Relationship value in outsourced FM services – value dimensions and drivers

Facilities ◽  
2016 ◽  
Vol 34 (1/2) ◽  
pp. 43-68 ◽  
Author(s):  
Ying Ying Cui ◽  
Christian Coenen
Keyword(s):  
Relationship Quality ◽  
Customer Value ◽  
Facility Management ◽  
Two Dimensions ◽  
Traditional Theory ◽  
Business Relationship ◽  
Senior Managers ◽  
Content Type ◽  
Relationship Value ◽  
The Relationship

Purpose – The purpose of this study is to examine the relation between relationship value and relationship quality in the business relationship between customers and facility management (FM) suppliers. To investigate the relationship value in outsourced FM services, the customer’s perspective is used to identify the dimensions and drivers of relationship value. Design/methodology/approach – A three-stage research design was used. The first stage was a thorough literature review, followed by expert interviews with six senior managers from the customer side, together with workshop and discussion with FM academics. In the third stage, quantitative data were gathered in a survey of 60 senior managers whose companies outsourced FM services. Findings – Findings show that relationship value is an antecedent to relationship quality of the business relationship in the context of FM. In all, 9 dimensions and 34 drivers of relationship value were identified, and a framework of relationship value for FM was established and measured. The sacrifice dimension correlates positively with relationship value, which contrasts with previous studies of relationship value in the context of business markets. Research limitations/implications – A framework of relationship value has been established for further in-depth investigation. There are limitations related to the sampling procedure: qualitative research selected large-sized organizations; the relationship value was only studied within the customer–FM supplier dyad; and a static view of customers’ perceived value from the relationship with their FM suppliers. Practical implications – The study provides a set of value dimensions and drivers for customers to assess how a FM supplier adds value in a relationship, and for FM suppliers to improve their services. Originality/value – This research narrowed the gap in relationship-value studies in FM. The findings can contribute to traditional theory that customer value can be the add-on between benefits (“what you get”) and sacrifices (“what you give”), rather than just a trade-off between these two dimensions.

Customer value co-creation over the relationship life cycle

2018 ◽  
Vol 28 (3) ◽  
pp. 336-355 ◽  
Author(s):  
Jesus Cambra-Fierro ◽  
Iguacel Melero-Polo ◽  
F. Javier Sese
Keyword(s):  
Life Cycle ◽  
Relationship Quality ◽  
Financial Services ◽  
Customer Value ◽  
Customer Relationship ◽  
Business Strategies ◽  
Specific Situation ◽  
Content Type ◽  
Pass Through ◽  
The Relationship

PurposeDrawing from the theory of relationship dynamics, the purpose of this paper is to investigate how the relationship life cycle moderates the link between relationship quality and customer value co-creation. As customer-firm relationships pass through different stages (exploration, buildup, maturity, and decline) characterized by distinct customer behaviors, this study proposes a dynamic conceptual framework.Design/methodology/approachA questionnaire was administered in financial services firms. The final valid sample comprised 2,000 individuals. Subjective customer information from the questionnaire was combined with objective data that the financial entity provided.FindingsThe results demonstrate that the relationship life cycle plays a key moderating role, revealing that, in the buildup and maturity stages, the influence of relationship quality on customer value co-creation is stronger than in the decline stage. However, for customers in the exploration stage, relationship quality does not lead to customer value co-creation behaviors.Practical implicationsAs customer relationship stages are constantly evolving, this study provides companies with additional interesting tools to personalize business strategies and to adapt marketing investments to the specific situation of customers.Originality/valueTo the authors’ knowledge, this is the first study to consider how the relationship life cycle influences the strength with which relationship quality promotes customer value co-creation.

How relationship value and quality motivate positive word-of-mouth behaviour

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Chukwunonso Oraedu
Keyword(s):  
Relationship Quality ◽  
Word Of Mouth ◽  
Causal Effect ◽  
Future Research ◽  
Positive Word ◽  
Content Type ◽  
Relationship Value ◽  
Survey Strategy ◽  
Positive Word Of Mouth ◽  
The Relationship

