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Open Access
Article
Publication date: 6 April 2023

Kwabena Abrokwah-Larbi

The purpose of this paper is to investigate the impact of customer-focus on small medium enterprise (SME) performance from the perspective of a resource-based view (RBV).

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Abstract

Purpose

The purpose of this paper is to investigate the impact of customer-focus on small medium enterprise (SME) performance from the perspective of a resource-based view (RBV).

Design/methodology/approach

This research study implemented a survey strategy to gather data from 255 respondents on the registered list of Ghana Enterprise Agency (GEA) in the eastern region of Ghana. Scales used to gather data were operationalized from previous research studies. A structural equation modeling (SEM) path analysis was used to estimate the impact of customer-focus on the performance of SMEs.

Findings

The outcomes of this study indicate that customer-focus has a significant positive impact on SME performance, hence backing the current demand for investigating the distinct influence of customer-focus on SME performance. The results show that customer-focus has a positive and significant relationship with financial performance, customer performance, internal business process performance and learning and growth performance, thus supporting the literature on the positive impact of customer-focus on SME performance. Therefore, customer-focus determinants used in this study, including co-creation, networking ties, customer insight and artificial intelligence marketing (AIM), are critical to the optimization of SME performance.

Research limitations/implications

Notwithstanding the importance of this research study mentioned earlier, the study has limitations. Notably, the sample size of this study can be increased to capture SME respondents in other geographical zones that were not included in this study. Future research studies may address how business environment conditions moderate the relationship between customer focus and performance, and also the cause-effect of the relationship between customer focus and business environment conditions on SME performance.

Practical implications

The practical implications consist of two main items. First, this study empowers SME owners and managers to develop a customer focus technique as a central strategic goal in their quest for SME performance optimization. Second, SME owners and managers should progressively exploit the four determinants of customer focus which include co-creation, networking ties, customer insight and (AIM in order to accrue important resources for effective utilization of their customer focus competences as a way to enhance their performance.

Social implications

This study is targeted at the sound development of SMEs to bring about poverty alleviation and employment. Poverty, unemployment and poor living standards are recognized as vital social challenges in most emerging economies. The establishment of customer focus as an important strategic capability provides opportunities for SME survival, profitability and growth.

Originality/value

Generally, the findings of this research study provide a strong backing to RBV perspective and the proposition that customer-focus and its determinants (i.e. co-creation, networking ties, customer insight and AIM) should be acknowledged as a vital strategic resource for optimizing the performance of SMEs. This research study also provides new knowledge contribution to the present body of knowledge on customer-focus orientation and management literature, particularly in the context of an emerging economy.

Details

African Journal of Economic and Management Studies, vol. 15 no. 1
Type: Research Article
ISSN: 2040-0705

Keywords

Article
Publication date: 21 January 2013

Botshabelo Kealesitse, Barry O'Mahony, Beverley Lloyd-Walker and Michael Jay Polonsky

Governmental agencies are interested in improving the quality of their service delivery. One tool that has been used to manage their performance is performance based reward…

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Abstract

Purpose

Governmental agencies are interested in improving the quality of their service delivery. One tool that has been used to manage their performance is performance based reward schemes (PBRS). The aim of this paper is to examine the degree to which a sample of these plans, used within the Botswana public sector, is customer-focused. Being more customer-focused should deliver improved public sector service quality.

Design/methodology/approach

This study carried out an evaluation of a sample of Botswana PBRS plans, using multidimensional content analysis undertaken by four expert “evaluators”, to identify the degree to which the PBRS were customer-focused.

Findings

Classifying PBRS plans as being customer-focused was difficult, as the plans had few objectives related to customer experiences or outcomes. Those that did had poorly defined performance objectives, their targets were not specific, or there was limited explicit role responsibility. Thus, PBRS plans seemed not to focus on improving customer outcomes.

Research limitations/implications

The PBRS evaluated do not appear to be customer-focused and, thus, would have limited ability to improve customer experiences (i.e. public sector quality). Further research is needed in other countries to see whether these results are generalisable, and whether service levels vary with more customer-focused PBRS plans.

Practical implications

The results suggest improvements that could be adopted by organisations seeking to make their PBRS schemes customer-focused.

Originality/value

Extensive research suggests that PBRS plans can be used to improve service quality. Most of the studies have focused on the employees' perspectives and have not looked at the degree of customer orientation within the plans.

