By BRITTANY KHOO

IN a recent survey conducted by Singapore Management University (SMU), consumers here gave Singapore's service industry a rating of 67.8 per cent, ranking the island joint last among eight tourist destinations with similar national customer satisfaction measures.

A quick check with SMEs here shows that most of them agree with SMU's findings, espousing the belief that service needs to go further than minimal standards.

The previous year, Singapore performed slightly better with a rating of 68.7 per cent - and high-profile campaigns were launched to improve service standards.

So, is the bad rating accurate?

Of 10 service sector SMEs that BT spoke to, Taka Jewellery was the only retailer to disagree with the latest findings. 'How can it possibly be when we managed to climb to number 10 in international rankings recently,' said a spokesman.

Whether or not most SMEs feel service standards have dropped, all agree that organisations should constantly seek to improve the overall experience their customers receive.

Pasta Fresca aims to stand out from the crowd by going beyond simply meeting its customers' needs. It provides personalised service, even to the extent of customising the menu to suit diners' preferences.

Commenting on the SMU survey results, Minister of State for Trade and Industry Lee Yi Shyan suggested good service encompasses front-line counter staff and efficient back-end processes to support operations.

Bakerzin chief executive officer Daniel Tay agrees: 'Front-line staff who are very polite, helpful and knowledgeable cannot provide good and efficient service if they are not provided with timely information and training on products or the business they are a part of.'

FotoHub is currently looking to improve its back-end efficiency through innovative technology to serve customers better.

In a recession, a drop in service standards can hit consumer spending harder. 'We are already seeing a more cautious consumer spending pattern,' said a spokesman for restaurant group Thai Express.

In recognition of the importance of good service, SMEs have been making use of government programmes such as the nationwide Go the Extra Mile for Service (GEM) scheme and Customer-Centric Initiative.

Taka Jewellery has sent its front-line staff to workshops conducted by the Workforce Development Agency. And Donut Empire has completed Spring Singapore's Customer-Centric Initiative, which helps companies upgrade service standards.

Of the SMEs that BT spoke to, only two said that they are not now involved in a government programme - and they will be soon.

Jack's Place, which received fewer compliments than complaints through feedback channels in the first few months of 2009, reckons the single identifiable area in which service standards can be improved is to match the mindset of the team to that of the customer.

That said, retailers and SMEs in food and beverage have to protect the interests of staff if faced with the odd unpleasant client, however true the old adage 'the customer is always right' may be.

'Here in Singapore, improving customer service is a long process that involves all three parties to make it a success - the employer, the staff and the customer,' said Bakerzin's Mr Tay.

As a spokesman for Charles and Keith puts it: 'Treat every feedback or complaint as an opportunity to improve.'

This article was first published in The Business Times.