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Measurement of Service Quality of
Store & Purchase Department
NERIST
Sidananda Dutta
MBA/14/11
Under the Supervision of Under the guidance of
Dr. Saibal Chatterjee Mr. Shibabrata Choudhury
Professor. Electrical Dept. Asst. Professor (CMS) ,NERIST
NERIST
CONTENTS
• Introduction
• Review of Literature + Servqual
• S&P Department Of NERIST
• Research Methodology
• Objectives
• Hypotheses
• Results & Discussions
• Analysis
• Recommendations
• Conclusions
• References
INTRODUCTION
• Store and Purchase Department adopt procedures for the
purchase of various kinds of equipment and stores by
Departments/Inter-disciplinary Programmes /Centres/Central
Facilities/Units/Sections, both from Institute’s main account as
well as from the projects funds.
• It address to the needs of the actual users vis a vis promote an
environment of efficient and economic objectives for
furtherance of institute activities.
• Aspects of accounting, record keeping, inventory, stock
verification, asset register, etc. will be given proper attention
so as to make a overall Stores and Purchase system efficient
and transparent.
REVIEW OF LITERATURE
 Developed in 1985 (Parasuraman, Zeithaml, & Berry, 1985), SERVQUAL
is a measurement tool for service quality that aim to measure service
quality along several dimensions, namely tangibles, reliability,
responsiveness, assurance and empathy
 Wang and Shieh, (2006, p. 195) quality is the difference between customer
expectations and perceptions about the services and activities provided by
the company.
 SERVQUAL instrument(Parasuraman et al., 1988) includes 22 paired
questions for measuring expectations and actual perceptions about service
quality.
REVIEW OF LITERATURE
 (Mattsson, 2007) in his study has revised and enhanced existing inventory
control models in a way that allows them to be used more efficiently in
environments with short lead times.
 The purchase of technical and scientific equipment and supplies is
relatively complex, and at a time can not be straight – jacketed in a
specification. This may require certain flexibility in evaluation of different
quotations as each of them may have varying specifications, but can
perform the intended function (Gopalakrishnan and Sundaresan, 1994).
SERVQUAL
• SERVQUAL is a service quality framework , developed in the eighties by
Zeithaml, Parasuraman & Berry, aiming at , measuring the scale of Quality
in the service sectors.
• Service quality is an approach manage business process in order to ensure
full satisfaction of the customers and quality in service provided.
• If expectations are greater than performance, the perceived quality is less
than satisfactory and hence customer dissatisfaction occurs.
• SERVQUAL was originally measured on 10 aspects but in 1988 the 10
components were collapsed to 5 dimensions (RATER) Reliability,
Assurance, Tangibles, Empathy, Responsiveness.
SERVQUAL Measuring Parameters
NERIST Store & Purchase Department
Process
Make Payment
Receive Supplies
Place Order
Negotiation with Suppliers
Solicit Quotation
Receive Requisition
• Types Of Tendering
– OPEN TENDER
– NOTICE INVITATION TENDER
– SPOT PURCHASE
– PROPIEROTAROY ITEM DIRECT PURCHASE
FROM MANUFACTURER (SOLELY)
NERIST Store & Purchase Department
NERIST Store & Purchase Department
SAMPLE
NORTH EASTERN REGIONAL INSTITUTE OF
SCIENCE & TECHNOLOGY
(Deemed University)
Nirjuli:791109: Itanagar: Arunachal Pradesh
NOTICE INVITING TENDER
Application in respect of Tender in sealed envelops are invited on behalf
of the Director, NERIST from reputed manufacturers/firms for supply of
items for new cable connection from power house to mechanical dept.
at NERIST with enclosure as per IS 11171 within 08.03.2016 (4 pm). For
more information Institute’s website (www.nerist.ac.in) may please be
visited or the undersigned be contacted at 0360-2257401 *6412.
