Research
Customer Perspective
Customer Satisfaction Index
Performance Indicator:
Customer Satisfaction Index
Strategy for Selection:
Customer satisfaction information is key knowledge and a critical success factor. This particular index shows the blend of delighted to dissatisfied customers. It is the statistic that higher management expects to see and the index most used in strategic planning and goal setting. Its strength is that it is a concise summary of all responses. Its weakness is that it communicates less about the nature of satisfaction than other indices. The average score does not represent any one person or group within the whole. It is not as useful an index as others for understanding the dynamics of satisfaction. It does not forecast what future satisfaction levels may be without intervention. The component parts that construct this overall average need to be understood in order to build an effective action plan for improvement. Therefore, the Customer Satisfaction index needs to be used in conjunction with one or more other indices described in this model.
Customer Satisfaction Index Defined:
This index is the overall average of all responses made by all survey respondents. It is most accurate to calculate the average by summing the value of all responses and dividing the sum by the number of responses. It is less accurate to calculate the figure by striking intermediary averages, e.g., the average by survey form, summing the intermediary averages and dividing by their number to arrive at an overall average.
Equation:
Total of ranking points
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Total number of survey answers
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