employees of Aviva are not

met by their perceptions of the quality service offered by the canteens

employees in their workplace regarding to the empathy dimension of the

SERVQUAL model.

Related Study

The attainment of quality in products and services had become a pivotal

concern of the 1980s. While quality in tangible goods has been described and

measured by marketers, quality in services was largely undefined and

unresearched. Hence, Parasuraman, Zeithaml, and Berry (1985) attempted to

rectify the situation by reporting the insights obtained in an extensive

exploratory investigation of quality in four service businesses and by developing

a model of service quality, that sought to improve the previously developed

methods by developing a set of firm characteristics that could be measured by

providing the first complete set of ten service quality determinants: tangibles,

reliability, responsiveness, communication, credibility, security, competence,

courtesy, understanding/knowing the customer, and access, and thereby

introduced the value of gap measurement in customer satisfaction and named

that new measurement device as SERVQUAL. These investigators were the


first to utilize gap measurement to determine the importance of service quality

in customer satisfaction.

According to Eshghi (2008), service quality is defined as the overall

assessment of a service by the customer. Ghylin et al., (2008, p.76) points out

that, by defining service quality, companies will be able to deliver services with

higher quality level presumably resulting in increased customer satisfaction.

Understanding service quality must involve acknowledging the characteristics

of service which are intangibility, heterogeneity and inseparability,

(Parasuraman et al., 1985, p.42); (Ladhari, 2008, p.172). In that way, service

quality would be easily measured.In this study, service quality can be defined

as the difference between customers expectation for service performance prior

to the service encounter and their perception of the service received.

Customers expectation serves as a foundation for evaluating service quality

because, quality is high when performance exceeds expectation and quality is

low when performance does not meet their expectation. (Asubonteng et al.,

(1996, p.64). Expectation is viewed in service quality literature as desires or

wants of customer i.e., what they feel a service provider should offer rather than

would offer (Parasuraman et al., 1988, p.17). Perceived service is the outcome

of the customers view of the service dimensions, which are both technical and

functional in nature (Gronroos, 1984, p.39).

On the other hand, customer satisfaction is conceptualized as been

transaction-specific meaning it is based on the customers experience on a

particular service encounter, (Cronin & Taylor, 1992) and also some think

customer satisfaction is cumulative based on the overall evaluation of service


experience (Jones & Suh, 2000). These highlight the fact that customer

satisfaction is based on experience with service provider and also the outcome

of service.

Therefore we will consider satisfaction as a part of overall customer

attitudes towards the service provider that makes up a number of measures

(Levesque et McDougall, 1996, p.14). Organizations that consistently satisfy

their customers enjoy higher retention levels and greater profitability due to

increased customers loyalty, Wicks & Roethlein, (2009, p.83). This is why it is

vital to keep customers satisfied and this can be done in different ways and one

way is by trying to know their expectations and perceptions of services offered

by service providers. In this way, service quality could be assessed and thereby

evaluating customer satisfaction.

According to Sureshchandar et al., (2002, p. 363), customer satisfaction

should be seen as a multi dimensional construct just as service quality meaning

I can occur at multi levels in an organization and that it should be operational.

Parasuraman et al., (1985) suggested that when perceived service quality is

high, then it will lead to increase in customer satisfaction. He supports that fact

that service quality leads to customer satisfacation and this is in line with

Saravana & Rao, (2007, p.436) and Lee et al., (2000, p.226) who acknowledge

that customer satisfaction s based upon the level of service quality provided by

the service provider.

Additionally, Fen & Lian, (2005, p/59-60) found that both service quality

and customer satisfaction have positive effect on customers repartronage

intentions showing that both service quality and customer satisfaction have a
crucial role to play in the success and survival of any business in the

competitive market. This study proved a close link between service quality and

customer satisfaction. Su et al., (2002, p.372) carried a study to find out the link

between service quality and customer satisfaction, from their study, they came

up wht the conclusion that, there exist a great dependency between both

constructs and that an increase in one is likely to lead to an increase in

anaother. Also, they pointed out that service quality is more abstract than

customer satisfaction reflects the customers feeling about many encounters

and experiences with service firm while service quality may be affected by

perceptions of value (benefit relative to cost) or by the experiences of others

that may not be good.

