PERCEPTION OF SERVICE QUALITY: A CASE OF JOMO KENYATTA INTERNATIONAL AIRPORT By: Gituanja E. W. D61/P/7813/99 fWLVOF*rFrtIF 'NAIRO& AOCT«= I ! » » * » * • Supervised By: Catherine Ngahu A management research project submitted in partial fulfillment of the requirement for the award of the Degree in Master of Business and Administration, School of Business, University of Nairobi Date: 21 August 2006 University of NAIROBI Library
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PERCEPTION OF SERVICE QUALITY: A CASE OF JOMO KENYATTA
INTERNATIONAL AIRPORT
By:
Gituanja E. W.
D 61/P /7813/99
fWLVOF*rFrtIF 'NAIRO&AOCT«= I !» » * » * •
Supervised By:
Catherine Ngahu
A management research project submitted in partial fulfillment of the requirement for the award of
the Degree in Master of Business and Administration, School of Business, University of Nairobi
Date: 21 August 2006
University of NAIROBI Library
DECLARATION:
This management project is my original work and has not been presented for a degree in any other
University.
Signed:t u
Date:
Gituanja E. W.
D6 l/P/7813/99
This management project has been submitted for examination with my approval as University
supervisor.
Department of Business Administration
University of Nairobi
Date:
DEDICATION
To my late father Peter Gituanja and my loving mother Margaret Wanjiru and all my sisters and
brothers.
Special dedication to my mum who always encouraged me to study in order to be a better person in
life and be able to meet all challenges. Thank you so much mum.
ACKNOWLEDGEMENT
Special thanks to my supervisor senior lecturer Ngahu Catherine for the guidance she gave me when
writing this project.
Special thanks to all my friends and colleagues for their input throughout the course period. Sincere
gratitude to my parents, brothers and sisters for their selfless dedication in ensuring that I received the
best possible education.
To Mr. Michael Mulwa who provided transport from JKIA to University of Nairobi in order to ensure
I complete the course. He also gave me his Lap top computer to use while typing this project.
To my sister Ann Mukoma for ensuring the project is printed in her office.
To my niece Jaclyn Wangari and nephew Roy Mwangi for their immense love, patience, co-operation
and dedication to my education and we would always do homework together.
Special thanks to Mr. Joseph Methu, corporate office of Kenya Airports Authority from whom I
leamt a lot on modalities of analyzing questionnaire.
Last but not least, my gratitude goes to Mama Ken who provided me with internet facilities in her
house throughout the project research. Special thanks to her family for accommodating me in their
house.
May almighty God bless them all.
IV
Table of ContentsDeclaration .................................................................................................................. iiDedication .................................................................. ;............................................. iiiAcknowledgement.................................................................................................................ivList Of Figures ................................................................................................................ viiList of Diagrams ................................................................................................................viiList of Tables ............................................................................................................... viiiAbstract ix
1.1.1 Overview of Recent Development Trends in the Aviation Industry......................11.1.2 Quality Of Service and Operational Performance Indicators.............................. 2
1.2 Jomo Kenyatta International Airport (JKIA)................................................................. 31.3 Statement Of The Problem........................................................................................... 41.4 Objectives of the Study................................................................................................ 61.5 Importance of the study................................................................................................ 61.6 Concepts and Terms.....................................................................................................6
CHAPTER TWO: LITERATURE REVIEW.........................................................................82.1 The Nature of Services................................................................................................. 82.2 Characteristics of services.............................................................................................8
2.3 Service Quality............................................................................................................102.3.1 Dimensions of Service Quality...........................................................................112.3.2 Customer Perception of Quality........................................................................ 122.3.3 Satisfying Customer Preferences........................................................................122.3.4 Perception Value and Expectations.................................................................... 13
