PASSENGERS PERCEPTION TOWARDS SERVICE QUALITY IN TAMILNADU STATE TRANSPORT CORPORATION (KUMBAKONAM) LIMITED, KUMBAKONAM

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1 PASSENGERS PERCEPTION TOWARDS SERVICE QUALITY IN TAMILNADU STATE TRANSPORT CORPORATION (KUMBAKONAM) LIMITED, KUMBAKONAM D. Paul Dhinakaran, Ph.D Research Scholar, Department of Commerce, Annamali University, Annamali Nagar , Tamil Nadu, India. Dr.M.Rajarajan, Assistant Professor and Research Advisor, Commerce Wing, DDE, Annamali University. Annamali Nagar, Tamil Nadu, India. ABSTRACT Roads and highways are considered as veins and arteries of a transported are likened to blood in circulation, enlivening economic activity of the country. Tamil Nadu has a well established transportation system that connects all parts of the state. The Government of Tamil Nadu is one of the first States to take a bold decision of encouraging the public sector co-operation for bolstering the infrastructure of the State. The road network of the Tamil Nadu has been influencing considerably passengers perception, service quality, access to social responsibility and above all the quality of life. Generally, the passengers have various problems in traveling in public sector bus transport service and this study is focused to measure the various problems and suggest ways to reduce problems and to provide higher perception, in addition to identifying the level passengers perception towards service quality in Tamilnadu state transport corporation (Kumbakonam) limited, Kumbakonam. Key words: Passengers Perception, Service Quality, social responsibility INTRODUCTION Today the services of firms are being rendered to the society on a competition basis in every marketing environment and everywhere in the world. The services provided in different economic conditions also differ. In the Indian economy, service is provided by both the public sector and the private sector. Basically, the service of the private sector is comparatively better than the public sector. In such circumstances, the public sector passenger transport corporation services to general public are higher than those of the private passenger transport in Tamilnadu. To what extent is the service provided by an organization quantitative is the sole question among the passengers and, at the same time, is the basic objective of the present study. The transport is playing an important role in the economic development of the country by creating employment opportunities and performing national economic activities. Transport is the channel of social and economic interaction involving the physical movement of people and goods. The question of service quality has been an essential strategic component for service expectations like passenger transports attempting to succeed and survive in the current competitive environment. The Page 170

2 SERVQUAL model focuses on the difficulty in ensuring high quality service for all passengers in all situations. SERVQUAL methodology is an analytical approach for evaluating the difference between passengers perception and expectations of service quality. IMPORTANCE OF THE STUDY The survival of any service industry depends on how well they serve and satisfy their passenger. A satisfied passenger is always the biggest asset of any service industry. Especially, with the advent of private and global players into this market, the competition has become still more shift. Therefore Tamilnadu state transport corporation also has to improve its services in order to service. STATEMENT OF THE PROBLEM Transport sector occupies a place of pivotal importance in Indian economy. The tremendous growth in transport sector has expanded trade, commerce and industries phenomenally. Technological advancement has resulted in newer vehicles with advanced features in the buses. Burgeoning gap between expectation of passengers and existing level of facilities and convenience offered in the buses have a definite bearing on the service quality in bus transport sector. Besides, the numbers of buses are not adequate in proportion to phenomenal growth in population. The non - revision of bus fares in most of the State Governments for a long time and the ever growing establishment cost do not allow the various bus corporations to offer additional facilities either in the existing buses or in the new ones added. Massive corruption in the public transport corporation is one of the reasons for their inability to renew and maintain the existing fleet in a good shape. However, the private sector bus companies are able to maintain their fleet in a good condition due to their ability to reduce establishment cost by offering poor pay without any welfare measures whatsoever for the bus crew. Private bus operators are focusing a great deal on adding more physical features to the buses, like seat comfort, responsive bus crew, interior entertainment like audio - video facilities, speed, cleanliness etc. Though the bus fare in Tamilnadu has been reduced manifold, the service quality of public transport corporation is said to be far from satisfaction, while long distance private operators attract the passengers by investing heavily on various physical features in the buses, thereby registering a handsome profit. Hence profitable operation of buses under the fold of TNSTC assumes significance. If the corporation knows the service gap it can fine tune the services to the satisfaction of passengers. The present study seeks to explore what the passengers using public transport corporation in Kumbakonam perceive in general, and in specific about the various aspects of the services provided by the corporation in particular. In other words, the entire study explores whether Transport Corporation in Kumbakonam measures up to the expectation of passengers, and if not, what problems hinder the Corporation in Kumbakonam from providing quality service. This is the research problem pursued in the study. SCOPE OF THE STUDY This study mainly focuses on the passengers perception towards service quality of TNSTC (K) Ltd. This research is mainly from the primary data and the secondary data availed from the respective corporation and the government policy note under the department of transport. The data are also to be availed from the CIRT, Pune. Passenger s service quality of the TNSTC (K) questionnaire from the passengers point of view is framed for this research. Page 171

