Product Design & Development Assignment No 02

NAME ABUZAR

REGISTRATION NO 399566

SCHOOL SMME (DME)

SUBJECT PRODUCT DESIGN &

DEVELOPMENT
COURSE CODE DME-839

TEACHER DR. SALMAN KHAN

ASSIGNMENT NO 02

DATE 17-April-2023

Abuzar Reg No 399566

Product Design & Development Assignment No 02

Article:
A Case Study of Applying Kano’s Model and ANOVA Technique in Evaluating
Service Quality.
Introduction:
The article "A Case Study of Applying Kano's Model and ANOVA Technique in Evaluating
Service Quality" presents a case study that focuses on evaluating the quality of services offered by a
telecommunications company in Malaysia. The article emphasizes the significance of service quality in
satisfying customers and retaining them in the long term. To evaluate service quality, the study employs
Kano's Model and ANOVA technique.
Research Aim and Objectives:
The authors state the research aim and objectives of the study, which is to
evaluate the service quality provided by a telecommunications company in Malaysia using Kano's model
and ANOVA technique.
Research Methodology:
The authors describe the research methodology used in the study, including the data
collection process, sample size, survey design, and statistical analysis.
Literature Review:
The authors provide a brief overview of the relevant literature related to service quality
and Kano's model. They also discuss the importance of customer satisfaction and the role of service quality
in achieving it.
Data Collection:
The authors collected data by conducting a survey among 220 customers of a
telecommunications company in Malaysia. The survey questionnaire was designed to elicit information on
customer preferences for different service atttributes.
Sample Size:
The sample size of 220 customers was considered sufficient to ensure statistical significance for
the study.
Analysis of Variance (ANOVA):
Analysis of variance (ANOVA) is an analysis tool used in statistics that splits an
observed aggregate variability found inside a data set into two parts: systematic factors and random factors.
The systematic factors have a statistical influence on the given data set, while the random factors do not.
Author use the ANOVA test to determine the influence that independent variables have on the dependent
variable in a regression study.
The data was also analysed using Kano's model to categorize the service attributes into different categories
based on the level of customer satisfaction. The authors present the results of the study in the form of tables

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Product Design & Development Assignment No 02

and charts. They report the mean values and standard deviations for each service attribute and analyse the
results using the ANOVA technique. The results show that network coverage, signal strength, and service
reliability were the most important attributes for customers, while other attributes such as billing and
customer service had relatively lower importance.

The Kano Model is a framework for identifying the most important features when creating a product, based
on the level of satisfaction they’re expected to bring to users.
Kano's model is a customer satisfaction framework that categorizes service attributes into different
categories based on the level of customer satisfaction they generate. The four major categories are must-
have, performance, delighters, and indifferent attributes.
In this study, the authors used Kano's model to categorize the service attributes identified by customers in
the survey. They analysed the survey data and found that network coverage, signal strength, and service
reliability were the most important attributes for customers, while other attributes such as billing and
customer service had relatively lower importance.

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Product Design & Development Assignment No 02

Must-Have Attributes:
These are attributing that customers expect to be present in the service and their absence
would result in extreme dissatisfaction. In this study, network coverage, signal strength, and service
reliability were identified as must-have attributes. These attributes are critical for customers and their
absence would lead to customer complaints and a negative impact on the overall customer satisfaction level.
Performance Attributes:
These are attributes that have a direct impact on customer satisfaction, and their presence or
absence affects the level of satisfaction. In this study, network speed, call clarity, and call quality were
identified as performance attributes. Improving these attributes would lead to a direct improvement in
customer satisfaction.
Indifferent Attributes:
These are attributes that do not affect customer satisfaction, whether they are present or
absent. In this study, billing and customer service were identified as indifferent attributes. Improving these
attributes would not have a direct impact on customer satisfaction.
Delighters:
These are attributes that exceed customer expectations and generate a positive emotional response.
No delighters were identified in this study.
KANO Model:
The use of Kano's model in this study provided a comprehensive framework for evaluating service
quality and understanding the different levels of importance of service attributes for customers. By
categorizing the service attributes into different categories, the authors were able to identify the critical
areas that the telecommunications company should focus on to improve customer satisfaction. The Kano
model approach is an effective tool for businesses to understand their customers' needs and preferences and
align their service offerings accordingly to improve customer satisfaction and loyalty.
Implications & Limitations:
The authors discuss the implications of the study for the telecommunications company in terms
of improving service quality and increasing customer satisfaction. They recommend that the company
should focus on improving the must-have and performance attributes, such as network coverage, signal
strength, and service reliability, to increase customer satisfaction.
The authors acknowledge the limitations of the study, including the small sample size, the single industry
focus, and the possibility of social desirability bias in the survey responses.
Conclusion:
The authors conclude that the study provides useful insights into evaluating service quality and
improving customer satisfaction using Kano's model and ANOVA technique. They suggest that future
research should replicate the study in different industries and with larger sample sizes. Additionally, the
study found that some attributes, such as "variety of menu items," had a different impact on customer
satisfaction depending on the demographic characteristics of the customers, such as age and gender.

