Businesses that want to keep pace with the change and time are establishing new departments. Through those departments the business can take decisions and actions rapidly and so that they can keep themselves updated. However, this situation can cause inconsistencies between managers and departments working with multi-departments such as hotel businesses in service industry. This paper provides an extensive literature review aiming to present and discuss models and methods of how the perceived service quality has been and should be studied and handled. By doing so this paper supports both academia, by providing a review of the service quality literature, and industry, by summarizing landmark studies that can be used as benchmark for daily operations and/or company strategies