2.4. The Gap Theory..........................................................................................................152.5 Measuring Service Quality..........................................................................................17
2.5.1 Discontinuation models.....................................................................................182.5.2 Perception models..............................................................................................192.5.3 Weighted versus Unweighted Models................................................................202.5.4 Dimensions of Service Quality.......................................................................... 222.5.6 Difficult challenges............................................................................................ 23
2.6 Customer Satisfaction and Service Quality at Jomo Kenyatta International Airport.... 24
CHAPTER THREE: RESEARCH METHODOLOGY....................................................... 263.1 Research Design................................ 263.2 Population...................................................................................................................263.3 Sample design............................................................................................................ 263.4 Sample size.................................................................................................................263.5 Data Collection Method..............................................................................................263.6 Data Analysis Method................................................................................................ 27
CHAPTER FOUR: DATA PRESENTATION AND ANALYSIS.......................................284.1 Introduction................................................................................................................ 284.2 Summary of General Information (Part 1 of the questionnaire)...................................284.3 Customer’s expectations regarding each of the service quality dimensions................. 294.4 Customer’s perception of service quality dimensions along the airport services center344.5 Customer perception of customer care and waiting time at the airlines desk............... 404.6 Customer perception of customer care and waiting time at the security desk..............414.7 Customer perception of customer care and waiting time at the immigration desk......434.8 Customer perception of customer care and waiting time at the Customs desk............. 44
CHAPTER FIVE: CONCLUSIONS AND RECOMMENDATIONS.................................475.1 Introduction................................................................................................................ 475.2 Summary of Findings................................................................................................. 475.3 Limitations of the Research........................................................................................ 495.4 Recommendations for further research....................................................................... 495.5 Overall Conclusion..................................................................................................... 49
References .................................................................................................................50Appendix One: Introduction Letter......................................................................................... IAppendix Two Questionnaire................................................................................................II
LIST OF FIGURES
Figure 1: Determinants of Perceived Service Quality---------------------------------------------- 14
Figure 2: Service Quality Model----------------------------------------------------------------------- 16
LIST OF DIAGRAMS
Diagram 4.3.1: Customer Expectation: Importance of Airport Cleanliness--------------- -------- 30Diagram 4.3.2 Customer Expectation: Importance of Signage------------- ------------ ---- ------ 30
Diagram 4.3.3: Customer Expectation: Importance of Availability of Business Centre---------31Diagram 4.3.4: Customer Expectation: Importance Lounge Comfort-------- --------------------- 31
Diagram 4.3.5: Customer Expectation: Importance of Transport to and from Airport.... .........32Diagram 4.3.6: Customer Expectation: Importance of Banking Services................ 32
Diagram 4.3.7: Customer Expectation: Importance of Customer Care Services----------------- 33
Diagram 4.3.8: Customer Expectation: Waiting Time to Receive Services----------- 33Diagram 4.4.1: Customer Perception: Rating of Airport Cleanliness------ ----- —..........—....... 34
Diagram 4.4.2: Customer Perception: Rating of Airport Signage---------------- 35
Diagram 4.4.3: Customer Perception: Rating of Airport Business Centre------------------ 36Diagram 4.4.4: Customer Perception: Airport lounge comfort-------------- ------- ---------------36Diagram 4.4.5: Customer Perception: Rating of Airport transport to and from airport — .........37
Diagram 4.4.6: Customer Perception: Airport banking services----------------------------- 38Diagram 4.4.7: Customer Perception: Airport customer care services............... 38Diagram 4.4.8 Customer Perception: Airport waiting time to receive services--------- ----- — 39
Diagram 4.4.9: Perceived-Expected Service Gap- General Airport Services-------- ---- —...... -40
