The Invisible Utility
Service Quality in Essential Services

Peter Prevos
PhD Candidate, School of Business
Manager System...
From Asset Performance to
Customer Experience
Service Quality


Value
−



Quality
−



Meeting specifications

Satisfaction
−



Perceived benefits minus
perceived...
Consumer Benefits


Needs
−
−

Sociological

−


Physiological
Psychological

Wants
−

Raw water

−

Potable water

−

R...
Consumer Cost


Monetary



Psychological



Sociological



Time

Women in Ethiopia carry water from a lake back
to t...
Consumer Involvement


Water and sanitation are
considered low
involvement services
−

Increases as perceived
level of ce...
Stakeholder Interviews
●

Customers
–

Low involvement

–

High expectations

–

Hardship as a
moderator

Hardship was the...
Consumer Involvement
●

Involvement
–
–

●

●

●

Cognitive
Affective

High cognitive
involvement
Medium Affective
involve...
Water Quality Spectrum
ServAqua: Service Quality in Water
●

Technical Quality
–
–

Experience qualities

–
●

Core services
Sensory experience

...
Technical Quality
●
●
●
●
●

Availability
Safe to drink
Visually appealing
Pleasant taste
Sufficient pressure
Financial ha...
Functional Quality
●
●

●
●
●
●

Accurate bills
Reliable customer
service
Deliver on promises
Empathy
Willingness to help
...
The Invisible Utility
●

●

●

High level of service
expectations
Minimise contact
Focus on
experience, not
technology
Con...
“In the past water utilities were managed by
engineers. Now they are managed by
economists. In the future they should be
m...
Service Quality in Water Utilities
Service Quality in Water Utilities
Service Quality in Water Utilities
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Service Quality in Water Utilities

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Presentation about measuring service quality in water utilities. Showing preliminary data which indicates that perceptions of water quality are based on variables other than the physical quality of the water.

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Service Quality in Water Utilities

  1. 1. The Invisible Utility Service Quality in Essential Services Peter Prevos PhD Candidate, School of Business Manager Systems Monitoring, Coliban Water
  2. 2. From Asset Performance to Customer Experience
  3. 3. Service Quality  Value −  Quality −  Meeting specifications Satisfaction −  Perceived benefits minus perceived cost Comparison with expectations Moments of Truth Bad customer experience. Source: yworld.co.za
  4. 4. Consumer Benefits  Needs − − Sociological −  Physiological Psychological Wants − Raw water − Potable water − Recycled water Gardening is an activity that covers all types of needs – from physiological (movement, food) to providing a sense of self actualisation. Source: theaustralian.com.au
  5. 5. Consumer Cost  Monetary  Psychological  Sociological  Time Women in Ethiopia carry water from a lake back to their homes. The time spent hauling water can be significant in areas where sources of domestic water supply are limited. Source: waterencyclopedia.com
  6. 6. Consumer Involvement  Water and sanitation are considered low involvement services − Increases as perceived level of certainty of supply decreases − Limited empirical evidence During the drought, many customers spent large amounts of time and money to retain the ability to use water.
  7. 7. Stakeholder Interviews ● Customers – Low involvement – High expectations – Hardship as a moderator Hardship was the most discussed topic. Source: neptunetg.com 12 September 2013 The Invisible Water Utility 7
  8. 8. Consumer Involvement ● Involvement – – ● ● ● Cognitive Affective High cognitive involvement Medium Affective involvement “We care about water, even if you don’t” Water consumers were asked their views of tap water as a service (n=123).
  9. 9. Water Quality Spectrum
  10. 10. ServAqua: Service Quality in Water ● Technical Quality – – Experience qualities – ● Core services Sensory experience Functional Quality Assisting customers with supplementary services. – Supplementary services – Empathy – Responsiveness – Information provision, billing etc.
  11. 11. Technical Quality ● ● ● ● ● Availability Safe to drink Visually appealing Pleasant taste Sufficient pressure Financial hardship was found to be a predictor of technical quality (F(1, 107) = 8.948, p<0.005, r2 = -0.27).
  12. 12. Functional Quality ● ● ● ● ● ● Accurate bills Reliable customer service Deliver on promises Empathy Willingness to help 17 items Financial hardship was found to be a predictor of functional quality (F(1, 103) = 14.53, p<0.0005, r2 = -0.29).
  13. 13. The Invisible Utility ● ● ● High level of service expectations Minimise contact Focus on experience, not technology Consumers are mainly interested in sensory qualities of water services. Source: understandinggov.or 12 September 2013 The Invisible Water Utility 13
  14. 14. “In the past water utilities were managed by engineers. Now they are managed by economists. In the future they should be managed by marketers” invisiblewater.org @invisibleH2O linkedin.com/in/peterprevos

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