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Open Access
Article
Publication date: 4 May 2022

Andreas Edström, Beatrice Nylander, Jonas Molin, Zahra Ahmadi and Patrik Sörqvist

The service recovery paradox (SRP) is the phenomenon that happens when customer satisfaction level post-service failure and recovery surpasses the customer satisfaction level…

4131

Abstract

Purpose

The service recovery paradox (SRP) is the phenomenon that happens when customer satisfaction level post-service failure and recovery surpasses the customer satisfaction level achieved at error-free service. The aim of this study was to identify how large the size of compensation has to be at recovery for customer satisfaction to surpass that of error-free service (i.e. to identify a threshold value for SRP). The purpose of this is to inform managers how to restore customer satisfaction yet avoid overcompensation.

Design/methodology/approach

The paper covers two studies. Study 1 used the novel approach of asking participants who had experienced a service failure in the hotel industry what amount of money (recovery) would make them more satisfied than in the case of error-free service. Study 2 then tested the compensation levels expressed by Study 1 participants to be sufficient for the service recovery paradox to occur.

Findings

Study 1 indicated that the threshold for the SRP was (on average) around 1,204 SEK, or just over 80% of the original room reservation price of 1,500 SEK (approx. $180). Study 2 found that (on average) the customer satisfaction of participants who received 1,204 SEK in compensation for service failure marked the point where it surpassed that of error-free service. Participants who received 633 SEK were less satisfied; participants who received 1,774 SEK were more satisfied.

Research limitations/implications

The findings are context-specific. Future research should test the findings' generalizability.

Practical implications

The approach used in this paper could provide managers with a tool to guide their service recovery efforts. The findings could help hotel managers to make strategic decisions to restore customer satisfaction yet avoid overcompensation, given a legitimate service failure in which the organization is at fault.

Originality/value

Numerous previous studies have investigated the occurrence or absence of the SRP at predetermined compensation levels. This paper used a novel approach to find a quantitative threshold at which the magnitude of the recovery effort makes customer satisfaction surpass that of error-free service.

Details

Journal of Service Theory and Practice, vol. 32 no. 7
Type: Research Article
ISSN: 2055-6225

Keywords

Article
Publication date: 6 March 2017

Jonas Molin and Lars-Johan Åge

The purchasing of services is a significantly under-researched area. The purpose of this study is to suggest a conceptual model of service sourcing relationships, including the…

Abstract

Purpose

The purchasing of services is a significantly under-researched area. The purpose of this study is to suggest a conceptual model of service sourcing relationships, including the post-contract phase.

Design/methodology/approach

A qualitative methodology involving two longitudinal case studies that were analyzed with a grounded theory approach to build a conceptual model was applied.

Findings

The proposed model consists of a core process that is termed “business streamlining” and denotes the process by which four interrelated dimensions are managed to making the business processes of the buying organization simpler and more effective and/or productive.

Research limitations/implications

Although the research methodology is qualitative and does not allow statistical generalization, the study does provide valuable insights into the management of the service sourcing process.

Practical implications

The model proposed in this study can be utilized by managers to impose a useful conceptual structure on otherwise fluid and intangible processes, which makes them easier to analyze and facilitates strategic corporate decision-making.

Originality/value

The paper proposes a model that grasps the dynamics and reality of service (out-) sourcing relationships, including the ongoing relationship management process.

Details

Journal of Business & Industrial Marketing, vol. 32 no. 2
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 3 August 2021

Jonas Johannisson and Michael Hiete

This study aims to share experiences of an easy to adapt service-learning approach in a graduate course on life cycle assessment (LCA). Specifically, it reports on how students…

Abstract

Purpose

This study aims to share experiences of an easy to adapt service-learning approach in a graduate course on life cycle assessment (LCA). Specifically, it reports on how students helped the university’s cafeteria to assess meals by conducting an LCA for 25 meals and identifying environmental hotspots.

Design/methodology/approach

A descriptive case study of a graduate course at Ulm University is presented. The course included lectures and problem-based exercises, both theoretical and software assisted. A course evaluation was conducted during the course and one year after completion to poll improvement potentials, as well as its impacts on students’ everyday life.

Findings

It was found that although it was the first LCA for all students, the resulting LCA information of 25 different meals were homogeneous, comparable to the scientific literature and beneficial to the cafeteria’s sustainable development strategy. The concept of service-learning had a higher impact on students’ motivation than a good grade and active-learning is explicitly requested by students. The course design sensitized students to the real-life problems of LCA and made their consumption patterns more elaborate and ecological. Furthermore, this digitization of higher education could be carried out with only minor changes in the present COVID-19 pandemic situation.

Originality/value

As the subject of service-learning in natural sciences is still expandable, this study presents an easy to adapt case study on how to integrate such an approach into university curricula dominated by traditional learning. To the best of the authors’ knowledge, this case study presents the first published LCA university course explicitly describing and evaluating a service-learning approach. The topic touches the everyday lives of students, allows comparisons between different student groups, is easily scalable to different group sizes and credits, and supports learning both how to study in small groups and cooperation between groups to ensure comparability of LCA results.

Details

International Journal of Sustainability in Higher Education, vol. 22 no. 7
Type: Research Article
ISSN: 1467-6370

Keywords

Article
Publication date: 26 July 2019

Mehmet Erkul, Ibrahim Yitmen and Tahir Celik

The purpose of this paper is to investigate the practice of stakeholder engagement as a social network dynamics for stakeholder satisfaction and project success in the lifecycle…

1816

Abstract

Purpose

The purpose of this paper is to investigate the practice of stakeholder engagement as a social network dynamics for stakeholder satisfaction and project success in the lifecycle of mega transport infrastructure projects (MTIPs).

Design/methodology/approach

Hypotheses indicating the positive relationships between stakeholders’ effective attributes, stakeholder engagement as social network dynamics and project success through stakeholders’ satisfaction have been developed. Based on a questionnaire survey and semi-structured interviews, responses have been gathered from the representative groups and organizations on their social network dynamics for their satisfaction and project success. A hypothesized structural equation model has been tested using AMOS statistical software package.

Findings

The analysis highlighted the engagement of the stakeholders within the strategic intents of the project with the public needs and expectations. The model depicts the processes of building social network models based on the capturing of the project’s data in relation to the stakeholders’ communication and satisfaction across the key issues for success in the lifecycle of MTIP.

Practical implications

The model is applicable on most MTIP with a diverse stakeholder base and the underlying complexity associated with the community participation and consultation processes. The model will also support wider stakeholder engagement in the planning of MTIP with optimal operationalization and service delivery from a community perspective.

Originality/value

The research involves an approach for rationalizing the stakeholder engagement policies of the MTIPs by providing an empirically grounded model simultaneously linking various aspects of stakeholder effective attributes, stakeholder engagement and their relationships to stakeholder satisfaction and project success in MTIPs.

Details

International Journal of Managing Projects in Business, vol. 13 no. 7
Type: Research Article
ISSN: 1753-8378

Keywords

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