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The service profit chain : how leading companies link profit and growth to loyalty, satisfaction, and value

Author: James L Heskett; Leonard A Schlesinger; W Earl Sasser
Publisher: New York : The Free Press, cop. 1997.
Edition/Format:   Print book : EnglishView all editions and formats
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This work provides a model that service-firm managers should be able to implement. It directly links profit and growth to employee productivity, loyalty and satisfaction, and the authors lay out a  Read more...

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Document Type: Book
All Authors / Contributors: James L Heskett; Leonard A Schlesinger; W Earl Sasser
ISBN: 0684832569 9780684832562
OCLC Number: 821178769
Description: XVII, 300 str. : ilustr. ; 24 cm.
Contents: ContentsPrefacePART I: THE SERVICE PROFIT CHAIN A RATIONALE FOR EXCELLENCE1. Setting the Record StraightA World of Misleading AdviceToo Much Advice out of ContextThe Tyranny of the TradeoffEmphasis on Symptoms vs. CausesThe "Trivialization" of ServiceFixation on Service Process QualityThe Service Profit Chain and Our Search for EvidenceHeskett and the Strategic Service VisionSasser and Customer LoyaltySchlesinger and Determinants of Employee and Customer LoyaltyThe Service Profit ChainThe Centrality of ValueQuality as One Element of ValuePriceResults, Costs, Price, Value, and ProfitRelationship to Service Profit ChainWhat Difference Does It Make?Spreading the Word2. Capitalizing on the Service Profit ChainThe Service Profit ChainManaging for Results at Southwest Airlines and American ExpressProfit and Growth Are Linked to Customer LoyaltyCustomer Loyalty Is Linked to Customer SatisfactionCustomer Satisfaction Is Linked to Service ValueService Value Is Linked to Employee ProductivityEmployee Productivity Is Linked to LoyaltyEmployee Loyalty Is Linked to Employee SatisfactionEmployee Satisfaction Is Linked to Internal Quality of Work LifeComprehensively Relating Links in the ChainImplications of the Service Profit Chain for ManagementMeasuring Across Operating UnitsCommunicating Results of the Self-AppraisalDeveloping a "Balanced Scorecard"Designing Efforts to Enhance PerformanceTying Recognition and Rewards to MeasuresCommunicating ResultsEncouraging Internal "Best Practice" ExchangesQuestions for ManagementGetting on with the Job: An Important Caveat3. Managing by the Customer Value EquationThe Customer Value EquationResults Produced for CustomersProcess QualityPrice and Acquisition CostsCustomer Value Equation RelationshipsManaging by the Customer Value Equation: What It RequiresUSAABritish AirwaysRequirements of Those Who Manage by the Customer Value EquationLinking the Strategic Service Vision and the Service Profit ChainQuestions for ManagementPART II: BUILDING PROFIT CHAIN CAPABILITY4. Rethinking Marketing: Building Customer LoyaltyDefining the "New" Marketing: Adding the Three Rs to the Four PsEstimating the Lifetime Value of a CustomerRetentionRelated Sales of New Products and ServicesReferralsManaging by the Three RsMeasuring and Communicating the Lifetime Value of CustomersIdentifying, Creating, and Enhancing Listening PostsRecognizing and Creating Incentives to Build Customer LoyaltyUtilizing Customer Defections as Learning Opportunities Potential-Based MarketingIdentifying Share of Loyal CustomersCalculating Economic Impact of Customer Behavior ChangeLengthening Customer RelationshipsOverall Impact of Potential-based MarketingImplementing a Potential-based Marketing EffortMining Customer Data to Achieve Mass CustomizationAchieving Mass Customization on a "Vertical" Data baseAchieving Mass Customization on a "Horizontal" Data baseOrganizational Implications of the New MarketingQuestions for Management5. Attaining Total Customer Satisfaction: Not Whether but WhenThe Xerox ExperienceThe Total Customer Satisfaction ImperativeRelationship of Customer Satisfaction and LoyaltyRelationship of Customer Satisfaction and ProfitabilityTotal Satisfaction for Captive CustomersThe Importance of FocusThe Tyranny of AveragesSatisfying Targeted SegmentsThe Ultimate Source of Focus: Affinity GroupsMeasuring Customer Satisfaction and LoyaltyCustomer SurveysCustomer FeedbackMarketing ResearchFeedback from Frontline PersonnelComplementarity of MethodsAddressing Customer Satisfaction at the Limits: Apostles and TerroristsThe Economics of the ExtremeInvesting in Existing versus New CustomersCreating Terrorists as a By-Product of FocusMeanwhile, Back at XeroxQuestions for ManagementUnderstanding Determinants of Customer Satisfaction6. Managing the Customer-Employee "Satisfaction Mirror"The Service EncounterEvidence of the "Satisfaction Mirror"Why the Satisfaction Mirror OccursPreventing Cracks in the MirrorFrom Service Encounter to RelationshipFactors Creating the Successful Service EncounterAchieving Consistency in Service EncountersEnlisting the Customer in Relationship BuildingEngineering an Organization for Customer RelationshipsDeveloping the Service Relationship TriangleIdentifying Relationship-Critical JobsDedicated Servers