POM Term Paper

7/31/2019 POM Term Paper

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1.0 INTRODUCTION

This introduction presents the meaning of operations management and customer satisfaction,

the mission and vision of Mbeya Institute of Science and Technology (MIST), the Bachelor ofBusiness Administration as the service undertaken, its features, and the importance of

understanding customers needs.

1.1 The Concept of Operations Management

Operations management is defined as the design, operation, and improvement of the systems

that create and deliver the firms primary products and services. It is also defined asmanagement of the conversion process which transforms inputs such as raw materials and

labour into outputs in the form of finished goods and services. It focuses on adding value

through the transformation process (technical core) of converting inputs to outputs and thisconversion can be physical(manufacturing), locational (transportation), exchange(retailing),

storage(warehousing), physiological(health care) and informational (telecommunication).

Therefore, operations management is very important to the society as it leads to higher

standard of living through increase productivity and low cost of goods and services; better

quality goods and services through competition which in turn increases quality; concern of the

environmental quality through recycling and concern of air and water quality; and improvedworking conditions through better job design and employee participation hence customer

satisfaction.

1.2The Business Institution Considered in This Study

The business institution taken into consideration in this study is Mbeya Institute of Science

and Technology (MIST). MIST is a product of Mbeya Technical College (MTC) that was inoperation since in 1986 to 2005. On 1st April 2005, the parliament of the United Republic of

Tanzania through the National Council for Technical Education Establishment Order of 2004.Also, through section 9 of the National Technical Education Act of 1997, declared a

transformation of MTC into MIST.

MIST is situated in the Southern Highland zone of Tanzania in Mbeya occupying an area of1000 hectares. It is 10 kms away from the city centre, and it is 3 km from Mbeya- Tunduma

Highway. It offers various programmes such as computer engineering, electrical and

electronics engineering, civil engineering, mechanical engineering, architecture technology,business administration and laboratory science and technology. These programmes are offered

at Bachelor and Ordinary Diploma levels except Laboratory science and technology offered

only at Ordinal Diploma Level.

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1.3 MIST Vision

The vision of MIST is to become the centre of excellence for applied education in Science andTechnology, Research and Consultancy. Through programmes offered, MIST has a long term

vision of endeavoring to excel in science and technology through teaching, training, research

and consultancy. BBA-evening is therefore one of the means to achieve this vision byproviding the best practical business education to the community.

1.4 MIST Mission

The mission of MIST is to develop academically, technologically and socially competentstudents who will be responsive to the broader needs and challenges of the society specified

by:

i. Facilitating appropriate tuition, practical training and support according to the needs ofstudents and other customers

ii. Encouraging staff commitment to quality education and services including research and

consultancyiii. Fostering lifelong learning

iv. Promoting an environment conducive to human development

v. Promoting effective entrepreneurship and usage of appropriate technology that meet

national and international needs and standards through skills and practical orientedTraining, Research and Consultancy.

1.5 The Product/ServiceDescribed in This Study

The product/service described here is Bachelor of Business Administration, eveningprogramme. Bachelor of Business Administration is a three years programme which was

officially began in October 2008 as one of the bachelor programmes offered by Mbeya Instituteof Science and Technology (MIST) in the Department of Science and Business Management.

Through Bachelor of Business Administration (BBA)-evening programme, MIST has a

long term vision of endeavoring to integrate business with science and technology through

teaching, training, research and consultancy. BBA-evening is therefore one of the means to

achieve this vision by providing the best practical business education to the community. Theprogramme is therefore tailored to preparing business professionals/practitioners who cansimultaneously play the roles including accounting, marketing, human resource management

and entrepreneurship among many. Therefore, the customers of this product are the concernedstudents and the community at large in one way or another.

Bachelor of Business Administration, evening programme has distinct main qualityfeatures different from the same programmes offered by other higher learning institutions. As

foresaid above, it is a three years programme which is tailored to preparing business

professionals/practitioners who can simultaneously play the roles including accounting,

marketing, human resource management and entrepreneurship.