Electrical Engineer
NERIST Store & Purchase Department
OPEN TENDER SAMPLE
NORTH EASTERN REGIONAL INSTITUTE OF SCIENCE AND TECHNOLOGY
NIRJULI :: ARUNACHAL PRADESH
Telephone No. (0360) 2257401-11 (Extn. No.6374/6010),
FAX – (0360) 2258533/2257872
TENDER NOTIFICATION NO. PUR/80/OT/2015-16 Dated.04/01/2016
Sealed tenders are invited from reputed manufacturers/authorized dealers/ suppliers
for purchase of Laboratory/Office equipments/Other Items. The details of tender can
be downloaded from our website : www.nerist.ac.in. Tender fee of Rs.1500/- (non
refundable). The last date of receiving tender is 27/01/2016 up to 04.00PM and the date
of opening of tender is 28/01/2016 at 11.00AM. The Director, NERIST reserves the
right to accept or reject any tender partly or fully without assigning any reasons
whatsoever.
Assistant Registrar (S&P)
Research Methodology
• Research Design:
Formal Questionnaires were being adopted to find out the answers for
the research questions .
• Area Of Study:
– Within NERIST
• Sample Size:
– 20 Respondents (willingness to respond)
• Sampling Method:
– Simple Random
Research Methodology
• Secondary Sources
– Data taken from various sources , such as research papers, official
brochures and websites of NERIST.
• Primary Sources
– Collected directly by structured questionnaire and through face-to-face
interview with the respondents
OBJECTIVES
• To measure the service quality of Store and
Purchase Department of NERIST by using
SERVQUAL.
• To find significant difference between
Expectation and Percepted service quality of
the Users, by using Hypothesis Testing (Null
and Alternate Hypothesis).
HYPOTHESES TESTING
H₁: There is significant difference between expectation and perception of
employees in terms of ASSURANCE of Store and Purchase department.
H₂: There is significant difference between expectation and perception of
employees in terms of EMPATHY of Store and Purchase department.
H₃:There is significant difference between expectation and perception of
employees in terms of TANGIBLES of Store and Purchase department.
H₄: There is significant difference between expectation and perception of
employees in terms of RESPONSIVENESS of Store and Purchase
department.
H₅: There is significant difference between expectation and perception of
employees in terms of RELIABILITY of Store and Purchase department.
Results and Discussions
• Descriptive Statistics
SL
No.
Variables N Min. Max. Mean Std.
Deviation
1 Assurance 20 2.75 6.50 4.6625 0.99431
2 Empathy 20 2.40 6.40 4.4900 0.96567
3 Tangibles 20 3 6 4.3125 0.82268
4 Responsiveness 20 1.75 6.25 4.0125 1.12821
5 Reliability 20 1.60 5.20 3.5100 0.98296
6 Valid N
(List wise)
20
SUMMARY
Scale:1-7
1=Strongly Disagree
7=Strongly Agree
Assurance:
Behaviour Satisfactions
Contended Approach
Courteous
Knowledge to answer queries
Empathy:
Individual Attention
Convenient Working Hours
Personal attention
Respects Individual Interest
Understand Specific Needs
Tangibles:
Latest equipment's
Physical Facilities
Appear Neat
Materials are appealing
Responsiveness:
Orders execution time
Prompt Service
Willing to help
Never Busy To Respond
Reliability:
Promises on time
Interest in solving problems
Does not Postpone Issues
Conduct fair enquiries
Insist on error free records
DESCRIPITIVE STATISTICS
(ASSURANCE)
.
SL. No Variable Mean Standard
Deviation
Mean
Difference
(P-E)
1 Behaviour
Satisfactions
4.60 1.27 -2.40
2 Contended
Approach
4.55 1.09 -2.45
3 Courteous 5.15 1.26 -1.85
4 Knowledge to
answer Queries
4.35 1.46 -2.65
One Sample T- Test
(ASSURANCE)
.
SL No Variables T Significant Value
(P- Value)
1 Behaviour Satisfactions -8.43 0.000
2 Contended Approach -9.96 0.000
3 Courteous -6.52 0.000
4 Knowledge to answer
Queries
-8.11 0.000
One Sample T- Test
(Assurance)
.
