scholarly journals The Impact of Service Recovery Strategies and Justice Theory upon Customer Satisfaction in Airline Industry of Pakistan.

2019 ◽  
pp. 25-38
Author(s):  
Muhammad Hassan Waheed ◽  
Naimat Ullah Khan

With the rapid growth of the services industry in Pakistan which is more than fifty percent of GDP, organizations focus more on their service recovery strategies to keep high the level of customer satisfaction. The basic theme of this research is to judge the customer satisfaction with respect to the elements of Justice Theory (Distributional, Interactional and Procedural Justice) and Service Recovery Strategies, SRS (Apology, Compensation, and Speed). For this purpose, the data is collected with the help of a questionnaire from 115 passengers at Peshawar Airport Pakistan. The results show that all three elements of SRS (Compensation, Speed, and Apology) and two components of Justice Theory (Interactional and Distributive) have a significant positive relationship with customer satisfaction. The only element that has shown insignificant value is procedural justice. The results also indicate that the compensation element of service recovery and interactional justice of Justice Theory have a higher impact on customer after facing a service failure from any Airline company during traveling. The findings suggests that companies should invest more in their front desk employees and should have a recovery strategy that has a major focus on compensation – an element of justice theory – for losses.

2017 ◽  
Vol 2 (2) ◽  
pp. 136
Author(s):  
Mia Antika

 The objectives of this research is to examine the impact of service recovery toward trust, and customer loyalty. To look at the connection between service recovery and customer loyalty this research used justice perspective that included procedural justice, interactional justice and distributive justice. The setting of this research was information technology business. The research was conducted in area of Surakarta regency with the customer phone operator as research respondent. This research used convinience sampling and employed 150 respondent that grouped by complaint and non-complaint customer. Regression analysis  was used in this research to analyse the data. Research indicated that procedural justice have significant impact toward customer satisfaction. In contrast, distributive and interactional justive did not significant impact toward customer satisfaction. This research also found that trust and customer satisfaction significantly impact toward trust and customer loyalty. In addition, this result found that non-complaint respondent were more trust and  loyalty than  customer who complaint to service which provided by phone operator. This indicated that service recovery did not enable to recover service failure.


2008 ◽  
Vol 1 (2) ◽  
pp. 16
Author(s):  
Franciskus Maya Praba

<p>The background of this research is managers need to analyze that customer service failure can arise customer complaint. It must be managed by service recovery to get customer satisfaction. Future complaint intentions has relationship with customer satisfaction. Every company need to investigate which is the compatible perceived justice to applied. The objective of this research is to investigate service recovery effects toward customer satisfaction, especially perceived justice ( interactional, procedural, distributive ) and how justice effects customer satisfaction and future complaint intentions. The design of this research applies to customer Bank BCA in Semarang which is has variants occupation and the questionnaires were spreaded away to 100 respondents by using purposive sampling. The result of this research are interactional justice and procedural justice has more influence on future complaint intentions. Despite, distributive justice and satisfaction with recovery decrease future complaint intentions.</p><p><strong>Keywords: Antacedence, satisfaction with recovery, future complaint intentions</strong></p>


2016 ◽  
Vol 26 (6) ◽  
pp. 764-787 ◽  
Author(s):  
Jaywant Singh ◽  
Benedetta Crisafulli

Purpose The internet has changed the way services are delivered and has created new forms of customer-firm interactions. Whilst online service failures remain inevitable, the internet offers opportunities for delivering efficient service recovery through the online channel. Notwithstanding, research evidence on how firms can deliver online service recovery remains scarce. The purpose of this paper is to investigate the impact of two online service recovery strategies – online information and technology-mediated communication – on customer satisfaction, switching and word of mouth intentions. Design/methodology/approach A scenario-based experiment is employed. Data are analysed using partial least squares structural equation modelling. Findings Online information and technology-mediated interactions can be used as online service recovery strategies. When fair, online service recovery can restore customer satisfaction, lower switching and enhance positive word of mouth. Interactional justice delivered through technology-mediated communication is a strong predictor of satisfaction with online service recovery. Yet, customers in subscription services show greater expectations of online service recovery than those in non-subscription services. Research limitations/implications Further research could examine the impact of online service recovery on relational constructs, such as trust. Since customers participate in the online recovery process, future research could investigate the role of customers as co-creators of online service recovery. Practical implications Service managers should design online recovery strategies that meet customer need for interactional justice, for example, bespoke e-mails, and virtual chat communications with genuine customer care. Originality/value Online information and technology-mediated communication function as online service recovery strategies. Customer perceptions of justice towards online service recovery restore satisfaction, and encourage loyal behaviour.


