A PROJECT REPORT
ON
(
SERRVICE QUALITY DELIVERY OF RELIANCE FRESH)
TABLE OF C O N T E N T S
Chapter No.
Title
Page No.
Declaration from student iii
Certificate from Guide iv
Acknowledgement v
I Introduction
1.1 Background of the Study
1.2 Company profile
1.3 Literature Review
1.4 Scope of the study
1.5 Objectives of the study
II Research Methodology
2.1 Research design
2.2 Primary data
2.3 Secondary data
2.4 Sample design
2.5 Sample size
2.6 Method of data collection
2.7 Instrument for data collection
2.8 Limitations
III Result and Interpretation IV Findings
V Conclusions VI Recommendations
Bibliography
CHAPTER1
INTRODUCTION
‘Quality’ in a service organization is a measure of the extent to which the service delivered meets customer’s expectations because to the customer, quality is all about Meeting or exceeding their expectation.
The National quality institute web site defined quality as follows:
Quality is in the eye of the beholder. Yet we all recognize it when we See it …… Quality is when you are so satisfied with a product or service That you go out of your way to recommend it to other people”
There is a tendency to think of quality as being upscale, first class and
expensive. In fact, quality can be achieved at all price levels – if the need and desires of the customers are met, and exceeded.
SERVICE QUALITY MODEL
The model highlights the main requirements for delivering service quality.
It identifies five gaps that cause unsuccessful delivery.
1). Gap between consumer expectation and management perception.
2). Gap between management perception and service quality specification.
3). Gap between service quality specification and service delivery.
4). Gap between service delivery and perceived service.
GAP 5
CONSUMER
MARKETER
GAP 1 GAP 4
GAP 3
GAP 2
Personal needs
Expected service
Perceived service
Service delivery
(Including pre and post contacts)
Transaction of perceptions into service quality
specifications.
Management perceptions of Consumer expectations
Past experience
Word of mouth communication
External communication
Based on this service quality model, researchers identified the 5 determinants
of service quality, in order of importance.
1). RELIABILITY- The ability to perform the promised service dependably and accurately.
2). RESPONSIVENESS- The willingness to help customers and to provide prompt service.
3). ASSURANCE – The knowledge and courtesy of employees and their ability to convert trust and confidence.
4). EMPATHY – The provision of caring individualized attention to customers.
What is customer Satisfaction?
Customer satisfaction, a business term, is a measure of how products and services supplied by a company meet or surpass customer expectation. It is seen as a key performance indicator within business and is part of the four perspective of a balanced Scorecard.
.
In a competitive marketplace where businesses compete for customers, customer satisfaction is seen as a key differentiator and increasingly has become a key element of business strategy.
Measuring customer satisfaction
Organization are increasingly interested in retaining existing customer while targeting non customers; measuring customer satisfaction provides an indication of how successful the organization is at providing products and /or services to the marketplace.
Customer satisfaction is an ambiguous and abstract concept and the actual manifestation of the state of satisfaction will vary from person to person and product/service to product/service. The state of
satisfaction depended on a number of both psychological and physical variable, which correlate with satisfaction behaviors such as return and recommend rate. The level of satisfaction can also vary depending on other options the customer may have and other products against which the customer can compare the organization’s products.
Because satisfaction is basically a psychological sate care should be taken in the effort of quantitative measurement although a large equality of research in this area has
organizational change measurement and are most often utilized to develop the architecture for satisfaction measurement as an integrated model.
COMPANY PROFILE
Reliance Fresh is the convenience store format which forms part of the retail business of Reliance Industries of India which is headed by Mukesh Ambani. Reliance plans to invest in excess of Rs. 25000 crores in the next 4 years in their retail division. The company already has in excess of 560 reliance fresh outlets across the country. These stores sell fresh fruits and vegetables, staples, groceries, fresh juice bars and dairy products.A typical Reliance Fresh store is approximately 3000-4000 square. Feet and caters to a catchment area of 1-2 km.Giant Corporation like walmat and reliance has started to try and take over the Indian retail sector. The entry of the giant corporate retails in India’s food market will have direct impact on India’s 650 million farmers and 40 million people employed in tiny retail. More than 6600 mega stores planned with Rs. 40,000 by 2011.
