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Quality Standard Models Introduction The role of service quality in the success of hospitality industry has gained prominence

in the concept of total quality management in the last two decades. Total quality management is an approach to management that focuses on quality as the key to success. Implementation of quality management strategies in hospitality industry offers an opportunity to improve the overall quality of the service in more competitive market condition. Quality management is the administration and monitoring of every aspect of the organisation in order to improve on standards set by the expectations of its customers. The insights and philosophies on measuring, managing and improving quality developed by management gurus such as W. Edwards Deming, Joseph M. Juran and Philip B. Crosby, have had profound impacts on countless managers and entire organisations around the world and became the cornerstone for quality management practice and the foundation for award frameworks such as the Deming Prize and Malcolm Baldrige National Quality Award. This paper aims to analyse amongst the three quality standard approaches: Malcolm Baldrige National Quality Award (MBNQA), ISO 9000:2000 and Total Quality Service (TQS); that is best suited in hospitality industry. Malcolm Baldrige National Quality Award Although awards only recognise a select few, the criteria provide frameworks for integrating total quality principles and practices that every organisation can benefit. Malcolm Baldrige National Quality Award has been one of the most powerful catalysts of total quality in the United States throughout the world, which award examination is based upon a rigorous set of criteria called the Criteria for Performance Excellence, designed to encourage companies to enhance their competitiveness through an aligned and hierarchical set of categories, items and areas to address. Seven categories make up the award criteria are: Leadership, Strategic Planning, Customer and Market Focus, Information and Analysis, Human Resources Focus, Process Management and Business Results. Organisations applying for the Baldrige Award must meet eligibility requirements in one of six categories: Manufacturing Service, Small Business, Non-profit, Education and Healthcare. Any organisations go through Baldrige Award evaluation process will quickly learn where its quality program falls short and where it needs improvement. The largest and most significant use of the Baldrige Award process involves self-assessment. Many of the Baldrige users are organisations that use its criteria as a mechanism to conduct analyses of overall efforts and the efforts of individual functions. Upon receiving the application, each eligible application is thoroughly reviewed by up to ten examiners chosen from among leading quality professionals

Fanny Dewi 2012 for FD hospitality

in business, academia, health care and government, all of who are volunteers. Members of the Board of Examiners, screened by the Baldrige program and trained in the evaluation process, review and evaluate the application. The review process follows up to four stages: 1. Independent review by at least six examiners. If your score is low, the examiners evaluations will be consolidated into a feedback report with strengths and opportunities for improvement and sent to you. 2. Consensus review. If you exceed the score set by the Panel of Judges, a team of examiners discusses each Item during a teleconference to agree upon strengths, opportunities for improvement, and a score. If your consensus score does not meet the next threshold set by the Panel of Judges, you will receive a feedback report based on the consensus review. 3. Site visit. Applicants that score well receive a site visit from a team of examiners. The team clarifies and verifies the contents of application and provides a site visit report to the Panel of Judges. 4. Judges review. The Panel of Judges convenes to discuss each organization that received a site visit and to identify which applicants, if any, they recommend to receive the Award. The Department of Commerce has final say on the actual recipients, which are subject to background checks to make sure they would be fitting role models for the Award. The examiner team that made the site visit produces a feedback report that is sent to the applicant. The Ritz-Carlton Hotel Company, L.L.C. was named the two-time winner of the Malcolm Baldrige National Quality Award by the United States Department of Commerce in 1999 and 1992, and is the only company in the hotel industry ever to receive the award, which recognizes exceptional achievement in the practice of total quality management principles. At The Ritz-Carlton, a focus on these criteria has resulted in higher employee and customer satisfaction, increased productivity and market share. Perhaps most significant is increased profitability. ISO 9000:2000 International Organisation for Standardisation (ISO) is a special agency aims to standardise quality requirements for countries to do business, was founded in 1947 and composed of representatives from the national standards bodies of 130 nations, adopted a series of written quality standards in 1987 that was revised in 1994, and again significantly in 2000, which recent version is called the ISO 9000:2000 family of standards. ISO 9000 defines standards as documented agreements containing technical specifications or other precise criteria to be used consistently as rules, guidelines, or definitions of characteristics, to ensure that

Fanny Dewi 2012 for FD hospitality

materials, products, processes and services are fit for their purpose. The ISO 9000:2000 standards consist of four primary standards: ISO 9000: Quality Management Systems Fundamentals and Vocabulary ISO 9001: Quality Management Systems Requirements ISO 9004: Quality Management Systems Guidance for Performance Improvement ISO 19011: Guidelines on Quality and Environmental Auditing