PurposeThis paper explores the reasoning surrounding relationship value and quality, and further provides a blueprint on how positive word-of-mouth behaviour can be promoted through different routes.Design/methodology/approachSurvey strategy was employed with focus on quantitatively developed questionnaires. Informants were recruited through mall intercept. All diagnostic tests, path analyses and, by implication, research hypotheses were conducted using the SEM-PLS technique.FindingsAll the hypothesized relationships were supported. Relationship value directly relates to trust, satisfaction and word-of-mouth behaviour. Value was also indirectly related to word-of-mouth behaviour through the relationship quality construct, but trust stood-out as a better mediator. Trust and satisfaction also came out as antecedents of positive word-of-mouth behaviour.Research limitations/implicationThe relationship between relationship value and the relationship quality construct remains largely under-researched in literatures. This paper serves as a springboard for future research projects to extend understanding on how both constructs interact especially in a Business-to-Consumer (B2C) level. In addition, the paper offers a comprehensive insight on the behaviour of the relationship quality construct when it is tested as a mediator in a causal–effect model.Practical implicationsThis study holds that by engineering superior value, a telecom provider is better positioned to build a sound relationship quality network and stimulate positive word-of-mouth through different routes.Originality/valueGiven the dearth of research on this area, this paper represents the first attempt to map out relationship value as an antecedent of relationship quality and word-of-mouth behaviour on a B2C level, and simultaneously explore the direct and indirect behaviour of both constructs in promoting word-of-mouth behaviour in a non-Western setting.

scholarly journals Total value in business relationships: exploring the link between power and value appropriation

2018 ◽  
Vol 33 (2) ◽  
pp. 174-182 ◽  
Author(s):  
Daniel Chicksand ◽  
Jakob Rehme
Keyword(s):  
Customer Value ◽  
Design Methodology ◽  
Business Relationships ◽  
Business Relationship ◽  
Value Appropriation ◽  
Content Type ◽  
Contentious Issue ◽  
Supply Chain Relationships ◽  
Business Exchange ◽  
The Relationship

Purpose The purpose of this paper is to consider how value can be better defined and to understand the drivers of value appropriation in business relationships. In doing so, the authors explore the role that power plays in determining the sharing of value in those relationships. Design/methodology/approach This paper contains a conceptual discussion about value and the appropriation of value in business relationships, which leads to the development of a methodology for assessing the sharing of value. Findings In this paper, the authors have developed a view of total value in supply chain relationships. They argue that the value of the relationship is the sum of the customer and supplier value, including both tangible and intangible benefits and sacrifices. In addition, they maintain that the appropriation of value in a business relationship is reliant upon: the power both parties possess; the direct and tangible value each party has to offer; and the indirect and intangible value that each has to offer. They also provide a methodology, which can be used to determine the sharing of value between two actors within a business exchange. Research limitations/implications In arriving at the conceptualisation of total value and in the discussion of value appropriation in business relationships, the authors drew upon extant literature. However, a limitation is that they were unable to fully consider all the academic discourse centred on value and value appropriation. Originality/value The discussion brings together the issues of customer value and supplier value to the concept of “total value”. Thereafter, it links the contentious issue of buyer and supplier power, so as to better understand the appropriation of value in business relationships.

Does beauty matter?

Kybernetes ◽  
2019 ◽  
Vol 48 (3) ◽  
pp. 362-384
Author(s):  
Wei-Lun Chang
Keyword(s):  
Social Anxiety ◽  
Public Relations ◽  
Physical Attractiveness ◽  
Two Dimensions ◽  
Team Work ◽  
Three Dimensions ◽  
Self Organizing Maps ◽  
Content Type ◽  
The Relationship ◽  
Public Self Consciousness

PurposeThe purpose of this study is to explore the relationship between self-consciousness and physical attractiveness from a psychological perspective, examining the relationship of physical attractiveness with the three dimensions of self-consciousness.Design/methodology/approachThe research involved investigating the relationship between self-consciousness and physical attractiveness, focusing on how the three self-consciousness dimensions (i.e., private self-consciousness, public self-consciousness and social anxiety) affected physical attractiveness. Clustering techniques using self-organizing maps of data mining and decision trees were used in this study. The primal concept of clustering entails grouping unsorted and disorganized raw data and arranging data with similar properties into clusters. Classification primarily involves establishing classification models according to the category attributes of existing data. These models can be used to predict the classes of new data and determine interdata relationships and data characteristics.FindingsPublic self-consciousness was most strongly related to physical attractiveness, whereas the other two dimensions exhibited no obvious relationship to physical attractiveness. It may be concluded that people with higher physical attractiveness draw attention from others more easily and are more likely to be evaluated positively, and that they thus tend to be more confident in front of others and less likely to care about the opinions of others. Alternatively, perhaps people with lower public self-consciousness care less about how others view them and have the courage to express themselves, which signifies confidence and increases their physical attractiveness.Practical implicationsThis research investigated the importance of self-consciousness that may apply to recruitment in practice. People with low public self-consciousness may have high confidence and efficiency. People have low social anxiety may not be nervous or anxious in public and easy to speak to strangers. This kind of employees are appropriate for the jobs involving team work and interaction such as public relations. Hence, companies can apply our findings to search appropriate employees except the first impression of appearance.Originality/valueThe results revealed that high physical attractiveness is related to low public self-consciousness, whereas low physical attractiveness is related to high public self-consciousness. Good-looking people tend to attract attention from others. The relationship between private self-consciousness and physical attractiveness is non-significant. The relationship between social anxiety and physical attractiveness is non-significant.