Reliance Retail
Type Supermarket
Founded 30 October 2006
Headquarters Mumbai, India
Key people Mukesh Ambani, CEO
Industry Retail
LITERATURE REVIEW
History
Post launch, in a dramatic shift in its positioning and mainly due to the circumstances prevaling in UP, West Bengal and Orissa, it was mentioned recently in news Dailies that, Reliance Retail is moving out of stocking fruits and vegetables. Reliance Retail has decided to minimise its exposure in the fruit and vegetable business and position Reliance Fresh as a pure play super market focusing on categories like food, FMCG, home, consumer durables, IT and wellness, with food accounting for the bulk of the business.
The company may not stock fruit and vegetables in some states. Though Reliance Fresh is not exiting the fruit and vegetable business altogether, it has decided not to compete with local vendors partly due to political reasons, and partly due to its inability to create a robust supply chain. This is quite different from what the firm had originally planned.
When the first Reliance Fresh store opened in Hyderabad last October, not only did the company said the store’s main focus would be fresh produce like fruits and vegetables at a much lower price, but also spoke at length about its “farm-to-fork’’ theory. The idea the company spoke about was to source from farmers and sell directly to the consumer removing middlemen out of the way.
Reliance Fresh, Reliance Mart, Reliance Digital, Reliance Trendz, Reliance Footprint, Reliance
Wellness, Reliance Jewels, Reliance Timeout and Reliance Super are various formats that Reliance has rolled out.
In addition, Reliance Retail has entered into an alliance with Apple for setting up a chain of Apple Specialty Stores branded as iStore, starting with Bangalore.
Controversy
Recently their stores in Jharkand faced the ire of mobs comprising of local vegetable vendors. They vandalised and attacked the stores claiming that they were stealing their livelihoods
In August 2007, Uttar Pradesh Chief Minister Mayawati ordered to close 10 new stores keeping view of Law & order situation. In November 2007, Reliance Fresh stores are attacked by Bharatiya Janshakti Party supporters headed by Uma Bharti.
Bhubaneswar: Traders and roadside vendors opposing the opening of Reliance Fresh outlets in Orissa on Saturday formed a “suicide” squad.
“As many as 100 youth today joined the squad as they prefer to die while fighting rather than facing starvation,” All-Orissa Roadside Vendors and Small Shop Owners Association president Pratap Sahu said.
Reports said the vendors formed the squad soon after a meeting PTI
OBJECTIVES
To know the level of service quality delivery of reliance fresh
To know the customers satisfaction with reliance fresh.
To suggest suitable strategies for upgrading the performance of store.
To know about the customer retention.
To find out the impact of the strategies on the daily business activities in the store.
CHAPTER 2
RESEARCH
RESEARCH
METHODOLOGY-Research methodology is a way to systematically solve the research problem. It may be understood as a science of studying how research is done scientifically. In it we study the various steps that are generally adopted by a researcher in studying his research problem along with the logic behind them.
TYPE OF
RESEARCH-Descriptive research:
In this project descriptive type of research is done. It includes surveys and fact-findigs enquiries of different kinds. The main purpose of descriptive research is description of the state of affairs, as it exists at present.
The main characteristics of this method are that the researcher has no control over the variables. He can only report what has happened or what is happening.
Research
design-Research design is the conceptual structure within which research is conducted; it constitutes the blueprint for the collection, measurement and analysis of data. AS such the design includes an outline of what the researcher will do from writing the hypothesis and its operational implications to the final analysis of data.
Important features of research
design-It is a plan that specifies the sources and types of information relevant to the research problem.
RESEARCH DESIGN
NON-PROBABILITY
The research is primarily both exploratory as well as descriptive in nature. The sources of information are both primary & secondary.
Primary Data
:
Primary data is basically the live data which I collected on field while doing cold calls with the Distributor and shopkeeper, customers, I shown them list of question for which I had required their responses. In some cases I got no response form their side and than on the basis of my previous experiences I filled those fields.
Source: Main source for the primary data for the project was questionnaires which I got filled by the customers or some times filled myself on the basis of discussion with the customers.
Secondary Data:
1 Internet ,
2 Books
3 Journals ,
4 Newspaper,
5 Annual report,
6 Database available in the library,
7 Catalogues and presentations.
It is a strategy specifying which approach will be used for analysis and gathering and analysis of the data.
Sample-Non-probability samples
A sample is the unit, which is taken down from the population (universe), geographical age levels and sorted down to perform the experiment or an event.
Sampling design is technique, which is used to draw any random sample from a given population by statistical method.
Samples are of two
types-Probability samples
Non Probability samples
Probability samples are those based on simple random sampling, systematic sampling, stratified sampling, cluster/area sampling.