3 OBJECTIVES OF THE STUDY The study has the following specific objectives: 1. To analyse the factor influencing passengers perception of the quality of service provided by the corporation. 2. To assess the level of social responsibility of the sample corporation. METHODOLOGY The study involves collection of primary and secondary data. The primary data for the study were collected through personal questionnaire of the passenger respondents during the period between January 2013 to June The questionnaire was divided into four parts. Part I elucidates the personal data of the respondents. Part II. Transport usage profile, part III. Passengers Perception Scale, IV. Passengers Service Quality The secondary data were collected from published records such as performance statistics of STUs published by Central Institute of Road Transport (CIRT), Pune, Annual Reports of TNSTC (K) Ltd, Government reports and published books and journals to review the performance of STUs in India, Tamil Nadu and TNSTC (K) Ltd and unpublished Ph.D theses on the subject. The present research work is a descriptive and analytical study based on empirical observations and comprehensive survey. In order to study the Passengers Perception towards Service Quality in Tamilnadu State Transport Corporation Kumbakonam Ltd (K) the researcher has used both primary and secondary data. SAMPLING DESIGN Stage: 1 The passengers travelled in the TNSTC (K) are 10, 616, 57 as per the previous year ( ) records. Thus, the researcher is considering the proportionate stratified random sampling. The minimum sample size has been determined on the basis of the formula used. As per the methodology of the study, the respondents were identified as under optimum sample size method from the population of passengers travelled in Kumbakonam 10, 616, 57 as on March Table-1 Passengers Travelled in Tamilnadu State Transport Corporation Kumbakonam Ltd S.No Divisions No. of Passengers A % B (A/T1x100) Selection of Sample (T3 x B/100) 1. Kumbakonam 3,40, Trichy 4,07, Karikudi 1,90, Pudukkottai 1,22, Total Source: Secondary data 10,616,57 T1 100 T2 384 T3 Page 172

4 The formula is for optimum sampling method: where : n = 2 x N x P x (1-P) / (ME 2 x (N-1)) + ( 2 x P x (1-P) 2 = Chi-Square table at 1 per cent degree of freedom (Value 99 per cent confidential, 95 per cent confidential) = 3.84 N= Population = 10, 616, 57 P= 0.5 ME 2 = = 2.5 n=3.84(10, 616, 57*0.5)0.5/ (2.5 * 10, 616, 57) + (3.84*0.5)*0.5 = / = 0.384X100 =384 Stage 2: For the selection of branch managers, the census methods here adopted. 52 managers were selected for the purpose of the study. Table-2 Branches in Tamilnadu State Transport Corporation, Kumbakonam Ltd (K) S.No Divisions No. of Branches Selection of Samples 1. Kumbakonam Trichy Karaikudi Pudukkottai 6 6 Total Source: Secondary data FACTORS ANALYSIS OF PASSENGERS PERCEPTION Factor analysis is used for data analysis collection: it is applied on several variables to reduce them into predominant factors. It explains the variables on individual factors and respective variables loaded in the form of correlation coefficient value. Communalities The extraction communalities are useful as these are obtained using the extracted factors. Extraction communalities for a variable give the total amount of variance in that variable, explained by the all the factors. If a particular variable has more communality, it means that the extracted factors are able to explain low variance in that variable may be more concentrated. If a particular variable has low communality, it means that the extracted factors Page 173

