An Evaluation On The Performance of Shell and Caltex Stations in Iligan City
An Evaluation On The Performance of Shell and Caltex Stations in Iligan City
An Evaluation On The Performance of Shell and Caltex Stations in Iligan City
CHAPTER 1 THE PROBLEM AND ITS SCOPE Introduction A filling station also known as a fueling station or gasoline station is a facility which sells fuels and lubricants for motor vehicles. Fuel dispensers are used to pump petrol/gasoline, diesel and other types of fuel into vehicles and calculate the financial cost of fuel transferred to the vehicle. Most of the fueling stations have convenience store and other services to attract/satisfy their customers. Some fueling stations include tire air pumps and manually handled carwash. Nowadays, they are many different competing fueling stations all over the world with their own business styles and techniques (http://www.wisegeek.com/what-is-a-full-service-gas-
station.htm). Thus, this topic caught our attention to study two different fueling satins. Therefore, this study focuses on the similarities and differences of the two fueling stations.
Theoretical Framework A Business Management Theory is a kin to the general concept of management which refers to directing and controlling a group of people for the achievement of a collective objective which is beyond the scope of individual effort. A Business Management Theory is a study of the principles and practices of a business to attain its desired organizational goals conducting effective management. Business Management Theory is a range of approaches including the principles of accounting, public relations, operations, labor relations, time management,
investment and corporate governance to improve the performance of a business in some measurable or otherwise provable manner. Business management theory encompasses the deployment and manipulation of human, financial, technological and natural resources and their effective allocation for the optimum level of output for the business.
Business management theory is closely related with the concept of business management strategy and it deals with the steps that are taken by the collective decision of the managerial authority of the business as well as the workers for the attainment of the desired objective. It should be noted in this context that decision-making plays a key role in the process of management which rests on the principles of planning, organizing, directing and controlling in the business. While planning and organizing deals with strategically formulating the long term goals the business seeks to attain which is generally taken by the top level management of the company, the operational business processes involving the day-to-day activities of the business is also a part of business management theory. Controlling refers to the evaluation of the performance towards the desired objective; directing, being a part of the business management theory refers to the supervision such that the workers work towards the accomplishment of organizational goals. Business management theories undergo testing in the real world circumstances and the theories are continuously evaluated and evolutes after every 5-10 years. One of the major cornerstones of the modern business management theory is the theory of games, otherwise considered to be branch of economic analysis. (http://www.economywatch.com/business/business-management-theory.html) Evaluation research is used to measure the effectiveness of different aspects of practice, such as a project, a policy or a partnership. This involves identifying objectives and then measuring progress towards them. Evaluation research today usually focuses on finding out
'what works, for whom, in what circumstances, and why?' (Pawson and Tilley 1997). It is solution-focused and will include recommendations for improvement. There are a number of theoretical approaches to evaluation research, which can be broadly divided into positivist, constructivist and realist approaches. Put very simply, the positivist approach advocates developing a hypothesis, collecting primarily quantitative data, and using this to test the hypothesis and evolve a theory. The constructivist approach focuses on the need to explore the way in which people make sense of their experiences, and therefore primarily uses qualitative data, with theory evolving as data is collected. The realist approach assumes that the evaluator already has a theory about 'what works, for whom, in what circumstances, and why', and will use this - and other theoretical perspectives - to design the research. Realist evaluators are likely to collect data from a range of sources, including quantitative, qualitative and documentary data, and will develop their theory as the evaluation research progresses. (http://www.weresearchit.com.uk/evaluation_theory.html)
Conceptual Framework
Statement of the Problem The researchers seek to answer the following questions:
1. How qualified are the staff and crew in Shell and Caltex stations? 2. How adequate are the facilities used in both stations?
5. What are the proposed solutions to answer the problem mentioned above?
6. Is there a significant difference between the performance of Shell and Caltex stations in
Iligan City? Scope and Limitations This study is conducted to compare the performance of Shell and Caltex stations in Iligan City. Our group has decided to research about our main problem which is the Customers Response to the services provided by the two gasoline stations. The responses of the customers are very important in order to identify the strengths and the weaknesses of the stations. Qualified and well trained staff/crew is also needed to ensure efficiency and safety of the gasoline stations. The effectiveness of the managers is also important because it will reflect on the gasoline stations over-all performance. Complete and adequate facilities are required in order for the gasoline stations to operate well. In the general population, this paper will only focus on the customers response, customer service, staff/crew, effectiveness of the managers and adequacy of the facilities of the Shell and Caltex gasoline stations located at Tibanga Highway in the period of school year 2010-2011.