Understanding the impact of the relationship quality on customer loyalty: the moderating effect of online service recovery

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Shu-Mei Tseng
Keyword(s):  
Relationship Quality ◽  
Customer Loyalty ◽  
Service Recovery ◽  
Survey Study ◽  
Service Firms ◽  
Online Service ◽  
Statistical Population ◽  
Content Type ◽  
The Impact ◽  
The Relationship

Purpose The purpose of this study is to examine the impact of the relationship quality on customer loyalty. The moderating role played by online service recovery in this study is further discussed. Design/methodology/approach A quantitative Web-based survey study was conducted to statistically test these relationships among relationship quality, service recovery and customer loyalty. Data collected from 183 respondents were taken for analysis through partial least squares. Findings The findings reveal that relationship quality has significant influence on customer loyalty, whereas service recovery has moderated effect on the relationship between relationship quality and customer loyalty. Research limitations/implications The respondents of this study were recruited from online panels; thus, a purposive sample could be a biased indication of the characteristics of the actual population. Therefore, it is suggested that future researchers enroll subjects from a statistical population that accurately represents the entire population and, in addition, that they collect more responses to increase the generalizability of the findings. Practical implications Because failures in service delivery are inevitable, recovery of such encounters thus represents a significant challenge for service firms. Hence, this study proposes concrete suggestions for firms to manage and operate e-commerce websites, as well as to enhance relationship quality and customer loyalty. Originality/value Service failures have been the bane of e-commerce, compelling customers to either abandon transactions entirely or switch to a physical competitor. Many firms have realized the importance of maintaining strong relationships with customers to enhance their loyalty. However, previous literature has a few studies conducted on the relationships among service recovery, relationship quality and customer loyalty in the e-commerce context. Therefore, it is meaningful to identify these relationships.

Strategic orientations and firm innovativeness: a necessary condition analysis

2019 ◽  
Vol 14 (3) ◽  
pp. 427-442 ◽  
Author(s):  
Nguyen Dinh Tho
Keyword(s):  
Relationship Quality ◽  
Risk Taking ◽  
Entrepreneurial Orientation ◽  
Necessary Condition ◽  
Learning Orientation ◽  
Business Relationship ◽  
Content Type ◽  
Strategic Orientations ◽  
Marketing Orientation ◽  
Firm Innovativeness

Purpose The purpose of this paper is to decipher the levels of three strategic orientations – learning orientation, entrepreneurial orientation (proactiveness and risk taking) and marketing orientation (responsiveness to customers, responsiveness to competitors, responsiveness to the macro-environment and business relationship quality) – that are necessary for firm innovativeness. Design/methodology/approach Data were collected from a sample of 316 firms in Ho Chi Minh City, Vietnam. Multiple regression analysis (MRA) was employed to examine the net effects of seven factors (learning orientation, proactiveness, risk taking, responsiveness to customers, responsiveness to competitors, responsiveness to changes in the macro-environment and business relationship quality) on firm innovativeness. Necessary condition analysis (NCA) was then employed to discover the level of these factors as necessary conditions for firm innovativeness. Findings The results produced by MRA show that learning orientation, proactiveness, responsiveness to customers and responsiveness to competitors have positive effects on firm innovativeness. The results from the NCA reveal that six out of seven conditions exhibit varying necessary levels for firm innovativeness. Practical implications The findings are relevant to senior managers and suggest that the levels of strategic orientations necessary for firm innovativeness vary. Firms therefore should pay attention not only to the net effects (beta weights) but also to their necessary levels. Based on their resources and capabilities, firms should take into account the necessary level of each strategic orientation in order to achieve their innovativeness goal. Originality/value This study is among the first to decipher the levels of three strategic orientations (learning orientation, entrepreneurial orientation and marketing orientation) that are necessary for firm innovativeness.