SL No Variables T Significant Value
(P- Value)
1 Behaviour Satisfactions -8.43 0.000
2 Contended Approach -9.96 0.000
3 Courteous -6.52 0.000
4 Knowledge to answer
Queries
-8.11 0.000
Significant at P- Value
0.01. So here , we can
reject the null
hypothesis and accept
alternate hypothesis.
Mean Rank for Assurance
.
3.8
4
4.2
4.4
4.6
4.8
5
5.2
5.15
4.6 4.55
4.35
MEAN
Service Quality
Mean
Results and Discussions
• Descriptive Statistics
SL
No.
Variables N Min. Max. Mean Std.
Deviation
1 Assurance 20 2.75 6.50 4.6625 0.99431
2 Empathy 20 2.40 6.40 4.4900 0.96567
3 Tangibles 20 3 6 4.3125 0.82268
4 Responsiveness 20 1.75 6.25 4.0125 1.12821
5 Reliability 20 1.60 5.20 3.5100 0.98296
6 Valid N
(List wise)
20
Results and Discussions
0
2
4
6
4.6625 4.49
4.3125
4.0125
3.51
MEAN
Service Quality
SERVICE QUALITY DIMENSIONS
FINDINGS
• There lies a significant difference between
expectation and the percept service quality to
the users.
• Assurance with Mean score 4.6625 has the
highest positive responds, which reflects that
the behaviour of Store and Purchase
Department employees, instils satisfaction, are
courteous, and have the knowledge to answer
the questions to its requesters.
FINDINGS AND DISCUSSIONS
• Empathy with Mean score 4.49 reflects that S&P
Department gives individual attention, and
understand specific needs of the users if any.
• Tangibles with Mean score 4.31 lies moderate,
which reflects that the providing of latest
equipment's, and visually appealing materials to its
users , lack as per expectation
FINDINGS AND DISCUSSIONS
• Responsiveness with Mean score 4.01 has
comparatively a lower response rate, which
reflects that S&P Department are not able to
deliver their orders as per their commitment and
unable to provide prompt service
• Reliability with Mean score 3.51 has the lowest
response rate, which reflects that promises as
desired are not fulfilled, postpone issues, shows
less interest in solving problems, and does not
insist on error free records.
FINDINGS
• Says Clerical Problem, lack of promptness.
• Need to go often to the S&P Department to
make it process.
• Shortage of Manpower.
• Takes a long time in procurement of orders.
RECOMMENDATIONS
• Online ordering and Tracking of goods should
be done to make it transparent.
• S&P Dept. should select reputed suppliers who
can deliver quality as well as on time.
• Regular review meetings should conduct
between Departmental Heads and S&P Dept.
• A feedback mechanism system should be
there.
• Reduce the procedures for file movement.
RECOMMENDATIONS
• Quality of products procured should be best.
• Follow up for orders after the orders are
placed.
• Full Transparency should be maintained while
selecting bidders.
• Should maintain e-records for error free.
CONCLUSIONS
• From the above results it can be conclude that
the S&P Department of NERIST should be
very concerned about timely procuring of
orders, should show sincere interest to the
Departmental Request, should solves any
issues fast and should not postpone things and
should reduce the time of the file movements,
and most importantly update from its
traditional method to Online procurement.
REFERENCES
 www.nerist.ac.in
 NERIST manual.
 INTE 2014 “Quality of graduates’ preparation for labor
market - a ServQual analysis” Agata Pradela
 “A Comparison of Purchase and Inventory
Management System of two Educational Institutes”
Sharif, Dean of Faculty Affairs Office, IIT Kanpur
References
“Understanding the purchasing behavior of a large
academic institution and urban freight demand” Paulus T
Adtjandra*, Thomas H Zunder
• “The Effect of Customers’ Perceived Value of Retail Store on
Relationship between Store Attribute and Customer Brand
Loyalty” Some Insights from Malaysia Seyed Rajab
Nikhashemia*, Arun Kumar Tarofderb , Sanjaya Singh Gaura ,
Ahasanul Haque.
