SCHOOL OF POSTGRADUATE STUDIES

BUSINESS ADMINISTRATION PROGRAM

Service Quality Measurement Improvement and Customer

Satisfaction: The Case of Addis Ababa City Government Revenues
Bureau Lideta Sub City Branch Office

Marta Tesfaye
Id. No GSR/MBA/0670/15

Addis Ababa, Ethiopia

January, 2025

1
 SCHOOL OF POSTGRADUATE STUDIES

BUSINESS ADMINISTRATION PROGRAM

Service Quality Measurement Improvement and Customer

Satisfaction: The Case of Addis Ababa City Government Revenues
Bureau Lideta Sub City Branch Office

A Proposal Submitted to the School of Postgraduate Studies Presented in partial

Fulfillment of the Requirements for the Degree of Master of Business Administration
(MBA).

Marta Tesfaye
Id. No GSR/MBA/0670/15

Advisor
Mengistie Rebsso (PhD)

Addis Ababa, Ethiopia

January, 2025

2
 Table of Contents
CHAPTER ONE........................................................................................................................1
1.1. Back ground of the study.......................................................................................1
1.2. Statement of the problem......................................................................................3
1.1. Research Questions................................................................................................4
1.2. Objectives of the study...........................................................................................5
1.2.1. General objective...............................................................................................5
1.2.2. Specific Objectives............................................................................................5
1.3. Significance of the Study.......................................................................................5
1.4. Scope of the Study..................................................................................................6
1.5. Organization of the Study.....................................................................................6
CHAPTER TWO: LITERATURE REVIEW........................................................................7
2.1. Theoretical Review.................................................................................................7
2.1.1. The relationship between Customer Expectation and Perception of Service....7
2.2. Empirical Review.................................................................................................14
2.2.1. Relationship between Service quality and customer satisfaction....................14
2.3. Conceptual framework model.............................................................................18
CHAPTER THREE.................................................................................................................20
RESEARCH DESIGN AND METHODOLOGY.................................................................20
3.1. Research Approach..............................................................................................20
3.2. Research Design...................................................................................................20
3.3. Sampling Design and Procedure.........................................................................20
3.3.1. Target Population............................................................................................20
3.3.2. Sampling technique and sample size...............................................................20
3.4. Sources of Data.....................................................................................................21
3.4.1. Primary source.................................................................................................21
3.4.2. Secondary source.............................................................................................21
3.5. Data Collection Methodology..............................................................................22
3.6. Data Analysis Methods........................................................................................22
3.7. Validity and reliability.........................................................................................23
3.7.1. Validity............................................................................................................23

i
 3.7.2. Reliability........................................................................................................23
3.8. Research Ethics....................................................................................................23
3.2. Work plan and budget.........................................................................................24
3.2.1. Plan of activities..............................................................................................24
3.2.2. Budget Cost breakdown of the study..............................................................25
Reference..................................................................................................................................26
APPENDIX I............................................................................................................................28

ii
 CHAPTER ONE

1.1. Back ground of the study

Customers are significant assets for organizations, so to be successful and profitable, customer-
centered organizations must wisely serve their customers. Though the ultimate goal of each and
every service delivery company is satisfying customers, most of the time, many of the service
delivery organizations are failed to satisfy their customers, may be as a result of not well
knowing their customers’ interests. Nowadays, because of the prompt growth of service sector,
rivalry and competition among firms skyrocket. Firms in an industry engaged in creativity and
innovation process to provide better service and get competitive advantage.

Quality is the appearance and features of a product or service that agrees on capacity to place
desires (Kotler, 2012). When firm’s service equals or surpasses customers’ expectations, the
company accurately has given quality service, which is important to customer satisfaction. Thus,
there is a strong association between service quality and customer satisfaction. As long as
company’s offer more quality service, customers satisfaction will be high, with better prices and
lower costs strategies; to advance its profitability. So, quality is paramount factor that affect
customers satisfaction.

Service quality is the degree of difference between customers’ expectations and their perceptions
of service performance (Mosahab, Mohamad, & T.Ramayah, 2010). In other words service
quality is a process of achieving desires and beliefs of the customer to and about the service
respectively (Loke, P, H.M., & Downe, 2011). Service quality can be evaluated based on ten
service quality dimensions: tangibility, reliability, responsiveness, competence, courtesy,
credibility, security, access, communication and understanding/knowing the customer (Mosahab,
Mohamad, & T.Ramayah, 2010).

Different Consumers have different information about service superiority. Certain consumers
may give great importance for access and reliability, while others prefer credibility. Since the
nature of service is intangible, evaluating its quality is challenging and complex. Customer
satisfaction is an important tool for holding or forming loyal customers (Kotler, 2012).
Satisfaction is a sensation or a payoff, which results from assessing what was received in contrast
to what was expected (anticipated) (Cathy & Brian, 2001).

1
If consumers feel a deviation between their expectation and actual service, it may leads to
dissatisfaction. As a whole, customer expectancy is unmanageable factor which is affected by
experience, promotion, customers’ perception and product image. Moreover, consumers’
expectation is subjective to pre-purchase beliefs, tittle-tattle communications, individual needs,
and customers’ understandings.

Service quality has influence upon customer satisfaction, which has an impact on the buying
decision of customers. As a result, service quality and customer are closely related. So that,
service quality has a direct impact on customer satisfaction in which customer satisfaction has a
great impact on the success of an organization and on the decision of customers on whether to
continue or stop the relationship with that organization.

This study has two variables which are service quality measurement and improving strategies.
Different researchers study the service quality measurement and improving strategies in private
sectors than government. This does not necessary mean that no research has been conducted on
government sectors which has measured service quality and improvement way. But those
researches did not sufficiently indicate how the services offered by government offices in
Ethiopia affect satisfaction level. And also majority of the researches conducted on this area has
focused on branch offices among which Lideta sub city was not one. Though, in this research,
the researcher studied the service quality measurement and its improvement strategies in the case
of Addis Ababa city government Revenues Bureau Lideta sub city branch’s customers (in public
sector), which, the researcher believes, will help the branch office to see how effective their
service provision is in satisfying their customers and what areas must be improved so as to have
their service level be improved.

Addis Ababa city administration revenues bureau is one of the main organizations of the city
government, which was established to administer the fifteen (15) revenue offices, in which four
(4) of them are medium tax payer revenue branch offices, ten (10) of them are small tax payer
revenue branch offices, and one (1) of them is the large tax payer revenue office in the city
administration, by collecting the tax revenues from the economy of the city administration timely
and powerfully with the responsibilities of modern tax decisions and collection system by
providing fair, active and quality services; by preventing and controlling the hide of tax and
fraud (LSSRBO, 2020).

