Programme: PGDM FMG-23/IMG-8 Name of the Course: Services Marketing (E)
Credit: 1
Term-5
Academic Year: 2015-2016
Faculty: Dr. Anupam Narula
Off. Contact No: 011- 41242411 Email:
[email protected]
Introduction:
The purpose of this course is to provide an understanding of concepts of service marketing and to equip with tools and techniques for application of these concepts to real life problems and issues in service environment. The aim is to sensitize the students to this sector which is proving to be one of the key sectors in Indian economy. Applications of service marketing concepts are illustrated using cases, examples, videos, research papers and exercises. Objective/s:
To acquaint students with the concepts of service marketing so that they may be able to develop implementable marketing strategies. To promote a customer service-oriented mindset. Provide an understanding of service quality, its measurement and management Provide an understanding of service design skills for efficient delivery. To study “breakthrough” services in order to understand the operations of successful service firms that can be benchmarks for future management practice.
Text Book: Book:
Services Marketing by “Valarie A Zeitham l, M ary Jo Bit ner ner , Dwayne Dwayne D Gremler Gremler and Aj ay th 6 Special Indian Edition, Tata McGraw Hill Private Limited.
Pandit”
Ref Ref er ence (Books, (Books, Jour nal s, M agazi agazi nes, nes, Ar ti cles etc.): 1.
2.
Services Marketing; People, Technology, Strategy; Christopher Lovelock, Jochen Wirtz, Jayanta Chatterjee; Pearson Education The Essence of Services Marketing; Adrian Palmer; McGraw Hill
Suggested Journals: Harvard Business Review, Journal of Service Marketing, Sloan Management
Review, California Management Review and Journal of Services Research. Pedagogy:
The pedagogy for this course will be a mix of classroom lectures, experience sharing, case discussion, videos, assignments and carrying out a comprehensive industry/ research based project work. Students are advised to come prepared for the class by reading the prescribed materials as well as by updating the cases and analyzing parallels of the cases by obtaining insights through library research, field study and personal observation. Evaluati on Component Component and weight weight age: age:
Class Participation & Assignments Case Analysis and presentation Mid-term Examination Mini Project Assignment End Term Examination
10% 10% 20% 20% 40%
1
Cour se Contents and Session Plan: Session No
Sessi on theme
Addi ti onal Readi ng/ Cases
1.
Understanding the Emerging service environment and what derives the demand for services in India; Introduction to services: Characteristics of services; Expanded Marketing Mix for services.
Christopher Lovelock, Jochen and Jayanta- Ch-1 Zeithaml, Bitner, Gremler and Pandit- Ch-1.
Discussion on Mini Projects for the Course Understanding Service customers: Consumers‟ judgment of goods versus services in terms of search, experience, and credence criteria.
Videos: Services Encounters of The First, Second and Third Kind by Ron Kaufman. Christopher Lovelock, Jochen and Jayanta-Ch-2
2.
3.
4.
The GAPS model of Service Quality: Customer gap as the most important gap, Four provider gaps contributing to the customer gap. Case study on Service Performance Gap
5.
Mini Projects :
6.
Understanding Customer expectations and Zone of tolerance.
Additional Reading: Fryar, C.R. (1991). What's Different about Services Marketing, The Journal of Services Marketing, Vol. 5(4), 53-58.
Additional Reading: X. Frei, Frances . (2008) The Four Things a Service Business Must Get Right, HBR, 70-80. Zeithaml, Bitner, Gremler and Pandit- Ch-2. Exercise and Case Study on KAYA and the Beauty care Market. Case Study on “Euro Disney”- Harvard Business School. Proposal Submission & Presentation.
Zeithaml, Bitner, Gremler and Pandit- Ch-3 Exercise and Case Study on „Singapore Airlines: Continuing Service Improvement‟-Columbia Business School. Additional Reading: Published Interview of CEO, Singapore Airlines (provided) & How Does Singapore Airlines Fly So High (provided).
7.
8.
9.
Consumer perception of Service: Relationship between customer satisfaction and service quality; Service quality and its five dimensions; Importance of service encounters or the “moments of truth”. Case Study on „Customers Expectations and Perception of Services‟. Service Development and Design: Newservice development process; Value of service blueprinting and development of service blueprints; Implementing high performance service innovations.
Zeithaml, Bitner, Gremler and Pandit- Ch-4. Video: Zane‟s Cycles: Service Strategic Differentiator.
Case Study on „Blue Mountain Resorts: The Service Quality Journey”-Richard IVEY School of Business.
Zeithaml, Bitner, Gremler and Pandit- Ch-8 Additional Reading: Bitner, M.J, Ostrom, A..L & Morgan, F.N (2008). Service Blue printing: A practical technique for Service Innovation, CMR, Vol. 50 (3), 66-94.
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10.
11.
12.
13.
14.
15.
16.
Service Quality, Standards and productivity: Distinguish between company-defined and customer-defined service standards, “Hard” and “soft” customer-defined standards; Developing customer-defined service standards. Mid-Term Exam
Zeithaml, Bitner, Gremler and Pandit- Ch-9
Physical Evidence and Servicescape : Impact of physical evidence, particularly the Servicescape on customer perceptions and experiences.
Zeithaml, Bitner, Gremler and Pandit- Ch-10
Employees‟ and Customers‟ roles in Service Delivery: Strategies for Delivering Service quality through People and Self-Service Technologies (SST‟S).
Zeithaml, Bitner, Gremler and Pandit- Ch-11 & 12
Managing Demand and Capacity: Strategies for matching supply and demand.
