MANAGING PHYSICAL EVIDENCE IN SERVICES ORGANIZATIONS

References: 4th International Multidisciplinary Scientific Conference on Social Sciences and Arts SGEM 2017, www.sgemsocial.org, SGEM2017 Conference Proceedings, ISBN 978-619-7408-17-1 / ISSN 2367-5659, 24 - 30 August, 2017, Book 1, Vol 5, 621-626 pp, DOI: 10.5593/sgemsocial2017/15/S05.078

ABSTRACT

Managing the firm’s physical evidence includes everything tangible-from the physical facilities to brochures and business cards and the way organizations’ personnel are dressed. The physical evidence can fall into different categories such as facility exterior includes what includes exterior design, signage, parking, landscaping and surrounding environment, facility interior what includes elements such as interior design, equipment, signage, layout, air quality and temperature, colours, music, scents and other tangibles. The aim of the paper is to show on the strategic role and the dimensions of the physical evidence in services organizations and describe stimulus-response model as often used model to help explain the effects the services environment has on consumer behavior. For testing hypotheses the secondary data and the results of the primary research have been used. The empirical research has been conducted in Dubrovnik, Croatia and the data were collected by testing a sample of 250 respondents. Important principle for successful design of the physical environment of services companies is recognizing the external and internal elements which are important in creating atmosphere. To create an overall impression and cause desirable consumer behavior, it is important to achieve synergy of all elements of physical evidence. In today’s competitive business environment service companies in Dubrovnik should better elements of physical evidence, as the stimulus in the physical evidence make services’ places recognizable and different. According to the results of the research carried out in Dubrovnik it is confirmed that music is very important in everyday living and consumer expects to be part of physical evidence in services. Music mostly awakes feelings of happiness and satisfaction. The service organizations must consider the emotional aspects of behavior in their design and implementation of service.

Keywords: Physical Evidence, the Role, Creating Atmosphere, Tactics