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Employee
Abstract
Purpose– The purpose of this paper is to assess service quality of a call centre as perceived by its
employees using the SERVQUAL model. It also aims to explore factors predicting front-line employee
satisfaction and behavioural intentions in a call centre. Behavioural intentions are to be measured in
terms of employees’ willingness to recommend the call centre and their intentions to stay.
Design/methodology/approach– Data were collected by field study in a particular call centre in
Mauritius using a modified SERVQUAL questionnaire. The study explored both perception and
expectation levels of front-line employees. Using confirmatory factor analysis, the gap scores
(performance minus expectation-based model) were examined. Regression models were used to test the
influence of the service quality dimensions on satisfaction and behavioural intentions.
Findings– Exploratory factor analysis uncovered three composite dimensions of call centre service
quality: Assurance-Empathy, Reliability-Responsiveness, and Tangibles. The results for the
regression model indicate that satisfaction is best predicted by tangibles, and intentions to stay and
willingness to recommend are best predicted by reliability-responsiveness.
Practical implications– Based on the results, service managers may consider measures in order to
improve and diagnose service features in call centres.
Originality/value– The paper examines the structure and validity of the SERVQUAL model, given
its wide use and criticism, and applies the model to an important set of related, yet distinct service
organisations such as call centres.
KeywordsCall centres, Job satisfaction, Retention, Service industries, Competitive advantage, Mauritius
Paper typeResearch paper
Introduction
The competitive pressures faced by many service industries today are compelling them
to seek competitive advantage, efficiency, and profitable ways to differentiate
themselves from others (Meiet al., 1999). It is recognised that high quality service is
essential for the success of organisations (Parasuramanet al., 1988; Mangold and
Babakus, 1990; Rust and Oliver, 1994) as service quality has been observed as the
major driving force for business sustainability (Carlzon, 1987). According to Czepiel
(1990) business success now and in the future depends on the performance of the
service provider’s interactions with the customer, and the call centre industry is no
different. Call centres are a relatively new phenomenon and employees in call centres
perform a crucial role in the delivery of front-line services, which is fundamental to the
management of customer relationships (Frenkelet al., 1998). In recent years, call
centres have grown rapidly in volume and popularity over the world. Despite this Managing Service Quality
Vol. 19 No. 5, 2009
increase, Frenkel and Donoghue (1996) argue that there has been a shift from a cost pp. 541-557
qEmerald Group Publishing Limited
reduction strategy to a customer interface strategy. They assert that, as the role of call 0960-4529
centres becomes more sophisticated, their management becomes more complex. Call DOI 10.1108/09604520910984364
centres have thus experienced a consequential level of employee turnover and this has
MSQ become a source of great concern for these firms (Deeryet al., 2002; Malhotra and
19,5 Mukherjee, 2004). It is believed that the inability to retain employees represents
substantial costs to stakeholders of these firms (Robinson and Morley, 2006). It is hence
important for call centres to understand the factors that affect employee turnover.
Studies have revealed a negative relationship between employee turnover and
employee satisfaction (March and Simon, 1958; Rusbult and Farell, 1983; Price and
542 Mueller, 1986; Hom and Griffeth, 1991). Furthermore, meta-analytic research confirmed
that the two constructs were linked (Steel and Ovalle, 1984; Carsten and Spector, 1987;
Hom and Griffeth, 1995). Hence, improving employee satisfaction is crucial for
decreasing employee turnover (Nejatiet al., 2007). Service quality has become a crucial
issue given its relationship to employee satisfaction (Zeithamlet al., 1990) as well as
employee behavioural intentions (Loveman, 1998; Silvestro and Cross, 2000). In their
endeavour to strengthen service quality, organisations must provide employee
satisfaction and a work environment conducive to positive employee behavioural
intentions.
The call centre industry is growing at a fast rate in developed countries (Staples
et al., 2001), and this is also the case in developing nations such as Mauritius. The
Information Communication Technology (ICT) sector is expanding rapidly in this
small island developing state and has become the fifth pillar of the economy after
Sugar, Textiles, Tourism and Financial Services. According to Southwood (2008) the
expansion of ICT was mainly achieved through the development of Business Process
Outsourcing (BPO), computer software programming and call centres. Additionally,
the growth of call centres in Mauritius is due to taking advantage of the bilingual
capability of its population who speak both French and English (Minter, 2008). The
objectives set for the ICT sector by the year 2010 is to attract investment varying
between US $240 million (8 billion Mauritian rupees) to US $360 million (12 billion
Mauritian rupees) and providing employment to around 15,000 individuals (Gokhool,
2006). However, one of the main factors which impinges on the success of call centres is
a shortage of high-quality staff (Southwood, 2008). To achieve the set objectives, it is
essential for this sector to deliver high service quality through effective management of
the employees.