Significance of the Study As we all know, gasoline stations are now rampant in Iligan City. There are also competitions among the few distributors, regarding the location of the place, the fame of the name, and the number of customers that would visit their outlets. The researchers notice that people nowadays are practical towards establishments.
The researchers aimed to evaluate the performance of the two stations well. The purpose of this study is to identify the difference between the performances of the two stations. Its aim is to evaluate and to produce a study that is beneficial to the customers and to the people. Also, for the respondents to know the difference between the two establishments for them to receive appropriate information. Moreover, this study aimed to identify and introduce the strong points and weaknesses of the two stations. This study would give some benefits to the customers and can help them become aware of the performance of the two stations.
Definition of Terms Business. A company or other organization that buys and sells goods, makes products, or provides services. In this study, it refers to the stations selling gasoline. Customer. A person that buys goods or services. In this study, it refers to the people who buys the goods from the establishments and also are the respondents. Evaluation. A spoken or written statement of the value, quality, importance, extent, or condition of something. In this study, it refers to the conditions of the two stations. Performance. The manner in which something or somebody functions, operates, or behaves. In this study, it refers to the behavior of the two stations.
Response. Something done in reaction to something else. In this study, it refers to the costumers response or reaction according to the establishments performance. Gasoline. It is a volatile flammable liquid hydrocarbon mixture used as a fuel especially for internal combustion engines and usually blended from several products of natural gas and petroleum. In this study it refers to the main product sold by the stations. Station. Any of the places in a manufacturing operation at which one part of the work is done; equipment used by one person for performing a particular job. In this study it refers to the two gasoline stations. Kerosene. It is a flammable hydrocarbon oil usually obtained by distillation of petroleum and used for a fuel and as a solvent and thinner. In this study it refers to the product sold. Petroleum. It is an oily flammable bituminous liquid that may vary from almost colorless to black, is a complex mixture of hydrocarbons with small amounts of other substances and is prepared for use as gasoline, naphtha or other products by various refining processes. In this study it refers as a type of gasoline sold. Crew. It is the one who is assigned to do a particular job or task. In this study it refers to the one who is doing the services provided.
Evaluating Business Performance According to Ricky Nair, evaluating your business is an important task of any business owner or manager. Whether the business is in its infancy or has a long and established history, having a system in place to monitor business performance will help ensure that trends are identified and problems are spotted early. There are several ways business performance is evaluated, but all methods fall into one of the two categories - qualitative or quantitative. When evaluating business performance, it is best to look at performance using a combination of qualitative and quantitative techniques.
Qualitative Business Analysis According to Ricky Nair, qualitative means that the qualities of the business or issues are looked at, using interpretations. For example, when you poll job satisfaction, you are examining satisfaction qualitatively. While there is certainly a role for qualitative measures, for example how else could you measure job satisfaction, this category of evaluation is somewhat subjective and, as such, is vulnerable to different perceptions and interpretations. Similarly, depending on your industry measuring customer/client satisfaction ratings are equally crucial. The whole future of your business depends on the degree of satisfaction your customers or clients experience.
Quantitative Business Analysis According to Ricky Nair, quantitative means that some aspect of performance is measured objectively, such as how many phone calls are received per hour or how many widgets are produced in a day. When financial ratios are calculated for a business, the business's performance is being looked at quantitatively. This type of analysis has much strength owing to its objective nature but it requires a point of comparison. This is usually taken in one of two ways - historically or comparatively. In historical quantitative analysis, numeric observations are compared against previous observations. Comparative quantitative analysis, involves comparing your business data with another business or with your industry's standard.