Diagram 4.5.1: Customer Perception: Airlines customer care services---------------------------- 40Diagram 4.5.2: Customer Perception: Airlines waiting time to receive services--------- -41
Diagram 4.6.1: Customer Perception: Security customer care services.............. 42Diagram 4.6.2: Customer Perception: Security waiting time to receive services -........—...........42
Diagram 4.7.1: Customer Perception: Immigration customer care services............ 43Diagram 4.7.2: Customer Perception: Immigration waiting time to receive services................ 44
Diagram 4.8.1: Customer Perception: Customs customer care services......................... ....... —44Diagram 4.8.2: Customer Perception: Customs waiting time to receive services--------- 45Diagram 4.8.3: Perceived -Expected Service Gap- Specific Service Providers/Services-.........-46
LIST OF TABLES
Table 4.2.1: Distribution of Respondents by Gender......... .................-.................................28Table 4.2.2: Distribution of Respondents by Visits- First time users vs. Multi-users-----------28Table 4.2.3: Distribution of Respondents by Frequent Users..................-................... -........ 28Table 4.2.4: Respondents by Age Bracket........................................................ ..................29Table 4.2.5: Respondents by Level of Education.......................................... -....... -.............29Table 4.3.1: Customer Expectation: Importance of Airport Cleanliness..................................29Table 4.3.2: Customers Expectation: Importance of Airport Signage.................................... 30Table 4.3.3: Customer Expectation: Importance of Availability of Business Centre-.— 30Table 4.3.4: Customer Expectation: Importance of Lounge Comfort— ...... 31Table 4.3.5: Customer Expectation: Importance of Transport to and from Airport..— 31Table 4.3.6: Customer Expectation: Importance of Banking Services.......................... 32Table 4.3.7: Customer Expectation: Importance of Customer Care Services..........— 32Table 4.3.8: Customer Expectation: Importance of Waiting Time to Receive Services -......... 33Table 4.3.9: Customer expectation: Mean Score of Key Variables. Descriptive Statistics------34Table 4.4.1: Customer Perceptions: Airport Cleanliness-................................................ 34Table 4.4.2: Customer Perception: Airport Signage.......-.............................. -......................35Table 4.4.3: Customer Perception: Airport business centre availability.....— ................. 35Table 4.4.4: Customer Perception: Airport lounge comfort..................... -.......-................... 36Table 4.4.5: Customer Perception: Airport transport to and from airport---------- -..........— 37Table 4.4.6: Customer Perception: Airport banking services........... -.....................—............37Table 4.4.7: Customer Perception: Airport customer care services..................................— 38Table 4.4.8: Customer Perception: Airport waiting time to receive services--------------------39Table 4.4.9: Customer Perceptions Mean Score of Key Variables for General Airport
Services. Descriptive Statistics-.............. -....... -................-........................ -......39Table 4.5.1: Customer Perception: Airlines customer care services..... ........................... 40Table 4.5.2: Customer Perception: Airlines waiting time to receive services.................... 41Table 4.6.1: Customer Perception: Security customer care services..... -......... -................... 41Table 4.6.2: Customer Perception: Security waiting time to receive services.............-.......—42Table 4.7.1: Customer Perception: Immigration customer care services............................... 43Table 4.7.2: Customer Perception: Immigration waiting time to receive services..................43Table 4.8.1: Customer Perception: Customs customer care services.............................. — 44Table 4.8.2: Customer Perception: Customs waiting time to receive services........................ 45Table 4.8.3: Customer Perceptions Mean Score of Key Variables for Specific Services/
Valid Not important 3 3.3 3.3 3.3Somewhat important 15 16.7 16.7 20.0Important 30 33.3 33.3 53.3Very important 42 46.7 46.7 100.0Total 90 100.0 100.0
3.3% rated banking services as not important; 16.7% as somewhat important; 33.3% as important
and 46.7% as very important. This is illustrated below.
Diagram 4.3.6: Customer Expectation: Importance of Banking Services
Banking services
Table 4.3.7: Customer Expectation: Importance of Customer Care ServicesFrequency Percent Valid Percent Cumulative Percent
Valid Somewhat Important 3 3.3 3.3 3.3Important 21 * 23.3 23.3 26.7Very important 66 73.3 73.3 100.0
Total 90 100.0 100.03.3% somewhat important; 23.3% as important and 73.3% as very important
32
Diagram 4.3.7: Customer Expectation: Importance of Customer Care ServicesCustomer care services
Customer care services
Table 4.3.8: Customer Expectation: Importance of Waiting Time to Receive Services
Frequency Percent Valid Percent Cumulative PercentValid Somewhat important 3 3.3 3.3 3.3
Important 18 20.0 20.0 23.3Very important 69 76.7 76.7 100.0Total 90 100.0 100.0
Waiting time: 3.3% somewhat important; 20% important and 76.7% very important as illustrated
below.
