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Choose any local restaurant and analyze its demand and capacity scenarios

Make your own set of recommendations How to align the demand and supply

Altering Demand

The manager can attempt to affect demand by developing off-peak pricing schemes,
nonpeak promotions, complementary services, and reservation systems.

Pricing

One method to shift demand from peak periods to nonpeak ones is to employ a differential
pricing scheme, which might also increase primary demand for the nonpeak periods.

Developing complementary services

Another method to shift demand away from peak periods is to develop complementary
services, which either attracts consumers away from bottleneck operations at peak times or
provides them with an alternative service while they are in the queue for the capacity-
restricted operations.

Creating reservation systems

Service executives can effectively manage demand by employing a reservation system,


which in essence presells the productive capacity of the service delivery system.

Controlling Supply

The service manager has more direct influence on the supply aspects of capacity planning
than he or she does on the demand side. There are several things a service manager can do
to adjust capacity to fluctuating demand.

Using part-time employees

It is more efficient to handle demand whenever it occurs than it is to attempt to smooth out
the peaks during certain hours of the day

Maximizing efficiency

Discover ways to get the most out of their service delivery systems during peak demand
periods. In effect, such analyses enable the service company to increase its peak capacity
for little additional cost.

Increasing consumer participation


The more the consumer does, the lower the labor requirements of the producer.

Sharing capacity

The delivery of a service often requires the service business to invest in expensive equipment
and labor skills that are necessary to perform the service but that are not used at full capacity.

Conduct systematic marketing research

Make senior managers interact with customers

Make senior managers occasionally perform customer-contact roles

Encourage upward communication from customer-contact employees

Make a blueprint of the service and standardize as many components of it as possible

Institute a formal, ongoing process for setting service specifications

Eliminate perception of infeasibility on the part of senior managers

Make a true commitment to improving service quality

Invest in ongoing employee training

Support employees with appropriate technology and information systems

Give customer-contact employees sufficient flexibility

Reduce role conflict and role ambiguity among customer-contact employees

Recognize and reward employees who deliver superior service

Facilitate effective horizontal communication across functional areas (e.g., marketing and
operations)

Have consistent customer-related policies and procedures across branches or departments

Resist the temptation to promise more than the organization can deliver
Discuss how customer satisfaction is an important determinant of service quality

Service quality has been viewed as a determinant of customer satisfaction. Different


dimensions of service quality have been considered by various researchers.

Customer Satisfaction

The most important asset of any organization is its customers

Satisfied customers pay their bills promptly which greatly improves cash flow the
lifeblood of any organization

Service Quality

The customers judgment of overall excellence of the service provided in relation to the
quality that was expected.

Process and outcome quality are both important

Customer satisfaction and service quality

CUSTOMERS EXPERIENCE OF A PRODUCT OR A SERVICE IS MULTIFACETED SO HARD TO


DETERMINE

IT NEEDS TO BE MEASURED INDIVIDUALLY TO GET AN ACCURATE TOTAL PICTURE OF


CUSTOMER SATISFACTION

Customer satisfaction should not be viewed in a vacuum.

For example, a customer may be satisfied with a product or service and therefore rate the
product or service highly in a survey and yet same customer may buy another product.

Similarly customers view about a product or service is useless if customers views about
competitors products are not understood.
The value customers places on the product compared to another may be a better indication
of customer loyalty.

Customer Perceptions of Service Quality and Customer Satisfaction

Factors Influencing Customer Satisfaction

Service quality

Service attributes or features

Consumer Emotions

Attributions for service success or failure

Equity or fairness evaluations

The Five Dimensions of Service Quality


Reliability Ability to perform the promised service dependably and accurately.
Assurance Knowledge and courtesy of employees and their ability to convey trust
and confidence.
Tangibles Physical facilities, equipment, and appearance of personnel.
Empathy Caring, individualized attention the firm provides its customers.
Responsiveness Willingness to help customers and provide prompt service.

You are supposed to take case of any online banking system and Give your opinions about
how on online banking system helps banks to manage demand. Also you will write a brief
report on how the use of ATMs have complemented to the demand management in banking

Advantages

It's generally secure. But make sure that the website you're using has a valid security
certificate. This let's you know that the site is protected from cyber-thieves looking to steal
your personal and financial information.

You have twenty-four-hour access. When your neighborhood bank closes, you can still
access your account and make transactions online. It's a very convenient alternative for
those that can't get to the bank during normal hours because of their work schedule, health
or any other reason.
You can access your account from virtually anywhere. If you're on a business trip or
vacationing away from home, you can still keep a watchful on your money and financial
transactions - regardless of your location.

Conducting business online is generally faster than going to the bank. Long teller lines
can be time-consuming, especially on a Pay Day. But online, there are no lines to contend
with. You can access your account instantly and at your leisure.

Many features and services are typically available online. For example, with just a few
clicks you can apply for loans, check the progress of your investments, review interest rates
and gather other important information that may be spread out over several different
brochures in the local bank.

What is ATM ? Automated Teller Machine

ATMs are electronic machines, which are operated by a customer himself to deposit or to
withdraw cash from bank. For using an ATM, a customer has to obtain an ATM card from his
bank. The ATM card is a plastic card, which is magnetically coded. It can be easily read by the
machine.

Image Credits lord_h8r.


To operate an ATM card, the customer has to inset the card in the machine. He has to enter the
pass word (number). If the authentication or pass word (number) is correct, the ATM permits a
customer to make entries for withdrawal or for deposit. On completion of the transaction, the
customer's card is ejected from the ATM.

Advantages of Automated Teller Machines (ATMs)

1. ATM provides 24 hours service

ATMs provide service round the clock. The customer can withdraw cash upto a certain a limit
during any time of the day or night.

2. ATM gives convenience to bank's customers

ATMs provide convenience to the customers. Now-a-days, ATMs are located at convenient
places, such as at the air ports, railway stations, etc. and not necessarily at the Bank's premises. It
is to be noted that ATMs are installed off-site. (away from bank premises) as well as on site
(installed within bank's premises). ATMs provide mobility in banking services for withdrawal.

3. ATM reduces the workload of bank's staff.


ATMs reduce the work pressure on bank's staff and avoids queues in bank premises.

4. ATM provide service without any error

ATMs provide service without error. The customer can obtain exact amount. There is no human
error as far as ATMs are concerned.

5. ATM is very beneficial for travellers

ATMs are of great help to travellers. They need not carry large amount of cash with them. They
can withdraw cash from any city or state, across the country and even from outside the country
with the help of ATM.

6. ATM may give customers new currency notes

The customer also gets brand new currency notes from ATMs. In other words, customers do not
get soiled notes from ATMs.

7. ATM provides privacy in banking transactions

Most of all, ATMs provide privacy in banking transactions of the customer.

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