2
As the Addis Ababa city government Revenue Bureau Lideta Branch office is a service
rendering organization for taxpayers (the customers), they usually visit it for tax related services
and they want to get quality services. But the quality of services provided is affected by many
variables which need to be investigated. The organization introduced different service
enhancement mechanisms to make the service delivery process better and to satisfy its tax payers
(Biruk, 2017). And these are evaluated and assessed by this research by asking the tax payers.

1.2. Statement of the problem

Regardless of whether organizations are private or governmental sectors, the crucial thing to
their survival and success lies on their ability to provide quality services to their respective
customers. This need measuring the service quality of those customers they serve and
improvement strategies.

To understand the need of potential consumer and measuring their satisfaction relative to
competitors and building relationships both with existing and upcoming customers requires
adjustment to fit with the dynamic market. To create satisfied customers and maintain good
relationships with them firms should deliver prompt and effective response and solutions to
customers’ needs. According to (Kotler, 2012), firms can be successful only by creating and
retaining customers through its quality service. From a total quality management point of view,
the center of every strategy of firms is customer. One of the contributing factors of company’s
achievement is the insight of customers towards service quality. Many firms including public
organizations start giving a bold attention about customer satisfaction by measuring their service
quality (Collart, 2000). (A.Pasasuraman, A.Zeithaml, & L.Berry, 1985), stated that because of
the intangible, inseparable and heterogeneity nature of service; defining and measuring its
quality is difficult than tangible products.

Insuring customers’ satisfaction is one of the most important factors for a success of any
organization; that requires having a multidimensional observation on customers’ expectation and
services provided by an organization. Because of the development of technology or introduction
of different social Medias, customers are highly aware about the product and service available in
a given industry. So as the competition in service industries is growing from time to time, to
survive and achieve competitive advantage giving a huge attention in the area of service quality
become absolutely important (Anderson & Bowland, 1984). Consequently, so as to pull and keep
potential customers, firms should engage in the process of identification and satisfying the needs

3
of customers respectively. However, failure to understand customers’ expectation, factors
affecting satisfaction and taking corrective actions to balance between these two, will result in
making an organization to start falling apart. The Ethiopian federal government and different
regional governments have introduced different packages to advance the service operations of
Ethiopian Revenue and customs Authority, including Addis Ababa city government Revenue
Bureau Lideta branch office. Even if the government introduces such programs to improve
quality services in the public sectors, customers have complaints in different offices. It has
become so obvious, particularly in Ethiopia, that customers are highly unsatisfied in services
offered by organizations in general and government organizations in particular. It has become a
norm to hear that government organizations providing services do not meet customers’
expectations and they are one source of complaints in the society in general and businesses in
particular. Based on the preliminary observations and informal interviews concerning the branch
office, the researcher finds out the following complaint areas; lack of well skilled employees to
serve customers, bribery and lack of proper work ethics. Generally, it was found significant to
assess and evaluate service quality and improvement strategies for the organization so as to see
what to do to improve them. the central aim of this study was examining the service quality
measurement and improvement strategies on the Addis Ababa City government Revenues
Bureau Lideta sub city branches, through identifying the service quality dimensions or
SERVQUAL model (Tangibility, Reliability, Responsiveness, Assurance and Empathy).

1.1. Research Questions

The major research questions

1. What is the level of customers’ expectation and perception towards the service quality
provided by Addis Ababa City government Revenues Bureau Lideta sub city branch
office?

2. How service quality measured in Addis Ababa City government Revenues Bureau Lideta
Sub City office?

3. What are the improvement strategies of service to enhance level of satisfaction of

customers of Addis Ababa City government Revenues Bureau Lideta sub city branch?

4
 1.2. Objectives of the study

1.2.1. General objective

The foremost objective of this study was to measure the Service Quality Measurement
Improvement and Customer Satisfaction in case of Addis Ababa City Government Revenues
Bureau Lideta Sub City Branch Office

1.2.2. Specific Objectives

 To assess the customers’ level of expectation and perception towards service quality of
Addis Ababa City government Revenues Bureau Lideta branch office.

 To examine the measurement of service quality in terms of service quality dimensions; in

Addis Ababa City government Revenues Bureau Lideta branch office.

 To identify the improvement strategies of service in Addis Ababa City government

Revenues Bureau Lideta branch office.

1.3. Significance of the Study

The final user of any product and service is customer. So, to control the lion’s share of the
industry portion and develop a sustainable business the center of all company’s action must be
customer. Focusing on customer satisfaction has been the crucial element to shape the service
operation based on customers’ expectations (Zairi, 2000). Hence, organizations must improve
their service operation to meet customers' needs and retain them (Bateson & Hoffman, 1999).

Addis Ababa city government revenues bureau Lideta branch is a government organization to
collect revenue for the city government, which is highly expected to treat its customers wisely
and intelligently. Dissatisfaction of customers (taxpayers) to this sector means dissatisfaction of
the citizens to the government, which may be a reason to have not loyal taxpayers to the sector
and also to the government which results in revenue reduction and low living status in the city
government as well as the country. So, the findings of this study would help Addis Ababa City
government Revenues Bureau Lideta branch office to take corrective actions against the
identified gaps in service quality and improvement strategies. What's more, the study will serve
as a base line and guidelines for the formulation of policies on the quality of customer services.
Finally, the study can be used as a guide for future researchers who are concerned to conduct
research on the area.

5
 1.4. Scope of the Study
This research will be conducted to examine Service Quality Measurement Improvement and
Customer Satisfaction in case of Addis Ababa City Government Revenues Bureau Lideta Sub
City Branch Office in terms of service quality dimensions: Tangibles, Reliability,
Responsiveness, Assurance and Empathy. And therefore the research will be delimited to see
customers’ service expectation, the service quality measurement and how to improve the
problem related to the quality of service in the public organization.

1.5. Organization of the Study

This research consists of five chapters, chapter one includes background of the study, Statement
of the problem, research question, Objective, Significance, scope and limitation of the study.
Chapter two discussed the Literature reviews of the study, Chapter Three which is dealing with
Methodology of the study to clearly identify the research method, Data Sources, data collection
instruments, sample size and sample technique and method of data analysis. Chapter Four,
presented the analysis and discussion of the results of the study. Finally, chapter five presented
the summary of this study, which includes summary of findings, conclusion and recommendation
part of the study to measure service quality of Addis Ababa city government Revenues Bureau
Lideta branch office.

6
 CHAPTER TWO: LITERATURE REVIEW
Introduction

The main elements of this chapter are classified in to three parts. Those are the theoretical
review, which covers measuring service quality and improvement strategies and how these or
variables were measured by researchers in previous studies; the next part is the empirical review
of studies, which deals with the service quality. Lastly, after studying the theoretical and
empirical parts of the elements, a conceptual framework was constructed.