Details

International Journal of Public Sector Management, vol. 26 no. 1
Type: Research Article
ISSN: 0951-3558

Keywords

Article
Publication date: 17 July 2007

Bronwen Bartley, Seishi Gomibuchi and Robin Mann

This paper aims: to provide practical insights into how organisations can become more customer‐focussed; to share with researchers and organisations a framework that can be used…

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Abstract

Purpose

This paper aims: to provide practical insights into how organisations can become more customer‐focussed; to share with researchers and organisations a framework that can be used to research “customer focus culture” and assess an organisation's level of customer focus; to describe how New Zealand's first consortium approach to benchmarking was managed so that others interested in planning a consortium study can learn from this experience.

Design/methodology/approach

The benchmarking study was conducted by member organisations of the New Zealand Benchmarking Club and facilitated by a doctoral student from Massey University's Centre for Organisational Excellence Research. The methodology involved conducting an extensive literature review to identify national and international best practices in customer focus, developing a survey that was completed by 32 potential best practice organisations, and selecting seven of these organisations for a best practice visit.

Findings

A framework for the examination of customer‐focused culture was developed and the findings from the study reveal practical “new” insights into best practices in customer focus.

Research limitations/implications

Benefits would have been gained from extending the study to include a larger international group seeking further examples of good‐to‐best practices.

Practical implications

Insights into how organisations can become customer‐focused; a framework that can be used by researchers to research “customer focus culture” and by organisations to assess their level of customer focus; insights into how to run a benchmarking study.

Originality/value

This paper reports on the first consortium approach to benchmarking that has been used within New Zealand; it shares some of the latest best practices in customer focus; a customer focus culture framework has been developed – the first of which the authors are aware.

Details

Benchmarking: An International Journal, vol. 14 no. 4
Type: Research Article
ISSN: 1463-5771

Keywords

Article
Publication date: 1 October 2006

N. Gladson Nwokah and Darego W. Maclayton

The purpose of this paper is to assess the impact of customer‐focus on the performance of the organisation. While many empirical works have centered on customer‐focus, the

2337

Abstract

Purpose

The purpose of this paper is to assess the impact of customer‐focus on the performance of the organisation. While many empirical works have centered on customer‐focus, the generalisability of its impact on performance of the food and beverages organisations in the Nigeria context has been under‐researched.

Design/methodology/approach

The paper adopted a triangulation methodology (quantitative and qualitative approach). Data were collected from key informants using a research instrument. Returned instruments were analyzed using non‐parametric correlation through the use of the Statistical Package for Social Sciences (SPSS) version 10.

Findings

The paper validated the earlier instruments but did not find any strong association between customer‐focus and business performance in the Nigerian context using the food and beverages organisations for the study. The reasons underlying the weak relationship between customer‐focus and business performance of the food and beverages organizations are government policies, new product development, diversification, innovation and devaluation of the Nigerian currency. One important finding of this paper is that customer‐focus leads to business performance through some moderating variables.

Practical implications

The paper recommends that the Nigerian Government should ensure a stable economy and make economic policies that will enhance existing business development in the country. Also, organisations should have performance measurement systems to detect the impact of investment on customer‐focus with the aim of knowing how the organization works.

Originality/value

This paper significantly refines the body of knowledge concerning the impact of customer‐focus on the performance of the organization, and thereby offers a model of customer‐focus and business performance in the Nigerian context for marketing scholars and practitioners. This model will, no doubt, contribute to the body of existing literature of customer‐focus.

Details

Measuring Business Excellence, vol. 10 no. 4
Type: Research Article
ISSN: 1368-3047

Keywords

Article
Publication date: 11 May 2022

Chris I. Enyinda, Charles Blankson, Guangming Cao and Ifeoma E. Enyinda

Rising expectations for exceptional customer experiences demand strategic amalgamation of cross-functional, customer-focused teams (marketing/sales/service departments). However…

Abstract

Purpose

Rising expectations for exceptional customer experiences demand strategic amalgamation of cross-functional, customer-focused teams (marketing/sales/service departments). However, the long history of interface conflicts between functional teams continues to attract research attention. Past research has given more attention to conflicts between marketing and sales teams than to triadic interface conflict between custom-focused teams and their sub-conflicts in a business-to-business (B2B) sales process. The purpose of this research paper is to quantify the triadic interface conflicts and associated sub-conflicts between customer-focused teams, discuss conflict resolution strategies and perform a sensitivity analysis (SA) to give a fuller account of functional team conflict.

