MPH_SOMA Operations Management
Service Complaints
Where Do You Stand In Data & Analytics Maturity Level?
Feybi Ariani Goni, M.IT., Ph.D.
Assistant Professor
Mail Room 538, Lipová 507/41a, 602 00 Brno
E-mail Feybi.Ariani.Goni@econ.muni.cz
Tel +420 778790553

Learning Goals
•To understand the significance of service complaints
•Identify different types of service complaints
•To understand complaint management concept
•
•
•

•Overview of Service Complaints concept
•Complaint Management concept
•
•
Creating an Effective Information Strategy (Part 1 of 2) | Transforming Data with Intelligence

•What is Service Complaints?



•Types of Service Complaints:



•Overview of Service Complaints concept
•Complaint Management concept
•
•
Creating an Effective Information Strategy (Part 1 of 2) | Transforming Data with Intelligence

•Complaint Management
•Encompasses the planning, execution, and controlling of all measures taken by a firm in connection
with the complaints it receives.
•The goal is to increase a firm’s profitability and competitiveness by restoring customer
satisfaction, by minimizing the negative effects of customer dissatisfaction on the firm.

•Complaint Management process
Stauss and Seidel (2004)
Complaint Management | Definition, goals, & tips - IONOS

The actions that customers may take in response to service failures
•Take some form of public action (e.g., complaint the firm or a third party or even take legal
action).
•Take some form of private action (e.g., switch to another provider and/or spread negative word of
mouth).
•Take no action.

Why customers complain?
•Customers typically complain about any combination of the following four reasons: compensation,
venting their anger, helping to improve the service, and sparing other customers from experiencing
the same problems.
•Most dissatisfied customers do not complain as they may not know where to complain, they think it
requires too much effort and is unpleasant, and they perceive the payoffs of their effort as
uncertain.
•The people who are most likely to complain tend to be better educated, have higher incomes, are
more socially involved, and have more knowledge about the product.
•Customers are most likely to complain at the point-of-service provision (face to face and over the
phone). Only a small proportion of complaints is made via other channels such as e-mail, social
media, websites, or letters.

Service Recovery
•The service recovery paradox describes the phenomenon where customers who experience an excellent
service recovery after a failure feel even more satisfied than customers who had no problem in the
first place.
•However, it is important to note that this paradox does not always apply. It is best to get the
service right the first time rather than provide expensive service recovery.

Service Recovery
•Effective service recovery systems should:
•Make it easy for customers to give feedback (e.g., provide hotline numbers, e-mail addresses, and
social media channels on all communications materials) and encourage them to provide feedback.
•Enable effective service recovery by making it (1) proactive, (2) pre-planned, (3) trained, and
(4) empowered.
•Establish appropriate compensation levels. Compensation should be higher if (1) a firm is known
for service excellence, (2) the service failure is serious, and (3) the customer is important to
the firm.

Service Recovery Management
Stauss and Seidel (2004)


References:



Activity 1- Individual discussion
1.Think about the last time you experienced a less-than satisfactory service experience. Did you
complain? Why? If you did not complain, explain why not.
2.
2.When was the last time you were truly satisfied with an organization’s response to your
complaint? Describe in detail what happened and what made you satisfied.
3.
3.

Activity 1- Group discussion