2.1. Theoretical Review

2.1.1. The relationship between Customer Expectation and Perception of

Service
Customer expectation is a belief about service operation which helps as a mile-stone in contrast
to which performance is judged. Customer expectation is what the customer anticipates as a
result of existing firm’s service capability. For the reason that consumers relate their perceptions
with these ideas when judging service quality, to serve consumers in a wise way getting depth
awareness about their expectations is very crucial. The first step in providing quality service
knows customer’s expectation. Wrongly understand customers need means losing customers
because of lack of satisfying them. In addition to this it leads to expending money, time and
other resources unwisely.

Perceived service quality is a factor of customer satisfaction (Zeithaml & Bitner, 2009).
Customers have different expectations and their evaluations may also shift over time. So, the
entire discussion of quality and satisfaction is based on customers’ perceptions of service. When
we consider perceptions, it is obvious to recognize that customers have single, transaction-
specific encounters and overall perceptions of an organization based on their experiences.

Perceptions and expectations are always related to each other (Zeithaml & Bitner, 2009). A
perception comes from customers’ assessment of service provided by a company (Zeithaml &
Bitner, 2009). According to (Zeithaml & Bitner, 2003), perceptions may shift with in a time
change. Thus, companies should frequently assess customer perceptions (Zeithaml & Bitner,
2003).

7
 2.1.1.1. Encounters of Service
Service encounters are the stepping stone for customer perceptions. So, to satisfy and retain
customers, service organizations give attention for quality service operation and try to go beyond
customers’ expectations. Incidentally employees come to be a vibrant part of service operation
and there is a need to ensure that they can capably deliver the promise made to customers in all
service operation (Bateson & Hoffman, 1999). Encounters of service are classified in to three;

Phone Encounters: This is the most frequent between the customers and employees in many
organizations.

Remote Encounters: without direct contact or interaction of customers with organizations. Even
if it doesn’t need human interaction, companies could make strong customers’ perception of
service quality by managing the tangibles and technical aspect of the service.

Face- To- Face Encounters: It occurs between customers and employees in direct contact. Both
verbal and nonverbal actions are important determinants of service quality.

2.1.1.2. Service Quality

Quality is the most important element for the survival of organizations. Organizations are
transforming themselves from product oriented to customer-oriented approach. To achieve
competitive advantage and win competitors in a given industry, firms should deal with quality
(Ladhari, 2009). Quality is about meeting or exceeding customer needs and requirements. Most
customer-centered companies define quality in terms of customer satisfaction as it begins with
customer needs and ends with customer satisfaction (Kotler, 2012). According to (Lewis &
Booms, 1983), service quality describes the extent to which a provided service equals customer’s
expectation.

(A.Pasasuraman, A.Zeithaml, & L.Berry, 1985), defined service quality as “the international
attitude of overall superiority of services operation”. Service quality is founded on a comparison
between what the customer feels should be offered and what is provided (A.Pasasuraman,
A.Zeithaml, & L.Berry, 1985). So, the pursuit of quality services in an organization is driven by
the need that organization to survive and remain competitive. Service quality is what customers
assess through their expectations and perceptions of a service experience. Customers’
perceptions of service quality results from the comparison of service expectations with their
actual service experience. So, the pursuit of quality services in both private and public sector
organizations is driven by the need to survive and remain competitive. (A.Nitecki & Hernon,

8
2000), defined service quality in terms of “meeting or exceeding customers’ expectations”.
Service quality is defined as a focused evaluation that reflects the customer’s perception of
reliability, assurance, responsiveness, empathy and tangibles, (Zeithaml & Bitner, 2003).

Different studies indicate that service quality is the degree to which customers' perceptions on
service meet or go beyond their expectations. According to (Zeithaml, Parasuraman, & Berry,
1990), service quality is the means of access which customers are served in an organization.

Measuring service quality

Delivering a better service is important to customers but knowing how to measure service quality
is difficult. A reliable measure of service quality is critical for identifying the aspects of service
needing performance improvement, measuring the degree of improvement needed on each aspect
and evaluating the impact of improvement efforts. (Seth, Deshmukh, & Vrat, 2005), believe that
for an organization to gain a competitive advantage, marketers must collect information on
market demand to enhance service quality. (Zeithaml & Bitner, 2009), warn that unlike products
quality, which can be measured objectively by indicators such as durability and number of
defects, service quality is abstract and is best captured by surveys that measure customer
evaluations of service. Service quality can be evaluated by assessing customer’s expectations and
perceptions of Performance level for a variety of service attributes (A.Pasasuraman, A.Zeithaml,
& L.Berry, 1985). If expectations are meeting or exceeded, then the company is perceived to be
providing a higher service quality. But, if the expectations of the customers are not meet, the
company is on its way not only to face displeased and hostile customers, which in turn leads to
defection to competitors. So, “Customer’s expectation serves as a foundation for evaluating
service quality because, quality is high when performance exceeds expectation and quality is low
when performance does not meet their expectation” (Asubonteng, 1996).

2.1.1.3. Service Quality Model

1. SERVQUAL Model

SERVQUAL model is the regular and well known measurement of service quality based on its
five dimensions. According to (A.Pasasuraman, A.Zeithaml, & L.Berry, 1985) initially, when the
model was developed, it has 97 attributes which were concise into ten dimensions namely
Courtesy, Security, Reliability, Competence, Responsiveness, Understanding the customer,
Tangibles, Credibility, Access, and Communication. The SERVQUAL scale which is also

9
known as the gap model has been confirmed as the paramount ways to quantity the quality of
services operation (A.Pasasuraman, A.Zeithaml, & L.Berry, 1985).

This service evaluation method is consistent and reliable (Brown, Churchill, & Peter, 1993).
Researchers thought that, when perceived service is under the expected service; it indicates
dissatisfaction of consumers; and when perceived service is in excess of expected service; it
shows satisfaction (Jain, 2004). From the customer standpoint SERVQUAL is the accurate
evaluator of service quality.

Later after modification, these ten dimensions were reduced to five dimensions.

Tangibility: includes appearance of personnel, physical facilities and equipment’s

Reliability: is the capability to performing the promised service correctly. The promise may
include service provision, delivery, problem resolution and pricing.

Responsiveness: Is the willingness to help customers and provide speedy service. It is all
about the duration customers have to wait for help, answers to questions.

Assurance: Employees’ familiarity about the needs of customers and service delivery and
friendliness of employees are the mostly important parts of the services that customers perceive.

Empathy: caring personalized attention of the organization delivers to its customers.

