Exploring the Dimensions of Contract Manufacturing Service Quality for the F&B Industry

AbstractResearchers to date have paid less attention to the issue of the dimension of service quality among manufacturing enterprises. Service quality is a multidimensional construct and there is no general agreement on its content. This study explored the underlying dimensions of contract manufacturing service quality in the business-to-business service context, particularly the Food and Beverage (F&B) industry in Malaysia. The research design is a combination of literature review and focus group interviews. Four focus group interviews (28 participants) were held using a semi-structured guide and they comprised 12 contract manufacturers and 16 business customers. The participants were key personnel, representing the organizations, who were actively engaged in contract manufacturing services. Interviews were digitally recorded, transcribed and coded. The study found that contract manufacturing service quality could be classified into seven dimensions; Halalness, product development, tangibles, reliability, responsiveness, assurance and empathy. The findings provide empirical evidence that service quality is an industry-specific matter. Three stages of how customers evaluate the service quality of a contract manufacturer were identified; pre-engagement, post-engagement and after sales service. Contrary to previous studies, these were not emphasized. The outcomes of the interviews revealed that the issue of ‘Halalness’ and the ability of contract manufacturers to come up with the right sample were the prerequisites for the customer to engage the business with the manufacturer. Hence, it is critical for the contract manufacturer to adopt Halal practices in their manufacturing besides the need to provide excellent product development service to serve their customers. Technical quality was also found to be crucial. The outcome quality that was emphasized were timely delivery, delivery as per ordered and product consistency. These findings significantly contribute to service marketing literature with regard to contract manufacturing service quality. Hence, contract manufacturing service quality will provide a basis that can be extended to other related fields. In addition, practitioners would have a basis to improve their current service quality practice and customers’ management that would lead to a long term relationship