Design/methodology/approach

Multi-criteria decision-making (MCDM) based in the analytic hierarchy process (AHP) is proposed for identifying and resolving conflicts in customer-focused team interfaces. A group of 30 managers of a large electronics company participated in this research. The authors collected the data from customer-focused team managers during training sessions on interface conflicts and conflict management/resolution strategies. The authors perform SA to test the robustness of conflict resolution strategy rankings.

Findings

The findings reveal that managers adjudge task as the most crucial conflict attribute driving teams apart, followed by lack of communication. For the sub-conflicts, managers considered how to do the task as the most important conflict attribute, followed by lack of regular meetings. For conflict resolution strategies, managers regarded collaboration or integration as the overall best strategy, followed by compromise. Leveraging the AHP-based MCDM to resolve customer-focused team interface conflicts provides managers with the confidence in the consistency and the robustness of these solutions. By testing the SA, it is also discovered that the final outcome stayed robust (stable) regardless when the priorities of the main criteria influencing the decision are increased and decreased by 5% in every combinations.

Research limitations/implications

This study examined only a large B2B company in the electronics industry in African and Middle East settings, focusing on interface conflicts among customer-focused departments. Future research could address these limitations.

Practical implications

This paper advances our understanding of customer-focused team interface conflicts in a B2B sales process. It also provides valuable insights on effective management of major and sub-interface conflicts. This paper provides a framework for and practical insights into how interface conflicts that are prevalent in marketing, sales and service sectors can be resolved to improve customer experience and business performance.

Originality/value

This study contributes to the literature by developing an AHP-based MCDM, which not only extends our conceptual understanding of the interface conflicts between customer-focused teams by emphasizing their triadic nature but also provides valuable strategies and insights into the practical resolution of such conflicts in a B2B firm’s sales process. Methodologically, SA is valuable to ensuring the robustness of the conflict resolution strategies’ rankings that will influence relevant pragmatic decision-making.

Open Access
Article
Publication date: 9 May 2020

Mika Yrjölä

The purpose of this paper is to plot out pathways for organizations to implement a customer focus. These pathways are outlined with the help of illustrative examples. A…

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Abstract

Purpose

The purpose of this paper is to plot out pathways for organizations to implement a customer focus. These pathways are outlined with the help of illustrative examples. A well-defined customer focus is vital for organizations to ensure that they are positioned to be in line with the customers’ actual needs.

Design/methodology/approach

This is a conceptual paper where the argumentation is built on previous research findings, the authors’ reflections and the use of illustrative case examples of companies managing to instill a customer focus.

Findings

This paper builds a framework of potential pathways toward a customer focus by considering four strategic questions related to competition, products, insights and metrics.

Practical implications

This paper encourages managers to move beyond labeling themselves as customer-oriented and to actually implement a customer focus. This study puts forth a framework with strategic questions and principles designed to help with these endeavors.

Originality/value

Many companies pay lip service to customer focus, and it is often merely part of the corporate jargon without any real connection to strategy, the business model or everyday practices. This paper addresses the issue further by highlighting the potential pathways through which an organization can achieve a customer focus.

Details

Journal of Business Strategy, vol. 42 no. 3
Type: Research Article
ISSN: 0275-6668

Keywords

Article
Publication date: 1 January 2004

Yonggui Wang and Hing‐Po Lo

Unlike previous studies which emphasize market oriented performance from the perspective of firms or customers, but mainly internally, the paper proposes that firms should…

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Abstract

Unlike previous studies which emphasize market oriented performance from the perspective of firms or customers, but mainly internally, the paper proposes that firms should prioritize customer‐focused performance defined totally externally from the perspective of targeted customers, which are the fundamental drivers of purchasing or repurchasing behaviors of customers and consequently the key to successful competition in the customer‐centered era. Then, the role of customer‐focused performance in the overall business performance system is examined. After the components and dynamics of customer‐focused performance are analyzed, much attention is given to its key determinants in perspective of a resource‐based view, which aims mainly at bridging the current gaps between strategic management and service management. In addition, important propositions are presented and future implications are discussed.

Details

Competitiveness Review: An International Business Journal, vol. 14 no. 1/2
Type: Research Article
ISSN: 1059-5422

Keywords

Article
Publication date: 5 August 2021

Yung-Kuei Huang and Linchi Kwok

This study aims to assess a moderated-mediation model to account for the relationship between customer mistreatment and frontline hotel employees’ customer-focused voice, where…

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Abstract

Purpose

This study aims to assess a moderated-mediation model to account for the relationship between customer mistreatment and frontline hotel employees’ customer-focused voice, where their organization-based self-esteem (OBSE) served as a mediator and their felt trust (reliance and disclosure) by supervisors served as a moderator.

