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American Express's "Service Tracking Report" systematically measures both customer satisfaction and employee performance worldwide. Compiled on a monthly basis, the document uses statistics to measure the performance of business units throughout the world against more than 100 service quality factors related to their customers' three major service dimensions-responsiveness, timeliness and accuracy. American Express's "Service Tracking Report" is a(n) :


A) Service performance index
B) Quality improvement measure
C) Total quality management assessment
D) Customer service indicator
E) Internal-external service control benchmark

F) B) and C)
G) C) and D)

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What is the second step in the process for setting customer-defined standards?

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Translate customer e...

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The Bank of Charleston uses a Performance Measurement Program that links its most important customer-defined standards to tangible and measurable aspects of service provision and uses the feedback provided by this program to locate and improve service problems. What term should be used to describe the bank's Performance Measurement Program?

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A service ...

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The first step in the process for setting customer-defined standards is to translate customer expectations into behaviors and actions for each service encounter.

A) True
B) False

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What is the first step in developing customer-defined standards?

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Identify existing or...

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Which of the following statements about service standardization and employee empowerment is true?


A) For every service standardized, some degree of employee empowerment is always eliminated
B) Any service standardization makes employee empowerment impossible
C) Service standardization is not necessary when the organization empowers its employees
D) The use of service standardization is compatible with employee empowerment
E) There is no overlapping relationship between service standardization and employee empowerment

F) A) and B)
G) B) and C)

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Which of the following statements does NOT describe a criterion for selecting behaviors and actions for customer-defined service standards?


A) Customer-defined standards should be based on behaviors and actions that are very important to customers
B) Customer-defined standards should be established for behaviors and actions that need to be improved or maintained
C) Customer-defined standards should be accepted by employees
D) Customer-defined standards should be reactive rather than predictive
E) Customer-defined standards should be challenging, but realistic

F) B) and D)
G) A) and E)

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What is the final step in the process for setting customer-defined standards?

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Periodical...

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What does it mean when a company says its standards are predictive rather than reactive?

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Its standards are not set on t...

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Standardization of services occurs through:


A) Substitution of technology for personal contact and human effort
B) Organizational flattening
C) Employee encroachment
D) Division of labor and specialization
E) Autonomous management

F) D) and E)
G) A) and B)

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Which of the following is NOT a technology substitution for personal contact and human effort?


A) On-line services
B) Restaurant salad bar
C) Voice mail
D) Automatic teller machines
E) Automatic car wash

F) All of the above
G) A) and B)

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"Decreasing the number of complaints" is an effective customer-defined service standard.

A) True
B) False

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Customer-defined standards should be established based on customer complaints and other forms of reactive feedback.

A) True
B) False

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When customers complained employees at Safeway Stores were unfriendly, Safeway instituted its Superior Service program, which required all employees to greet and make eye contact with every customer, always smile and offer help whenever the customer appeared to need any. Mystery shoppers were used extensively to make sure the employees were adhering to the program. In terms of the process for developing service standards, the mystery shoppers were an example of:


A) Benchmarking
B) Trailer surveys
C) Relationship research
D) Feedback mechanisms
E) Experiential research

F) A) and B)
G) A) and C)

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Progressive Insurance looked at insurance from the customers' viewpoint and saw how difficult it was to get an auto claim processed and paid by insurance companies. Then the company crafted its service strategy around solving that problem. The company has fleets of claim adjustors on the road every day, ready to rush to the scene of an accident in their territory and provide fast claims processing-sometimes on the spot. Progressive Insurance relies on _____ defined service standards.


A) Company-defined
B) Competitor-focused
C) Customer-defined
D) Cost-focused
E) Service provider-defined

F) All of the above
G) B) and E)

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C

The two types of measures used to document customers' opinions about whether service performance met the standards established are benchmarking and critical incident surveys.

A) True
B) False

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Nike's introduction of women-only boutiques called Nike Goddess to satisfy the needs of a growing number of women athletes is an example of a(n) :


A) Compliant standard
B) Concrete substitution
C) Internal anchor
D) One-time fix
E) Quick solution

F) A) and E)
G) All of the above

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D

Canadian Airline did market research to determine the expectations of business travelers-its target market. It learned business travelers don't view air travel as a simple product but as a inconsistently performed sequential process that includes making reservations, checking-in, waiting, boarding, in-flight time and baggage pick-up. Canadian Airline diagnosed that a problem existed with its:


A) Service encounter sequence
B) Internal performance requirement
C) Diagnostic capabilities
D) Overall service quality perception
E) Service dimension gap

F) C) and D)
G) B) and E)

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New management of the Falcons football team surveyed former season ticket holder to determine why they were no longer attending the games. As a result, it set "Clean and well-stocked restrooms" as one of its _____ customer-defined standards.


A) Responsive
B) Hard
C) Informal
D) Measurable
E) Soft

F) A) and E)
G) D) and E)

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E

The first step in the process of developing customer-defined standards is to:


A) Develop feedback mechanisms for measurement of standards
B) Establish measures and target levels for standards
C) Identify existing or desired service encounter sequence
D) Decide whether hard or soft standards are appropriate
E) Translate customer expectations into behaviors and actions for each service

F) C) and D)
G) D) and E)

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