Deep analysis and measurement of five dimensions of SERVQUAL gives a clue to recognize
service quality. Following this view, reliability, tangibility, assurance, responsiveness, and
empathy helps to run into customers’ expectations. According to (Zeithaml & Bitner, 2008) to
check the validity of SERVQUAL model in the evaluation of service quality necessarily concentrated
on reliability, assurance, responsiveness, empathy, and tangibles.

(Rust & Oliver, 1994) states that whether the service needs or doesn’t need direct or face to face
contact between employees and customers, SERVQUAL is intended to determine quality dimensions
of all services.

2. Gap model

According to (A.Pasasuraman, A.Zeithaml, & L.Berry, 1985) service quality gap model is a
result of the gap between the expectation and actual action of the quality dimensions. The gaps
which are observed in the model are:

10
  Gap 1: Customer expectation – Management perception gap: - The variation between
customer’s expectation and management perception of those expectations. I.e. lack of
information about consumers expectation.

 Gap 2: Management perception – Service quality specification gap: - The difference

between management perception of consumers‟ expectations and service quality
specifications. I.e. improver service quality standards.

 Gap 3: Service quality specifications – Service delivery gap: - The dissimilarity

between service quality specifications and service actually delivered. I.e. service
performance gap.

 Gap 4: Service Delivery – External communication Gap: - The difference between

service delivery and communications to consumers about service delivery. I.e. whether
promises match delivery.

 Gap 5: Expected Service – Perceived Service Gap: - The discrepancy between

consumer’s expectation and perceived service.

3. Functional and Technical Dimension Model

Additional elements of service expectations are functional and technical dimensions (Gronroos,
1984). The idea was that, consumers assess service based on the result of the service they
received and by the ways of the service delivery like place, intention, time etc. (Gronroos, 1984).
Perceived service is the outcome of the consumer’s view of the service dimensions (technical
and functional) in nature (Gronroos, 1984).

4. SERVPERF Scale

Different weaknesses of using SERVQUAL model to measure service quality leads to the
development of SERVPERF scale by (Cronin & Taylor, 1992), cited in (Jain, 2004). A Review
of Measures in Services Marketing Research performance minus customer expectation (P-E) gap
model of SERVQUAL (Cronin & Taylor, 1992), SERVPERF scale has been empirically tested
and confirmed to be a better measure of service quality (Cronin & Taylor, 1992) which was later
approved by (Brown, Churchill, & Peter, 1993). The SERVPERF focused on the fact that
customer satisfaction is the result of service quality. SERVPERF scale was also found to be a
better predictor for assessing purposes and it had higher discriminate validity than that of
SERVQUAL. So, empirical studies have been evaluated that validity, reliability, and

11
methodological soundness of service quality scales are clearly pointed out to the superiority of
the SERVPERF scale. Therefore, because of different reasons in recent years customers have
changed their behaviors and this increase the change in standards to measure performance.

2.1.1.4. Customer Satisfaction

Different scholars define Customer satisfaction in different terms based on different dimensions
like customer’s experience, information, expectation etc…

(Giese & Cote, 2000) state that there is no common definition of customer satisfaction but they
all concentrate around same points, “response like reasoning or emotion helps to identify
customer satisfaction and occurs at a certain point time after consumption takes place. From this
definition, we can conclude that customer satisfaction is determined by consumers experience
while dealing with firms and this is strengthened by (Surshchandar, Rajendran, &
Anantharaman, 2002), the sum of know-how of consumers at the time of consumption in a given
firm helps to define their level of satisfaction.

Customer satisfaction is defined as the feeling of pleasure or disappointment that an individual

can get by comparing the perceived performance or outcome versus his or her expectation
(Ghalib, 2014); (Kotler, 2012); (Cathy & Brian, 2001). According to (Kotler, 2012), if
performance is less than expectations, customers are said to be dissatisfied; if it matches
expectations, customers are said to be satisfied; and if it exceeds expectations, customers are
highly satisfied or delighted. Therefore, Customer satisfaction is both a goal and a marketing tool
for those of customer centered organizations.

There are two concepts of satisfaction; the transaction-specific satisfaction and the cumulative
satisfaction, (Ghalib, 2014). Transaction-specific satisfaction refers to a customer who
experiences a product or service for the first time and how to evaluate it. Whereas, Cumulative-
overall satisfaction refers to how the customer evaluates his or her consuming experience.
Therefore, assessing the post-consumption of products or services used is an agreed
measurement for Customer satisfaction. (Fornell, 1996), define customer satisfaction as
something which is known by overall post-purchase evaluation of the consumer. (Cathy & Brian,
2001) were also defined Satisfaction as a feeling or an outcome, which results from a process of
evaluating what was received versus that of expected, the purchase decision itself and/or the
fulfillment of needs or wants.

12
(Justin, Arun, & Garima, 2016), conceptualized Customer satisfaction as a mental setup by
which customers compare results of their expectations prior to purchase with performance
perceptions after they purchase. Customers are expected to be satisfied when they are happy with
their purchase outcome, achieve their goals, and experience out of any worry. Therefore,
Customer satisfaction is the reaction that consumer’s show after consumption about the gap
between expectations and the actual performance of the product or service. From this we can
conclude that satisfaction is a post purchase response (Tse & Wilton, 1988).

(Zeithaml & Bitner, 2009), approved that satisfaction is the consumers’ evaluation of a product
or service in terms of whether that product or service has met the customers‟ needs and
expectations. Failure to meet needs and expectation is assumed to be result in dissatisfaction with
the product or service. So, customer satisfaction has an effect on the profitability of nearly every
business. Satisfied customers improve business and dissatisfied customers impair Business. So,
customer satisfaction should be monitored and managed like any physical assets of the
organization.

Because, satisfied customers will be empowered to work hard in the country and will generate
more revenue for the government of that country, this in turn will make comfortable working
environment for business. Therefore, satisfied customers are key for long-term business success
(Zeithaml & Bitner, 2000).

As it is approved by many researchers, Customer satisfaction is a useful weapon of retaining and/

or creating loyal customers (Kotler, 2012); (Justin, Arun, & Garima, 2016); (Jonathan, Barsky, &
Nash, 2003). Businesses succeed by getting, keeping, and growing customers, which are the only
reason for anyone to have a business, a company and/or an organization (Kotler, 2012).
Customer satisfaction plays an important role in achieving customer loyalty and profitability
(Jonathan, Barsky, & Nash, 2003). Having higher satisfaction level is a useful way to retain loyal
customers, which in turn helps to get higher profits. This idea was also strengthened by (Kotler,
2012) as a “highly satisfied customer stays loyal longer, buys more as the company introduces
new and upgraded products, talks favorably to others about the company and its products, pays
less attention to competing brands and is less sensitive to price, offers product or service ideas to
the company, and costs less to serve than new customers as transactions become routine”. So, as
we have seen above, different researches indicate that customer loyalty is highly affected by
customer satisfaction (Heskett, Earl, & Leonar, 1997). A loyal customer is willing to repurchase
and reluctant to shift to other firms or competitors in an industry. There is an empirical support
13
for positive correlation between customer satisfaction and loyalty (Dabholkar & Thorpe, 1994).
According to (Anton, 1997), perception of service quality (performance) can be classified into
three zones. Rejection, acceptance and preference by the customer Satisfaction index (CSI).
According to the author if service quality score is above 85%, it falls under preference zone,
between50-84% under tolerance (acceptance) zone and the score below 50% is under the
rejection zone.

