Abstract
Purpo se: Previous studies have been employing SERVQUAL by Parasuraman et al. (1985, 1988) to measure service quality in various service sectors due to its generic nature. Understanding the relationship between service quality and customer’s perceived value in non-business organizational settings is equally important with business setting as positive perception leads to favorable outcome. Hence, the aim of this study is to examine the relationship between service quality and perceived value. Design/methodology/approach: The self-administered survey questionnaires were employed to gather data from Malaysian soldiers who involved in peacekeeping mission at a Middle Eastern country. The hypothesized model was analyzed using the SmartPLS 2.0. Findings: The outcomes of SmartPLS path model confirmed that that all service quality dimensions namely tangible, responsiveness, reliability, assurance, empathy did act as important determinants of customer’s perceived value in the organizational sample. Practical implications: The findings of this study may be used as guidelines by practitioners to formulate relevant and appropriate strategies in order to enhance quality of service delivery in agile organizations. Originality/value: The work deals with service quality in non-business setting. Although the scale has been widely used, some modifications are generally needed in order to reflect specific characteristics of service sectors under study. The findings confirmed that in general SERVQUAL five dimensions are important determinants to the various service sectors.
Highlights
Globalization creates a borderless world with increased used of information technology (IT)
In terms of theoretical contribution, this study reveals that the ability of service provider to properly plan and implement tangible, responsiveness, reliability, assurance and empathy in delivering service have been important determinants of customer’s perceived value in the studied organization
A careful observation about the findings shows that the relationship between service quality features and customers’ perceived value is significant, but the role of service quality features as an important predicting variable is low in the hypothesized model
Summary
Globalization creates a borderless world with increased used of information technology (IT). With the increase use of technology, making people become more knowledgeable and aware about their right and having more choice to choose This lead to fast rapid changes in business environment and increased the competition. Service quality have earned the attention of many researchers from diverse areas due to its strong impact on business performance (Abdullah, Suhaimi, Sabah & Hamali, 2010; Rachel, Andy, Yeung & Cheng, 2010; Williams & Naumann, 2011) through customer satisfaction, loyalty and perceive value With the increased role of service sector as the main contributor for economic development in both developed and developing countries, this situation has made the evaluation of service quality continue to be relevant to enhance the understanding on the definition, modelling, measurement, new perspective and issues of service quality and contribute to development of sound base for the researchers
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