(http://ezinearticles.com/?Evaluating-Business-Performance&id=4033255)
Consumer behavior Consumer behavior involves the psychological processes that consumers go through in recognizing needs, finding ways to solve these needs, making purchase decisions, interpret information, make plans, and implement these plans, e.g., by engaging in comparison shopping or actually purchasing a This product means that
(http://www.consumerpsychologist.com/intro_Consumer_Behavior.html).
consumers behavior would really affect the performance of an establishment for the reason that consumers are the one who decide whether to purchase the product or not, in which it greatly affects the sales and to the whole business performance.
According to Keith Evans, an eHow contributor, some locations can have a dramatic effect on the productivity of a business by providing a constant flow of pedestrian traffic. Busy downtown city streets and malls are ideal locations for businesses, as the high number of potential customers walking by increase the odds that some customers will stop and conduct business. Likewise, businesses situated in strip malls or even in standalone buildings but located along busy streets have increased exposure to passing traffic, boosting the visibility of the business and making passers-by more likely to stop in. On the opposite end of the spectrum, businesses located in hard to find or difficult to access locations may experience reduced productivity. If customers are not able to find a business, they will not be able to help the business succeed. If they find the business but factors such as a small, full parking lot, difficult-to-maneuver premises or sketchy, potentially unsafe surroundings make accessing the business a hassle, customers are likely to shop elsewhere. The location of a business can also affect its success and productivity by extracting financial costs. Some municipalities may have higher sales and other taxes which eat into a business's bottom line. Operational or professional licenses may cost more in some areas, adding to the cost of doing business and reducing profitability; by the same measure, some municipalities require frequent evaluations and/or inspections which further reduce a company's productivity and profit. Technology According to Todd Pheifer, it is probably an understatement to suggest that technology has changed the way that business is done in today's world. So many technological advancements have occurred in the last couple of decades, and even greater innovations seem to
be on the horizon. The information age is in full force and nearly every business or organization has a digital component. Whether this trend is positive or negative may never be determined but it certainly is different. Daily communications, shrinking of the world, dependency are few thoughts on the effects of technology in today's business world.
Price The law of demand states that, if all other factors remain equal, the higher the price of a good, the less people will demand that good. In other words, the higher the price, the lower the quantity demanded. The amount of a good that buyers purchase at a higher price is less because as the price of a good goes up, so does the opportunity cost of buying that good. As a result, people will naturally avoid buying a product that will force them to forgo the consumption of something else they value more
(http://www.investopedia.com/university/economics/economics3.asp). This means that price affects the performance of a business because price and quantity demanded by people has a relationship. If the price is high, lesser demand, and if the price is low, greater demand. In which, if the sales are affected, the performance of business would also be affected.
CHAPTER 3 METHODOLOGY The researchers followed the following steps in conducting the research. First, the researchers will go to the location. Second, do the methods that will help the researchers to have a good and successful research. Third, the researchers will explain in this chapter the method of research, method of gathering data, development of research instruments, sampling design, and statistical treatment. A. Research Method The researchers used descriptive method because they would be currently evaluating the performance of Shell and Caltex gasoline stations. The researchers believed that in using this method, they would gather more accurate data based on their study. B. Method of Gathering Data The researchers used the normative survey in gathering the data because it would be easier for the researchers to make a questionnaire and interpret the data. C. Development of Researcher Instrument The researchers used closed-ended questionnaire because it would be easier for them to make the questionnaire and for the respondents to answer the questions. The researchers provide at least 10 questionnaires to the people to test the questionnaires if ever there would be improvements needed before it will be distributed to the respondents. D. Sampling Design
This research is composed of the study population who are the customers, staff and managers of two gasoline stations. The study population will help the researchers evaluate the performance of Shell and Caltex stations. The margin of error is constant, which is 3%. The researchers used stratified random sampling because they believed it wont waste their time. Below are the steps on how to get the number of the sample. Step 1: Shell Manager Staff Customers Total Step 2: n= N 1+N (e) 2 Step 3: %= 318 445 Step 4: Shell Manager Staff 1 18 Caltex 1 16 n = 0.715 n= 445 n= 445 1.4005 n= 318 2 25 204 231 Caltex 2 23 189 214
1+445(0.0009)
Customers Total
146 165
135 152
E. Statistical Treatment The researchers will use the measurements of central tendencies like the mean, median, and mode. The researchers believed that it will give them an accurate data and help them interpret the data easily.