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It is the programme which is termed as general business in the sense that, it has no

specialization but students are taught every special area of business including accounting,

marketing, human resource and management, finance, economics and entrepreneurship. Theprogramme is tailored to preparing business professionals/practitioners who can

simultaneously play the roles including accounting, marketing, human resource management

and entrepreneurship.

The programme was initially planned to be produce output (graduates) with every knowledgeand skills in any area of business administration. Also, it is intended particularly for the ongoing workers in government and non-government sectors especially in Mbeya city and the

areas around. The lectures normally commence from 16:30 to 20:00 hours at MIST campus.

MIST is the institute absorbed and swallowed with science and technology programmes but thebusiness administrations programme have been incorporated in the way of looking to impart

the knowledge and skills of business ideas to the engineering and technical students and the

community at large. Bachelor of Business Administration, evening programme is alsoplaying that role hence implementing the MIST vision identified earlier of integrating business

with science and technology through teaching, training, research and consultancy.

1.6 The Concept of Customer Satisfaction

In order to be able to offer sustainable appropriate services and due to the wide variety of its

customer/client base, it is important that from time to time a customer satisfaction survey iscarried out. Customer satisfaction is an abstract concept and the actual manifestation of the

state of the satisfaction varies from person to person and product/service to product/service

depending on the number of psychological and physical variables. (Ulaya, 2010; 3).

Many researchers have looked into the importance of customer satisfaction. Kotler (2000)

defined satisfaction as: a persons feelings of pleasure or disappointment resulting from

comparing a products perceived performance (or outcome) in relation to his or herexpectations. Hoyer and MacInnis (2001) said that satisfaction can be associated with

feelings of acceptance, happiness, relief, excitement, and delight.

To be successful, organizations must look into the needs and wants of their customers. That is

the reason why many researchers and academicians have continuously emphasized on the

importance of customer satisfaction. Customer satisfaction is important because manyresearches have shown that customer satisfaction has a positive effect on an organizations

profitability

According to Courtney Ramirez, the importance of customer satisfaction is apparent when

you realize that, without customers, you don't have a business. A single unsatisfied customer

can send more business away from your company than 10 satisfied customers. The more youfocus on customer retention and customer support, the more long-term business you'll get. It is

worth it to focus on customer satisfaction strategies, no matter how large or small your

company is.

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Customer Satisfaction is so important, why? Effective marketing focuses on two activities:

retaining existing customers and adding new customers. Customer satisfaction

measures are critical to any product or service company because customer satisfactionis a strong predictor of customer retention; customer loyalty and product repurchase

(Scott M. Smith Ph.D., 2007).

A good method to establish whether our customers are satisfied with the product/service has

been to ask them. Customer feedback mechanisms such as surveys, focus groups, and evenfeedback forms have become increasingly common over the last decade. Since the customers

preferences and needs change over time, it is very important to carry out the study survey to

any programme conducted by any organization, so to the BBA-evening programme conductedby MIST. Therefore, this term paper presents the task of Mbeya Institute of Science and

Technology, Bachelor of Business Administration- evening Programme Services and Customer

Satisfaction Study.

1.7 The Term of Referencesof the BBA-Evening Programme Study

The term of references for the study may be summarized as follows:

i. identify the key features of the BBA-evening programme,ii. analyze the customers satisfaction on the BBA-evening programme

iii. determine improvements required on the programme for its future well-offiv. identify the new changes suggested to be made on the programme

2.0 METHODOLOGY

Managing customers satisfaction efficiently is one of the biggest challenges an organizationfaces. The tools or methods to measure customer satisfaction needs to be defined

sophisticatedly to fulfill the desired norms. Wikipedia, the free encyclopedia depicts various

methods to measure customer satisfaction including American Customer Satisfaction Index(ACSI), The Kano model, SERVQUAL or RATER, A.T. Kearney's Customer SatisfactionAudit process, Business to Business (B2B) surveys through the Info Quest, and top-box

approach, Customer Satisfaction Survey and automotive industry rankings.

