MIDTERM REPORT SERVICES QUALITY MANAGEMENT IN THE RESTAURANT – HOTEL SERVPERF and IPA model application in assessing the service quality of the Pizza Hut restaurant

MIDTERM REPORT SERVICES QUALITY MANAGEMENT IN THE RESTAURANT – HOTEL SERVPERF and IPA model application in assessing the service quality of the Pizza Hut restaurant VIET NAM GENERAL CONFEDERATION OF LABOR TON DUC THANG UNIVERSITY FACULTY OF BUSINESS ADMINISTRATION MIDTERM REPORT SERVICES QUALITY MANAGEMENT IN THE RESTAURANT – HOTEL SERVPERF and IPA model application in assessing the service quality of the Pizza Hut restaurant Supervisor name: MSC Nguyen Hai Nam Student: Võ Ngọc Thuỵ My - 717H0581 Khương Gia Bảo - 718H1593 Trần Ngọc Quý - 718H1746 Hoàng Khải Vy - 717H0952 Tơn Đồn Duy Lâm - 717H0120 Nguyễn Thị Thanh Trúc – 717H0658 MIDTERM REPORT SERVICES QUALITY MANAGEMENT IN THE RESTAURANT – HOTEL SERVPERF and IPA model application in assessing the service quality of the Pizza Hut restaurant Ho Chi Minh city, March 2021 GROUP EVALUATION MIDTERM REPORT SERVICES QUALITY MANAGEMENT IN THE RESTAURANT – HOTEL SERVPERF and IPA model application in assessing the service quality of the Pizza Hut restaurant ST T Student Assigned Tasks Percentages Signature (%) Võ Ngọc Thuỵ My 1.1, 1.2, 1.3 100% Tơn Đồn Duy Lâm 1.4, 1.5 100% Nguyễn Thị Thanh Trúc Chapter 2, PPT 100% Hoàng Khải Vy Chapter 100% Trần Ngọc Quý Chapter 100% Khương Gia Bảo Chapter 100% MIDTERM REPORT SERVICES QUALITY MANAGEMENT IN THE RESTAURANT – HOTEL SERVPERF and IPA model application in assessing the service quality of the Pizza Hut restaurant Table of Contents MIDTERM REPORT INTRODUCTION OVERVIEW OF PIZZA HUT AEON MALL TAN PHU 1.1 1.1.1 1.1.2 History begin: Key milestones in the development process: Pizza Hut VietNam: 12 1.3 Pizza Hut Aeon Mall Tân Phú 22 1.4 Field of operation of the Pizza Hut in Tan Phu Aeon Mall 25 1.5 The products offered by Pizza Hut Aeon Mall Tan Phu Price Service MARKET SEGMENTATION Analyze business performance Analysis of human resource of pizza hut Aeon mall Tan Phu 26 37 39 42 43 43 2.1 Organizational structure of business management 43 2.2 Organizational structure of Pizza Hut Aeon Mall Tan Phu 51 2.2.1 Human Resources structure by positions 2.2.2 Age group of Pizza Hut Aeon Mall Tan Phu 2.2.3 The ratio of men and woman 2.2.4 The educational level in the business restaurant 10 11 1.2 1.4.1 1.4.2 1.4.3 1.4.4 Instruction to Pizza Hut: Models of service quality management 58 59 59 61 62 3.1 SERQUAL model 62 3.2 SERVPERF model 64 3.3 Importance – Performance Analysis (IPA) model 67 3.4 Comparison between the three models 70 Model development plan 4.1 4.1.1 Information and sampling methods Information form 75 75 75 MIDTERM REPORT SERVICES QUALITY MANAGEMENT IN THE RESTAURANT – HOTEL SERVPERF and IPA model application in assessing the service quality of the Pizza Hut restaurant 4.1.2 Sampling method 76 4.2 Research process 76 4.3 Methods of collecting information 77 4.4 Methods of developing questionnaires 78 4.5 Analysis method of results 80 4.5.1 4.5.2 Qualitative method Quantitative method 80 80 LIST OF ACRONYMS Acronyms Explain SERVQUAL SERVPERF RL RE T E A Service quality Service performance Reliability Responsibility Tangible Empathy Assurance CONTENT OF PICTURE PICTURE 1.1 THE LOGO OF THE PIZZA HUT THROUGH THE STAGES [1] PICTURE 1.2 PIZZA HUT AEON MALL TAN PHU 18 PICTURE 1.3 AREA INSIDE THE RESTAURANT 19 PICTURE 1.4 PARKING AREA 19 PICTURE 1.5 SEAFOOD PESTO 21 PICTURE SUPREME MEAT LOVER'S 21 PICTURE 1.7 SEAFOOD BLACK PEPPER 21 PICTURE 1.8 SUPREME 22 PICTURE 1.9 PEPPERONI 22 PICTURE 1.10 OCEAN DELIGHT 22 PICTURE 1.11 FISHERMAN'S TUNA 23 PICTURE 1.12 HAWAIIAN PARADISE 23 PICTURE 1.13 CHEESE LOVER 23 PICTURE 1.14 SHRIMP SCAMPI 24 PICTURE 1.15 VEGGIE SUPREME (TOMATO SAUCE) 24 PICTURE 1.16 CHICKEN DELUXE 24 PICTURE 1.17 GARLIC BREAD 25 PICTURE 1.18 ITALIAN SAUSAGE 25 PICTURE 1.19 CALAMARI 25 PICTURE 1.20 CRINKLE – CUT FRENCH FRIES 26 PICTURE 1.21 BBQ CHICKEN WINGS 26 PICTURE 1.22 CHEESY POPS 26 