Business plan for automobile industry

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Improvement of Service Quality at Automobile Workshop in Bangladesh
Conference Paper · September 2017
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2. ICBM 2017 - 1st International Conference on Business & Management
Improvement of Service Quality at Automobile Workshop in Bangladesh
M. S. Hossain1, A. Zahid2, R. J. Hoque3
1Department of MIS, EMBA program, University of Dhaka, Bangladesh
2Assistant Professor, Department of Management Information Systems (MIS), American International University -
Bangladesh (AIUB), Dhaka, Bangladesh
3Department of Management, EMBA program, University of Dhaka, Bangladesh
(E-mail address:rjtaposi@gmail.com.)
wheeler, 3 wheeler, 4 wheeler and above 4 wheeler. Again,
Abstract - The automobile repairing industry in
Bangladesh is growing at a very rapid pace but the quality
still doesn’t reach to the topmost mark. Due to advancement
in vehicle technology the service requirement of vehicles has
also become technology dependent. Demand of highly skilled
workers is on the rise. Hence, there is growing demand for
organized service retailing. The objective of this paper is to
understand the market potentiality, existing condition of
automobile repairing business industry, recent problem in
automobile servicing business & a guideline of quality service.
We describe the problems encountered by the client and how
the simulation study illuminated a pathway to significant
improvements in customer service and financial profitability.
To understand the situation of automobile business in
Bangladesh , a representative survey of customers, owners of
different automobile workshop; technicians involved in this
business and spare parts sellers was conducted. A secondary
source was collected data from BRTA, automobile industry
journal, internet sources; data published from business
organization has been used for analyzing the situation.
Necessary suggestions have been made and service center has
started executing them for the improvement in current
service quality level andimprove theirbusiness performance.
Keywords - Service Quality, Automobile workshop,
Bangladesh automotive industry
I. INTRODUCTION
The development of physical infrastructure not only
accelerates the pace ofeconomic growth ofthe country but
also firmly supports the development of social and other
sectors. Transport occupies the lead position among
physical infrastructures. The development of transport
directly influences the development of both productive and
social sectors, the former represented by agriculture,
industry, commerce etc and the latter represented by
education,health etc.Taking this reality into consideration,
special attention has been given to the development of the
transport sector from the very beginning of the planned
development.
Automobile workshops are category of small industry
that contributes only 8.8% to the GDP. The repairing
workshop plays an important role in the economy of
Bangladesh through maintaining motor vehicles in an
efficient manner which helps in making transport services
more efficient. Automobile workshops and repair shops
can be divided into severalcategories. Based on the wheel,
the industry has been segregated into four groups: 2
Based on dealership it may be segregated into – authorized
or unauthorized automobile industry.
As road transport makes it possible to extend customer
services to their very door steps, its importance is
obviously increasing for the provision of efficient services.
The need for repairing services can hardly be over
emphasized, as there are larger demands for repairing
workshops.
II. LITERATURE REVIEW
Debabrata Bhattacharjee [2] presented at his paper
establishing collaboration as a strategy for auto-service
business at supermarkets. Secondary market study has been
made on the retail sector, especially in supermarket
segment and on auto sector in India to assess the potential
and growth. The drivers of possible collaboration of auto-
service sectorand supermarkets have been identified. From
literature it is established that collaboration gives
competitive advantage. A case study of collaborative auto-
service at a supermarket reveals customer confidence on
such set up. The idling of vehicles at supermarkets and
growing demand of auto-services could be a strategic
solution to tap this business potential. Rajnish Katarne [3]
shows on, satisfaction/dissatisfaction of the customer has
been measured using standard statistical tools, and an
attempt has been made to find out reason(s) of
dissatisfaction by applying root cause analysis. More
importantly, the proposal would likely increase price
competition in the aftermarket and benefit consumers in a
variety ways, including improved transparency in the
lifetime costs of different automobiles in the primary
market by Norman Hawker [7]
Adele Berndt (2009) explains these five dimensions with
respect to automobile service centre as follows:
• Reliability (Promised delivery): It is the ability to
perform the promised service dependably and accurately.
• Assurance (Confidence and trust): knowledge and
courtesy of employees and their ability to gain trust and
confidence.
• Tangibles (Physical cues): It contains physical facilities,
equipment and personnelappearance.
• Empathy (Importance): Providing individualized
attention to the customers.
• Responsiveness (Willingness to serve): Willingness to
help customers and provide prompt service.

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