…
THANK YOU

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Store and Purchase Evaluations, NERIST

  • 1. Measurement of Service Quality of Store & Purchase Department NERIST Sidananda Dutta MBA/14/11 Under the Supervision of Under the guidance of Dr. Saibal Chatterjee Mr. Shibabrata Choudhury Professor. Electrical Dept. Asst. Professor (CMS) ,NERIST NERIST
  • 2. CONTENTS • Introduction • Review of Literature + Servqual • S&P Department Of NERIST • Research Methodology • Objectives • Hypotheses • Results & Discussions • Analysis • Recommendations • Conclusions • References
  • 3. INTRODUCTION • Store and Purchase Department adopt procedures for the purchase of various kinds of equipment and stores by Departments/Inter-disciplinary Programmes /Centres/Central Facilities/Units/Sections, both from Institute’s main account as well as from the projects funds. • It address to the needs of the actual users vis a vis promote an environment of efficient and economic objectives for furtherance of institute activities. • Aspects of accounting, record keeping, inventory, stock verification, asset register, etc. will be given proper attention so as to make a overall Stores and Purchase system efficient and transparent.
  • 4. REVIEW OF LITERATURE  Developed in 1985 (Parasuraman, Zeithaml, & Berry, 1985), SERVQUAL is a measurement tool for service quality that aim to measure service quality along several dimensions, namely tangibles, reliability, responsiveness, assurance and empathy  Wang and Shieh, (2006, p. 195) quality is the difference between customer expectations and perceptions about the services and activities provided by the company.  SERVQUAL instrument(Parasuraman et al., 1988) includes 22 paired questions for measuring expectations and actual perceptions about service quality.
  • 5. REVIEW OF LITERATURE  (Mattsson, 2007) in his study has revised and enhanced existing inventory control models in a way that allows them to be used more efficiently in environments with short lead times.  The purchase of technical and scientific equipment and supplies is relatively complex, and at a time can not be straight – jacketed in a specification. This may require certain flexibility in evaluation of different quotations as each of them may have varying specifications, but can perform the intended function (Gopalakrishnan and Sundaresan, 1994).
  • 6. SERVQUAL • SERVQUAL is a service quality framework , developed in the eighties by Zeithaml, Parasuraman & Berry, aiming at , measuring the scale of Quality in the service sectors. • Service quality is an approach manage business process in order to ensure full satisfaction of the customers and quality in service provided. • If expectations are greater than performance, the perceived quality is less than satisfactory and hence customer dissatisfaction occurs. • SERVQUAL was originally measured on 10 aspects but in 1988 the 10 components were collapsed to 5 dimensions (RATER) Reliability, Assurance, Tangibles, Empathy, Responsiveness.