According to the study of Temba (2013 the findings from analysis reveal

that the SERVQUAL model is not a better instrument to measure service quality

for TTCL business working environment. The gap score analysis carried out,

found that, the overall service quality is low as perceived by TTCL customers

and hence unsatisfactory customer satisfaction. Customers have higher

expectations than what they actually experience from TTCL even though the

difference is not significant. To answer the main research question which is;

how customers perceive service quality, the gap scores analysis carried out

provided answers to these questions. The overall perceived service quality is

low as expectations exceed perceptions; implying that customers demand more

than what is 64 being offered to them. Due to such prevailing gap, it is clear

that customers are not satisfied. Further evaluation on the perceptions and

expectations of the customers, it has been observed that no dimension of


service quality that contributes to customer satisfaction. The findings on the

factors hindering satisfaction for TTCL, it has been found that most of

customers were not happy with TTCL customer care service, voucher

availability, phones type and prices, airtime charges and flexibility. Evidence

from the study shows that, TTCL have to improve performance on all

dimensions of service quality in order to increase customer satisfaction as

customers expect more than what is being offered by TTCL. By improving

customer service quality means strengthening company competitive edge

within the industry.

Indeed, according to Temba (2013), From the analysis carried out in

order to answer research questions and hence fulfill the purpose of the study

that include; finding out how customers perceive TTCL service quality, factors

hindering customer satisfaction, identifying what dimensions highly contribute

to customer satisfaction and what should be done to improve customer

satisfaction for TTCL.

The findings from analysis reveal that the SERVQUAL model is not a

better instrument to measure service quality for TTCL business working

environment. The gap score analysis carried out, found that, the overall service

quality is low as perceived by TTCL customers and hence unsatisfactory

customer satisfaction. Customers have higher expectations than what they

actually experience from TTCL even though the difference is not significant. To

answer the main research question which is; how customers perceive service

quality, the gap scores analysis carried out provided answers to these

questions. The overall perceived service quality is low as expectations exceed


perceptions; implying that customers demand more than what is being offered

to them. Due to such prevailing gap, it is clear that customers are not satisfied.

Further evaluation on the perceptions and expectations of the customers, it has

been observed that no dimension of service quality that contributes to customer

satisfaction. The findings on the factors hindering satisfaction for TTCL, it has

been found that most of customers were not happy with TTCL customer care

service, voucher availability, phones type and prices, airtime charges and

flexibility. Evidence from the study shows that, TTCL have to improve

performance on all dimensions of service quality in order to increase customer

satisfaction as customers expect more than what is being offered by TTCL.

By improving customer service quality means strengthening company

competitive edge within the industry.

Based on the result of the study conducted by Omuschnu (2016) , this

study drives into an unexplored aspect of the interactions between consultants

and clients. The disparities between what clients want and what the clients

receive, and their perceptions regarding satisfaction may result in some of the

quality gaps. The definition of quality in the consulting services industry should

take into account the gaps discussed in this paper. From the survey, we notice

that the opinions and sensitivities for quality gaps in consulting industry

between consultants and clients are different: consultants believe there are few

disparities between available data clients provide and required data consultant

want, solutions implemented and solution consultants develop, and actual

results and the results consultants presumed, while for clients, they believe only

the two gaps, the gap between available data clients providing and required
data consultants want and the gap between clients expected results and clients

presumed results, have few difference based on their experience. Furthermore,

we do also find the correlation between gaps.

In the study done by Santos (2015), SERVQUAL is a concise multiple-

item scale with good reliability and validity that retailers can use to better

understand the service expectations and perceptions of consumers and, as a

result, improve service. By his instigators, SERVQUAL has been designed as

a generic measure, that could be aplicable accros a broad spectrum of services.

As such, it provides a basic skeleton through its expectations/perceptions

format encompassing statements for each of the service quality dimensions.

The skeleton, when necessary, can be adapted or supplemented to fit the

characteristics or specific research needs of a particular organization. Just

because the developers have held that SERVQUAL can be applied to

determine the service quality offering of any service firm, the instrument has

been extensively adopted. But, the various replications undertaken have

highlighted a number of areas of both theoretical and psychometric concern

and these criticisms has focused on a number of aspects.

Synthesis

Based on the realted literatures accumulated, it was found out that

service quality is a determinant of customer satisfaction. The authors agreed

that customer satisfaction is based on the encountered service of a customer.