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Product Design & Development Assignment No 02

Contributions:
The authors highlight the contributions of the study to the existing literature on service quality
and Kano's model. They argue that the study provides a practical framework for evaluating service quality
and improving customer satisfaction in the telecommunications industry and other service industries.
Recommendations & Future Research:
Rely on the study findings, the authors suggest recommendations for the
telecommunications company and other service providers to improve their service quality and increase
customer satisfaction. The authors provide future research directions for improving service quality using
Kano's model and ANOVA technique, including exploring the role of delighters and indifferent attributes
in different industries and contexts.

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Product Design & Development Assignment No 02

Article:
A Review of the Kano Model: A Case Study of Online Travel Agencies

Introduction:
The article provides an overview of the Kano model and its application in the online travel agency
industry. The Kano model is a tool used to categorize customer preferences into three categories:
must- haves, performance attributes, and delighters.

Background:
The authors provide background information on the Kano model and its development, including
its purpose and how it is used to prioritize product development and marketing efforts.

Literature review:
The authors provide a brief literature review of the Kano model and its various applications in
product development, customer satisfaction, and quality management. They also highlight the
importance of understanding customer needs and preferences to improve customer satisfaction
and loyalty.

Methodology:
The authors conducted a survey of 100 customers of three different online travel agencies to
understand their expectations and perceptions of various features. The survey was designed to
evaluate the effectiveness of the Kano model in understanding customer needs and preferences.

Survey Questions:
The survey included questions about the customers' expectations and perceptions of features such
as ease of use, pricing, and customer service. The questions were designed to identify which
features customers considered essential, which features they valued but were not essential, and
which features were unexpected and delighted them.

Demographic data:
The authors collected demographic data from the survey respondents to understand how
customer preferences differed based on factors such as age, income, and education.

Results:
The study revealed that most customers expected online travel agencies to have basic features such
as a user-friendly interface, reliable information, and secure payment options, which were
categorized as must-haves in the Kano model. Customers were highly satisfied with online travel
agencies that offered performance attributes such as personalized recommendations and travel
alerts, which were categorized as performance attributes in the Kano model.

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Product Design & Development Assignment No 02

Kano’s Model:

Figure 2 Kano's Model

Must-haves:
The first category of customer preferences in the Kano model is must-haves. These are the
features or attributes that customers expect to have in a product or service. In the case study of
online travel agencies, the must-have attributes identified were:

• User-friendly interface
• Reliable information
• Secure payment options

These features were considered essential by customers, and they expected online travel agencies to
have them. The absence of these attributes would result in dissatisfaction among customers.
Performance Atributes:
The second category of customer preferences in the Kano model is
performance attributes. These are the features or attributes that customers consider valuable and
may influence their buying decision. In the case study of online travel agencies, the performance
attributes identified were:
• Personalized recommendations
• Travel alerts

Customers valued these features, and they contributed to customer satisfaction. Online travel
agencies that offered these features were perceived as offering better value than those that did
not.

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Product Design & Development Assignment No 02

Delighters:
The third category of customer preferences in the Kano model is delighters. These are
the features or attributes that customers do not expect but that can exceed their expectations and
result in increased satisfaction. In the case study of online travel agencies, the delighters
identified were:
• Loyalty programs
• Exclusive discounts
Although customers appreciated these features, they did not expect them, and their absence did
not result in dissatisfaction.

Analysis:

The Kano model analysis of the case study showed that online travel agencies needed to focus
on delivering the must-have features to meet customer expectations. Online travel agencies that
did not offer these features would result in customer dissatisfaction.

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Product Design & Development Assignment No 02

The performance attributes, personalized recommendations, and travel alerts were

important to customers, and online travel agencies that offered these features would
have a competitive advantage and improve customer satisfaction.
The delighters, loyalty programs, and exclusive discounts were not essential for
customer satisfaction, and online travel agencies did not need to invest heavily in
these features to improve customer satisfaction.

Prioritizing Product Development:

By using the Kano model, online travel agencies could prioritize
their product development efforts based on customer preferences and expectations.
They could focus on improving must-have features and performance attributes to
improve customer satisfaction and differentiate themselves from competitors.

Conclusion:
The Kano model was an effective tool for understanding customer preferences
and identifying key features that can lead to high levels of customer satisfaction in
the online travel agency industry. By prioritizing their product development efforts
based on customer preferences and expectations, online travel agencies can improve
customer satisfaction and differentiate themselves from competitors. The authors
discuss how online travel agencies can use performance attributes such as
personalized recommendations and travel alerts to differentiate themselves from
competitors and improve customer satisfaction.

Limitations:
The study has some limitations, including a relatively small sample size and
limited focus on only three online travel agencies. The authors suggest that future
research should explore the role of demographic factors such as age, income, and
education in shaping customer preferences.

Implications for future research:

The authors suggest that future research should explore how
the Kano model can be used to improve customer satisfaction and loyalty in other
industries and in different cultural contexts. They also suggest that future research
should explore the role of demographic factors in shaping customer preferences and
expectations.

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