Call centres are a relatively new arena on the local and international scene, thus,
little is known about employee perception of call centre service quality and their
behavioural intentions towards the industry. A substantial amount of research in the
areas of management, marketing, and psychology have focused on customer service
(Parasuramanet al., 1988; Carman, 1990; Parasuramanet al., 1991; Babakus and Boller,
1992; Croninet al., 1992; Babakus and Mangold, 1992), yet comparatively little
attention has been centred on the employees who are responsible for the customer
service process in service industries. Therefore, the objectives of this study are to:
test the reliability and validity of a modified SERVQUAL scale;
.
perceptions of
and finally, the conclusions, managerial implications and further research are outlined. service quality
Literature review
Service quality 543
Measuring service quality is a challenging task because the concept of service quality
is inherently intangible in nature and difficult to define (Kandampully, 1997).
According to Boshoff and Tait (1996), FLE, through their interactions with customers,
largely determine the level of service quality delivered and therefore efforts to improve
service quality should be concentrated on FLE. In the service industry, definitions of
service quality tend to focus on meeting customer’s needs and requirements and how
well the services delivered meet their expectations (Lewis and Booms, 1983). According
¨ to Gro nroos (1988), service quality is commonly defined as a discrepancy between the
service quality that is delivered by the organisation and the service performance that
employees expect. Conceptually, service quality is defined as global judgment or
attitude relating to the overall excellence or superiority of the service (Parasuraman
et al., 1988). Parasuramanet al.(1985) developed the SERVQUAL model for measuring
service quality, that is, the gap theory. SERVQUAL is based on Parasuramanet al.
(1991) five dimensions of service quality, namely, reliability, responsiveness,
assurance, empathy and tangibles, and is operationalised in the form of two
22-items sections to measure customer expectations and perceptions. This
measurement instrument is the most widely utilised tool for measuring service
quality (Parasuramanet al., 1988, 1994; Sureshchandraet al., 2001; Chiu, 2002) and its
application continues to increase in different service settings, such as banks (Jabnoun
and Al-Tamimi, 2003), hospitality (Saleh and Ryan, 1992), health (Arasliet al., 2008),
education (Tan and Kek, 2004), travel and tourism (Fick and Ritchie, 1991).
The SERVQUAL instrument for measuring service quality has been subjected to a
number of criticisms. Researchers have criticised the SERVQUAL dimensions
(Crompton and MacKay, 1989; Babakus and Boller, 1992; Tayloret al., 1993) and they
argued that the dimensions change with the type of service settings. One of the main
criticisms is that most research studies do not support the five-factor structure of
SERVQUAL put forward by Parasuramanet al.(1988, 1991). It is generally agreed that
service quality is a multi-dimensional or multi-attribute construct (Croninet al., 1992,
1994; Babakus and Boller, 1992; Llosaet al., 1998). These authors contend that there is
a need to amend the dimensions to suit specific services especially as services are
becoming more diffuse. Babakus and Boller (1992) maintain that the dimensionality of
service quality may depend on the type of services under scrutiny. While Cronin and
Taylor (1992) and Brownet al.(1993) suggest the unidimensionality of SERVQUAL,
the number of dimensions found in other replications vary from three to five (Llosa
et al., 1998) or ten (Carman, 1990). Despite these criticisms, Parasuramanet al.(1991,
1994) contended that the SERVQUAL scale using the expectation/performance gaps
method is a much richer approach to measuring service quality than any other method.
Parasuramanet al.(1988) noted that even if it may be necessary to reword or modify
some of the items, yet the SERVQUAL scale is applicable in a wide range of business
services.
MSQ Service quality in call centres
Most of the empirical studies carried out in call centres have focused on customers. For
19,5 example, Stapleset al.(2001) found that the four attributes of tangibility proposed by
Parasuramanet al.(1991) were not “portable” to the virtual setting of call centres as
customers do not encounter visual cues. Similarly, a study carried out by Keiningham
et al.(2006) conducted from the customers’ perspectives has shown that call centre
544 satisfaction has all the dimensions as found in SERVQUAL, for example, reliability,
responsiveness, assurance, and empathy except tangibility. However, the work of
Gilmore (2001) considered the perceptions of different level of staff and their
relationship with service quality and managerial approaches within call centres. She
adopted an in-depth case study using focused group discussions with FLE, interviews
with managers and observations to investigate service quality. The results showed
that FLE were dissatisfied with the managerial approach as they felt that they were not
empowered to handle customer problems efficiently and effectively. Similarly, Jaiswal
(2008) adopted qualitative methodology involving in-depth interviews to understand
the current practices of measuring customer satisfaction and service quality in call
centres in India with a focus on management perspective. The findings revealed that
call centres need to develop systematic and comprehensive measurement of perceived
service quality in order to provide superior call centre experience to their customers.