2012 ◽  
Vol 5 (2) ◽  
pp. 87-100 ◽  
Author(s):  
Jeanne Ellyawati ◽  
Bernardinus M. Purwanto ◽  
Basu Swastha Dharmmesta

This study examines the impact of service failure through the model of service recovery evaluation. The study focuses on the concept of justice theory to determine the influence of emotions on the three dimensions of justice (distributive, procedural, and interactional) for consumer satisfaction. The study considered a sample of 102 retailers in the Yogyakarta region in Indonesia, whose customers had experienced service failure and received service recovery. This study hypothesizes that perceived justice will significantly affect customer satisfaction directly in the context of service recovery satisfaction. It is further hypothesized that there will be a significant indirect effect of perceived justice on customer satisfaction in the context of service recovery satisfaction through emotions. This study employs the hierarchical regression model and shows that perceived justice (distributive, procedural, and interactional) significantly and directly affects customer satisfaction. Further findings indicate that perceived justice also significantly and indirectly affects customer satisfaction. Positive emotions influence the effect of perceived justice on customer satisfaction. Negative emotions only mediate between perceived procedural justice and satisfaction. Thus, negative emotions do not elicit perceived distributive and interactional justice to unsatisfied retailer as consumers. The mediating variables are only partial mediations. The findings hold significant implications for the theory and practice of service recovery management, especially for retailers and service providers.


2018 ◽  
Vol 28 (4) ◽  
pp. 410-433 ◽  
Author(s):  
Yit Sean Chong ◽  
Pervaiz K. Ahmed

Purpose The purpose of this paper is to examine the notion of “service transgression” which violates customers’ religious beliefs through observing certain dietary guidelines that shape their religious identity. While service transgression and customer forgiveness are predominantly examined using experimental procedures or questionnaire survey in existing studies, this study adopts an interpretive paradigm to explore the complexities and idiosyncratic narratives of individual perceptions. Design/methodology/approach Detailed narrative accounts of 15 participants consisting of five Muslims, five Buddhists and five Hindus; who are working adults residing in Malaysia were gathered via in-depth interviews. Critical incident technique was employed with interpretive approach being undertaken to uncover key themes that form the essence of experiences in service transgressions. Findings The responses from participants were mainly contingent to the individuals’ interpretations of their religious expectations in the assessment of the incidents. Observations from the interview protocols reveal common themes in the consideration of whether one has indeed transgressed against the religious norms, the assignment of blame and responsibility and reparation of relationships. From the findings of this study, the authors developed a typology of conflict framing categories: “damaged identity”, “identity at risk” and “identity preservation” by considering both dyadic and triadic service relationships in service failure incidents which involve a violation of customers’ religious belief systems. Practical implications The outcome of this study seeks to inform service providers on the impact of service transgression of this nature upon consumers particularly in a multi-faith society. Additionally, this study provides insights into the implementation of service recovery strategies if and when such situation arises. Originality/value By undertaking a narrative enquiry, this study uncovers personal sense making in this phenomenon within the contextual frame of societal and historical norms. The outcome of this study provides insights to service providers on the impact of service transgression upon consumers particularly in a multi-faith context such as Malaysia. Additionally, this study discusses managerial implications associated with the implementation of service recovery strategies if and when such situation arises.


2019 ◽  
Vol 77 (4) ◽  
pp. 478-488
Author(s):  
Steven K. Msosa ◽  
Jeevarathnam P. Govender

In recent times, students in higher education institutions have raised their expectations and are becoming less tolerant to poor service. The reality is that service failures are bound to happen. However, effective service recovery strategies could minimise the impact of service failure. The aim of this research was to analyse the influence of service recovery strategies on distributive justice in higher education institutions. A total of 430 students from three public universities in South Africa participated in this research as respondents. The research adopted a quantitative, descriptive and cross-sectional approach. The findings of this research showed that compensation and explanation have a positive and significant influence on distributive justice. Furthermore, the results showed a positive and insignificant influence of apology on distributive justice. The findings of this research are a wake up call to higher education institutions to focus on the two strategies of service recovery, namely explanation and compensation to achieve distributive justice. Thus, higher education institutions should firstly, focus on the use of an explanation to achieve distributive justice because it is offered at no cost compared to compensation which normally wears a financial face. This is based on the fact that higher education institutions are non profit making institutions such that they cannot afford to offer financial compensation on regular basis to address student problems. Ultimately, higher education institutions are advised to consider the severity of service failure before offering any form of service recovery to avoid double deviation. Keywords: distributive justice, field-based research, higher education institutions, service failure, service recovery strategies.