ISO 9000:2000 standards structure 21 elements into four major sections: Management Responsibility, Resource Management; Product Realisation and Measurement, Analysis and Improvement; described as the four phases of a fundamental concept, based on the Quality Management Principles, referred to as the Process Model. The original standards of ISO 9000 met with considerable controversy, as the standard only requires that organisations have a documented, verifiable, process in place to ensure that it consistently produces what it says it will produce. Due to the fact that many companies are more concerned with passing a test than focusing on quality processes, thus a company could comply with the standards and still produce a poor quality product. ISO 9000:2000 is a response to the widespread dissatisfaction that resulted from the old standards. With the new underlying philosophy, the ISO 9000:2000 revisions align much closer to the performance excellence concept of Baldrige criteria. However, it is still seen as not a comprehensive business performance framework as certification only examines compliance to a quality management system, and the fact that registrars issue indemnification clauses stating they are not held liable for product outcomes make the effectiveness questionable. Total Quality Service (TQS) Total quality management (TQM) was developed particularly to do with the difficulty of measuring results and outcomes and for used in organisations that provide both products and services, and to overcome known disadvantages of other methodologies. A group in the USA experience shows the value of TQM as a means of increasing productivity, but it also shows the need for flexibility in its implementation. This is particularly true of the application of TQM to services industry. When TQM is applied to service industries, the importance of the customer becomes even more critical than in manufacturing. Deming's view of the customer was that everyone in the process is a customer. However, people in the US applying TQM to service industries emphasized the fundamental and overriding importance of the customer and developed a hybrid of TQM, total quality service (TQS). One of the leading proponents of TQS is Karl Albrecht. Albrecht refined the TQM principles and developed the Total Quality Service (TQS) model, which is applicable to private service sectors. The TQS approach builds on previous experience of quality management but shifts the focus to the customer and the customer's perception of the value of both the products and the services provided by the organisations. The TQS approach defines service as work done by one person for the benefit of another. In this model, customer perceptions and continuous improvement are the basic

Fanny Dewi 2012 for FD hospitality

key factors. Techniques used in this approach are the service quality audit and culture audit. The other techniques used to measure the service process are service blueprinting and service mapping. Albrecht argued that the service industry business model continues providing service to solve customer needs. The Albrecht thesis is that all goods and services are pretty well substitutable and therefore the inherent quality of the product or the service cannot guarantee that the producer will be able to maintain and increase competitive advantage. The way to do this is customer focus, not only because of the product or service but also because of the way it is customised to meet his or her special needs. Quality is defined as the extent to which a thing or experience meets a need, solves a problem, or adds value for someone, whilst Total Quality Service is a state of affairs in which an organisation delivers superior value to its shareholders, its customers, its owners and its employees. This recognises the employer's need for cost effectiveness and the employee's need for reward, in addition to the needs of the customer. TQS assumes that all quality standards and measures used in the organisation are customer referenced. It recognises the importance of subjectively perceived quality as well as objectively perceived quality and provides both quantitative and qualitative measures. TQS takes the concept of customer value beyond the objective characteristics of tangible products to encompass the customer's reaction to the total experience of using the product and service. The customer value package provides for environmental, aesthetic, interpersonal, procedural, informal and financial aspects to be taken into account in considering the delivery of service. A hierarchy of customer value can be developed which enables customers' needs to be categorised into basic, expected and desired. The successful organisation is meeting basic and expected needs and is operating at the level of desired and unanticipated needs to reach customer satisfaction. The basic element of service quality in TQS is the concept of the 'moment of truth' at which a customer comes into contact with an organisation and gets an impression of its service. The TQS approach also encourages every member of staff to think like a customer. In short, the TQS model is a continuous process of research, implementation and feedback. Market and customer research is carried out, strategy is formulated, education and training of staff is carried out and process and service improvement takes place. The success of the change is measured and the results fed back into service improvements. New cycles of client consultation are carried out leading to further improvements in strategy, process and service. Conclusion The three quality performance measure models: MBNQA, ISO 9000:2000 and TQS, are aiming to achieve the goal of consistent level of service and/or product quality to gain customer satisfaction, which will help organisations achieve the objectives. Having compared and contrasted the three models, TQS is a step forward towards the right direction within the context of hospitality industry. It is not an easy task to benchmark service quality standards

Fanny Dewi 2012 for FD hospitality

internationally due to the nature of hospitality that is from, by and for the people. Moreover, service has unique characteristics of intangibility, perishability, inseparability and heterogeneity that would put more emphasis on the importance of getting it right the first time, and thus is crucial to maintain the consistent level of service quality. TQS puts the people in the centre of any operations, incorporating five action components to be aligned: Market & Customer Research; Strategy Formulation; Education, Training & Communication; Process Improvement; Assessment, Measurement & Feedback. A failure to address service quality issues imposes great constraints on quality service provision and hinders employee development and appraisal of quality provided to guests and thus adversely affects customer satisfaction and bottom line profits.

Fanny Dewi 2012 for FD hospitality