Definitions of consumer satisfaction relate to a specific transaction or the

difference between expected and perceived service. As mentioned in the study,


although it is stated that other factors such as price and product quality can

affect customer satisfaction, perceived service quality is a component of

customer satisfaction. This theory complies, with other authors as well. The

service evaluation method, the SERVQUAL scale, which is the best way to

measure the quality of service to customer, has been proven consistent and

relible by some authors. Overall, the literature study states that with the use of

SERVQUAL, researchers have identified the gap between perceived and

expected service quality. It was also found out that service quality is a gap

between customer expectations and perceptions of a received of service.

The external respondents have a higher expectation and perception

from what the customer encountered. Some studies revealed that the Servqual

model has a set discrepancies or gaps. These gaps can be the main barrier to

the users to perceive service quality.

In general, based on the literatures and studies accumulated, the studies

and literatures state that determining and examining the said factors that can

contribute to the customers satisfaction may be employed as a tool to formulate

an effective and efficient results in the improvement of the relationship of

service quality and customer satisfaction to fulfill the operation at the highest

potential to serve the customer, especially a large population of students and

the institution itself. This study and other past studies are similar in a way in

which a tool is used in assessing the service quality in an institution. Also, this

study is homologous to past studies in which both studies aims to assess the

expected and perceived service quality in a management.


Profile of The Institution

The Mabini Academy

The Mabini Academy of Lipa City, Batangas, Philippines was founded

as a non-stock, non-profit corporation on June 10, 1992 by Professor Randall

A. Rowley, Dean Francisco Benitez, Mrs. Paz M. Benitez, Dr. Jose M. Katigbak,

Mrs. Tarcila M. Katigbak, amd Miss Emilia Malabanan. It opened on June 12,

1992 with an enrolment of more than 100 students, two first year classes and

one second year class. In June 1923, a third year class was added, and in June

1924, the complete high school course was given. On March 25, it received

government recognition. It continued functioning as a secondary school, giving

the complete general course (day) until December 9, 1941, when all schools

are closed because of the Second World War. It remained close during

Japanese occupation. It reopened in June 1945 and has been functioning ever

since.

Before the war, the school occupied a large three-storey building with a

library and laboratories. That building was burned, the apparatus and library

were looted and burned during the war. By March 1947 the library had been
replenished and the laboratories equipped. In the same year the school

transferred to its present site.

The site has been enlarged by buying adjoining lots. Its present area is

25, 610 square meters one of the largest school sites among the private

schools in Batangas. On this sites, the Academy has seven buildings, a

basketball courta, and am open stage. In 1948 a Junior College with Liberal

Arts and Normal courses was added together with a complete elementary

department. The College Department, however, was short-lived, closing in

1961.

The administration building was the first to be demolished and replaced

by a modern concrete edifice. In 1946, the two wings of this building, housing

8 classrooms, were constructed. This was followed by remodelling of the

grandstand in 1965, the construction of the first wing of the two-storey Science

Building in 1996, the construction of a 3-room Vocational Building in 1967, and

the construction of a semi-concrete fence along the southern boundary of the

school. In 1971, the two-storey Science Building was completed. Presently the

school has undergone different improvements in its facilities like building its

audio-visual room, computer laboratories, multi-purpose hall, study halls, play

ground, pre-elementary rooms, food court and faculty lounge.

1982 had been very historical for the institution when the enrolment in

the high school reached 3100 which had been the highest number of enrolees

for high school during the time in Lipa. As of today, The Mabini Academy is still

holding one of the highest market shares in private secondary schools in Lipa.
Prior to the establishment of this school, Lipa students went to Batangas

or to Manila for their secondary education. This was expensive for the parents.

The schools establishment, therefore, was a great financial help to them and

for many years, it has been the only secondary school in Lipa City and the

neighbouring towns.

For more than nine decades of existence, The Mabini Academy is known

not only for its affordable tuition fees and quality educations, but also for

producing disciplined and competitive individuals, successful and outstanding

professionals in different fields.

The Mabini Academy will continue the legacy of leaving a mark and

making a big difference in this field and will continue to produce great minds in

the future leaders.


Chapter 3

Research Framework

The purpose of the chapter is to present and explain the theoretical

framework and conceptual framework which will employed by this study. The

following frameworks presented in figure 1 serves as a foundation to the study

that will discuss the relationship between the service quality and customer

satisfaction.