2.1 Kano Model

Kano model is chosen in this study to measuring Mbeya Institute of Science and Technology,Bachelor of Business Administration- evening Programme Services and Customer Satisfaction.

According to Wikipedia, the free encyclopedia, the Kano model is a theory of product

development and customer satisfaction developed in the 80s by ProfessorNoriaki Kano whichclassifies customer preferences into five categories: Attractive, One-Dimensional, Must-Be,

Indifferent and Reverse. These categories have been translated into English using various

different names (delighters/exciters, satisfiers, dissatisfiers, etc.), but all refer to the original

articles written by Kano.

Attractive Quality, these attributes provide satisfaction when achieved fully, but do not causedissatisfaction when not fulfilled. These are attributes that are not normally expected, for

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http://en.wikipedia.org/wiki/American_Customer_Satisfaction_Indexhttp://en.wikipedia.org/wiki/Kano_modelhttp://en.wikipedia.org/wiki/SERVQUALhttp://en.wikipedia.org/wiki/A.T._Kearneyhttp://www.nbrii.com/Customer_Surveys/Satisfaction.htmlhttp://en.wikipedia.org/wiki/Customer_satisfactionhttp://en.wikipedia.org/wiki/Noriaki_Kanohttp://en.wikipedia.org/wiki/American_Customer_Satisfaction_Indexhttp://en.wikipedia.org/wiki/Kano_modelhttp://en.wikipedia.org/wiki/SERVQUALhttp://en.wikipedia.org/wiki/A.T._Kearneyhttp://www.nbrii.com/Customer_Surveys/Satisfaction.htmlhttp://en.wikipedia.org/wiki/Customer_satisfactionhttp://en.wikipedia.org/wiki/Noriaki_Kano


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example, a thermometer on a package of milk showing the temperature of the milk. Since these

types of attributes of quality unexpectedly delight customers, they are often unspoken.

One-dimensional Quality, these attributes result in satisfaction when fulfilled anddissatisfaction when not fulfilled. These are attributes that are spoken of and ones which

companies compete for. An example of this would be a milk package that is said to have ten

percent more milk for the same price will result in customer satisfaction, but if it only contains

six percent then the customer will feel misled and it will lead to dissatisfaction.

Must-be Quality,these attributes are taken for granted when fulfilled but result in

dissatisfaction when not fulfilled. An example of this would be package of milk that leaks.

Customers are dissatisfied when the package leaks, but when it does not leak the result is not

increased customer satisfaction. Since customers expect these attributes andview them asbasic, then it is unlikely that they are going to tell the company about them when asked about

quality attributes.

Indifferent Quality, these attributes refer to aspects that are neither good nor bad, and they donot result in either customer satisfaction or customer dissatisfaction.

Reverse Quality, these attributes refer to a high degree of achievement resulting in

dissatisfaction and to the fact that not all customers are alike. For example, some customers

prefer high-tech products, while others prefer the basic model of a product and will bedissatisfied if a product has too many extra features.

The Kano model offers some insight into the product attributes which are perceived to be

important to customers. The purpose of the tool is to support product specification and

discussion through better development team understanding. Kano's model focuses ondifferentiating product features, as opposed to focusing initially on customer needs. Kano also

produced a methodology for mapping consumer responses to questionnaires onto his model.

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2.2 Kano Model in Measuring MIST BBA- Evening Programme Services and Customer

Satisfaction

In using Kano model in measuring Mbeya Institute of Science and Technology, Bachelor of

Business Administration- evening Programme Services and Customer Satisfaction, thirty (30)

students pursuing BBA-evening programme were chosen randomly from first and secondyears whereas nine (09) students from first year and twenty (21) students from second year

were chosen randomly.

The availability, awareness and readiness of the students became the main reasons for their

choice. The study was conducted through distinct steps: the first one was to identify thirsty

(30) typical consumers (students) of the BBA-evening programme to respond the preparedquestionnaires. The second step explored the understanding of the respondents to the main

features of the programme services and new features they would like to be taken into account.

