An integrated closed-loop model for service performance management

With service industries sprouting at an incredible rate, measuring and improving service performance becomes an essential strategy for success and survival in today's competitive situation. In this paper, a new closed-loop model has been proposed to measure and improve the service performance using cost, time and service quality as dimensions. The relative service performance has been measured by the Extended Brown?Gibson (EBG) model by taking cost, time and service quality dimensions into consideration. The service quality factors have been evaluated using the Analytical Hierarchy Process (AHP). Quality Function Deployment (QFD) has been used to redesign the existing services when performance measure falls below the satisfactory level. The developed model quantifies service performance and ensures the service process improvement. A case study using data from car repair shops illustrates the usability of the model. The case study shows that the model can be used to gain service process understanding and to identify significant factors for redesigning.