• Title/Summary/Keyword: Other-Customer Failure

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Negative Spillover Effects of Other-Customer Failure in Airline Context

  • Kim, Mi-Jeong;Park, Chul-Ju;Park, Jae-Sung
    • Journal of Distribution Science
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    • v.15 no.1
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    • pp.15-20
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    • 2017
  • Purpose - Other customers within the same service environment do influence a customer' attitude and behavior toward a service firm. Specially, other customers' misbehaviour and various service problems stemmed from them could make the other customers suffer some bad experiences. However, there are few studies to answer how the spillover effect of a service failure arisen from other customers' misbehavior. This study is aimed to examine how service failure due to the dysfunctional behavior of other customers has negative effects on customer evaluation with the service provider. Research design, data, and methodology - Data were collected from a survey based on consumers' retrospective experiences in airline service context. The hypothesized relationships were tested conducting structural equation modeling. Results - Our results show that the attribution of a firm responsibility for other-customer failure has a positive influence on customer's recovery expectation, in turn, it is negatively related to customer satisfaction. Furthermore, perceived service provider's efforts positively influence customer satisfaction. Conclusions - Although a service failure was caused by other customer's misbehavior, employees should be able to alleviate any bad feelings of the affected customers. Furthermore, service providers should provide proper recovery efforts for solving problems caused by the other customers for the wounded customers.

Customer-Contact Employee Support and Service Recovery Efforts: The Mediating Role of Job Burnout and Customer Orientation

  • Moon, Younhee
    • Asia Marketing Journal
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    • v.20 no.3
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    • pp.83-103
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    • 2018
  • The purpose of this research is to investigate the effect of customer-contact employees support on service recovery efforts. Service companies should try to prevent the service failure situation from occurring, but it is realistic that the service failure occurs due to the characteristics of the service. Service recovery efforts of service providers are important because effective responses to service failures can enhance customer satisfaction despite service failures. Social support for customer-contact employees needs to improve service recovery efforts. Specifically, this study focuses on the mediation roles of job burnout and customer orientation in relationship between social support for customer-contact employees and service recovery efforts. Social exchange theory was used as the theoretical underpinning of the research model. Based on reciprocity principle, this paper suppose that support for customer-contact employees and service recovery effort are a kind of social exchange relationship. Social supports for customer-contact employees are categorized into internal and external organization. Internal organization is POS(perceived organizational support) and external organization is customer support. The research model was tested with the data gathered from the flight attendants whose emotional labor intensity was relatively high and the service failure frequently occurred. As a result of analysis, social supports for customer-contact employees classified into organizational support, supervisor support, and customer support are found to have differential impacts on job burnout and customer orientation. It has been found that job burnout of service providers is negatively affecting service recovery efforts. On the other hand, customer orientation of service providers has a positive influence on service recovery efforts. Based on the results of the analysis, we provide practical implications for effective service recovery efforts in service failure situations, and suggest the theoretical implications to explain the process of service recovery effort. Finally, limitations of the study and directions for future research are suggested.

The Effects of Service Failure Magnitude on Perceived Justice, Positive Emotion, and Revisit Intention in Restaurants -A Comparison of Korean and American Customer Perceptions- (레스토랑에서의 서비스 실패 정도가 회복 공정성, 긍정 감정, 재방문 의도에 미치는 영향 -한국 고객과 미국 고객 비교를 중심으로-)

  • Yi, Na-Young
    • The Korean Journal of Food And Nutrition
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    • v.24 no.3
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    • pp.329-339
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    • 2011
  • The purpose of this study was to compare the effects of service failure magnitude on perceived justice, positive emotion, and revisit intention at restaurants between a collectivist culture(Korea) and an individualistic culture(United States). The results showed that the higher a customer's perception of service failure magnitude, the lower the perceived recovery justices in both cultures. The distributive, procedural, and interactional justices had a favorable effect on positive emotions in both cultures. Other findings revealed that interactional justice was the best predictor of revisit intention in Korea, while distributive justice was the best determinant of revisit intention in the United States. This research suggests that global restaurant managers need to understand how cultural orientation influences consumer perceptions of service failures in order to develop a highly targeted and effective service recovery.

