Search results

This study aims to investigate the moderating role of low and high failure severity levels on recovery satisfaction and on behavioral intentions through recovery satisfaction. This research adopted justice theory and regulatory focus theory to provide further explanations on the inconsistencies in the extant literature regarding service failure and responses to service recovery.

This study applied a scenario-based experimental design of two (perceived justice: low vs high) by two (failure severity: low vs high) between-subjects factorial design. Data was collected from 237 mobile phone users recruited via convenience sampling. This study examined the hypothesized relations using Hayes (2018) PROCESS macro version 4.0.

Perceived justice had a higher positive effect on recovery satisfaction at a high failure severity level. The direct effect of perceived justice on behavioral intentions was significant and positive only at a high level of failure severity, whereas the indirect effect of perceived justice on consumers’ positive behavior through recovery satisfaction was more positive at a high level of failure severity.

Justice theory and regulatory focus theory can be used to explain how a well-implemented recovery effort can offset losses that are caused by a highly severe service failure leading to satisfaction and positive responses. However, as this study was conducted within a telecommunication service context, this research needs to be replicated in other areas, including the use of other data collection methods and measurement of consumers’ regulatory focus orientation.

The findings of this study provide managers with valuable insights into the allocation of service providers’ resources for recovery actions according to consumers’ perceived severity levels to regain consumer satisfaction and continued positive behavioral intentions.

Past research on the effect of failure severity levels on recovery satisfaction and consumers’ positive behavioral intentions is scant, and those studies that examined severity levels have shown conflicting results. This study attempted to advance the research by examining the relationship between perceived justice, recovery satisfaction and behavioral intentions at low and high failure severity levels using justice theory and regulatory focus theory. None of the theories have been examined concurrently in the service failure and recovery framework.

This paper aims to investigate the cultural variability in assessing the severity of a service failure.

Two separate studies were conducted. The first investigates differences in the perception of service failures across two cultural pools of subjects (allocentrics versus idiocentrics) and within a same country. The second contrasts two levels of comparisons: a cross-cultural values’ level and a cross-country level, to assess differences in the perception service failures’ severity.

Results showed that cultural values differences, when investigated at the individual level (i.e. idiocentrism versus allocentrism) are more significant to understand the influence of culture on the perception of severity, that is, allocentrics perceive more severity in the service failure than idiocentrics. However, a cross-country comparison (i.e. USA versus Puerto Rico) does not show significant differences.

Customers may assess, with different sensitivities, the severity of a service failure. These differences are mainly explained by differences in cultural values’ orientations but not differences across countries. Even originating from a same country, customers could perceive with different degrees the seriousness of a same service failure as they may cling to different cultural values. Hence, it is increasingly important to examine the cultural differences at the individual-level rather than a country level.

Firms serving international markets as well as multiethnic ones would have advantage to understand cultural differences in the perception of the severity at the individual level rather than at the societal or country level. This is more helpful to direct appropriate service recovery strategies to customers who may have higher sensitivity to the service failure.

Little is known about the effect of culture on the severity evaluation, although investigating cross-cultural differences in the assessment of severity is relevant to understand whether offenses are perceived more seriously in one culture than another and then if these offenses will potentially arise confrontational behaviors or not.

The aim of this study is to examine the role of level of failure severity and recovery efforts in customer response behavior. Specifically, the paper investigates how severity of failure influence the relationship between recovery efforts and outcome variables of recovery disconfirmation, satisfaction, loyalty and negative word‐of‐mouth.

A 2×2 between subjects experimental design was carried out. Written scenarios were used to manipulate the level of severity and recovery efforts. Responses were collected from 103 participants on pre‐validated scale measures.

The results of the study yield significant findings of impact of failure severity and recovery effort on dependent variables in the Indian context. The findings indicate significant interaction effects on satisfaction, loyalty and negative word‐of‐mouth.

Prior studies on failure and recovery have mostly kept failure constant even though the magnitude of failure can range from low to high. This study examines the effect of level of failure severity and recovery efforts in customer response behavior. Further, this study extends prior research in recovery by investigating the variables of interest in the eastern cultural context such as India.