Case Study on „The Dabbawala System: On TimeDelivery, Every Time‟- Harvard Business School.
A Virtual Tour Of An IKEA Store http://info.ikea- usa.com/IKEAVirtualTour/?store=atlanta
Exercise and Case study on Aravind Eye Care System: providing total Eye care to the Rural Population – Richard Ivey School of Business. Zeithaml, Bitner, Gremler and Pandit- Ch-13 Case Study on „Family Pizza Night at the BALA BAY INN”-Richard IVEY Business School.
Pricing of Service sand Revenue Management: Perception of value to customers and the role that price plays in value Strategies to price services.
Zeithaml, Bitner, Gremler and Pandit- Ch-15
ISMC and promotion for Services: Specific strategies for managing promises and managing customer expectations.
Zeithaml, Bitner, Gremler and Pandit- Ch-14 Promotions at IKEA
Service Failure and Recovery strategies, Impact of service failure and recovery, Strategies for effective service recovery.
Case Study on „Revenue Management of Gondolas‟.
http://www.brw.com.au/p/leadership/how_ikea_shows_the _power_of_word_7tx4Lj9S1Uq1CJwZoqRDbM
Zeithaml, Bitner, Gremler and Pandit- Ch-7
17.
Integrated Service Strategy: Lessons from the Best Firms.
Case Study on “DOMINO‟S PIZZA”-Richard IVEY Business School Additional Reading: C.F, Robert, P.H, Cherrill & W.B Stephen (2001). Delivering Excellent Service: Lessons from the Best Firms. CMR, Vol. 44(1), 3956.
18, 19 & 20
MINI PROJECT :
Final Report Presentation
3
FA CIL I TATI NG CASE DI SCUSSI ON & EXERCISES By the end of the first session the students will have to form groups and select one case to lead the class in analysis. Facilitating a case discussion is presenting a complete analysis of the case and leading the class in the case analysis. This requires the team to draw out insights and ideas from the class and defend the case analysis with class members who are expected to have read the case and thought about the assigned questions. Often the case discussion consists of a brief overview of the firm, complete analysis of the situation, identification of the problems/issues arising in the case and analysis of the same by applying conceptual frameworks. A solution in the form of suggested option or an action plan needs to be recommended and defended. Criteria for measuring the effectiveness of leading a case discussion include: a) Ability to identify the important issues in the case. b) Ability to analyze the issues and use of concepts in the specific situation. c) Ability to generate insight. d) Ability to answer the queries of class members satisfactorily The case may be presented in the form of a Power point presentation (PPT). The maximum time allowed to the group for case presentation is 35 minutes followed by 10 minutes for questions. The time allocated has to be adhered to .
In some instances, the students are also required to submit the exercises on case/ assignment on ‘Claroline’ as per above session plan. READI NGS & CONCEPTUAL DI SCUSSI ONS: All class members are expected to have read the additional readings and cases as assigned. Furthermore, class members are encouraged to apply concepts from the additional readings and text chapters to their analysis of the case. Active participation is expected throughout the entire class with thoughtful contributions to advance the quality of the discussion. Please note that the frequency (i.e., the quantity) and decibel of your interventions in class is not a key criterion for effective class participation. The classroom should be considered a laboratory in which you can test your ability to convince your peers of the correctness of your approach to complex problems and of your ability to achieve the desired results through the use of that approach. An important element of this class is teamwork . Students are encouraged to form their own group (of 5-6 members) and discuss the case before reflecting on the case assignment. Students will be encouraged
to participate freely in conceptual discussions and to apply the same in service marketing context. Of particular importance will be given to practice oriented techniques and will be utilized for gaining knowledge in the class. SERVI CE IN DUSTRY M I NI PROJECT REPORT By the end of the second session you are required to select a company/ Unit from the service sector with a domestic focus and submit group member‟s names and Project title to the course instructor. Data for the project may be collected from primary or secondary sources. A strong conceptual and analytical focus is required. Group Project presentations will be held in sessions 18, 19 and 20 (given in Course outline). Each member of the group has to be present during presentation to qualify for evaluation. Each presentation will be of 15 minutes (PowerPoint) and will be open for questions and discussion for 4
5 minutes by the class following the presentation. The following questions need to be answered in the report: 1. A general overview of the industry, service concept, major trends and structure. 2. Identify and describe the major competitors in terms of their service positioning and marketing mix. 3. How is the market segmented and who are the target customers for the selected firm/unit? 4. Describe the service product using the service design framework. 5. What are the brand elements? 6. Describe major services offered by the firm, the firm‟s service line, pricing strategy, communication mix and distribution channels used? 7. What are the opportunities for revenue management? Make recommendations 8. Map the service process. Examine the process flow; what is the throughput time, cycle time, theoretical and actual capacity and capacity utilization? What are the marketing implications of the same? 9. Identify the bottleneck in the process. Suggest how to overcome the same. 10. Are demand and supply matched? Describe the demand management strategy used by the firm? Evaluate and make recommendations 11. Describe employee roles in the service delivery process and how these roles impact the service customer‟s experience. Identify and discuss employee and customer scripts. 12. What is the marketing strategy of the firm? Suggest what the future marketing strategy should be to meet the firm‟s objectives.
Gr oup pr oject presentati ons wil l be held towar ds the end of the cour se (sessi ons 18, 19 and 20). The r eport is to be submi tted in soft word f orm at by 17 sessi on of cour se plan .
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