Non-probability samples are those based on convenience sample, judgmental sampling and quota sampling techniques.
1. Deliberate
sampling-Deliberate sampling is also known as purposive or non- probability sampling. This sampling method involves purposive or deliberate selection of particular units of the universe for constituting a sample, which represents the universe.
Convenience
sampling-When population elements are se4lected for inclusion in the sample based on the ease of access, it can be called as convenience sampling.
Judgmental
2. Simple random
sampling-This type of sampling is also known as chance sampling or probability sampling where each and every item in the population has an equal chance of inclusion in the sample.
3. Systematic
Sampling-In some instances the most practical way of sampling is to select every 15th name on a list, every 10th
house on one side of street and so on. Sampling of this type is known as systematic sampling. This procedure is useful when sampling frame is available in the form of a list.
4
. Stratified Sampling
-If the population from which a sample is to be drawn does not constitute a homogeneous group, then stratified sampling technique is applied so as to obtain representative sample.
In this technique, the population is stratified into a number of strata and sample items are selected from each stratum.
5.
Quota sampling
:
In stratified sampling the cost of taking random samples from individual strata is often so expensive that interviewers are simply given quota to be filled from different simply given quota to be filled from different strata, the actual selection of items for sample being left to the interviewer’s judgment. This is called quotas sampling.
6
. Cluster sampling
-Cluster sampling involves grouping the population and then selecting the groups or the clusters rather than individual elements for inclusions in the sample.
7.
Area sampling
–
Area sampling is talked about when the total geographical area of interest happens to be big one under area sampling total area is divided into number of smaller non – overlapping areas, generally called geographical clusters, then a numbers these smaller areas are randomly selected and all units in these small areas are included in the sample.
SAMPLE
SIZE-The sample size of 50 persons is used for the completion of research.
Collecting the data
:
In dealing with any real life problem it is often found that date at hand are inadequate, and hence, it becomes necessary to collect data that are appropriate. There are several ways of collecting the appropriate data, which differ considerably in context of money costs, time and other resources at the disposal of the researcher.
Primary data can be collected either through experiment or through survey. If the researcher conducts an experiment, he observes some quantitative measurements, or the data. With the help of which he examines the truth contained in his hypothesis. But in the case of a survey, any one or more of the following ways can collect data:
I. By observation:
This method implies the collection of information by way of investigator’s own observation, without interviewing the respondents. The information obtained relates to what is currently happening and is not complicated by either the past behavior or future intentions or attitudes of respondents. This method is no doubt an expensive method and the information provided by this method is also very limited. As such this method is not suitable in inquiries where large samples are concerned.
II. Through personal interview:
The investigator follows a rigid procedure and seeks answers to a set of pre-conceived questions through personal interviews. This method of collecting date is usually carried out in a structured way where output depends upon the ability of the interviewer to a large extent.
III. Through telephone interviews:
This method of collecting information’s involves contacting the respondents on telephone itself. This is not a very widely used method but it plays an important role in industrial surveys in developed regions , particularly, when the survey has to be accomplished in a very limited time.
IV. Questionnaires:
applying this method, usually a pilot study for testing the questionnaire is conduced which reveals the weaknesses, if any, of the questionnaire, Questionnaire to be used must be prepared very carefully so that it may prove to be effective in collecting the relevant information.
V. Through schedules:
Under this method the enumerators are appointed and given training. They are provided with schedules containing relevant questions. These enumerators go to respondents with these schedules. Data are collected by filling up the schedules by enumerators on the basis of replies given by respondents. Much depends upon the capability of enumerators so fare as this method is concerned. Some occasional field checks on the work of the enumerators may ensure sincere work.
The researcher should select one of these methods of collecting the data taking into consideration the nature of investigation, objective and scope of the inquiry, financial resources, available time and the desired degree of accuracy. Though he should pay attention to al l these factors but much depends upon the ability and experience of the researcher. IN this context Dr. A.L Bowley very aptly remarks that in collection of statistical data commonsense it ht chief requisite and experience the chief teacher .
In this project primary data is collected through questionnaire.
INSTRUMENT FOR DATA
COLLECTION-Primary data- questionnaire
Questionnaire consists of a set of questions presented to respondents. Because of its flexibility, it is by far the most common instrument used to collect primary data.
Secondary data
LIMITATION
1) Converting service quality scale with respect to Indian scenario.
2) Testing reliability and validity for all the variables included in the study.
3) Secondary data taken from websites and documents, which may not be correct or manipulated/distorted by someone.