QUALITY MANAGEMENT Chapter 6 CUSTOMER & Customer satisfaction Dr. Rosmaini Tasmin Faculty of Technology Management and Business UTHM Johor

Customer Customer is an important element in an organization. TQM is partial application of quantitative methods and human resources to improve the all the processes within an organization and exceed customer needs now and in the future. Customer can give the chance for the organization in continuous improvement.

Customer N

Customer Customer is buyer or purchaser or user of the paid products of an individual or organization. The word derives from "custom," meaning "habit“. There are two distinct types of customers in which are external and internal customers. external customer can be defined as the one who uses the product or service. internal customer can be engineering, order processing, or production. internal customers which are receiving a product or service and, in exchange, provides a product or service.

Customer The one basic concept of TQM is an unwavering focus on customers, both internal and external. Every employee would have direct contact with customers and be effective at meeting their needs.

Internal Customers N

Consumer Rights Federation of Malaysian Consumers’ Association (FOMCA) states eight (8) rights: Right for getting the basic necessaries things for survival Right for getting the safety Right for getting the information Right for making decisions Right for speaking Right for getting the compensation Right for getting the consumer education Right for getting the healthy and safety environment

Customer Satisfaction Satisfaction with the quality of a particular product or service. Satisfaction with an ongoing business relationship. Satisfaction with the price-performance ratio of a product or service. Satisfaction because a product/service met or exceeded the customer's expectations.  

Customer Satisfying Icons

Customer Satisfaction Customer satisfaction is the state of mind that customers have about a company / product / service when their expectations have been met or exceeded over the lifetime of the product or service. Customer satisfaction leads to company loyalty and product repurchase.

Customer Satisfaction SONY vs. LG (Lucky – Goldstar) Japan vs. Korea product satisfaction

Satisfaction vs. Price Plasma TV

Feedback Customer feedback is data from customers about their perceptions and experiences as your customer. It is typically gathered either directly by companies or outsourced and gathered by market research firms. It is typically focused on aspects of the customer experience believed to be most critical to customer satisfaction and loyalty.

Complaint Complaint is a gift: using customer feedback as a strategic tool Complaints are statements of dissatisfaction from the most important people the organization serves; they are customers. Complaint can be as an opportunity to obtain information and provide a positive service to customer service to the customer. Customer is giving the organization a second chance.

Customer Complaint ~ Pizza Customer complaint is good. It’s a gift Customer is always RIGHT…! Customer is sometimes WRONG too.. Customer compliants are not all good. See this customer complaint on a delivered pizza. So, be patient… and think plus assure things, before you make complaint.

Customer Retention Customer retention program? Customer retention is more powerful and effective than customer satisfaction. Customer retention represents the activities that produce the necessary that creates customer loyalty. Customer retention moves customer satisfaction to the next level by determining what is truly important to the customers. Customer retention program?

CUSTOMER LOYALTY

Importance of Customer Retention Good customer retention is vital. Slight reduction (5%) in the customer defection rate has a disproportionately positive effect on profitability. This depends on the cost of acquisition, ranging between 25 and 80 %!). Customers can only be retained if they are loyal and motivated to resist competition.

Any question?, if not…