A dissertation Submitted in Partial Fulfilment of the Requirements for Award of the
Degree of Master of Science in Entrepreneurship (MSc- Entrep) of Mzumbe
University
This master dissertation was sought to find whether the SACCOS members are really
satisfied with quality of credit services offered by employees based SACCOS in
Tanzania. Specifically to determine the perceptions of the SACCOS members toward
the credit service offered by their institution, assessing the level of members'
satisfaction with credit service quality offered by SACCOS and determining the best
attributes dimensions in the SERVIQUAL model to members satisfaction.
Methodology – The study was quantitative and used Cross-sectional design in the
collection of data from the respondents, using structured questionnaires to 120
samples out of 352 total RUTESCO members; in which (116) 96.67% were found to
be suitable for analysis. The questionnaires were developed from generic
SERVQUAL instrument made up by 22 items and the main analysis was based
through the model. The questionnaires were distributed using a convenience
sampling technique to respondents.
Findings: - The study showed that, the general perceptions of the members toward
credit Service quality is high about (5.595) out 7 maximum possible score, this value
indicates that SACCOS is doing good to fulfill the wants/expections of the members
in credit delivering service. The Overall perceived credit service quality attained by
members from their institution is good about 5.4741 out of 7 maximum score and
this value indicates 78.20% satisfaction index attained by the members when
contacting with the institution; findings also revealed that Responsiveness and
Reliability are the best attributes of overall perceived credit quality to RUTESCO
members. Furthermore about 89.6% of respondents still need the workplace
SACCOS.
Research implications:- Theoretically, the study implies that the SERVQUAL
model is the best tool to use in understanding and measuring members satisfaction
for credit delivering service in SACCOS as Microfinance institution. Practically the
study imply that, RUTESCO is providing the satisfactory level of credit service
quality demanded by their members. The findings suggest that RUTESCO need
some major and minor improvements on Tangibles, assurance and empathy sub
dimensions items found with negative gap (s) from the gap score analysis carried.