Previous research has found that interactional justice and distributive justice are critical factors influencing customer satisfaction after a service recovery. In addition, previous service recovery research has found that satisfaction is an important determinant of key outcome variables such as trust, commitment, and negative word‐of‐mouth. The current study extends previous research by investigating the role of service failure severity within the existing framework of service recovery research. The results indicate that service failure severity has a significant influence on satisfaction, trust, commitment, and negative word‐of‐mouth. The results also provide partial support for a moderating influence of service failure severity. Implications and areas for future research are discussed.

The purpose of this paper is to explore influencing factors that affect the effectiveness of service recovery strategies using social network from operations management perspective. Specifically, the authors study the relationships between social media agent responses to customer complaints, customer emotion changes and customer satisfaction. Furthermore, the authors investigate the roles of recovery speed and failure severity in the service recovery process using social network platform.

The results are based on 347 mini cases drawn from the Twitter accounts of a sample of airlines. Grounded theory approach is used to conduct qualitative analysis using NVivo 9, a qualitative data analysis program. A conceptual framework was developed, then tested using χ² analysis.

Agent responses that do not require customers to take further initiatives for problem solving have positive effects on customer emotion alleviation and satisfaction. In contrast, responses that provide further directions poses negative effect on service recovery outcomes. There is a strong positive linkage between customer emotion change and customer satisfaction. Surprisingly, the direct effect of recovery speed on customer emotion and satisfaction is not supported by the data. Rather, it plays a moderating role in affecting the relationship between agent responses and customer satisfaction. The qualitative data further reveals the pivotal role of failure severity, one of key service failure attributes.

The authors study service businesses’ recovery strategies using social media. A conceptual framework is developed to link agent responses, customer emotion changes and customer satisfaction from the lens of service providers, using an operations-oriented approach. Finding on recovery speed and failure severity reveal that these variables play different roles when service recovery is operated on social media platform as compared to traditional channels. Additionally, relying on tweets as data sources has constrained us from assessing other long-term service recovery outcomes such as loyalty, repurchase intent and word of mouth. The drawback is resulted from the limited information conveyed through tweets, which tends to be short and brief. The study focusses on the airline industry, which limits the generalizability of the findings to other service industries.

The authors highlight the value and potential of service recovery strategies using social network and provide insights for recovery operations where agent responses should be focussing on real time problem solving. The findings support the benefits of empowering social network agents for service recovery operations. Improving recovery speed should be less of a priority as it serves as a qualifier when service recovery is operated via social network. Given the pivotal role of failure severity, it is critical for social network agents to stand in the shoes of the complaining customers, making imminent assessment of the actual failure severity and taking action accordingly in real time. In the meantime, effective communication through social network may help to lower perceived magnitude of failure by customers, which in turn enhance the effectiveness of other service recovery efforts.

This study is the first attempt to investigate the service recovery process using social media from an operations-oriented perspective. The results supports the potentials of employing service recovery strategies using social media.

The purpose of this study is to examine the effect of service failure severity on brand forgiveness and to investigate the moderating effects of interpersonal attachment styles and thinking styles on the service failure severity–brand forgiveness relationship.

The authors used retrospective experience sampling to collect the data and structural equation modeling (AMOS 24) to analyze 570 responses collected via an online survey.

This study shows that the service failure severity–brand forgiveness relationship is not always negative, as different conditions may amplify or weaken it. Specifically, a secure attachment style and holistic thinking weaken the negative impact of service failure severity on brand forgiveness, whereas an anxious attachment style and analytic thinking negatively amplify the relationship. An avoidance attachment style did not appear to play a role.

This study should help hotels fine-tune their segmentation, targeting and positioning efforts and may also help in implementing more focused recovery strategies.

This study provides insights into the role of psychological traits in amplifying/reducing the negative impact of service failure severity on brand forgiveness, thus showing the importance of developing the psychological profiles of customers beyond demographic profiling. The emotional and cognitive typologies of consumers are key to understanding the dependence of forgiveness on service failure severity.