scholarly journals The development of trust over time in an emerging market context: the case of the Tunisian automotive sector

2019 ◽  
Vol 34 (6) ◽  
pp. 1210-1222 ◽  
Author(s):  
Tibor Mandják ◽  
Samy Belaid ◽  
Peter Naudé
Keyword(s):  
Emerging Market ◽  
Qualitative Interviews ◽  
Spare Parts ◽  
Point Of View ◽  
Business Relationship ◽  
Content Type ◽  
Perceived Trust ◽  
Emerging Country ◽  
The Relationship

Purpose The purpose of this paper is to empirically investigate how context influences the quality of business relationships. This theoretical question is studied from the point of view of trust, one of the important components of business relationship quality. The authors study how trust is related to the dynamics and management of the business relationship in the context of an emerging market. Design/methodology/approach This paper is based on qualitative interviews with 15 spare-parts resellers in the Tunisian automotive industry. The authors take a monadic view, interviewing resellers about their relationships with their wholesalers-importers. The decision to undertake the research in Tunisia is based on three factors. First, Tunisia is an emerging country and there is very little published research based in the Maghreb countries. Second, the Tunisian automotive parts market structure is relatively simple and, hence, easily understood, with most spare-parts being imported because of the low level of local production. Third, the actors in the study are all Tunisian companies, so research allows us to explore relationships between local companies in an emerging country. Findings The authors find that different kinds of trust play different roles over the dynamics of the relationship. Perceived trust is more important at the emergent stage of a relationship, and as the two parties learn from each other, experienced trust becomes more important in the established relationships. The initial perceived trust creates the possibility of building trust, and when mutual trust exists between the parties, it motivates them to maintain the relationship, but there is always the threat of the degradation of the quality of the relationship because of the violation or destruction of the trust. Research limitations/implications This paper shows that more care should be taken when using trust as the variable under scrutiny. Different aspects of trust manifest themselves at various stages of the relationship building cycle. Practical implications The results emphasize that when initiating a business relationship, managers first need to create perceived trust. Thereafter, once trust is built up, it is the trust that may “manage” or act to control the on-going relationship as long as the partners’ behavior or network changes do not violate the trust. Originality/value The results of this paper show that there is a mutual but not necessarily symmetrical or balanced influence of trust on the behavior of the partners involved. The influence of the different parties is dependent on the power architecture, the history of the relationship and the network position of the actors.

Demonstrating the motivational scale for commitments toward teachers’ turnover intentions using self-determination theory: a case of higher education institutions in Pakistan

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Sayeda Zeenat Maryam ◽  
Fouzia Ali ◽  
Mehvish Rizvi ◽  
Sadia Farooq
Keyword(s):  
Higher Education ◽  
Turnover Intentions ◽  
Higher Education Institutions ◽  
Self Determination Theory ◽  
Developed Countries ◽  
Two Dimensions ◽  
Self Determination ◽  
Equation Modeling ◽  
Content Type ◽  
The Relationship

PurposeThis paper aims to demonstrate the turnover intentions (TIs) among the academic faculty of higher education institutions (HEIs) in Pakistan through their motivation and commitment toward the concerned institution. It inspects the relationship of dimensions of motivation including an absence of motivation (AM), extrinsic motivation (ExM) and intrinsic motivation (InM) with the dimensions of commitment including affective commitment (AC), continuous commitment (CC) and normative commitment (NC) and finally the academic's TIs.Design/methodology/approachThe paper used the self-determination theory (SDT), the theory of organizational commitment (OC) and the theory of planned behavior (TPB) for its proposed model. A sample of 500 academics, working under higher education commission recognized public and private universities in Punjab Pakistan. A structural equation modeling (SEM) conducted for analysis using an algorithm, bootstrapping and blindfolding techniques.FindingsThe outcomes of the research are attention-grabbing, as no direct relationship has been observed between the dimensions of motivation and TIs except InM. The dimensions of commitments are mediating the relationship between motivation and TIs with high significance value. The results reveal a significant adverse effect on TIs through two dimensions of commitment.Research limitations/implicationsAs it is the case of a developing country like Pakistan therefore the finding cannot generalize to developed countries.Practical implicationsThe findings of this research may lead the policymakers and practitioners of HEIs and controlling body to retain their competent teachers.Social implicationsThis research can help the private sector to develop strategies about the retention of their competent teachers within the institutions that not just value the institution but also will be much beneficial for the students and society.Originality/valueThis paper is identifying how motivation is related to TIs and the role of commitment in it at HEIs. Still, no research has been conducted considering this avenue of SDT, OC and TPB