Theoretical Framework

Figure 1

SERVQUAL represents service quality as the discrepancy between a

customer's expectations for a service offering and the customer's perceptions


of the service received, requiring respondents to answer questions about both

their expectations and their perceptions Parasuraman et al., (1988). The use of

perceived as opposed to actual service received makes the SERVQUAL

measure an attitude measure that is related to, but not the same as, satisfaction

(Parasuraman et. al., 1988). The difference between expectations and

perceptions is called the gap which is the determinant of customers perception

of service quality as shown on Figure 1.0

These gaps were;

Gap 1: Customer expectation - management perception gap. Service firms may

not always understand what features a service must have in order to meet

customer needs and what levels of performance on those features are needed

to bring deliver high quality service. This results to affecting the way customers

evaluate service quality.

Gap 2: Management perception - service quality specification gap. This gap

arises when the company identifies want the customers want but the means to

deliver to expectation does not exist. Some factors that affect this gap could be

resource constraints, market conditions and management indifference. These

could affect service quality perception of the customer.

Gap 3: Service quality specifications service delivery gap. Companies could

have guidelines for performing service well and treating customers correctly but

these do not mean high service quality performance is assured. 17 Employees

play an important role in assuring good service quality perception and their
performance cannot be standardized. This affects the delivery of service which

has an impact on the way customers perceive service quality.

Gap 4: Service delivery external communications gap. External

communications can affect not only customer expectations of service but also

customer perceptions of the delivered service. Companies can neglect to

inform customers of special efforts to assure quality that are not visible to them

and this could influence service quality perceptions by customers.

Gap 5: Expected Service perceived service gap From their study, it showed

that the key to ensuring good service quality is meeting or exceeding what

customers expect from the service and that judgment of high and low service

quality depend on how customers perceive the actual performance in the

context of what they expected. Parasuraman et al., (1988), later developed the

SERVQUAL model which is a mult item scale developed to assess customer

perceptions of service quality in service and retail businesses. The scale

decomposes the notion of service quality into five constructs as follows:

Tangibles, Reliability, Responsiveness, Assurance and Empathy. It bases on

capturing the gap between customers expectations and experience which could

be negative or positive if the expectation is higher than experience or

expectation is less than or equal to experience respectively.


Operational framework

Figure 2

The operational framework is based to study of Parasuman, Berry and

Zeithan (1988) which is called Servqual, for measuring the quality of service

presented in figure 1.2.

The framework shows the how the variables were related. The dependent

variable of study was customer satisfaction which influenced by the

independent variables. The independent variables considered in the study were

the demographic profile of respondents in terms of their age, gender and civil

status. And, the variables that can affect the dependent were the five (5)

dimensions of determinant of service quality which are the tangibility, reliability,

assurance, responsiveness and empathy.


The second column mainly tackles about the statistical treatment where

the demographic profile which is the age, gender, civil status and years of

studying (external respondents) / years of service (internal respondents) of the

respondents. It is used by the researcher to attain its goal to know how to

improves the relationship of the service quality and customer satisfaction. The

process being used is through survey. Interviews and questionnaire.

The last column present the customer satisfaction which is the outcome

of the study. The hypothesis of the study regarding the relationship of service

quality and customer satisfaction of the school canteen. This partmay also

develop new sets of questions that may be contributed to another study in the

future.

Definition Of Terms

Servqual Model. In this study. Servqual model was used as instrument to

capture the external and internal respondents expectations and perceptions on

the service quality of the canteen in terms of five dimensions which is the

tangibility, responsiveness, assurance, reliability and empathy.

Tangibility. Tangibility is the physical facilities, equipment and appearance of

the personnel which will become one of the basis of the respondents

expectations and perceptions in the service quality of the school canteen.

Reliability. Reliability is the ability to perform the promised service dependably

and accurately which will become one of the basis of the respondents

expectations and perceptions in the service quality of the school canteen.


Responsiveness. Responsiveness is the willingness of the canteens personnel

to help and provide prompt service to the customers which will become one of

the basis of the respondents expectations and perceptions in the service

quality of the school canteen.

Assurance. Assurance is the knowledge and courtesy of the canteens

personnel and their ability to inspire, trust and confident which will become one

of the basis of the respondents expectations and perceptions in the service

quality of the school canteen.

Empathy. Empathy is the ability in caring individualized attention that the school

canteen provides to its customer which will become one of the basis of the

respondents expectations and perceptions in the service quality of the school

canteen.

Internal respondents. It refers to the canteens personnel, who provides the

service to the customer.