5 are not able to explain much variance in that variable. Such variable may be dropped from analysis. The main purpose of this exploratory factor analysis is to extract predominant factors of passengers perception towards service quality in TNSTC (K). The application of Principal Component Factor Analysis is presented below. Table 3 KMO and Bartlett's Test Kaiser-Meyer-Olkin Measure of Sampling Adequacy..893 Bartlett's Test of Sphericity Approx. Chi-Square 3.280E3 Df 496 Sig..000 Source: Computed from primary data. From the Table 1-3 of KNO and Bartlett s Test it is found that the sampling adequacy value and the Chi-Square value for Bartlett s Test of Sphericity are statistically significant at 5% level. This means that the 32 variables relating to passengers perception scale are adequate in demonstrating its concept and the sampling distribution is also normal to explain the characteristic features of the different scale. The following Communality table explains the Variances of decision making scales of passengers perception. Table-4 Communalities Initial Extraction Frequent on all the routes Properly maintained Much comfort inside the bus while travelling Waiting sheds are available at appropriate arrangements and conditions Bus stands are properly maintained First-aid boxes are available in the buses Protection is provided Entertainment is provided Bus fare is same for private and Government Bus fare is reasonable for every class of passengers Bus tickets are easily available in printed form Passengers are treated properly Departure and arrival time is maintained Stopping at unauthorised places is avoided Reaching terminus no passengers travelled No cancellation of buses/trips Page 174

6 Deviation Break-down is not frequent Break-down services are done immediately Collision with private bus crew frequently Bus crew follows traffic rules Speed of the buses has been increased Speed has been maintained Safety in travel Accidents are not frequent Attending to complainants regularly crew towards the passengers is maintained Tickets and return the balance properly Delay due to checking ticketing Good relationship is maintained Overloading is avoided Boarding in a long distance Source: Computed from primary data. Extraction Method: Principal Component Analysis. From the Table - 4 it is found that the variance of the 32 variables of passengers perception scales ranges from to This implies that the passengers perception varies from 40% to 72%. The upper limit of the variance is statistically significant and the implication of properly segregated predominant factors is expressed in the table below. It means that the extracted factors are not able to explain much variance in that variable. Such variable may be dropped from the analysis. Page 175

7 Table -5 Total Variance Explained Component Total Initial Eigenvalues % of Variance Cumulative % Extraction Sums of Squared Loadings Total % of Variance Cumulative % Rotation Sums of Squared Loadings Total % of Variance Cumulative % CPQ CPQ CPQ CPQ CPQ CPQ CP Q CPQ CPQ CPQ CPQ CPQ TPRBQ TPRBQ TPRBQ TPRBQ4 TPRBQ TPRBQ TPRBQ TPRBQ SRTQ SRTQ SRTQ SRTQ SRTQ SRTQ CBQ CBQ CBQ CBQ CBQ CBQ Extraction Method: Principal Component Analysis. Source: Computed from primary data. Page 176

8 From the Table-5 it is found that the 32 variables are reduced into 9 major factors with Eigen values 2.297, 2.267, 2.134, 2.029, 1.978, 1.977, 1.975, and that are statistically significant. The 9 major factors also possess significant individual values 7.179, 7.083, 6.669, 6.341, 6.180, 6.178, 6.171, and with total cumulative variance This clearly indicates the very existence of 9 major factors with their respective variable loadings as expressed in the table given below. Table-6 Factor analysis of passengers perception S.NO Variable CPQ TPRBQ SRTQ CBQ CPQ CPQ TPRBQ CBQ SRTQ SRTQ CBQ CBQ CPQ CPQ CPQ CPQ TPRBQ TPRBQ TPRBQ TPRBQ TPRBQ TPRBQ SRTQ SRTQ CBQ CBQ CPQ CPQ CPQ SRTQ CPQ CPQ Source: Computed from primary data. Page 177

