What is it about?

The purpose of the study is to examine the impact of TQSs on internal service quality (ISQ) and its impact on employee satisfaction. Further, the study examined the effect of employee satisfaction on external service quality (ESQ) through employee loyalty and employee commitment. In addition, the impact of ESQ on customer satisfaction and the effect of customer satisfaction on financial performance have also been examined.

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Why is it important?

service profit chain is well documented in literature but this paper examines the impact of TQS on financial performance through service profit chain. the following points highlight the importance of this study: First, the study adds to the TQS literature. Second, the study makes a contribution to theory by testing a complete service profit chain in the automobile sector. The findings of the study suggest that an effective implementation of the TQS system can positively influence organisational and financial performance through the service profit chain. Although numerous marketing studies have proven that TQS has a direct and positive impact on financial performance (Samad, 2009), the present study took into account other variables such as ISQ, employee satisfaction, employee commitment, employee loyalty, ESQ and customer satisfaction, through which TQS affects financial performance.

Perspectives

Effective implementation of the TQS system can positively influence organisational and financial performance through the service profit chain.

Dr. Jeevan Jyoti
University of Jammu

Read the Original

This page is a summary of: Impact of total quality services on financial performance: role of service profit chain, Total Quality Management & Business Excellence, February 2017, Taylor & Francis,
DOI: 10.1080/14783363.2016.1274649.
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