2.2. Empirical Review

2.2.1. Relationship between Service quality and customer satisfaction

Customer’s experience measures customer satisfaction, service quality is a contributing factor of
customer satisfaction (Cronin & Taylor, 1992). According to (Oliver, 1997), concerning
customer satisfaction and service quality, satisfaction is comprehensive in concept, but service
quality focuses on dimensions of service. Even if service quality and customer satisfaction have
certain things in common, the concept of customer satisfaction is wider than service quality
which is focused on the evaluation of its dimensions that reflects customer perception of
reliability, assurance, responsiveness, empathy and tangibles. From this concept, we can
conclude that, perceived service quality is an element of customer satisfaction. Satisfaction on
the other hand, is affected by perceptions of service quality, product quality, and price as well as
situational and personal factors.

Therefore, as service quality is not the only factor that affects customer satisfaction,
service/product price and quality can affect customer satisfaction (Zeithaml & Bitner, 2009).
According to (Surshchandar, Rajendran, & Anantharaman, 2002), customer satisfaction should
be multi- dimensional because quality can occur at different stages in an organization.
(A.Pasasuraman, A.Zeithaml, & L.Berry, 1985), stated that when there is high perceived service
quality, then there will be highly satisfied customer. The researcher supports the fact that service
quality is a pointer to customer satisfaction. According to (Lee, Lee, & Yoo, 2000); (Saravanan
& Rao, 2007) the level of service quality delivered by the merchant has a significant impact on
customer satisfaction.

According to (Fen & Meillian, 2005), service quality has a positive influence on customer‟s
satisfaction. From this repurchase intentions presenting that both service quality and customer
satisfaction have direct and central role to play in the sustainability of any business in an
industry. They support the relationship between service quality and customer satisfaction.

14
A study conducted by (Surshchandar, Rajendran, & Anantharaman, 2002), concluded that,
service quality and customer satisfaction are highly inter dependable to each other. The
researcher also indicated that since customer satisfaction express customer’s feelings towards
service provider, it’s easy to measure customer satisfaction than service quality. (Abdissa, 2019)
conducted a study on “the Impact of Service Quality on Customer Satisfaction:” with the
objective to assess the overall level of service quality and customer satisfaction and to investigate
the impact of service quality dimensions on customer satisfaction on Nekemte Municipality,
Oromia, Ethiopia. A conceptual model of service quality dimensions was developed. This study
was used both quantitative and qualitative research design and both primary and secondary data
was employed. A total of 385 respondents taken as a sample customer of the Municipality were
chosen and the questionnaire was distributed to customers of the municipal during office hours
of the week. The collected data was analyzed with the help of SPSS version 23. Correlation and
multiple regressions were used to investigate the relationship between dependent and
independent variables. A finding of this study shows that service quality of customer satisfaction
is below average, and customers are not satisfied with the service provided by the sector. Based
on the finding all service quality dimensions (tangibility, reliability, responsiveness, assurance
and empathy) have significant impact on service quality and customer satisfaction. Except
empathy, all the rest service quality dimensions have positive and significant impact on customer
satisfaction. The researcher founded out that responsiveness has the highest and empathy the
lowest impact on customer Satisfaction. The study concluded that over all service quality of the
Municipality is not good and customers are not satisfied with the services of Nekemte
Municipality office employees. So, providing quality service is an essential way to survive, to
satisfy and retain customers. Finally, he was recommended that the land administration bodies of
the sector should work hard on all service quality dimensions to improve service quality and
customer satisfaction in the sector. The relationship between service quality and customer
satisfaction was also examined by (Navaratnaseelan & Elangkumaran, 2014), using the
SERVQUAL model in one Commercıal Bank of Sri Lanka. When they analyze their collected
data using the inferential statistics; results confirmed that there is a positive and significant
relationship between service quality and customer satisfaction. Service quality and its
dimensions (tangibility, reliability, assurance, responsiveness and empathy) have significant
impact on customer satisfaction. It was also approved that empathy and tangibility are the major
dimensions of service quality.

15
(Hamad & Naintara, 2014), were conducted research to show the relationships in quality services
and their influences on customer satisfaction, brand image and customer loyalty in Pakistan
Hotel Industry. Data was analyzed using Structural equation modeling (SEM) technique. Results
of this study show that there is positive and significant relationship between service quality and
customer satisfaction. Customer loyalty and service quality were also significantly related with
brand image. (Yashodhara, 2017), was conducted research to show the Impact of Service Quality
on Customer Satisfaction in Public Sector Commercial Banks, using the SERVQUAL model by
focusing on one (functional) of the three service quality dimensions that (Gronroos, 1988) was
identified; (technical, functional and image). Results of this study confirmed that human related
factors of service quality (reliability, responsiveness, assurance and empathy), have greater
impact than that of non-human related factors of perceived service quality (tangibles) on
Customer Satisfaction. Reliability and Responsiveness were most influential factors of customer
satisfaction. Finally, the researcher was concluded that service quality has an impact on customer
satisfaction.

(Mubbsher & Mariam, 2014) were conducted research with the objective to determine the impact
of various service quality dimensions on customer satisfaction and customer loyalty in banking
sector of Pakistan. Service quality was measured using the SERVQUAL model with the five
dimensions (tangibles, reliability, assurance, empathy and responsiveness) by taking all except
Responsiveness. Results indicated that service quality and all its dimensions (reliability,
tangibles, assurance and empathy) have positive and significant association with customer
satisfaction and customer loyalty. It was also confirmed that, service quality is the main
contributory factor for customer satisfaction and customer loyalty.

(Sivapragasam & Vasanthakumar, 2015), were conducted a research study to show the impact of
service quality on customer satisfaction and customer loyalty in HSBC bank, Srilanka. Results of
this study explained that, individual service quality dimensions have positive relationship with
customer satisfaction. Responsiveness and empathy were founded as the main and key factors of
customer satisfaction followed by assurance, reliability and tangibility. It was also concluded
that, the overall improvements of service quality would raise the customers’ satisfaction. It’s also
confirmed that customer loyalty is affected by service quality and customer satisfaction.

