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Unit 5: Customer Satisfaction
Customer Visits: Visits to a customer’s place of business provide another way to gather Notes
information. An organization can proactively monitor its product’s performance while it is in
the use and thereby identify and specific or recurring problems. Senior managers should be
involved in these visits and not delegate them to someone else. However, it is a good idea to
take along operating personnel so they can see firsthand how the product is performing.
Report Card: Another very effective information-gathering tool is the report card.
The Internet Computers: Some managers are beginning to monitor discussions that take place
on the internet to find out what customers are saying about their products. Internet users
frequently seek advice regarding their everyday activities or activities related to specific interests,
hobbies, or sports. Newsgroups, electronic bulletin boards, and mailing list can be scanned
using keyword searches if one knows that a company’s is of interest to participants in certain
activities, hobbies, or profession.
Employee Feedback: Employees are often an untapped source of information. Companies are
listening more to the external customer but still are not listening to employee. Employees can
offer insight into conditions that inhibit service quality in the organization. Employee groups
can brainstorm ideas to come up with solutions to problems that customers have identified.
Mass Customization: The ultimate in customer satisfaction is giving customers exactly what
they want. In the past, the price tag for this was prohibitive, but mass customization is a way to
provide variety at an affordable cost.
Task Prepare a report on the customer feedback on their experience in a public sector
bank.
5.2.2 Customer Satisfaction Index
The American Customer Satisfaction Index (ACSI), established in 1994 as a joint project between
the University of Michigan and the American Society of Quality, quantifies quality and customer
satisfaction and relates them to firm’s financial performance.
Figure 5.2: Depiction of Customer Satisfaction Index
Unique design or features Unique
configuration
options
Point of
customer Customer’s voice
involvement (product specification)
Stages of the manufacturing process
Suppliers Customers
Design Fabrication Assembly Delivery
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