External respondents. It refers to the senior high schools of The Mabini

Academy. Service quality. Service quality is the assessment on how well the

delivered service of the school canteen to its customer.

Customer satisfaction. It is the measurement of how products or service

supplied by the canteen meet the customers expectation.

Gap. Gap is the difference between the expectation and perception of the

external and internal respondents in the service quality of the school canteen.
Pivotal. Pivotal is the crucial importance in relation to the development or

success of something else.


Chapter IV

Research Methodologies

This chapter analyzes the methods that were used by the researchers

in conducting the study to further examine the assessment of the service quality

and customer satisfaction on the canteen of The Mabini Academy. In this

chapter also shows the research design, subject of the study, instrumentation,

data gathering procedure and the statistical analysis to further analyze the

study.

Research Design

In this study, the researchers used descriptive research design (a

scientific method which involves observing and describing the behavior of a

subject without influencing it in any way) to assess the expected and perceived

service quality and satisfaction of the internal and external customer in the

canteen of The Mabini Academy.

Research Locale

This study was conducted at The Mabini Academy, Lipa City since the

chosen respondents were the Senior High School students and canteen

employees of the school. All the processes and procedures were conducted on

the said locale.


Subject Of The Study

The respondents of the study were the Senior High School students as

well as the canteen management employees of The Mabini Academy. There

are 35 canteens personnel and 767 Grade 11 and Grade 12 senior high school

in The Mabini Academy. Since the researchers werent capable of conducting

a survey to the whole population of the senior high school students, the

researchers used the Slovins Formula where 5% margin error was considered

in order to determine the number of respondents to be surveyed from the

population. It was later obtained that an overall number of 263 samples would

represent the whole population of the senior high school students.

Non probability sampling was used where in the samples were

gathered in a process that does not give all the subjects in the population equal

chances of being selected. Purposive type of non probability sampling was

used wherein elements selected for the sample were chosen by the judgment

of the researchers.

Research Instrument

To provide and gather as much informative and evaluation, the

researchers used self-constructed survey questionnaire to determine the

demographic profile of the respondents. This includes age, gender, year level,

marital status and years of service in the institution for the internal customer.

In addition, the researchers used the SERVQUAL MODEL to assess the

difference between expected and perceived service quality of the external and
internal customer of the canteen. This research instrument is divided into two

parts (expectation and perception) with 22 questions each with a total of 44

questions. Each instrument was divided into the five (5) dimensions measured

on 4-point Likert Scale with their corresponding verbal interpretation. Ranging

from 1- strongly disagree to 4 strongly agree. These dimensions are

tangibility, reliability, assurance, empathy and responsiveness.

Figure 3

Figure 4

Furthermore, the researchers also considered the use of important

weights on the service quality in the canteen of The Mabini Academy. The

researcher was asked to allocate a total of 100 points among the five

dimensions of the service quality according to how important each dimension

is to them.
Figure 5

Data Gathering Procedure

The researchers first gathered the SERVQUAL questionnaire which will

serve as the main data-gathering tool in the study, which also includes the

demographic profile to be answered. Upon the approval of the research adviser

on the researchers self - constructed questionnaire, the researchers next

sought the validation of questionnaire of professional teachers who were

related in the field of our study. Consequently, the researchers sought the

approval of the school principal for the survey to be administered in the school

grounds. Upon approval, the researchers retrieved the request letter. In

administering the questionnaire, the researchers used the time allotted by their

research instructor. The researchers were administered individually to

disseminate the questionnaires in each section in SHS level. The students and

employees responses were given enough time to carefully answer the

questions. After disseminating the questionnaires, the researchers collected

and tallied the data gathered which was used in the assessment of the expected
and perceived service quality and satisfaction between the external and internal

customers.

Statistical Treatment

To analyze and present accurate answers to the questions posed at the

beginning of this paper, the gathered data were subjected to the following

statistical treatment.

Frequency and Percentage. This was used in determining the

distribution of the respondents according to their profile. It includes the

respondents age, gender, year level number of years in the service and civil

status.

Weighted Mean. This statistical treatment was used to comprise the

assessment on service quality and customer satisfaction in the canteen of The

Mabini Academy.

Chi-square. It was used to determine whether there is a significant

relationship between the profile of the respondents and their expected and

perceived service quality and customer satisfaction in the canteen of The

Mabini Academy.

T- Test. It was used to establish if there is a dissimilarity between the

expected and perceived service quality of the internal and external customer of

the canteen.