Performance measurement of the after-sales service network: Evidence from the automotive industry

Abstract: This paper presents an empirical investigation to determine important factors influencing on customer satisfaction in after-sales service network of automotive industry. The study designs two questionnaires, one for measuring the quality of after-sales services and the other for measuring customers’ satisfaction. The study selects a sample of 265 randomly selected customers out of 850 people who received the services from an automotive firm in Iran. Cronbach alpha has calculated as 0.82, which is well above the minimum desirable level. Using Spearman correlation the study has detected a positive and meaningful relationship between services and customer satisfaction (r=0.48, Sig. =0.01), a positive relationship between being responsiveness and customer satisfaction (r=0.51, Sig. =0.01) and finally a positive relationship between speed of operation customer satisfaction (r=0.45, Sig. = 0.01). Moreover, there was a positive and meaningful relationship between cost of services and customer satisfaction (r=0.68, Sig. = 0.01) and a positive relationship between quality of services of after-sales services and customer satisfaction (r = 0.61, Sig. =0.01).

How to cite this paper

 Fard, S & Hosseini, S. (2015). Performance measurement of the after-sales service network: Evidence from the automotive industry.Management Science Letters , 5(10), 927-932.

Refrences

Anderson, E. W., Fornell, C., & Lehmann, D. R. (1994). Customer satisfaction, market share, and profitability: Findings from Sweden. The Journal of Marketing, 58(3), 53-66.

Van Birgelen, M., de Ruyter, K., de Jong, A., & Wetzels, M. (2002). Customer evaluations of after-sales service contact modes: An empirical analysis of national culture & apos; s consequences. International Journal of Research in Marketing, 19(1), 43-64.

Cavalieri, S., Gaiardelli, P., & Ierace, S. (2007). Aligning strategic profiles with operational metrics in after-sales service. International Journal of Productivity and Performance Management, 56(5/6), 436-455.

Cohen, M. A., & Lee, H. L. (1990). Out of touch with customer needs? Spare parts and after sales service. MIT Sloan Management Review, 31(2), 55.

Chitcharoen, C., Kanthawongs, P., Wathanasuksiri, K., & Kanthawongs, P. (2013). A model to investigate the influence of channel, perceived web quality, brand awareness, perceived quality on after-sales service of the all-in-one office products. Procedia-Social and Behavioral Sciences, 88, 8-12.

Dombrowski, U., & Engel, C. (2014). Impact of Electric Mobility on the after Sales Service in the Automotive Industry. Procedia CIRP, 16, 152-157.

Ehinlanwo, O. O., & Zairi, M. (1996). Best practice in the car after-sales service: An empirical study of Ford, Toyota, Nissan and Fiat in Germany-Part 1. Business Process Management Journal, 2(2), 39-56.

Flynn, J. (1997). The odyssey of a customer inquiry. Management Review,86(5), 62.

Gaiardelli, P., Saccani, N., & Songini, L. (2007). Performance measurement of the after-sales service network—Evidence from the automotive industry. Computers in Industry, 58(7), 698-708.

Hayes, J., & Dredge, F. (1998). Managing customer service. Gower Publishing, Ltd.

Kasper, H., & Lemmink, J. (1989). After sales service quality: views between industrial customers and service managers. Industrial Marketing Management,18(3), 199-208.

Kim, S. H., Cohen, M. A., & Netessine, S. (2007). Performance contracting in after-sales service supply chains. Management Science, 53(12), 1843-1858.

Kotler, P., & Armstrong, G. (2010). Principles of marketing. Pearson Education.

Kurata, H., & Nam, S. H. (2013). After-sales service competition in a supply chain: Does uncertainty affect the conflict between profit maximization and customer satisfaction?. International journal of production economics, 144(1), 268-280.

Lele, M. M. (1997). After-sales service-necessary evil or strategic opportunity?.Managing Service Quality: An International Journal, 7(3), 141-145.

Lovelock, C. H. (1983). Classifying services to gain strategic marketing insights. The Journal of Marketing, 47(3), 9-20.

Neuhaus, C. A. (1997). Flexible forecasts: a key to better customer service. Hospital Materiel Management Quarterly, 18(4), 61-66.

Parasuraman, A., Zeithaml, V. A., & Berry, L. L. (1985). A conceptual model of service quality and its implications for future research. The Journal of Marketing, 49(4), 41-50.

Saccani, N., Songini, L., & Gaiardelli, P. (2006). The role and performance measurement of after-sales in the durable consumer goods industries: an empirical study. International Journal of Productivity and Performance Management, 55(3/4), 259-283.

Saccani, N., Johansson, P., & Perona, M. (2007). Configuring the after-sales service supply chain: A multiple case study. International Journal of Production Economics, 110(1), 52-69.

Seth, N., Deshmukh, S. G., & Vrat, P. (2005). Service quality models: a review. International Journal of Quality & Reliability Management, 22(9), 913-949.

Zeithaml, V. A., Berry, L. L., & Parasuraman, A. (1988). Communication and control processes in the delivery of service quality. The Journal of Marketing, 52(2), 35-48.