According to a study conducted by (Ghalib, 2014), three service quality dimensions (Tangibility,
Assurance and responsiveness) have positive relationship with customer satisfaction, but four of
them (Assurance, responsiveness, Reliability and empathy) did not have significant impact on
16
customer satisfaction. Tangibility on the other hand, has high significance level with customer
satisfaction.

(Justin, Arun, & Garima, 2016), examines the impact of different service quality variables on the
overall customers‟ satisfaction and compare private and public sector banks in India. Service
quality factors were measured using the SERVQUAL model. Results of this study indicated that;
Service quality factors (knowledge of products, response to need, solving questions, fast
services, quickly connected to the right person and efforts to reduce queuing time in the private
sector banks) have a positive impact on the Overall customer Satisfaction; pleased to be assisting
you, appearance, and follow up, however, has no impact on the Overall customer Satisfaction.
knowledge of the product and fast service in the public sector banks have a positive impact on
Overall customer Satisfaction; Appearance (tangibles), on the other hand, has no impact on the
overall satisfaction of customers. Response to needs in the private sector banks and Knowledge
of the product in the public sector banks has the highest impact on the overall customers‟
satisfaction; appearance and follow up (tangibles) in both sector banks have no impact on the
overall customer satisfaction. Generally, they were concluded that, except tangibles, the rest four
service quality factors (reliability, responsiveness, empathy, and assurance) are contributing to
customer satisfaction.

A research study conducted by (Tilahun, 2017) which was aimed to identify relationships
between expected and perceived service if any, to explain service quality dimensions, to
investigate the effect of service quality dimensions on customer satisfactions and to evaluate the
satisfaction level of customers on Ethiopian revenue and customs authority. Results of this paper
show that all service quality dimensions have negative relationship between expected and
perceived service with the highest gap score in assurance, reliability, responsiveness, tangibility
and empathy respectively. So, in this study assurance and empathy has highest and lowest
perceptions respectively. Coming to the relationship between service quality dimensions with
customer satisfaction: there is strong and significant correlation between them. In this case
responsiveness is highly correlated while, tangibility is least correlated with customer
satisfaction. It is also found that reliability, responsiveness and assurance respectively have
highest effect on customer satisfaction, and empathy and tangibility on the other hand, have no
significant effect on customer satisfaction. Finally the researcher concluded that the perceived
service is below the expected service by the customers and this in return shows us that customers
of the sector are not satisfied by the service quality dimensions provided.

17
In the study produced by (Kiros, 2013) the service delivery practices in Ethiopian revenue and
customs authority were assessed. Results of this research paper show that there is poor quality
service in the public sector which in return affects the satisfaction level of customers. So, the
researcher was concluded that the customers of Ethiopian revenue and customs authority are not
satisfied by the quality service delivered, as their compliant handling mechanism is poor,

Therefore, as we have seen from the previous studies, there are direct relationships between
service quality and customer satisfaction. There is also a significant relationship between service
quality dimensions and customer satisfaction.

2.3. Conceptual framework model

Some researchers argued that these ten dimensions of SERVQUAL are overlapping and give the
same meaning. So, (Parasuraman, Zeithmal, & Berry, 1988) redesigned the SERVQUAL scale,
and reset it into five dimension of service quality: loyalty, responsiveness, tangibles, assurance,
and empathy. (Fitzsimmons & Fitzsimmons, 2006), also support the scale represented by
(A.Pasasuraman, A.Zeithaml, & L.Berry, 1985). (Bateson & Hoffman, 1999), stated that as per
SERVQUAL scale, the result from each dimension of consumers’ expectation and consumers’
perceptions are compared to evaluate the gap in scores between the two components; so that the
firms’ level of service quality can easily be defined. For instance: the higher the gap, the lower
the service quality estimation; the lower the gap, the higher will be the service quality estimation.

This study was conducted to explain the impact of service quality on customer satisfaction with
in the context of Addis Ababa city Government Revenues Bureau Lideta Branch office. In order
to specify the main focus of the study and develop a strategy to the research topic, the following
conceptual framework was drawn. The conceptual framework model (as shown below in the
figure 1) shows the five service quality measurements and improvement strategies. Therefore,
the service quality measurements and improvement strategies at A/A/C/G/R/B/ Lideta branch
office on its taxpayers’ service quality was measured using the five service quality dimensions
(SERVQUAL model), which are; Tangibility, Reliability, Responsiveness, Assurance and
Empathy.

18
 Figure 1 Conceptual Framework

Service Quality Measurements

 Tangibility
 Customer
 Reliability
 Responsiveness Satisfaction
 Assurance
Source:
Cronin
Empathyand Taylor (1992)

Source: Cronin and Taylor (1992)

19
 CHAPTER THREE

RESEARCH DESIGN AND METHODOLOGY

3.1. Research Approach

This study has employed the quantitative research approach. This approach enables us to conduct
the research using quantitative measurements. Therefore, the researcher has conducted this study
by collecting all the necessary quantitative data from the customers (tax payers) of Addis Ababa
city government revenues bureau, Lideta branch office.

3.2. Research Design

According to (Kothari, 2004), a research design is the arrangement of condition for collection
and analysis of data in a way that target to combine relevance to the research purpose. It includes
a plan of what the researcher did starting from writing the question and its implications to the
final analysis of the data. Thus, it provides a framework for data collection and analysis.

This study will be conducted using two types of research designs; the descriptive and the causal
(explanatory) research designs. The study has used descriptive to assess the service quality level
towards improvement strategies of Addis Ababa City government Revenues Bureau Lideta
branch office.

3.3. Sampling Design and Procedure

3.3.1. Target Population

The target population for the study will be Addis Ababa city government revenues bureau Lideta
sub city branch tax payers, I.e. the large (Category ‘A’), the middle (category ‘B’) and the small
(Category ‘C’) taxpayers. The researcher will be used these tax payers as a target population to
carry out the study.

3.3.2. Sampling technique and sample size

Since the type of the tax payers in each category are not homogeneous and to address all the
categories the researcher will be a Probabilistic sampling technique which is stratified sampling
by considering the categories as strata. And to distribute the questionnaire in each stratum,
simple random sampling method was undertaken. This was applied by using the proportion of

20
tax payers in the sub city under each ten (10) Woreda and also the proportion of the selected
samples and then collects the data from these proportions.

In principle, perfect information about population could be obtained from census study, but due
to the reason that total population size of the study is larger and difficult to manage, the
researcher was forced to take samples and the investigation has been conducted on samples.

Sampling is one of the methods, which help to select samples or portion from the population.
With a 95% level of accuracy, samples were selected from the total tax payers using the sample
size determination formula developed by (Biruk, 2017) to calculate the required sample size
from the total tax payers as follows;

Where

n = sample size

N = population size

e = margin of error (0.05) or maximum tolerable error.