2020 ◽  
Vol 8 (3) ◽  
pp. 230-239
Author(s):  
Steven Kayambazinthu Msosa ◽  
◽  
Gona Govender ◽  

Students in higher education institutions encounter different problems which are normally reported through the appropriate complaints channels. Sometimes institutions and their employees do not address the reported problems on time due to systematic issues such as internal processes or procedures which are cumbersome. This paper assessed the impact of service recovery strategies (speed and empowerment) on procedural justice in higher education institutions. The study was conducted across three public universities in South Africa using a purposive sample of 430 students. The findings showed that speed and empowerment have a positive and significant impact on procedural justice. The findings underpin the importance of fairness in the procedures being used to address student problems. Besides, the study could help faculty and institutional managers to pinpoint areas that are hindering the smooth running of the operations and interface between students and employees of the universities. This study contributes to the literature on procedural justice in the higher education sector and provides an analysis of students' experiences from the developing world where infrastructural and financial challenges contribute to the final recipe.


2021 ◽  
Vol 9 (4) ◽  
pp. 887-896 ◽  
Author(s):  
Quoc Nghi Nguyen ◽  
Van Tung Huynh ◽  
Van Nam Mai

The objective of this study is to demonstrate the relationships among the severity of service failure, service recovery, customer satisfaction and loyalty towards the Vietnamese international hospital system. The research data were collected from 303 customers who have used services and experienced service failures at international hospitals. Applying Structural Equation Modeling, the study pointed out that service failure includes three dimensions, which are system failure, request failure, and behavior failure. Meanwhile, service recovery is made up of three dimensions which are distributive justice, procedural justice, and interactional justice. The severity of service failure positively affects service recovery and service recovery puts a powerful impact on customer satisfaction, thereby increasing their trust in international hospitals in Vietnam.


2021 ◽  
Vol 4 (1) ◽  
pp. 449-459
Author(s):  
Sarida Sirait ◽  
◽  
Calen Calen ◽  

echnological developments are so fast and fast that all banks are increasingly trying to provide excellent service to customers who are the spearhead of the banking business. The high competition in the banking business and the heterogeneous condition of customers make the management have to make efforts to improve services. the inability of banks to deal with customer complaints makes customers dissatisfied and shifting. The large costs associated with service recovery have prevented the banking sector from responding quickly to various customer complaints or customers. The purpose of this study is to determine the extent to which service recovery can improve banking services. The independent variable (independent) in this study is service quality (X), namely the application of service recovery strategies consisting of distributive justice, procedural justice, and interactional justice. Meanwhile, the determining variable (dependent) is customer satisfaction (Y) at Bank BRI Pasar Horas Unit. The analytical technique used in this study is linear regression to see how much influence the variable X has on Y. The results of data processing using SPSS are that X has a significant positive effect on Y with a significance value of 0.00 and a coefficient of determination (R Square) of 0.772. The magnitude of the coefficient of determination of 0.772 is equal to 77.2%, this figure implies that quality affects customer satisfaction by 77.2%Keywords: service quality, customer satisfaction, service recovery


2020 ◽  
Vol 2 (1) ◽  
pp. 112-125
Author(s):  
Ni Wayan Suartini Ningsih ◽  
Ni Made Yudhaningsih

As a hospitality business can not be separated from error or service failure. so companies need to handle the failure of the service with service recovery program embodied with three dimensions of procedural justice, interactional justice and distributive justice. This study aims to Determine the influence of procedural justice, interactional justice distributive justice on customer satisfaction at Rama Candidasa Hotel. This study used 80 samples, the method of collecting data through questionnaires. Data analysis was performed with multiple linear regression analysis,test f  test t and the previous determination has been tested the validity and reliability.The results showed by the F-test is procedural justice, interactional justice and distributive justice have positive and significant impact on customer satisfaction at Rama Candidasa Hotel. From the results of correlation analysis this shows thata positive and very powerful relationship between procedural justice, interactional justice and distributive justice with customer satisfaction. Where the condition shows the higher the value of procedural justice, interactional justice and distributive justice, that make the higher the value of customer satisfaction and same as the other way. From result of determination analysis (R2) obtained coefficient of determination equal to 64,4%, which means that customer satisfaction is true result from influence of procedural justice, interactional justice and distributive justiceequal to 64,4%, while 35,6% influenced by other factor. Furthermore, based on T-test results obtained that the distributive justice has greater influence and stronger than procedural justice and interactional justice.


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