Drivers of satisfaction

  • Use of Structure Equation Modelling (SEM) which finds and tests complex relationships (e.g. customer satisfaction and associated drivers as well as between drivers)
  • In terms of customer satisfaction, there are a lot of potential drivers impacting:
    • SEM strength is the ability to construct latent variables that summarise the importance of the drivers
    • The drivers can be reflected in more than one latent variable
    • Overall satisfaction is then assessed against the latent variables
  • The SEM results can then be used as the bases to construct a number of regression equations which models the relationship between the individual drivers and latent variables and then between the latent variables and overall satisfaction
    • The results can be presented in terms of a Decision Support Tool which gives the client hands-on capability of evaluating strategies to improve satisfaction!