scholarly journals Maintaining business relationships: resilience through institutional work

2019 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ilkka Tapani Ojansivu ◽  
Jan Hermes
Keyword(s):  
Relationship Maintenance ◽  
Historical Case Study ◽  
Business Relationships ◽  
Business Relationship ◽  
Historical Case ◽  
Content Type ◽  
Codes Of Practice ◽  
The Relationship ◽  
Over Time

Purpose Business relationships are considered long-term and stable. Furthermore, over time, business relationships are expected to become and remain “institutionalized”. The undertone is that this process is deterministic and inevitable. While the authors do not question the long-term nature of business relationships, they argue that the process of “institutionalization” requires more construct clarity. Consequently, they ask the following: What is the source of resilience in business relationships, and how are these relationships maintained over time? Design/methodology/approach To unravel these questions, the authors conducted an historical case study of a business relationship between a government buyer and a software seller extending over two decades. Findings The authors found that while the network around the business relationship is crumbling and all odds are in favor of relationship dissolution, the active maintenance work of key individuals in the relationship prevented detrimental effects and resulted in not only its continuation but also an increased degree of institutionalization. Research limitations/implications The authors contribute to the Industrial Network approach (INA) by providing a non-deterministic approach to the typically taken-for-granted end phase of business relationships. Practical implications The findings illustrate that the process of institutionalization is manageable but requires hard work, highlighting managers as the principle vehicle of relationship maintenance. Originality/value The authors provide construct clarity around the process of “institutionalization”. In fact, they regard the process as reverse compared to the early interpretation in the INA literature in which a business relationship is assumed to start as a “clean slate” and then begins to represent the industry codes of practice over time. They found that “institutionalization” implies that a business relationship is no longer compared with nor is comparable to the institutional prescriptions; in contrast, the relationship has established its own rules and norms, which have been taken for granted by the buyer and seller organization.

Corporate social responsibility and service innovation on customer loyalty

2015 ◽  
Vol 33 (6) ◽  
pp. 823-839 ◽  
Author(s):  
Ying-Pin Yeh
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Relationship Quality ◽  
Customer Loyalty ◽  
Service Innovation ◽  
Service Firms ◽  
Content Type ◽  
Wealth Management ◽  
Relationship Value ◽  
Corporate Social

Purpose – Customer loyalty is crucial for firms to generate positive returns. Creation of customer loyalty is a challenge for service firms because switching service firms can represent a risk. The purpose of this paper is to examine how wealth managers select and implement corporate social responsibility (CSR) and service innovation strategies to influence customer loyalty. Design/methodology/approach – A review of the related literature indicated that scant studies have determined the meanings and outcomes of CSR and service innovation. Therefore, the roles of CSR and innovation were examined in this study to evaluate how these factors affect customer loyalty in a wealth management context. The authors evaluated customer advocacy, relationship quality, and relationship value as mediating variables, and formulated six hypotheses. Data were collected using a questionnaire survey distributed to wealth management customers in Taiwan. All the hypotheses were verified using a structural equation model and data collected from the respondents. Findings – The results indicated that relationship quality and value are positively related to customer loyalty, and customer advocacy is positively related to both relationship quality and value. In addition, CSR and service innovation are positively related to customer advocacy. Research limitations/implications – This research was limited to collecting data related to specific service providers, and therefore consumers in other countries should be examined to test the robustness of the theoretical model. The results of analyses conducted on other industries and in other countries might differ. Practical implications – In the wealth management service context, CSR and service innovation capabilities contribute to customer advocacy, which can achieve superior relationship quality, relationship value, and customer loyalty. Originality/value – This paper contributes to investigations on the effect of CSR and service innovation on customer loyalty by adopting customer advocacy, relationship quality, and relationship value as mediators.

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