Diagram 4.3.8: Customer Expectation: Importance of Waiting Time to Receive Services
W aiting tim e to receive services
Somewhat important Important Very important
Waiting time to receive services
33
Table 4.3.9: Customer expectation: Mean Score of Key Variables. Descriptive StatisticsVariables N MINIMUM MAXIMUM MEAN STD DEVAirport Cleanliness 90 4.00 5.00 4.9000 0.3017Airport Signage 90 4.00 5.00 4.4000 0.4926Business centre availability 90 2.00 5.00 3.7333 0.6837Lounge comfort 90 4.00 5.00 4.6000 0.4926Transport to and from airport 90 3.00 5.00 4.1333 0.5649Banking services 90 2.00 5.00 4.2333 0.8487Customer care services 90 3.00 5.00 4.7000 0.5289Waiting time 90 3.00 5.00 4.7333 0.5149From the above, the customers attached the greatest importance on cleanliness and least on
business center availability. Waiting time, customer care and lounge comfort received similar
ratings.
4.4 C U ST O M E R ’S PER C EPTIO N OF SER V IC E Q U A LITY D IM EN SIO N S
Lounge comfort 4.6 0.4926 2.4667 1.06212 -2.1333Transport to and from airport
4.1333 0.56492.4333
0.80797-1.7
Banking services 4.2333 0.8487 3.2 0.47876 -1.0333Customer care services 4.7 0.5289 2.9333 0.85853 -1.7667Waiting time 4.7333 0.5149 2.8667 0.96221 -1.8666
Using the simple discontinuation model as originally elucidated by Parasuraman et al. (1985), where
perceived service quality (Q) is being the difference between perceived service (P) and expected
service (E) or Q=P-E, then a perceived mean of 3.1333 indicates a gap o f -1.7667 (3.1333-4.9). This
negative value indicates an overall drop in airport cleanliness quality as perceived by the customer. In
Table 5.2.1, this trend is observed in all the eight variables under investigation. Thus, the airport
service quality does not meet the customer expectations on all eight variables under investigation.
66.6% rated airport cleanliness as meeting or exceeding expectations. However, there are still a high
percentage of customers not pleased with this service (33.4%) and this is a major area for
improvement. This is particularly important, as
47
airport cleanliness was the highest ranked variable with a mean of 4.9 and the lowest standard
deviation of 0.3017. On the other extreme, business centre availability was rated by only 36.7% as
meeting or exceeding expectations. Again, this is an area for improvement.
Banking services performed best among the eight variables with the lowest perceived service quality
gap (-1.0333) indicating a high correlation between expectations and perception (actual service
received). 80% rated banking services as important or very important while 96.6% rated these
services as meeting or exceeding expectations.
The negative perception of service quality by customers could be as a result of increased awareness
of needs among the customers in general.
The second objective was to establish challenges the Kenya Airports Authority faces in order to
ensure high quality service delivery to airline passengers using Jomo Kenyatta International Airport.
The following were noted
a. Congestion. The airport was built in 1978 to handle 2.5 million passengers per year, but it
currently handles over 4 million passengers per year.
b. There are too many regulators at the airport who are poorly trained in customer service.
c. Passenger seats are plastic, too old and need urgent replacement.
d. The toilet infrastructure is in need of rehabilitation.
e. The departure lounge is congested with too many duty free shops selling the same items.
f. Procurement procedures are cumbersome.
g. Arrival and departure passengers are not well separated causing a major security threat to air
travel.
h. There are too many taxi and tour operators at the airport
i. Complaint handling is inefficient-takes too long to for instance, resolve issues of lost luggage.
j. Long queues during peak hours at the airport and almost no activity in some hours
48
5.3 LIMITATIONS OF THE RESEARCH
The study was limited by poor resource availability e.g. time and money. Also, the researcher was not
able to cover the entire scope of all the issues relating to service quality, only the eight variables.