perceptions of
employee satisfaction, the greater the chance of customer satisfaction and customer service quality
retention. There is concrete evidence that satisfied employees make satisfied customers
(Zeithaml and Bitner, 2000). Yoonet al.(2001) found a significant linkage between FLE
satisfaction and customer-perceived service performance in the banking sector. Yee
et al.(2008) empirically examined employee satisfaction through a survey of service 545
shops in Hong Kong and found that employee satisfaction is significantly related to
service quality and customer satisfaction, while the latter in turn influenced firm’s
profitability. Although employee satisfaction should not be ignored in the delivery of
service quality, yet very few businesses consider this aspect. This study therefore is
interested in investigating employee satisfaction as a function of service quality
perceived by FLE by adopting the cumulative satisfaction measure.
perceptions of
used to assess the call centre employees’ expectation and perception scores. Paired service quality
t-tests were executed to test for the significant difference between the two means of
expectations and perceptions. Finally, multiple regressions were applied to
demonstrate the relationship between the service quality dimensions and overall
satisfaction and behavioural intentions. 547
Results
In this study, the ratio of male to female employees was 56 per cent to 44 per cent. More
than 61 per cent of the respondents were between 18 and 25 years of age showing that
employees in the call centre are on average young. Approximately 83 per cent have
either School Certificate or Higher School Certificate as highest level of education and
the majority (68 per cent) has less than one year of service.
19,5 Reliability
When we promised to do something by a certain time, we do so 0.623
We show sincere interest in solving our customers’ problems 0.628
We perform services right the first time 0.764
We provide services at the time we promised to do so 0.709
We provide correct/accurate information to our customers 0.709
548
Responsiveness
We provide prompt services to our customers 0.754
We are always willing to help our customers 0.808
We are never too busy to respond to our customers’ request 0.768
Assurance
Our behaviour instils confidence in customers 0.622
We can be trusted by our customers 0.621
We are consistently courteous to our customers 0.725
We have the required knowledge to answer our customers’ questions 0.611
Empathy
We give individual attention to our customers 0.631
We have our customers’ best interest at heart 0.727
We understand the specific needs of our customers 0.790
We have convenient working hours 0.785
Tangibles
We have modern-looking equipment 0.645
The resources in the workplace are visually appealing 0.814
The work environment is comfortable and attractive 0.873
Total variance explained
% of variance explained 39.45 21.71 14.02
Eigenvalue
Table I.
Results of the factor Notes:Kaiser-Meyer-Olkin Measure of Sampling Adequacy (KMO-MSA): 0.607; Bartlett’s Test of
analysis Sphericity¼1253.296;p,0.01
dimensions. Although this study shows that the data collected do not support the
five-factor structure as proposed by Parasuramanet al.(1991) with the exception of
tangibles, the three service quality dimensions are still useful as a foundation for
discussion and determination of areas for improvement in the call centre.
Cronbach’s coefficient for each dimension were calculated and subjected to reliability
assessment. The items for each subscale were subjected to reliability analysis and the
alpha coefficient for the total scale was 0.908 and 0.848, 0.893 and 0.725 respectively for
the dimensions of Assurance-Empathy, Reliability-Responsiveness and Tangibles.
According to Nunnally (1978) reliability coefficients greater than or equal to 0.50 are
considered sufficient for exploratory studies.
perceptions of
for the three new dimensions. The gap scores will enable the service manager to service quality
understand current service quality and also to quantify gaps that exist. Thet-statistics
was also calculated to test for the significant difference between expectations and
perceptions. The more negative the score, the less desirable the performance. The gap
scores for the three dimensions were all negative implying that FLE expectations are 549
actually not being met. All the gap scores were statistically significantly different at
p,0.05. It is further observed that the gap scores for Assurance-Empathy (20.67) is
higher than the other dimensions, followed by the gap scores for Reliability-
Responsiveness (20.42) and Tangibles (20.38). The overall gap score (20.49) was
statistically significantly different atp,0.05, indicating that the overall service
quality fell below the employees’ expectations. These negative gaps revealed that the
internal service levels were below the employees’ expectations, indicating that FLE
were not provided with the required internal support and facilities to deliver quality
service to customers.
because of the virtual service offering, however this study shows that it is a crucial
element in the service delivery process for FLE. The model also indicates that 79 per
cent of the variance can be explained by other dimensions, and future research is
needed to identify the additional dimensions that influence the level of overall
To further test FLE behavioural intentions measure against the three dimensions,
additional regression analysis was conducted, using the service quality dimensions as
predictors of intention to stay and willingness to recommend the call centre to others.
