The effects of perceived satisfaction with service recovery efforts: a study in a hotel setting

In the service industry, the importance of achieving the satisfaction of all involved agents is widely recognized. It is important to note that within the service sector, the hospitality sector involves a high degree of personal contact between hotel staff and customers, during which various misunderstandings can result in service failures. Therefore, instruments that enable learning about and solving problems emerging from customers now serve as one of the most important elements of the hospitality industry. In this context, the objective of answering the call for more studies investigating the effectiveness of recovery efforts and discovering their effects to perceived customer satisfaction, following a service recovery process, and customer behavior outcomes towards a hotel which had dropped the ball but later offered a solution. A structural equation model using a sample of 274 valid questionnaires, obtained from hotel establishment customers who had experienced failed service provisions and who had shown their discontent with these services, was used to examine these issues. The results confi rm a signifi cant and positive effect between the analyzed relations and also reinforce the importance of recovery efforts on satisfaction in service recovery and also determine the impact of that perceived satisfaction on behavioral outcomes of the affected consumers. Additionally, the empirical results show that communication and explanation are the dimensions of importance to consumers when they report a service failure to a service fi rm. Based on these results, this study recommends designing recovery process in such a way to get maximum advantage of this phenomenon. Therefore, organizations should offer dissatisfi ed customers with the option to choose among various recovery options

The Relationship between Service Recovery and Patronage Intentions: The Mediating Role of Relationship Quality

This study aims to investigate, using the structural equation modeling with a partial least square (PLS-SEM) approach, the relationship among service recovery strategies, relationship quality, and customer patronage intentions concerning Internet Service Providers (ISPs) in Egypt. Our findings confirmed that some service recovery strategies positively influence on both relationship quality and patronage intentions. As well as, relationship quality has a significant impact on customer patronage intentions. Furthermore, relationship quality has the role of a mediator of the relationship between SR strategies and patronage intention. Moreover, both speeds of recovery and empathy moderate the relationship between some SR strategies and relationship quality. Finally, our study proposed some theoretical and managerial implications

Mediating Service Recovery Satisfaction in the Relationship between Internet Service Recovery and Customer Loyalty

This current study purposes to identify the relationships between service recovery strategies, service recovery satisfaction, and both dimensions of customer loyalty in regard to Internet providers using the partial least squares (PLS-SEM) approach on a sample of 430 internet customers in Egypt. This study contributes insights into how seven service recovery strategies affected customer loyalty with its both attitudinal and behavioral dimensions directly and indirectly via service recovery satisfaction. These insights are helpful for service managers faced with service failure and academicians interested in how service providers respond to service failures and customer dissatisfaction in the B2C context. The results of this study show that some SR strategies positively influence both service recovery satisfaction and customer loyalty toward internet providers. Furthermore, service recovery satisfaction positively influencing the customer loyalty. In addition, SRS plays a mediating role in the relationship between SR strategies and customer loyalty. The results highlight that internet service providers should implement SR strategies quickly and with an empathetic manner to satisfy customers and to encourage customer's loyalty. Finally, some implications and further research directions were presented

Complaint management: comparison between traditional and digital banks and the benefits of using management systems for improvement

Purpose: This paper compares traditional and digital banks in nine categories of complaints and provides insights to improve complaint management performance. Design/methodology/approach: A sample of the major Brazilian banks was defined, with four traditional and four digital banks. The grey relational analysis (GRA) method was applied as an analytical tool to compare the most frequent complaints of traditional and digital banks. The most critical complaints identified were considered to discuss potential improvements in complaint management using quality and service management system concepts. Findings: The GRA method enabled the development of a ranking of nine complaint categories, considering the uncertainty involved in the data and differentiating between traditional and digital banks. The most critical complaint categories, regardless of business model, were “unauthorized charges” and “poor service,” which were ranked first and second in the frequency rankings. Traditional and digital banks differed the most in the complaint category “unfair charge,” ranking third and eighth in the rankings, respectively. Practical implications: Managers from traditional and digital banks can improve complaint management performance by applying ISO 9001 and ISO 20000 concepts such as incident, problem, change, service level, availability, capacity, information technology service continuity and financial management. Social implications: The study's findings can help bank managers improve service levels in the face of technological competition. Improving these organizations is an important factor for developing countries such as Brazil. Originality/value: This paper reveals the differences between two business models regarding complaint management. It also considers a methodological approach to include the uncertainty related to customers' perception and subjectivity inherent to complaints

Bankalarda Uygulanan Hizmet Telafi Stratejilerinin Yarattığı Sonuçların Sosyal Medya Paylaşım Eğilimini Ölçen Bir Araştırma1 A Research Measures The Results’ Tendency of Sharing in Social Media That Created by Service Recovery Strategies Implemented on Banks