Regarding the method of analysis, the research would have obtained more precise results had there
been weighting of the customer expectations (see Parasuraman et al., 1991)
5.4 RECOMMENDATIONS FOR FURTHER RESEARCH
On the area of airport perceived service quality, it is recommended that replications of this research
be done on all other international Airport’s in Kenya to provide a benchmark for comparison among
the airports. It would also be good for Jomo Kenyatta International Airports if the same were to be
done regionally.
5.5 OVERALL CONCLUSION
From the results of the research, it can be safely concluded that there is a need for marked overhaul of
airport services in order to improve service delivery. One way that this could be done is through
expansion and renovations to increase the service delivery interface area; enhance the ability of the
regulators; improve complaints handling process and procurement procedures; co-ordinate the
different airlines schedules to prevent periodical congestion and streamlining of auxiliary transport
services. These should as much as possible reflect the international standards for these services.
49
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APPENDIX ONE
INTRODUCTION LETTER
Complimentary Letter to the Respondent.
University of Nairobi School Of Business Lower Kabete P. O. Box 30197 Nairobi 20th July 2006
Dear Sir/Madam,
I am a post graduate student at School of Business, University of Nairobi. In fulfillment of the requirements for attaining my degree, I am currently conducting a management research whose theme is determine the quality of service delivery by the Jomo Kenyatta International Airport management as perceived by airline passengers. To this end, I kindly request you to fill out the attached questionnaire to the best of your knowledge as soon as you can to facilitate this research.
I would like to assure you that all information provided will be used solely for the purpose of this research; be treated with the utmost confidence and in no way will your name be implicated in the research findings.
Your cooperation is highly appreciated. Thanking you in advance.
2. Is this your first time to use this airport? [ ] Yes; [ ] No
3. If your answer in Q (3) above is No, then how often on average, do you use this airport in any given year?[ ]Once; [ ] Twice;[ ] Thrice; [ ] More than three times
4. Kindly indicate your age bracket below:[ ] under 18; [ ] 18-25; [ ] 26-35;[ ] 36-45; [ ] 46-55; [ ] above 55
5. Kindly indicate your level of education:[ ] Primary;[ ]Secondary;[ ] Tertiary
Part II:
1. Kindly rank the below service quality dimensions in order of their importance to you (expectations) __________ _________________________ ___ _________ _______
(5)VeryIm portan t
(4)Im portan t
(3)SomewhatIm portan t
(2)Not im portan t
(1)Not Im portan t at all
(a) Airport cleanliness(b) Airport signage(c)Business centre availability(d) Lounge comfort(e)Transport to and from airport(f)Banking services(g)Customer care services(h)Waiting time to receive services
II
2. Kindly rank the service you receive at various airport services centers (perceptions)
Airports(5)F a r Above Expectations
(4)AboveExpectations
(3)M etExpectations
(2)BelowExpectations
(1)F a r below Expectations
(a) Airport cleanliness(b) Airport signage(c)Business centre availability(d) Lounge comfort(e)Transport to and from airport(f)Banking services(g)Customer care services(h)Waiting time to receive services
Airlines(5)F a r Above Expectations
(4)AboveExpectations
(3)M etExpectations
(2)BelowExpectations
(1)F a r below Expectations
(a)Customer care services(b)Waiting time to receive services
Security(5)F a r Above Expectations
(4)AboveExpectations
(3)M etExpectations
(2)BelowExpectations
(1)F ar below Expectations
(a)Customer care services(b) Waiting time to receiveservices(Screening)
Immigration(5)F ar Above Expectations
(4)AboveExpectations
(3)M etExpectations
(2)BelowExpectations
(1)F a r below Expectations
(a)Customer care services(b)Waiting time to receive services
III
Customs(5)F ar Above Expectations
(4)AboveExpectations
(3)M etExpectations
(2)BelowExpectations
(1)F a r below Expectations
(a)Customer care services(b)Waiting time to receive services
Part III: (To be filled by the Kenya Airports Authority Management)
1. Kindly enumerate below the kinds of challenges faced by the K. A. A. in ensuring high
quality service delivery to airline passengers using Jomo Kenyatta International Airport.