Design/methodology/approach

The data were collected through paper-based questionnaires in a cross-sectional survey, consisting of 319 valid supervisor-employee-paired responses from 33 international tourist hotels in Taiwan. Regression analyses were used for hypothesis testing.

Findings

OBSE mediates the negative effect of customer mistreatment on customer-focused voice. Employee felt reliance intensifies the negative impact of customer mistreatment on OBSE, and this interaction effect, in turn, reduces customer-focused voice through OBSE. The employee felt disclosure marginally significantly buffers the effect of customer mistreatment on OBSE.

Practical implications

Given the adverse effect of customer mistreatment on customer-focused voice through OBSE, hotels should strengthen employees’ service mindset and value their suggestions. The double-edged effects of felt trust suggest that managers should form a trusting relationship with their subordinates and reassure them that isolated incidents of customer mistreatment will not jeopardize their reputation.

Originality/value

This study integrated sociometer and self-consistency theories to examine OBSE as a psychological mechanism to explain the mistreatment-voice process. Besides assessing felt trust’s two-dimensional effects, this research is possibly the first attempt to examine felt trust as an enabling force or a threat to OBSE in the context of customer mistreatment.

Details

International Journal of Contemporary Hospitality Management, vol. 33 no. 10
Type: Research Article
ISSN: 0959-6119

Keywords

Article
Publication date: 28 August 2009

N. Gladson Nwokah

The purpose of this paper is to assess the influence of customer focus and competitor focus on marketing performance of food and beverages organizations in Nigeria.

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Abstract

Purpose

The purpose of this paper is to assess the influence of customer focus and competitor focus on marketing performance of food and beverages organizations in Nigeria.

Design/methodology/approach

The paper adopted an exploratory design‐ six measures of marketing performance is used to capture the customer‐focus and competitive‐focus of food and beverages organizations in Nigeria. Data were collected from key informants using a research instrument. Returned instruments were analyzed using regression analysis through the use of statistical package for social sciences (SPSS) version 16.

Findings

The paper validated the existing instruments for measuring customer focus, competitor focus and marketing performance. The paper also finds a strong positive relationship between the three constructs.

Practical implications

Two major implications are identified in this paper, one to scholars on the investigation of the link between customer focus, competitor focus and marketing performance in two different organizations. The second is for managers to be aware of the need for effective assessment of marketing performance measure in line with customer focus and competitor focus. This will no doubt help to provide knowledge and understanding of the reason for and consequences of any particular marketing decision.

Originality/value

The paper significantly refines the body of knowledge concerning the impact of customer focus, competitor focus and marketing performance in the Nigerian context.

Details

Measuring Business Excellence, vol. 13 no. 3
Type: Research Article
ISSN: 1368-3047

Keywords

Article
Publication date: 16 August 2011

Augustine A. Lado, Antony Paulraj and Injazz J. Chen

This paper aims to investigate the extent to which a firm's customer focus drives several interlinked facets of supply chain management and their relationships to customer service…

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Abstract

Purpose

This paper aims to investigate the extent to which a firm's customer focus drives several interlinked facets of supply chain management and their relationships to customer service and financial performance.

Design/methodology/approach

Drawing on diverse streams of research, the authors develop and test an integrated model in which customer focus is proposed to foster supply‐chain relational capabilities, leading to beneficial performance outcomes. This study's empirical validity is enhanced by collecting data from over 200 US manufacturing firms and testing the model using SEM.

Findings

This empirical investigation documents significant positive relationships between (a) customer focus and supply‐chain relational capabilities, (b) customer focus and customer service, (c) supply‐chain relational capabilities and customer service, and (d) customer service and financial performance.

Practical implications

This study holds the important implication for managers that, in order to be effective, supply chain partners must reconfigure their supply chains to be more customer oriented and continually develop and leverage the relational competencies in order to enhance firm competitiveness.

Originality/value

Interdisciplinary in nature, this study is one of the first to conduct empirical supply chain management research using multiple and complementary theoretical perspectives, including strategic management and relationship marketing in order to gain a better understanding of the nuances involved in fostering strategic collaboration among supply chain partners.

Details

The International Journal of Logistics Management, vol. 22 no. 2
Type: Research Article
ISSN: 0957-4093

Keywords

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