Tüm dünyada olduğu gibi ülkemizde de bankacılık sektöründe müşteriler, gelişmiş teknoloji ve nitelikli insan gücüne rağmen sıklıkla çeşitli hatalara maruz kalmaktadırlar. Her zaman hataların önüne geçmek mümkün olmadığından, hataların nasıl telafi edileceğinin belirlenmesi ve uygun telafi seçeneklerinin kullanılarak müşteri sadakatinin nasıl sürdürülebileceğini belirlemek, bu çalışmanın ana amacını oluşturmaktadır. Bu amaç doğrultusunda veri toplama yöntemi olarak anket kullanılmış olup, anket soruları kamu ya da özel banka ayrımı yapılmaksızın bankalardan hizmet alan ve hataya maruz kalmış müşteriler arasından rastgele seçilen 395 kişiye uygulanmıştır. Ankette elde edilen verilere SPSS (Statistical Package for the Social Sciences) 21 ve AMOS programları aracılığı ile normallik testi, açıklayıcı ve doğrulayıcı faktör analizi uygulanmıştır. Analizler sonucunda, uygulanan telafi stratejilerinin ve müşterin hatanın ardından bankadan beklentileri ile telafi performansının algılanan kalitesi arasında anlamlı bir ilişki olmasının yanı sıra, telafi performansının algılanan kalitesi ile güven, tatmin, sadakat ve ayrılma davranışları arasında da anlamlı bir ilişki olduğu ortaya çıkmıştır. Bu anlamlı ilişki, başarılı olarak algılanan telafi performansının müşterilerin bankaya karşı duyduğu güven, tatmin ve sadakat oluşumuna katkı sağladığı ve müşterilerin hatanın ardından bankadan ayrılmasını engellediğine işaret etmektedir. Ancak araştırmada müşterilerin telafi sonrası bankaya olan düşünce, tutum ve davranışlarını sınırlı şekilde sosyal medyada paylaştıkları sonucuna ulaşılmıştır. Bu doğrultuda bankalar kendilerine güvenen, tatmin ve sadık müşterilerin devamlılığını sağlayabilmek ve yeni müşterilere ulaşabilmek için doğru telafi uygulamalarını hayata geçirmelidirler. Customers receiving banking services are frequently exposed to various mistakes in our country as well as all over the world despite the advanced technology and the qualified human resources. The main purpose of this work is to determine how to recover from mistakes and how to maintain customer loyalty using appropriate recovery options as it may not always be possible to prevent mistakes. For this purpose, a questionnaire was used as a data collection method and the survey questions were applied to 395 randomly selected customers who received services from banks without distinction of public or private banks and exposed mistake. The normality test, descriptive and confirmatory factor analysis were applied to the data obtained in the questionnaire via SPSS (Statistical Package for the Social Sciences) 21 and AMOS programs. Based on the analysis, it was seen that there is a significant relationship between the applied recovery strategies, the expectations of the customers from the bank and the perceived quality of the recovery performance. Furthermore, it was found that there is also a meaningful relationship between the perceived quality of recovery performance and trust, satisfaction, loyalty and leaving behaviors. This meaningful relationship indicates that the recovery performance which is perceived to be successful contributes to the confidence, satisfaction and loyalty of the customers towards the bank and prevents customers from leaving the bank after a mistake. However, it was concluded by the survey that after the recovery the customers shared limitedly their thoughts, attitudes and behaviors towards the bank on social media. In this direction, banks must apply correct recovery applications in order to ensure the continuity of self-confident, satisfying and loyal customers and to reach new customers

Mediación de la recuperación de la satisfacción en la influencia de la justicia percibida sobre la confianza del cliente en el Hotel Puerto del Inka, periodo 2018

La presente investigación estudió la variable independiente justicia percibida que trata de entender y explicar las reacciones que tienen los clientes ante problemas suscitados durante el servicio que otorga la empresa, también se estudió la variable mediadora recuperación de la satisfacción de los clientes que llegan a las instalaciones del Hotel Puerto del Inka, por último está la variable dependiente confianza que determina la honestidad e integridad por parte de la empresa hacia los clientes. La presente investigación estuvo sustentada en el modelo adaptado de Kim, Kim y Kim (2009). Como objetivo principal se tuvo: Determinar si la recuperación de la satisfacción tiene un rol mediador entre la influencia de la justicia percibida y la confianza del cliente en el Hotel Puerto del Inka. La investigación tuvo un enfoque cuantitativo, de diseño transversal y nivel expicativo; utilizando la herramienta de la encuesta para la recolección de datos. Finalmente, se obtuvo como resultado que no existe un rol mediador por parte de la recuperación de la satisfacción quedando en claro que los fallos o problemas tratados durante la investigación no influyeron entre las variables en estudio

Evaluating the implementation of quality management system ISO 9000 in the manufacturing industry- Case Study Royal Swaziland Sugar Corporation.