As it can be seen from Table III, the regression is statistically significant. 39 per cent of
(b¼0.207). The other dimensions were not significant predictors of intention to stay.
Tangibles appear to influence overall satisfaction, but this dimension is not significant
and does not influence FLE intention to stay with the call centre. Therefore providing
as providing prompt service and willing to help customers appear to be the crucial
of the variation, indicating a high explanatory power (Table III). The other dimensions,
recommend.
The study presented the findings of FLE perceptions of service quality in a call centre
items used in the present study were modified so as to assess service quality from the
perceptions of
reliability-responsiveness and tangibles are core dimensions in the call centre in service quality
Mauritius. Hence, the findings confirm that the SERVQUAL can be modified to fit
specific service settings (Carman, 1990; Parasuramanet al., 1991; Babakus and Boller,
1992; Cronin and Taylor, 1994; Babakus and Mangold, 1992) and the number of
dimensions may vary (Llosaet al., 1998; Carman, 1990). The expectations of the FLE on 551
service quality items as suggested by Parasuramanet al.(1988) were higher than their
perceptions. The largest discrepancy between the expectations and perceptions was in
terms of the “assurance-empathy” dimension which reflects a negative gap in the
provision of personalised and courteous service, product knowledge and sensitivity to
the needs of external customers. The gap model is a useful tool for managers to identify
areas of service shortfalls and hence could be used in the preliminary stages of
devising process improvements and developing staff training programmes in order to
enhance service quality in a call centre setting.
The findings of this study are important to the understanding of the call centre
quality in the Mauritian context. According to Comm and Dennis (2000) employee
satisfaction is vital because it determines the success or failure of customer experiences.
Another important finding of this study is that the service quality dimension, tangibles,
was found to have significant relationships with FLE overall satisfaction. Although the
service is provided in a virtual environment where the customers do not interact with the
physical environment, call centre employees allow for tangible elements in assessing
their level of satisfaction and managers must take this issue into account. The call centre
should pay special attention to the quality of the services delivered by the FLE to ensure
long-term growth and prosperity of the organisation. The most important service factor
contributing to intention to stay as well as willing to recommend the organisation to
others is “Reliability-Responsiveness”. In other words, “performing services right the
first time, providing correct and accurate information, being able to solve problems,
providing prompt service, helpful and never to busy to respond to request” are all
essential ingredients for good service quality. Assessing the service quality of employees
and understanding how the different dimensions influence overall satisfaction and
behavioural intentions should enable service organisations to effectively and efficiently
design the service delivery process, thus ultimately provide better service to the external
customers.
The findings should help managers understand specific employee behaviours
associated with high service quality. If managers understand the behavioural
intentions of employees and their positive association with service quality, they will be
better placed to improve service quality. The results of the regressions analyses
showed that only reliability-responsiveness was significantly associated with FLE
intentions to stay as well as willingness to recommend the call centre to others. FLE
perceive that providing accurate and reliable information at the time they promise to
do so and prompt service to customers influence their decision to stay and intention to
recommend the call centre to others. This is an important finding for service marketers
since it shows that employees indulge in negative word-of-mouth if there is a shortfall
in their perceptions of the reliability-responsiveness gap. Finally, the importance of
perceived service quality measured at the call centre seems clear in order to both
improve customer satisfaction and increase behavioural intentions.
MSQ Managers can use a variety of strategies to encourage positive employee behaviour,
including training, coaching, and incentives. For example, the call centre should
19,5 provide more training to their employees to enhance their customer service skills so
that FLE feels confident and can deliver prompt service. Training and coaching will
help FLE improve their product knowledge so that they can help customers to solve
their problems and provide a fast service, especially if FLE have promised to do
552 something for the customers within a certain time, they must fulfil that promise.
Additionally, these findings should enable call centre managers to identify specific
areas for performance improvement that should have a direct effect on employee
satisfaction and behavioural intentions.
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Development and Tourism at the University of Technology, Mauritius. Her research focuses on
service quality, customer satisfaction and waiting times. Prabha Ramseook-Munhurrun is the
Tourism at the University of Technology, Mauritius. Her research interest includes services
marketing.
for the past six years in the field of HRM. Her research focus is service quality in the public
service.
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