3.4. Sources of Data

To gather appropriate and reliable data for the accomplishment of this study, the researcher has
used both primary and secondary data sources.

3.4.1. Primary source

It is clear that data obtained from primary source is first hand and gives the right information
because no one manipulate or used the data before, the Primary data will be obtained through the
designed questionnaire.

3.4.2. Secondary source

If obtaining primary data is impossible or difficult or as per the area of study, a secondary data
may be used. Data’s obtained from secondary sources are second hand and which someone has
manipulated it before. But secondary data has also some benefits like economical advantage.
Due to these and other reasons, secondary data was incorporated in this study to make the data
that has been gathered and analyzed based on which the inference to be sound full analysis and
21
in order to strengthen the results what has been gathered in the primary data. This secondary data
information was incorporated not by analyzing the secondary data itself, rather by reviewing all
the necessary documents obtained from Addis Ababa city government revenues bureau Lideta
branch office, like broachers, annual reports and branch office data base of the taxpayers. In
addition to this, other relevant documents, like research books, research studies, journals,
articles, internet information concerning the organization, empirical findings to get better insight
about service quality, customer satisfaction and their relationships was also included under this
secondary source of data for the strengthen of the study.

3.5. Data Collection Methodology

As it is mentioned above, the study will be undertaken using both primary and secondary data,
where the primary data will be collected from the sample tax payers of Addis Ababa city
government revenues bureau Lideta branch office using a personally administered questionnaire.
The questionnaire will be arranged in a close ended (quantitative) form question, in which the
sample tax payers were asked to rate each statement under the questionnaire using the five-point
Likert type scale of (1) strongly disagree, to (5) strongly agree (Gerald, 1997). The secondary
data on the other hand, will be collected from written documents such as broachers, annual
reports, customers’ data base, books, research studies and journals in order to reaffirm the result
findings and to strengthen the whole study.

3.6. Data Analysis Methods

After the appropriate data collected using the designed questionnaire, it was carefully organized
and analyzed by encoding each item using the statistical package for social sciences (SPSS)
version 22. As it has been described on the data source, the type of data that were gathered from
the respondents was Likert scale data on the service quality level of tax payers towards service
quality. When the questionnaire designed, there were multiple questions under each service
quality dimensions to measure them. And therefore, the analysis was done first by calculating
(transforming) the mean of each question for all respondents. All the descriptive information on
the quantitative data which includes, background information of respondents, mean, frequency,
percentage and standard deviations were analyzed using descriptive statistics. The regression
analyses on the other hand, will be conducted to check the service quality and to identify
improvement strategies by using the inferential statistics.

22
 3.7. Validity and reliability

3.7.1. Validity
According to (Saunders & Lewis, 2007), the degree to which the data collection methods help to
collect the accurate data as planed is known as Validity. The population of this study is the
customers (tax payers) of Addis Ababa city government revenues bureau from Lideta branch and
for 95% level of accuracy or 5 % tolerable error, the sample (portion) is adequate to draw
inference about the whole observations.

3.7.2. Reliability
Reliability measures the consistency level of tools that used to conduct a test. For this purpose,
the researcher has conducted different test statistics to check the reliability of the model and
analysis tools. And therefore, first the values are transformed by calculating their mean, so as to
check the normality of the data. However, the test result for Kolmogorov-Smirnov a and Shapiro-
Wilk has indicated that the data are not normal, since the p-values are less than 0.05 for all
variables and we fail to reject the null hypotheses. Once again the data was transformed into its
log form to run the normality test. But again, the P-value is less than 0.05 for the data that has
been transformed for the second time to its log form indicating that the data is not obtained from
a population with normal distribution.

3.8. Research Ethics

Since the emergent of the concept of ethics and social accountabilities; nowadays the intention of
considering ethical issues to incapacitating unethical acts in business researches rise up. For the
sack of the respondents all the data gathering process will be politely, secretly and no need of
personal identity unless they want to reveal themselves. And all the data are stayed as they are.
At the times of data collection, manipulating or pushing respondents to get data will be
unacceptable. The data was gathered using questionnaire, which formerly designed in an English
language and then by translated it in to Amharic language, in order to be simply understandable
by the sample respondents and also by returning it in to English language. Finally, the collected
data (information) is used only for the purpose of the researcher’s Master’s Degree
accomplishment

23
 3.2. Work plan and budget

3.2.1. Plan of activities

This research work is to be carried out according to the following tentative action or schedule is,
however subject to change in any case problems beyond the scope of the researcher are
encountered.

Table 1Plan of activity

S/ Activities Duration
N

1 Problem defining & literature finding, Title September 15,2024- September

selection 20,2024

2 Preparation of draft research proposal September 20, 2024-September 25,

2024

3 Review of draft research proposal by research September 26,2024 – October

advisor 16,2024

4 Submission of final research proposal October 17,2024-October 20,2024

5 Collecting feedback from advisor October 21,2024 – October 28,2024

6 Questionnaire preparation & translation October 29,2024- November 2,2024

7 Data Collection November 2,2024-November

12,2024

8 Data Analysis and interpretation November 13,2024-November

25,2024

9 Draft report preparation November 26,2024 – December

05,2024

10 Draft report submission December 06,2024 – December 12,

2024

11 Final report submission December 13,2024-December

18,2024

24
 3.2.2. Budget Cost breakdown of the study
An indicative plan for the budget/ or logistics requirement for the execution of these research
work is summarized and presented below in the form of categorical cost breakdown

Table 2 Budget breakdown of the study

Major Activities Item Quantity Unit cost Total cost

Equipment and Paper 2 Packs/Desta 500.00 1000.00

stationary
Pens 5 35.00 175.00

Pencil 2.00 10.00 20.00

Print 150pages 5 birr 750.00

Copy 450pages 2 birr 900.00

Binder 2 200.00 400.00

Bag 1 1000.00 1000.00

Subtotal 4245.00

Personal cost Transportation 15 trips in town 40.00 600.00

Internet 35hrs 20birr 700.00

Subtotal 1300.00

Overall total cost 5545.00

25
 Reference
A.Nitecki, D., & Hernon, P. (2000). Measuring service quality at Yale University's libraries. The Journal of
Academic Librarianship 26(4), 259-273.

A.Pasasuraman, A.Zeithaml, V., & L.Berry, L. (1985). A conceptual Model of service quality and its
implications for future research.

Biruk. (2017). Infrastructure Development and Economic Growth in Ethiopia.

Fornell. (1996). The American Customer Satisfaction Index: Nature,purpose and findings.

Gronroos. (1984). A service quality model and its marketing implications . European Journal of
Marketing,18, 36-44.