or Not?Service Teams or Not?Questions for Management7. Building a Cycle of CapabilityFrontline FrustrationCapability DefinedHiring for Attitudes First, Skills SecondThe Bugs Burger MethodSelection by "Life Themes"Substituting Self-Selection for SelectionInvolving Customers in the ProcessServing Customers Who QualifyDesigning Training as Both Ends and MeansProviding Latitude and LimitsThe Traditional ViewThe Nontraditional ViewInvesting in Support SystemsInformation and Communication TechnologyFacilitiesMethods and MaterialsField Quality Control "Safety Nets"Service GuaranteesLatitude to Fire CustomersProviding Consistent Reward and RecognitionFitting the Elements TogetherQuestions for ManagementConcluding Comments8. Developing Processes That Deliver ValueBasic Tenets of Process Design That Yield ValueThe World's Best HospitalThe World's Best Dinner Show ValueAmerica's First Deming Prize WinnerFormation of Quality Improvement TeamsDevelopment of The ProcessPolicy DeploymentQuality in Daily WorkImportant Techniques for Process ImprovementService MappingPareto AnalysesCause-and-Effect (Fishbone) DiagrammingOther Process StepsTranslating Techniques into ResultsValue Enhancement versus Quality Improvement ProcessQuestions for Management9. Designing Service Delivery Systems That Drive Quality, Productivity, and ValueDeveloping Single-Facility Service Delivery SystemsPlanning System Designs for the Right Amount of Employee LatitudeControlling Customer BehaviorThe Ultimate Customer Control Strategy: Self-ServiceManaging Information Support Systems to Enhance Customer Loyalty and SalesProviding Process "Visibility"Preventing Service ErrorsDeveloping and Managing Multisite NetworksNetwork CharacteristicsFactors in Network DesignDegree of Support for Operating StrategyNeed for InterconnectednessNeed for StandardizationLatitude Allowed Site Managers: Preserving the CoreDelivering Services GloballyThe Target Market and the Need for Customization"Total Experience" ServicesCulturally Sensitive ServicesIncorporating Franchising into the Strategy"Employing" Franchisees"Enfranchising" EmployeesQuestions for Management10. Attaining Total Customer Satisfaction: Doing Things Right the Second TimeDoing It Right the First and Second TimeGetting Customers to Complain: The British Airways ExperienceThe ProblemSome ResponsesExternal and Internal Service ContractingCustomer Service ContractingInternal Service ContractingSupplier Service ContractingService GuaranteesQuestions in Guarantee DesignWhat's the Primary Purpose?Internal GuaranteesImpact on SuppliersThe Economics of Service GuaranteesPutting Guarantees in ContextService Recovery: A Case for CapabilityThe Service Recovery PayoffQuestions for Management11. Measuring for Effective ManagementEstimating the Lifetime Value of a CustomerFitting Measurement to the BusinessFitting Measurement to Purpose: RelevanceThe Xerox ExperienceThe AT&T Universal Card ExperienceTaking Process into AccountDetermining the Form in Which Results Will Be TransmittedOther Criteria for Evaluating Measures and MethodsDesigning the Balanced ScorecardQuestions for ManagementPART III: PUTTING IT ALL TOGETHER12. Reengineering the Service Organization for Capability: Gains and PainsThe Theory of Managing ChangeOrganization Reengineering without a CrisisJohn Martin and Taco BellActionsGainsPainsWilliam Bratton and the NYPDActionsGainsPainsArthur Martinez and SearsActionsGainsPainsPutting Organization Reengineering in ContextApplying CosmeticsPicking Movers and ShakersCreating a Sense of UrgencyChoosing the Theme and VehiclePreparing PeopleGetting the Facts Straight and FastRestructuring the OrganizationUndertaking New InitiativesWidening the Competitive Gap: Sustaining EffortObservationsQuestions for Management13. Leading and Living Service Profit Chain ManagementService Profit Chain Leadership at Wal-MartService Profit Chain Leadership at Southwest AirlinesLeading Service Profit Chain ManagementWhat Service Profit Chain Leaders Do: Supplying the "Extras"Believing in and Communicating the BasicsPutting Employees FirstInvesting in CustomersMaintaining Measures and Rewards That Influence BehaviorCommunicating the MessageLinking Organization Culture, Performance, and the Service Profit ChainQuestions for Management14. Auditing Service Profit Chain Management SuccessLeadership = FocusStrategic Service Vision = Positioning, Leverage, and ConsistencyService Profit Chain = Value, Satisfaction, and LoyaltyProfit Model = Value to Customers versus Costs to ProvidersPerforming the Service Profit Chain Management AuditIdentifying the Organizational LimitAssessing ImportanceAssessing Current PracticeMeasuring the GapsEstablishing Priorities and Taking ActionA Final WordNotesIndexAbout the Authors
Responsibility: James L. Heskett, W. Earl Sasser Jr., Leonard A. Schlesinger.

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Leonard Berry Professor of Marketing and JCPenney Professor of Retailing Studies, Texas A&M University, Author of On Great Service and Marketing Services The authors effectively integrate their wide Read more...

 
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