This step was done by constructing the four basic Kano questionnaires purposely to identify

the students preferences on the features of the BBA-evening programme offered by MIST.

In the third step, the summary of the results for each of the four questions above was made in

the order of their most frequent answers. In the fourth step, a pair of questions were formulatedfrom which the students answered in one of the different ways for each identified

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http://en.wikipedia.org/wiki/File:Kano_Model.gif


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product/service feature. The first question concerned functional form of the question i.e. the

reaction of the customer if the product/service has the feature(s). The second question was

concerned dysfunctional form of the question i.e. the reaction of the students if theproduct/service has no the feature(s).

In the fifth, two answers were combined in the evaluation table especially for each questionand respondent. In the last step then, the summary of features (requirements) classification on

the basis of highest number of students (frequencies) for each evaluation was presented. All thesamples of the questionnaires and evaluation tables are attached to this report as appendix. Inshort, all the questionnaires were administered by the researcher himself.

The first questionnaire intended to find out which associations did the students make when

planning to apply MIST BBA-evening programme; Which problems/defects/complaints are thestudents associating with the BBA-evening programme as they are pursuing the programme;

Which criteria did they take into consideration when applying the MIST BBA-evening

programme; Which new features or services of MIST BBA-evening programme would bettermeet their expectations; and What would they like to be changed in the BBA-evening

programme.

The second questionnaire was to establish the features of the MIST BBA-evening programme

on which were preferred, in different to, tolerated to and disliked. The responses were plotted

into the Kano Model table indicating the preferences of the MIST BBA-evening programme

services.

3.0RESULTS OF THE STUDY

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The results of the above two questionnaires in detail are attached to this report as the

appendixes but here below is the presentation of the findings summary:

Table 1: Features ofMIST BBA evening ProgrammeServices

Features associate with: Number PercentJob lecture-venue proximity 24 80%

MIST reputation 06 20%

Features Complained of:

Lecturers lateness in the lectures 21 70%

Lack of specialization 09 30%

New Desired Features

Provision of handouts before the semester lectures begin 20 66.7%

Increase more time for lectures 08 26.7%

Improve the library 02 6.6%

Desired Changes

Transfer of the lecture venue to city-centre 21 70%

Introduce Specialization in the Programme 09 30%

From the above table it is realized that, 24% of the students (customers) associated themselves

to the MIST BBA-evening programme because of their job lecture-venue proximity which

implies that MIST is nearby to their working places. Apart from that, 20% of the studentsassociated themselves with the programme because of MIST reputation- it is nationally known

and registered by NACTE; MIST is becoming the university very soon in the future, it has

necessary facilities and workforce just to mention the few.

In desiring the new features of the MIST BBA-evening programme, 66.7% of the respondents

desired provisions of the handouts before the semester lecture begin different from the current

situation in which they are provided at the end of the semester. On the other hand, 26% and6.6% of the respondents desire new features such as increase more time for lectures and

improve the library respectively.

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In desiring making the changes in the programme, the respondents suggested some changes to

the programme. In so doing, 70% of them suggested the transfer of lecture-venue from MIST

campus to Mbeya city centre in order to help them access their home easily after the lectureshours. It must be remembered that, MIST is away from the main road and there is no any

public transport going to and fro MIST campus hence becoming very difficult for the students

to walk back to their homes as they finish their lectures. 30% of the respondents are suggestingthat specialization should be introduced different from the present one which is business

general. They desire the programme to have specialization like the same programme offered byother higher learning institutions.

Having analyzed the above responses from the respondents, the Kano questionnaire was

prepared and the respondents were again inquired in the process of attempting to get their

feelings on the given and identified features. The evaluation results are presented in the table 2below and the Kano questions are attached to this report:

Table 2: Kano Questionnaires Evaluation/ Summary of the features Classification

Product Requirements

Frequencies

Highest

Frequencycategory

A O M I Q Total

Question 1 - - 28 02 - 30 M

Question 2 - - 30 - - 30 M

Question 3 20 - 03 04 03 30 A

Question 4 05 - 08 17 - 30 I

Question 5 16 - 07 07 - 30 A

From the above table the results indicate that, almost all MIST BBA-evening programmestudents (customers) suggest that, the lecture-venue should be shifted from MIST-campus tocity centre. Also, all the students would like specialization to be introduced in the programme.