PICTURE 1.23 TUNA BACON SALAD 27 PICTURE 1.24 CRISPY SALMON SKIN SALAD 27 PICTURE 1.25 RAINBOW SALAD 27 PICTURE 1.26 BEEF RATATOUILLE 28 PICTURE 1.27 BAKED CHEESY BACON WITH CORN 28 PICTURE 1.28 SPAGHETTI BOLOGNESE 28 PICTURE 1.29 MARINARA SEAFOOD SPAGHETTI 29 PICTURE 1.30 SEAFOOD BLACK PEPPER SPAGHETTI 29 PICTURE 1.31 CARBONARA SPAGHETTI 29 PICTURE 1.32 FIESTA SEAFOOD RICE 30 PICTURE 1.33 BBQ CHICKEN WINGS WITH GARLIC RICE 30 PICTURE 1.34 SPICY PRAWN FRIED RICE 30 CONTENT OF TABLE TABLE 2.1 MANAGER LEVEL 37 TABLE 2.2 POSITION IN THE FRONT OF HOUSE 38 TABLE 2.3 POSITION IN THE BACK OF HOUSE 39 TABLE 2.4 HR STRUCTURE BY POSITIONS 39 TABLE 2.5 AGE GROUP 40 TABLE 2.6 THE RATIO OF GENDER 40 TABLE 2.7 THE EDUCATIONAL LEVEL OF STAFF 41 TABLE 3.1 THE COMPARISON OF DIFFERENT MODEL 51 CONTENT OF FIGURE FIGURE 1.1 NUMBER OF PIZZA HUT RESTAURANTS WORLDWIDE FROM 2010 TO 2019 [2] FIGURE 2.1 HUMAN RESOURCES STRUCTURE OF PIZZA HUT VIETNAM 30 FIGURE 2.2 HUMAN RESOURCE STRUCTURE OF PIZZA HUT AEON MALL TAN PHU 35 FIGURE 3.1 SERVQUAL DIMENSIONS 43 FIGURE 3.2 FIVE DIMENSIONS OF SERVPERF 45 FIGURE 3.3 THE IMPORTANCE-PERFORMANCE ANALYSIS (IPA) MATRIX 48 INTRODUCTION In Vietnam, fast food market is really growing According to a survey on fast food industry of Nielsen Vietnam (2010), it shows that up to 86% of customers using fast food are between the ages of 20 and 35 Meanwhile, Vietnam has a relatively small population approximately 90 million people with about 65% under the age of 35 According to experts, the potential of the Vietnamese market is huge, the disposable income and income level in Vietnam is increasing rapidly Fast food chains will target the middle class of Vietnamese, with household incomes in the range of 500-1,000 USD per month According to statistics of the Domestic Market Department (Ministry of Industry and Trade), in the past years, this agency has licensed 148 foreign brands and trademarks to enter Vietnam In which, the restaurant sector accounted for the largest proportion with 43.7%, including 42 fast food brands, cakes, coffee, beverages, restaurants, grilled hot pot [1] According to a report by Euromonitor, in 2016 in the culinary market in Vietnam, fast food industry is currently falling to 3rd place, behind the growth rate of the restaurant industry and the street food model in the form of mobile kiosk However, in terms of total industry value, fast food is still ranked second only after the restaurant industry With the growth in income and increasing people's demand, fast food brands in other countries see Vietnam as a fertile land to help them make money in this market Famous chains for fried chicken such as KFC (USA), Lotteria (Korea) and Jollibee (Philippines), besides Pizza Hut, Company Pizza, and Pizza 4P, Pizza Domino However, it is a fertile land in fast food market, but these brands also have to suffer losses in order to adjust Vietnamese habits about fast food They have to adjust from taste, marketing, service quality to be suitable with Vietnamese culture As the Pizza market in Vietnam has many difficulties, investors always suffer "huge losses" in the pizza market in Vietnam, but this is still the fastest growing segment among existing restaurant chains now with the goal of "taking short and long raising" In order to learn more about the Pizza market in Vietnam and come up with solutions to the quality of service, our team decided to choose the Pizza Hut brand to be able to delve deeply about how they business Their strategies to reinforce and improve service quality are being adopted From there, our team will evaluate and propose measures to overcome the current mistakes that Pizza Hut is making, so that they can develop their service quality better his expectations for the service, but only the final service Their also indicated which determinants had the highest positive and negative impact on the quality of these services 3.3 Importance – Performance Analysis (IPA) model The Importance-Performance Analysis (IPA) model