Jonathan, Barsky, & Nash, L. (2003). Customer satisfaction: applying concepts to industry-wide
measures. 173-183.

Jonathan, Barsky, & Nash, L. (2003). Customer satisfaction: Applying concepts to industry-wide
measures.

Justin, Arun, & Garima. (2016). Impact of service quality on customer satisfaction in private and public
sector. International Journal of bank Marketing.

Kotler. (2012). Marketing Manegement.

Ladhari. (2009). Service quality,Emotional satisfaction, and Behavioural intensions: A study in the Hotel
Industry. Managing service quality: . International journal,19, 308-331.

Loke, S., P, ,., H.M., & Downe, A. (2011). Service quality and customer satisfaction in Telecommunication
service provider. International Conference on Financial Management and Economics(Vol.11), 24-
29.

Mosahab, R., Mohamad, O., & T.Ramayah. (2010). Service quality,customer satisfaction and loyalty: A
test of mediation. International Business research 3(4).

Seth, N., Deshmukh, S., & Vrat, P. (2005). Svice Quality Models: A review . International Journal of
Quality and reliablity management,22, 913-949.

26
Surshchandar, Rajendran, & Anantharaman. (2002). The relationship between service quality and
customer satisfaction-A factor specific approach . Journal of services Marketing,16, 363-379.

Tse, D., & Wilton, P. (1988). Models of Consumer Satisfaction Formation: An Extension . Journal of
Marketing Research,25, 204-212.

Zairi. (2000). Managing Customer dissatisfaction through effective complaint management systems.

Zeithaml, & Bitner. (2000). Services marketing: Integrating Customer focus across the firm.

Zeithaml, & Bitner. (2003). Services Marketing: Integrating Customer Focus accross the firm.3rd edition .

Zeithaml, & Bitner. (2009). Services Marketing: Integrating Customer Focus across the firm(5the edition).

Zeithaml, Parasuraman, & Berry. (1990). Delivering Quality Service: Balancing Customer Perceptions and
Expectations.

27
 APPENDIX I
QUEEN’S COLLEGE

This questionnaire is prepared to gather information on the Service Quality Measurement and
Improvement Strategies in case of Addis Ababa City Governments Revenues Bureau Lideta sub
city Branch Office. The purpose of this study is to collect data for the evidence which would
support to write a research paper for academic purpose .Your input is very important to the
researcher. Hence, you are kindly requested to fill this questionnaire to achieve the grand
objective of the study. Your response will be kept highly confidential and used only for this
research.

I thank you very much in advance for participating in this survey and providing your thoughtful
feedback. If you have any questions or comments please contact by the following address Tel-
+251913652137

Part I
Personal information

Please read each question carefully and tick in the box corresponding to the response that
most accurately represents your view.

1. Sex: - Male Female

2. Age group: - Below 25 26-35 36-45 46-55
Above 56
3. Academic qualification – Primary Education High School
College diploma
Bachelor’s Degree Master Degree and above

28
 4. Tax payer category :- Large tax payer(Category ‘A’)
Medium tax payer (Category ‘B’)
Small tax payer (Category ‘C’)
5. Are you regularly in contact with the A/A/C/G/R/B/Lideta Branch office as of its tax
payer? Yes No
6. How many times did you come to the A/A/C/G/R/B/Lideta Branch office in a year,
approximately? Once a year Twice a year
7. How many times did you come to the A/A/C/G/R/B/Lideta Branch office in a year,
approximately? Once a year Twice a year Quarterly
Monthly More than one times a month

Part II
Keys: Strongly Agree (SA=5), Agree (A=4), Neutral (N= 3), Disagree (DA=2), Strongly
Disagree (SDA=1) Please insert a tick mark where you think is appropriate in the space provided
in front of the statement

No Service quality measurements SDA=1 DA=2 N=3 A=4 SA=5

1 Reliability
1.1 A/A/C/G/R/B/Lideta Branch’s employees provide their
services at a time they promises to do so.
1.2 When you as a customer face a problem,
A/A/C/G/R/B/Lideta Branch shows a sincere interest in
1.3 A/A/C/G/R/B/Lideta
solving your problem.Branch performs the service you need
right first time.
1.4 A/A/C/G/R/B/Lideta Branch provides services at scheduled
times as promised
2 Tangibility
2.1 A/A/C/G/R/B/Lideta branch office is well organized and has
modernized working equipment.
2.2 The physical facilities (office furniture, reception and waiting
place) are visually comfortable, clean and attractive.

2.3 Appropriate appearance of service delivering employees in

the branch office.

29
2.4 Convenient service rendering facilities like information
desks, pamphlets, office layout and location are comfortable
and visually appealing in the branch office.
3 Responsiveness

3.1 Employees of A/A/C/G/R/B/Lideta Branch office are well

informing you when they serve you.
3.2 Employees of A/A/C/G/R/B/Lideta Branch office give you a
prompt service.
3.3 Employees of A/A/C/G/R/B/Lideta Branch office are always
. willing to help you.
3.4 Employees of A/A/C/G/R/B/Lideta Branch are never too
. busy to respond your requests.
4 Assurance
4.1 The employees’ of A/A/C/G/R/B/Lideta Branch confidence
in providing services to you
4.2 Your feeling of Safety in your service delivery time with the
A/A/C/G/R/B/Lideta Branch office.
4.3 The consistency, courteousness and respectfulness of
A/A/C/G/R/B/Lideta Branch office’s employees with you.
4.4 Employees of the A/A/C/G/R/B/Lideta Branch office have
. full knowledge to answer your tax related questions.
5 Empathy
5.1 The A/A/C/G/R/B/Lideta Branch office gives you an
attention when providing a service that you need.
5.2 The working hours of A/A/C/G/R/B/Lideta Branch office are
convenience to you.
5.3 The A/A/C/G/R/B/Lideta Branch office treating you in a
careful and respectful way.
5.4 A/A/C/G/R/B/Lideta Branch office has employees who give
enough personal attention to their customers.
5.5 The A/A/C/G/R/B/Lideta Branch office’s employees have good
understanding and cooperation with the specific service that you
need.

30
 6 Please rank the following Service quality dimensions that
you need to be improved by the A/A/C/G/R/B/Lideta Branch
office based on their respective importance to ensure your
service delivery satisfaction.

6.1 Reliability - ability to perform the promised service

dependably, timely and accurately
6.2 Tangibility - appearance of physical facilities, equipment,
and employees
6.3 Responsiveness - willing to help and provide prompt service
6.4 Assurance - knowledge , credibility and courtesy of
employees
6.5 Empathy - provision of individually caring, easy access,
good communication and attention to taxpayers

Thank You!!!

31