Master’s Degree. University of KwaZulu-Natal, Durban.ABSTRACT Several academic studies have been done on quality managements systems including ISO 9000 to evaluate the systems effectiveness to improve organizational performances, which can lead to overall organizational profitability. Royal Swaziland Sugar Corporation (RSSC) is ISO 9000 certified and has implemented the system for the past 12 years, due to customers’ requirements. The aim of this study was to evaluate if RSSC attained the ISO systems perceived benefits; which includes customers’ satisfaction and enhanced performance which leads to increase in organizational profitability. For this study a quantitative approach was used and the primary data was gathered through a survey method. Secondary data was obtained from archived Cane and Mill data (A Business intelligent systems) to relate the organization performance prior and after ISO certification. Simple random sampling technique was used with a sample size of 278 participants out of a population of 1000 people. The research instrument was online closed structured questionnaires and the respond rate was 69.78 %. The major findings showed that RSSC has implemented all the ISO standards principles as per the regulation, including the key generic critical factors. However, RSSC has not achieved organizational performance improvements because the management has not established quality culture which was in context of RSSC working environment. The performance indicators were below the set targets and these shows a great deviation from the systems principles. Although the documentation for monitoring the process were in place, this proofs the high level of bureaucracy that employees were not motivated and they simple follow the standard operations without becoming innovative. The results also show a high staff turnover because majority of the employees, 33% have been in the organization less than 5 years meaning internal customers were not satisfied. Furthermore, there was no significant increments on the level of external customer satisfaction from the longitudinal survey. The study recommended that RSSC management ought to enhance understanding of the quality ISO system as well as improving the internal aspects through continuous dialogue with the employees. Thereafter a new relevant quality culture can be developed and the organization can achieve the perceived enhancement in the overall performance which would led to increase in market shares, resulting in increasing profitability.Abstract available in the PDF

Strategies to Implement ISO 9001 in a Government Organization in Jamaica

Managers of government organizations in Jamaica often have difficulty implementing the International Organization for Standardization (ISO) 9001 standard. Jamaica\u27s Minister of Industry, Investment, and Commerce considered ISO 9001 certification as critical for international competitiveness as lacking the standard had the potential to become a barrier to trade. The purpose of this single case study was to explore the strategies that managers of a government organization in Jamaica used to implement ISO 9001 successfully. The conceptual framework was the total quality management concept encompassing Deming\u27s plan-do-check-act cycle. Data collection entailed organizational document reviews and semistructured interviews of 4 managers in an ISO 9001 certified government organization in Jamaica. Data analysis involved interview transcription, keyword and phrase coding, emergent theme identification, and methodological triangulation of the data. Findings were that successful implementation strategies to promote understanding of the ISO 9001 standard included both management commitment and leadership and ongoing awareness, training, and education. Other strategies were customization of the quality management system (QMS) implementation, continuous assessment and update of the QMS, and staff involvement. Social change implications include the potential for government managers and quality practitioners in Jamaica to use the study results to develop or improve strategies for ISO 9001 certification of organizations. ISO 9001 certification might lead to increased organizational competitiveness and enhanced business survival, which may result in the provision of job opportunities for community members and growth in Jamaica\u27s economy

Airline service failure and recovery :a conceptual and empirical analysis

One of the most problematic issues to face airlines in recent years has been service failure/breakdown. Consequently, the notion of effective recovery, in terms of retaining customer loyalty, has become increasingly important. The aim of this study is to examine incidents of airline service failure and identify optimal recovery strategies.The study evaluates the service failure and recovery strategies in full-service airlines and low-cost carriers, the comparative effectiveness of alternative recovery actions/strategies (e.g. apology, compensation, correction, explanation) and their impact on post-recovery satisfaction and loyalty for a range of failure types. It also examines the mediating effect of emotion and justice on post-recovery behaviour.A total of 387 useable questionnaires were obtained from three different sources: a street intercept survey in Manchester (n=50); an online survey at Salford University (n=52); a Marketest panel survey (n=285). A number of important findings have been obtained from the hypothesis tests. Firstly, the severity of service failure and failure criticality were found to have a significant impact on customer satisfaction, negative word-of-mouth communication (WOM) and customer loyalty. Secondly, the results revealed the following five service recovery actions are particularly effective for airline service recovery: acceptance of responsibility of service failure; correction; compensation; apology and follow-up in writing. Thirdly, the results show that three recovery actions (e.g. compensation; acceptance of responsibility and correction) have a significant impact on customer post-recovery satisfaction when severity is high (>4).The implications of these results are that operations manager and staff can use these five recovery actions to deal with service failure (e.g. acceptance of responsibility of service failure; correction; compensation; apology and follow-up in writing). Frontline staff needs to be aware of customer emotions during service failure incident and good service recovery can therefore avoid negative customer emotion