9 From Table 6 it is clear that there are nine factors to be considered for Passengers Perception towards service Quality in TNSTC (K) Ltd.) Factor 1 (F1) The selection of services quality influenced by the bus tickets are easily available in printed form though electronic machine (0.682). Departure and arrival time are maintained as per the schedule (0.438). Bus crew follows traffic are rules (0.486). Behaviour of the crew toward the passengers is maintained (0.528). These are the items with high loadings on Factor I. The above items refer to criteria in which passengers perception of the TNSTC (K). Hence the Factor I is best one bus tickets are easily available and in printed form though electronic machine. Factor II (F2) In the second factors, bus fare is reasonable for every class of passengers (0.659). All the passengers are properly treated and there is no discriminations in terms of poor, rich, seniority, disability (0.514). No cancellation of buses/trips (0.519). Issue of tickets and returning the balance properly (0.583). As the above items refer to passengers perception, factors II is best one bus fare is reasonable for every class of passengers. Factor III (F3) The third chapter accidents are not frequent to TNSTC (0.263). Attending to complainants regularly (0.456). Delay due to checking ticketing (0.646). Overloading of passenger is avoided (0.578) and highest significant positive loadings. As above items relate to passengers perception by the TNSTC (K). Hence factors III is best one accident are not frequent to TNSTC. Factor IV (F4) In the fourth factor, the buses are properly maintained in terms of cleanliness, lighting facility, and windows locking facility (0.76). Bus stands are properly maintained in terms of food, shelter, washroom, toilet, facilities (0.339). Protection is provided in terms of unfavourable weather conditions, high speed, winds, and heavy rain (0.406). Bus fare is reasonable for every class of passengers (0.616), have the highest factor loadings. As the above items are related to passengers perception TNSTC (K). Hence a factor IV is best one is the buses are properly maintained in terms of cleanliness, lighting facility, and windows locking facility. Factor V (F5) In this fifth factors reaching the terminus even though no passengers travelled (0.62). Deviation from regular route to other routes is prevented (0.685). Collision with private bus Page 178

10 crew frequently due to time schedule (0.354) have the highest loadings. As the above variables relate passengers perception TNSTC (K). Hence factor V is best one reaching the terminus even though no passengers travelled. Factor VI (F6) In the sixth factor stopping at unauthorised place/ Non-stopping at authorised place are avoided (0.425). Break-down is not frequent to this corporation (0.509). Break-down services are done immediately (0.745). Consistency of the speed has been maintained (0.418) have significantly positive loadings. As these items are the passengers perception TNSTC (K). Hence factor is best one stopping at unauthorised place/ Non-stopping at authorized place are avoided. Factor VII (F7) In the seventh factor, safety in travel by TNSTC is assured (0.618). Good relationship is maintained between driver and conductor (0.675). Allowing time for boarding in a long distance (0.644) has the highest loadings. As the above variables relate to passengers perception TNSTC (K). Hence factors VII is best one safety in travel by TNSTC is assured. Factor VIII (F8) In the eighth factor, waiting sheds are available at appropriate stands with proper seating arrangements and conditions (0.488). First-aid boxes are available in the buses with sufficient medicine (0.741). Entertainment is provided in terms of FM radio, TV. (0.532). Speed of the buses has been increased (0.361) have significantly positive loadings. As these items are passengers perception TNSTC (K). Hence factor VIII is best one waiting sheds are available at appropriate stands with proper seating arrangements and conditions. Factor IX (F9) In the ninth factor, availability of the buses frequent on all the routes (0.674). You feel very much comfort inside the buses while travelling (0.473) have the highest loadings. As the above variables relate to passengers perception of TNSTC (K). Hence factor IX is best on availability of the buses frequenting on all the routes. Page 179

