Gap Analysis
What Is Gap Analysis?
 Gap analysis is a survey instrument used to
determine the gaps between a service
offered and a customers expectations.
So Where Do We Start?
 There are several ways to conduct Gap
Analysis.
• SURVQUAL Expectations Survey and
Perceptions Survey
• SAGA
The SURVQUAL Expectations
Survey and Perceptions Survey
 This tool was developed by Parasurman,
Zeithamel, and Berry to assess services
quality.
 SURVQUAL instruments are a series of
questions that deal with tangibles,
reliability, responsiveness, assurance, and
empathy.
What Do We Do With This
Survey?
 Administer the survey to customers, and
management
 Results will show the differences in
perceptions between:
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•
•
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Customers
Managers
Employees
Managers and customers
Gap 1 - Tangibles
 The first gap will show the difference
between actual customer expectations,
and what management perceives to be
customer expectations
Gap 2 - Reliability
 Gap 2 is the difference in managers
expectations of service quality, and the
actual service quality specifications.
Gap 3 – Responsiveness
 Delivery of perfect services is not
guaranteed, even if service specifications
are defined, due to lack of training,
preparations, and training.
Gap 4 – Assurance
 This gap shows what the differences
between services delivery and the external
communications with the customer.
Gap 5 – Empathy
 This is the gap that shows the differences
in expected service and perceived service.
So Where Do We Begin?
 We have to fix gaps 1, 2, 3, and 4, before we
can fix gap 5.
• You can accomplish this by having a thoughtful
systems design, good communications, and
well trained employees that can provide good,
constant customer service.
SAGA – Self Assessment Gap
Analysis
This method of Gap Analysis was designed by AMP
Inc.
 Rather then sending out a survey, SAGA is a
process used to take a good, close look at an
organization’s operations.
 Much like a Baldrige assessment, it gives nearly
everyone associated with an organization
(employees, customers, partners and suppliers)
an opportunity to participate.

Where Do We Start?
 SAGA starts by looking at the first category
of the Baldrige criteria.
 Next, a company wants to address what a
Baldrige like company would do in their
situation.
 Thirdly, you go over how your company is
actually comparing with Baldrige.
1.1 - Leadership
 This category looks at how the leaders in
the company set directions, establish clear
values, communicate performance
expectations, focus on customers and
stakeholders and encourage continuous
learning in the organization.
What Would a Baldrige-like
Company Do?
 Management will listen and talk with
employees about:
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•
•
•
Values
Directions
Customer Focus
Need for Continuous Learning
Continued…
 Management will make it known that all
important information will reach everyone.
 Management will have a way to review
performance and make adjustments to
performance.
 Management will involve suppliers,
partners and customers when they develop
goals.
How Does Your Company
Measure up?
 Do you have a mission and vision
statement?
 Who was involved in the development of
these statements?
 How are these statements communicated
throughout the organization?
Continued…
 Have clear values been established for
company employees? Do employees know
what is expected of them?
 Does your organization leadership serve as
a role model?
 Does your organization leadership display
a customer focus that is obvious in
carrying out their day to day job duties?
Continued…
Does your organization encourage and promote
the submission of ideas?
 What indicators are used to determine how well
the organization is doing overall?
 Are the organization’s performance results
shared and reviewed with the workforce? How?
 Does the organization leadership use
performance review findings and employee
feedback to improve their leadership
effectiveness?

1.2 - Organizational
Responsibility for Citizenship
 This category examines how the
organization demonstrates its awareness
of its public responsibilities and makes
those responsibilities part of everyday
operations.
What Would a Baldrige Like
Company Do?
Have strong policies reinforcing social
responsibilities and good citizenship.
 Regularly review its planned work and how it
impacts the public.
 Act proactively to minimize public impacts before
they occur.
 Have senior leaders who routinely promote,
reinforce, train, and monitor legal and ethical
behavior of employees.

How Does Your Company
Measure up?
 How do you anticipate public concerns with
current and future projects?
 Does the organization leadership
encourage employees to become involved
in, and support, employee events and
outside activities?
 What do you do for the community?
 Are you a good neighbor?
 Due to time limits, we have only covered
two on the sections of the Baldrige Award
Criteria. In order to truly assess your
company, you have to go though each
section of the criteria and ask questions
geared towards your company.
Content of this slide was from the interview with Alan Stambaugh.
Evaluation
 Once you compare your organization with
that of the Baldrige Criteria, you will see
where your company has gaps, or areas
that can be improved.
Bibliography
 Foster, S. Thomas (2001). Managing Quality .
Upper Saddle River, New Jersey: Prentice
Hall.
 Interview: Alan Stambaugh, Bureau of
Maintenance and Operations, Pennsylvania
Department of Transportation.