was proposed by Martilla and Jame in 1977 The IPA model is a model for measuring service quality based on the difference between opinions client on the importance of the indicators and the performance level of the service provider's (IP gaps) performance This model classifies the attributes of measuring service quality, providing service providers with useful information about the strengths and weaknesses of the services they provide to customers IPA helps businesses determine the importance of service indicators as well as the strengths and weaknesses of the products / services provided in the market Specifically, the IPA development process is accomplished by comparing the two criteria that form a customer selection decision, namely: - Relative importance of quality attributes - The level of performance attributes quality According to Barsky (1995), the lowest importance of attributes indicates the ability to have little effect on the general perception of quality service On the contrary, an attribute with a high level of importance will greatly influence their perception This model classifies the attributes that measure service quality, providing service providers with useful information about the strengths and weaknesses of the services they themselves provide to customers From there, service delivery administrators will make the right strategic decisions to improve service quality What is the IPA matrix? Each IPA matrix consists of quarters with the vertical axis showing the importance level and the horizontal (X) axis showing the performance level as shown in the following diagram: Figure 3.3 The Importance-Performance Analysis (IPA) matrix Quadrant I: Keep Up the Good Work The attribute placed in this quadrant has high importance and high performance It indicates that the customers value such attribute as relevant to the service they consumed Besides, the customers are also satisfied on how the attribute enhances the delivery of services Therefore, such attribute must be maintained and exploited to achieve its maximum benefits as potential competitive advantage At this point, it is important to sustain optimum level of resources to suffice its maximum benefits Quadrant II: Concentrate Here The attribute located in this quadrant has high importance, but low performance It is an indicative of the critical performance shortfalls whereby the importance attribute fails to satisfy the customers In order to ensure good quality of services delivered to the customers, such attribute should become a priority to be attained first This situation requires immediate actions and allocation of additional resources If it is not immediately attained, it may become a major weakness that potentially reduces the level of competitiveness Quadrant III: Low Priority The attribute situated in this quadrant has low importance and low performance It shows the attribute is underperforming, but it requires no further action since it does nothing to the betterment of the services in the eyes of customers who consumed it As such, there is no need for any changes in the efforts or resources allocated Any extra efforts and resources spent on the attribute will just go in vain as the attribute has minimum impact to the consumed services Quadrant IV: Possible Overkill The attribute which falls into this quadrant has low importance but high performance It demonstrates the attribute was successfully performed but unfortunately deemed irrelevant by the customers At this point, it is important to redefine the need to allocate more resources toward such attribute Perhaps it is more beneficial to curtail the resource allocation and redeploy the efforts to the other attribute that needs immediate action More specifically: the relationship between the importance (I) and the realization (P) attributes expressed of the through destination is the difference (P - I) If (P - I) ≥ indicates good service quality and vice versa, the service quality is not good when (P - I) = Good P - I