ENGINEERING AND MANAGEMENT ON GLOBAL SOURCING OF ELECTRONIC COMPONENTS TO IMPROVE PRODUCT RELIABILITY

  • Masuda Akihiko;Saka Yasuo;Ihara Yoshiyuki
    • Proceedings of the Korean Society for Quality Management Conference
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    • 1998.11a
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    • pp.287-292
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    • 1998
  • As business looks towards the $21^{\st}$ century, a long-term strategy that focuses on global sourcing will be the vital factor in whether companies win or lose. At the same time, with electronic components, it is important to ensure stable quality and reliability, together with other important parameters. In order to achieve this, creating an effective mechanism of failure analysis and database management for electronic components is essential. The authors introduce the actual mechanism employed by NEC and explain the ideas and insight they have obtained from their experience.

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Internal Service Recovery's Influence on Frontline Service Employees' Satisfaction and Loyalty

  • Gong, Taeshik
    • Asia Marketing Journal
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    • v.17 no.2
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    • pp.39-62
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    • 2015
  • Relatively little studies have investigated employee recovery from internal service failure, especially from the employees' perspective. When handling customer complaints, employees must not only deal with legitimate customer demands after a service failure, such as providing an apology, rectifying the problem, and offering compensation, but they must also manage illegitimate dysfunctional customers, who may yell, threaten, and even physically harm the employee. These negative experiences can have strong effects, and employees can exhibit higher levels of stress such as burnout and emotional labor, which have been linked to dissatisfaction, tension and anxiety, reduced performance and effectiveness, and a greater propensity to leave the firm, ultimately leading to negative financial consequences for the firm. These conditions result in internal service failure and create the need to recover employees-in other words, internal service recovery. However, little research has examined this issue so far. The purpose of the current study, therefore, is to investigate the relationship between internal service recovery and employee outcomes. A pre-test, post-test between-subjects experimental design was developed. Participants were 166 part-time students who were working full-time. The average age of the participants was 36.74 years, and 57.50% of them were female. The average length of employment was 13 years. Participants were randomly assigned to one of four groups of approximately equal size. Three of the groups were subjected to an experimental situation involving an internal service failure, while one group was not exposed to failure, thereby acting as a control group. This study contributes to the service marketing literature in several ways. First, the study extends service failure and/or recovery research by examining recovery in an employee context. Second, this study attempts to measure internal service recovery and to empirically demonstrate its relationship to employee outcomes. Third, this investigation emphasizes the managerial importance of internal service recovery. For example, understanding the nature of the relationships between internal service recovery and its consequences can improve the effectiveness and efficiency of managers' resource allocation decisions.

Making Decision of the Maintenance Priority of Power Distribution System using Time Varying Failure Rate and Interruption Cost

  • Chu, Cheol-Min;Kim, Jae-Chul;Yun, Sang-Yun
    • Journal of Electrical Engineering and Technology
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    • v.4 no.1
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    • pp.43-48
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    • 2009
  • The purpose of the this paper is to make decision of the maintenance priority of power distribution system using Time-Varying Failure Rate(TVFR) with interruption cost. This paper emphasizes the practical use of the reliability indices and interruption cost. To make a decision of maintenance priority on power distribution system equipment, the quantification of the reliability level should be represented as a cost. In this paper, the TVFR of power distribution system equipment applied in this paper utilizes analytic method to use the historical data of KEPCO. From this result, the sensitivity analysis on TVFR of equipment was done for the priority, which represents that high priority of the equipment has more effect on system reliability, such as SAIDI or SAIFI, than other equipment. By this priority, the investment plan is established. In this result, customer interruption cost(CIC) could be extracted, and CIC is used as weighting factor to consider a importance of customer. After that, the result calculated the proposal method in this paper is compared with other priority method, such as lifetime, failure rate or only sensitivity.