  • 8. NERIST Store & Purchase Department Process Make Payment Receive Supplies Place Order Negotiation with Suppliers Solicit Quotation Receive Requisition
  • 9. • Types Of Tendering – OPEN TENDER – NOTICE INVITATION TENDER – SPOT PURCHASE – PROPIEROTAROY ITEM DIRECT PURCHASE FROM MANUFACTURER (SOLELY) NERIST Store & Purchase Department
  • 10. NERIST Store & Purchase Department SAMPLE NORTH EASTERN REGIONAL INSTITUTE OF SCIENCE & TECHNOLOGY (Deemed University) Nirjuli:791109: Itanagar: Arunachal Pradesh NOTICE INVITING TENDER Application in respect of Tender in sealed envelops are invited on behalf of the Director, NERIST from reputed manufacturers/firms for supply of items for new cable connection from power house to mechanical dept. at NERIST with enclosure as per IS 11171 within 08.03.2016 (4 pm). For more information Institute’s website (www.nerist.ac.in) may please be visited or the undersigned be contacted at 0360-2257401 *6412. Electrical Engineer
  • 11. NERIST Store & Purchase Department OPEN TENDER SAMPLE NORTH EASTERN REGIONAL INSTITUTE OF SCIENCE AND TECHNOLOGY NIRJULI :: ARUNACHAL PRADESH Telephone No. (0360) 2257401-11 (Extn. No.6374/6010), FAX – (0360) 2258533/2257872 TENDER NOTIFICATION NO. PUR/80/OT/2015-16 Dated.04/01/2016 Sealed tenders are invited from reputed manufacturers/authorized dealers/ suppliers for purchase of Laboratory/Office equipments/Other Items. The details of tender can be downloaded from our website : www.nerist.ac.in. Tender fee of Rs.1500/- (non refundable). The last date of receiving tender is 27/01/2016 up to 04.00PM and the date of opening of tender is 28/01/2016 at 11.00AM. The Director, NERIST reserves the right to accept or reject any tender partly or fully without assigning any reasons whatsoever. Assistant Registrar (S&P)
  • 12. Research Methodology • Research Design: Formal Questionnaires were being adopted to find out the answers for the research questions . • Area Of Study: – Within NERIST • Sample Size: – 20 Respondents (willingness to respond) • Sampling Method: – Simple Random
  • 13. Research Methodology • Secondary Sources – Data taken from various sources , such as research papers, official brochures and websites of NERIST. • Primary Sources – Collected directly by structured questionnaire and through face-to-face interview with the respondents
  • 14. OBJECTIVES • To measure the service quality of Store and Purchase Department of NERIST by using SERVQUAL. • To find significant difference between Expectation and Percepted service quality of the Users, by using Hypothesis Testing (Null and Alternate Hypothesis).
  • 15. HYPOTHESES TESTING H₁: There is significant difference between expectation and perception of employees in terms of ASSURANCE of Store and Purchase department. H₂: There is significant difference between expectation and perception of employees in terms of EMPATHY of Store and Purchase department. H₃:There is significant difference between expectation and perception of employees in terms of TANGIBLES of Store and Purchase department. H₄: There is significant difference between expectation and perception of employees in terms of RESPONSIVENESS of Store and Purchase department. H₅: There is significant difference between expectation and perception of employees in terms of RELIABILITY of Store and Purchase department.
  • 16. Results and Discussions • Descriptive Statistics SL No. Variables N Min. Max. Mean Std. Deviation 1 Assurance 20 2.75 6.50 4.6625 0.99431 2 Empathy 20 2.40 6.40 4.4900 0.96567 3 Tangibles 20 3 6 4.3125 0.82268 4 Responsiveness 20 1.75 6.25 4.0125 1.12821 5 Reliability 20 1.60 5.20 3.5100 0.98296 6 Valid N (List wise) 20
  • 17. SUMMARY Scale:1-7 1=Strongly Disagree 7=Strongly Agree Assurance: Behaviour Satisfactions Contended Approach Courteous Knowledge to answer queries Empathy: Individual Attention Convenient Working Hours Personal attention Respects Individual Interest Understand Specific Needs Tangibles: Latest equipment's Physical Facilities Appear Neat Materials are appealing Responsiveness: Orders execution time Prompt Service Willing to help Never Busy To Respond Reliability: Promises on time Interest in solving problems Does not Postpone Issues Conduct fair enquiries Insist on error free records
  • 18. DESCRIPITIVE STATISTICS (ASSURANCE) . SL. No Variable Mean Standard Deviation Mean Difference (P-E) 1 Behaviour Satisfactions 4.60 1.27 -2.40 2 Contended Approach 4.55 1.09 -2.45 3 Courteous 5.15 1.26 -1.85 4 Knowledge to answer Queries 4.35 1.46 -2.65
  • 19. One Sample T- Test (ASSURANCE) . SL No Variables T Significant Value (P- Value) 1 Behaviour Satisfactions -8.43 0.000 2 Contended Approach -9.96 0.000 3 Courteous -6.52 0.000 4 Knowledge to answer Queries -8.11 0.000
  • 20. One Sample T- Test (Assurance) . SL No Variables T Significant Value (P- Value) 1 Behaviour Satisfactions -8.43 0.000 2 Contended Approach -9.96 0.000 3 Courteous -6.52 0.000 4 Knowledge to answer Queries -8.11 0.000 Significant at P- Value 0.01. So here , we can reject the null hypothesis and accept alternate hypothesis.