Furthermore, the results portray that, students are attracted if provision of handouts is done

before the semesters lectures begin. Again, the results show that respondents were indifferentto increase more time for lectures than the current time or it remains the way it is now. Lastly,

they are attracted if the lecturers become punctual to their respective lectures.

4. 0 CONCLUSION AND RECOMMENDATIONS

The responses show that, the customers (students) are not satisfied withMIST BBA-evening

programme especially on the lecture-venue proximity, and generalization (lack ofspecialization) of the programme. It is recommended therefore that, lecture-venue is shifted

from MIST-campus to city centre, specialization of the Programme is introduced, provision of

handouts to students is done before the semesters lectures begin, and lecturers becomepunctual to their respective lectures.

REFERENCES

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Dr. Kimeme, Lecture Notes (2011)

Kotler P. (1998), Marketing management, Analysis Planning, Implementation and Control (9 th

Ed.); Prentice Hall of India Private Limited; New Delhi

http:// en.wikipedia.org/wiki/Business Marketing

Ulaya M, B (2010), Report on the Rural Services Programme Services Features and CustomerSatisfaction Study (Term Paper)

Appendix I: Four Basic Kano Questions on Mist BBA-Evening Programme

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1. Which associations did you make when planning to apply MIST BBA-evening programme?

i. _______________________________________________________________

ii. _______________________________________________________________iii. _______________________________________________________________

iv. _______________________________________________________________

v. _______________________________________________________________vi. _______________________________________________________________

vii. _______________________________________________________________

2. Which problems/defects/complaints are you associating with as you are pursuing the BBA-

evening programme?

i. _______________________________________________________________

ii. _______________________________________________________________iii. _______________________________________________________________

iv. _______________________________________________________________

v. _______________________________________________________________vi. _______________________________________________________________

vii. _______________________________________________________________

3. Which criteria did you take into consideration when applying the MISTBBA-evening programme?

i. _______________________________________________________________

ii. _______________________________________________________________

iii. _______________________________________________________________iv. _______________________________________________________________

v. _______________________________________________________________

vi. _______________________________________________________________vii. _______________________________________________________________

4.

a) Which new features or services of MIST BBA-evening programme would better meet

your expectations?i. __________________________________________________________________

ii. __________________________________________________________________iii. __________________________________________________________________

iv. __________________________________________________________________

v. __________________________________________________________________

vi. __________________________________________________________________vii. __________________________________________________________________

b) What would you like to be changed in the BBA-evening programme?

i. __________________________________________________________________ii. __________________________________________________________________

iii. __________________________________________________________________

iv. __________________________________________________________________v. __________________________________________________________________

vi. __________________________________________________________________

vii. __________________________________________________________________

Appendix I: Evaluation Table on MIST BBA-Evening Programme

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N QUESTION(Put a check mark in a box falling under the most

appropriate heading for your position on thematter)

I like itthat way

(1)

It mustbe that

way

(2)

I amNeutral

(3)

I can livewith it

that way

(4)

I dislike itthat way

(5)

1a If the lecture-venue is shifted from

MIST-campus to city centre

1b If the lecture-venue remains at MIST-campus

2a If specialization of the Programme

(BBA) is introduced

2b If the Programme (BBA) remains as

general BBA

3a If provision of handouts to students isdone before the semester lectures

begin

3b If provision of handouts to students is

done at the end of the semester

4a If more time for lectures is increased

than the current time

4b If more time for lectures is notincreased than the current time

5a If the lecturers become punctual to

their respective lectures5b If the lecturers are not punctual to

their respective lectures

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POM Term Paper