11 Table -7 ANOVA of Corporation and Social Responsibly of TNSTC (K) Cluster Error Factors Mean Mean Square Df Square df F Sig. Concession to students Concession to specified categories Driving buses uneconomic routes Peak Hour Services extended Late night services provided Early morning service provided Special buses operated during festival seasons Special buses operated during Govt Exams The F tests should be used only for descriptive purposes because the clusters have been chosen to maximise the differences among cases in different clusters. The observed significance levels are not corrected for this and thus cannot be interpreted as tests of the hypothesis that the cluster means are equal. There should be uniformity in the frequency of buses. Proper maintenance of buses and bus stands should be required to retain the existing and attracting the new passengers for the survival of transport industries in the long run. All buses can have radio/ music system or provision for video to be played. So that the passengers don t feel the stress & strain while travelling. First aid facilities have to be made both in bus stations and in buses. The first aid boxes need to have general medicines which have to be checked and if medicines expire, they to be replaced with new ones. The time table boards showing timings of arrivals and departures of buses should be prominently displayed and corrected when ever required. The boards should be clear and legible, simple abed precise to see, so that there will be no confusion to passengers. Additional security personnel have to be deployed at all key junctions and at place where there is more of passenger traffic. The conductors need to bring more coins /change to return to the passengers then and there instead of using abusive words. Page 180

12 Sanitation officers should be appointed in different bus depots, to inspect and check the hygienic Conditions in and around the bus depots as well as annual awards should be announced to the cleanest bus depot. Provision of more number of buses to cover interior places and village areas. This also should be done during peak hours of travel to avoid over crowd and accidents due to that. Wheel chairs have to be made available in the bus station premises so that the elderly and physically challenged persons will not have the trouble of walking distances in the bus station premises. The wheel chairs have to be made available at the entrance and suitable ramps have to be built where ever necessary. Certain benches and or seats have to be reserved for the elderly or aged people and also for physically challenged persons. The benches/ seats have to be painted to indicate that the seats meant for them. REFERENCE 1. Anand Swaroop Behra, Methodologies for Augmentation of Bus Services on existing Routes in STUs, Journal of Transport Management, September 1991, Pune CIRT, pp Carapeties C. et al., The Supply and Quality of Rural Transport Services in Developing Countries A Comparative Review, World Bank Staff Working Paper No.654, 1984, Washington World Bank. 3. Hanumantha Rao, Nationalised Passenger Road Transport in India-A Perspective Journal of Transport Management, May 1990, Pune: CIRT, pp Jegadish Gandhi, State Transport Undertakings in Southern States- A Comparative Study, Southern Economics, Oct 1089, pp Muthupandian K S and Vijayakumar C, Measurement of Passengers Service Quality in Public Transportation: Servqaual Analysis, Munich Personal RePEc Archive, The Institute of Cost and Works Accountants of India, Paper No , 12, January Parasuraman, A., Zeithamal, V.A. and Bery, LL SERVQUAL: A Multiple- Item Scale for Measuring Customer Perceptions of Services Quality, Report No , Marketing Science Institute, Cambridege, MA Raghunathan et. al. Passenger Transport in India-A Customers Perspective, Journal of Transport Management, September 1991, Pune: pp Robert V. Krejcie, University of Minnesota, Duluth, Daryle W. Morgan, Texas A. & M. University, Determining Sample Size for Research Activities, Educational and Psychological Measurement, 1970, 30, and The NEA Research Bulletin, Vol. 38 (December, 1960), p Sudarsanam Padam bus Transport India-the-Structure, Management and Performance of Road Transport Corporations Sudarsanam Padam, Bus Transport in India-the Structure, Management and Performance of Road Transport Corporations, Delhi, Ajantha Publications Page 181