  • 21. Mean Rank for Assurance . 3.8 4 4.2 4.4 4.6 4.8 5 5.2 5.15 4.6 4.55 4.35 MEAN Service Quality Mean
  • 22. Results and Discussions • Descriptive Statistics SL No. Variables N Min. Max. Mean Std. Deviation 1 Assurance 20 2.75 6.50 4.6625 0.99431 2 Empathy 20 2.40 6.40 4.4900 0.96567 3 Tangibles 20 3 6 4.3125 0.82268 4 Responsiveness 20 1.75 6.25 4.0125 1.12821 5 Reliability 20 1.60 5.20 3.5100 0.98296 6 Valid N (List wise) 20
  • 23. Results and Discussions 0 2 4 6 4.6625 4.49 4.3125 4.0125 3.51 MEAN Service Quality SERVICE QUALITY DIMENSIONS
  • 24. FINDINGS • There lies a significant difference between expectation and the percept service quality to the users. • Assurance with Mean score 4.6625 has the highest positive responds, which reflects that the behaviour of Store and Purchase Department employees, instils satisfaction, are courteous, and have the knowledge to answer the questions to its requesters.
  • 25. FINDINGS AND DISCUSSIONS • Empathy with Mean score 4.49 reflects that S&P Department gives individual attention, and understand specific needs of the users if any. • Tangibles with Mean score 4.31 lies moderate, which reflects that the providing of latest equipment's, and visually appealing materials to its users , lack as per expectation
  • 26. FINDINGS AND DISCUSSIONS • Responsiveness with Mean score 4.01 has comparatively a lower response rate, which reflects that S&P Department are not able to deliver their orders as per their commitment and unable to provide prompt service • Reliability with Mean score 3.51 has the lowest response rate, which reflects that promises as desired are not fulfilled, postpone issues, shows less interest in solving problems, and does not insist on error free records.
  • 27. FINDINGS • Says Clerical Problem, lack of promptness. • Need to go often to the S&P Department to make it process. • Shortage of Manpower. • Takes a long time in procurement of orders.
  • 28. RECOMMENDATIONS • Online ordering and Tracking of goods should be done to make it transparent. • S&P Dept. should select reputed suppliers who can deliver quality as well as on time. • Regular review meetings should conduct between Departmental Heads and S&P Dept. • A feedback mechanism system should be there. • Reduce the procedures for file movement.
  • 29. RECOMMENDATIONS • Quality of products procured should be best. • Follow up for orders after the orders are placed. • Full Transparency should be maintained while selecting bidders. • Should maintain e-records for error free.
  • 30. CONCLUSIONS • From the above results it can be conclude that the S&P Department of NERIST should be very concerned about timely procuring of orders, should show sincere interest to the Departmental Request, should solves any issues fast and should not postpone things and should reduce the time of the file movements, and most importantly update from its traditional method to Online procurement.
  • 31. REFERENCES  www.nerist.ac.in  NERIST manual.  INTE 2014 “Quality of graduates’ preparation for labor market - a ServQual analysis” Agata Pradela  “A Comparison of Purchase and Inventory Management System of two Educational Institutes” Sharif, Dean of Faculty Affairs Office, IIT Kanpur
  • 32. References “Understanding the purchasing behavior of a large academic institution and urban freight demand” Paulus T Adtjandra*, Thomas H Zunder • “The Effect of Customers’ Perceived Value of Retail Store on Relationship between Store Attribute and Customer Brand Loyalty” Some Insights from Malaysia Seyed Rajab Nikhashemia*, Arun Kumar Tarofderb , Sanjaya Singh Gaura , Ahasanul Haque.