MEASURING THE IMPACT OF ELEMENTS IN SERVICESCAPE ON BUSINESS PERFORMANCE: A LITERATURE REVIEW

Abstract

Servicescape is known as a physical environment, which is a man-made environment, while facilities management (FM) is responsible to create a pleasant environment that encompasses servicescape elements. In the FM context, a lot of research on the impact of the servicescape are limited and are still lacking. The purpose of this study is to provide a literature review on measuring the impact of elements in servicescape on business performance. The methodology that was used for this paper consisted of a comprehensive literature review from numerous published sources; all the related references were discovered through electronic databases, journals, websites, and books. The literature review is utilised to examine the elements of servicescape and to measure the impact of servicescape elements on business performance. Specially, servicescape consists of four elements, they are ambient condition, spatial layout and functionality, sign, symbol and artifacts, and cleanliness. As such, the impact of elements in servicescape is the way people perceived the functionality of the surroundings. The individual internal responses such as comfort, pleasantness due to the environment, feeling of being safe, and happiness are strongly influenced by the servicescape elements. Accordingly, the result of this study will benefit the managers, facilities managers, investors, and the financial departments in their decision making in order to improve the performance of the organisation. This paper focuses solely on measuring the impact of elements in servicescape that are scarce in current studies. Hence, this paper makes an attempt to provide new information and added value to the investors, stakeholders, and the facilities management on the importance of the impact of the servicescape elements.