Given the fierce competition in financial services, service failure management and trust restoration tactics are becoming strategic priorities. Studies investigating trust restoration have increased over the years due to the significance of trust in services and the frequency of trust violations. Drawing on the sense-making and defensive approaches of attribution theory, this study aims to explore the effectiveness of various trust recovery tactics (e.g. apology, explanation, and investigation) in financial services considering the prevalence of service failure severity.

Based on a scenario-based survey, this study gathered data from 402 consumers of different banks in Pakistan. The study analyzed the data using ordinary least square regressions and structural equation modeling.

The study indicated that explanation is more effective in repairing character-competence and commitment-based trust, while investigation remained highly effective for inducing congruence-based trust. Interestingly, an apology was more effective for communication-based trust repairing, while context-based trust recovery was unaffected against all recovery tactics. Despite the prevalence of severe service failure, recovery actions proved fully effective for character-competence and commitment-based trust while partially effective for congruence-based trust recovery. This study also found that severe service failure undermines the effectiveness of recovery actions in repairing communication and context-based trust.

The study extends the literature on trust recovery by integrating sense-making and defensive attribution theory. The sense-making approach contributes to the existing knowledge on trust recovery by elucidating how consumers and service providers develop a shared understanding to facilitate the recovery mechanism of multidimensional trust in financial services.

This paper aims to provide a cost effective failure mode and effects analysis tool to overcome the disadvantages of the traditional FMEA that the cost due to failure is not defined.

The method presented in this paper is based on the fuzzy utility theory. It uses utility theory and fuzzy membership functions for the assessment of severity, occurrence, and detection. The utility theory accounts for the nonlinear relationship between the cost due to failure and the ordinal ranking. The application of fuzzy membership functions better represents the team opinions. The Risk Priority Index (RPI) is developed for the prioritization of failure modes.

The advantages of the FUT‐based FMEA are demonstrated through cases studies. It shows that it can take the cost due to failure into account when prioritizing failure modes.

The FUT‐based FMEA presented in this paper provides a convenient cost‐effective tool for failure analysis. It improves the performance FMEA in the risk and failure analysis for product design and manufacturing/assembly process.

This study aims to investigate antecedents of forgiveness from the non-complainers point of view after a service failure in India.

This study bases itself on the theoretical foundations of the Cognitive Emotive Coping model. In the first study, a survey-based design was used for soliciting responses from 291 respondents. An experimental research design was undertaken in the second study, and data were recorded from 120 respondents. Data were analysed using both SPSS and AMOS.

All the antecedent variables, except, affective commitment was found to influence forgiveness significantly. Further, forgiveness also positively influenced repurchase intentions and had a negative influence on negative word-of-mouth. The findings also suggest that the service failure severity effectively moderates the relationship between empathy and forgiveness.

This paper extends the cognitive emotive coping model from the non-complainers point of view by adding relational constructs to it. This study observes that affective commitment is not necessarily related to forgiveness in contrast to existing literature. The relationship between empathy and forgiveness is stronger when failure severity is low.

The present research examines the interaction between explanation type and regulatory focus on informational justice (IJ) and satisfaction with service recovery.

The authors conducted two experiments with 538 respondents.

The findings imply that the effectiveness of the explanation type depends on the regulatory focus of the recipient and the severity of the failure. Specifically, with low severity failures, promotion-oriented respondents were sensitive to explanations about why failures happened. Conversely, their prevention-oriented counterparts were sensitive to explanations about how failures happened. With high severity failures, respondents were sensitive to how the failure happened irrespective of their regulatory focus orientation. Moreover, IJ is the psychological mechanism explaining such effects on satisfaction with service recovery.

The research contributes to the service recovery literature showing that explanations provided by the service providers should match the regulatory focus of the customers. The study provides new insights to the practicing managers to enhance the effectiveness of the explanations thus reducing recovery dissatisfaction.