A Study on the Reliability Growth Trend of Operational S/W Failure Reduction

  • Che, Gyu-Shik;Kim, Yong-Kyung
    • Proceedings of the Korea Society of Information Technology Applications Conference
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    • 2005.11a
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    • pp.143-146
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    • 2005
  • The software reliability growth depends on the testing time because the failure rate varies whether it is long or not. On the other hand, it might be difficult to reduce failure rate for most of the cases are not available for debugging during operational phase, hence, there are some literatures to study that the failure rate is uniform throughout the operational time. The failure rate reduces and the reliability grows with time regardless of debugging. As a result, the products reliability varies with the time duration of these products in point of customer view. The reason of this is that it accumulates the products experience, studies the exact operational method, and then finds and takes action against the fault circumstances. I propose the simple model to represent this status in this paper.

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A Study on the S/W Reliability Comparison during Operational Stage (운영중 소프트웨어의 고장률에 의한 신뢰도 비교 연구)

  • Che Gyu-Shik;Moon Myung-Ho;Jeon In-Oh
    • Journal of Information Technology Applications and Management
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    • v.13 no.2
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    • pp.17-28
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    • 2006
  • The SRGM has been studied under the assumption that S/W reliability can grow as the fault causing failure is removed even during operational phase because the debugging is available. On the other hand, some papers insist on the uniform failure rate during operational phase because the debugging may not be available in case of universal software. The phenomenon, however, has been observed informally many times that the products S/W reliability grows as the time goes by even without any debugging in point of customer view. I propose the simple approaching method to model the S/W reliability phenomenon that the failure rate reduces as time goes on without modifying the existing reliability model in this paper.

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Deciding the Maintenance Priority of Power Distribution System using Time-varying Failure Rate (시변 고장률을 이용한 배전계통 유지보수 우선순위 결정)

  • Lee, Hee-Tae;Moon, Jong-Fil;Kim, Jae-Chul
    • The Transactions of the Korean Institute of Electrical Engineers A
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    • v.55 no.11
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    • pp.476-484
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    • 2006
  • The failure prediction and preventive maintenance for the equipment of nuclear power plant area using reliability-centered maintenance have been grown. On the other hand, the maintenance for power distribution system consists of time-based maintenance mainly. In this paper, the new maintenance algorithms for power distribution system are developed considering reliability indices. First of all, Time-varying failure rates are extracted from data accumulated at KEPCO using exponential distribution function and weibull distribution function. Next, based on the extracted failure rate, reliability for real power distribution system is evaluated for applying the effective maintenance algorithm which is the analytic method deciding the maintenance point of time and searching the feeder affecting the specific customer. Also the algorithm deciding the maintenance priority order are presented based on sensitivity analysis and equipment investment plan are analyzed through the presented algorithm at real power distribution system.

Estimating Failure Rate Using Warranty Claim Data with Delayed Report of Customers (고객의 지연보고를 고려한 보증수리내역자료에서의 고장률 추정)

  • Park, J.H.;Kim, Y.H.;Baek, J.H.;Lie, C.H.
    • IE interfaces
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    • v.23 no.2
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    • pp.176-181
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    • 2010
  • Warranty claim data analysis is a useful tool for the manufacturer because it contains many useful informations regarding reliability of the product in the real-world environments. Because of the nature of uncertainty and the incompleteness of data, some bias patterns are observed on warranty claim rate known as 'spikes'. Two types of spikes are considered. One is due to manufacturing-related failures. The other is caused by customer's behavior. This paper proposes a model by considering two types of spikes. Warranty claim data is analyzed with the proposed model. To represent spikes observed on the early warranty period, we classify failures into manufacturing-related failures and usage-related failures. Uniform distribution is assumed for the time delayed to diagnose and report by customers. By reducing maximum value of the delayed time by customers, the proposed model characterizes customer's rush in the vicinity of the warranty expiration limit. Experimental results by using the real warranty claim data show that the proposed model is better than the existing one in respect to MSE(Mean Squared Error). Moreover it is expected to estimate the failure rate more realistically with proposed model because it considers the delayed time to diagnose and report by customers.