Kamath, Giridhar B and Rodrigues, Lewlyn L R and Kamath, Vasanth and Goel, Achal (2012) A Causal Relationship between Customer Satisfaction and Organisational Performance. In: International Conference on current Trends in Engineering & Management, July 2012., VVCE Mysore.

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Abstract

This paper presents a System Dynamics perspective to demonstrate the relation between Customer satisfaction, positive word of mouth and the organizational performance. The causal model developed in this study is derived from the already existing literature. It can be concluded that customer satisfaction, which is a result of the better quality of the product is influenced by the employee performance. Employee performance can only be enhanced by increasing the employee productivity, which can only be leveraged by increasing the employee satisfaction at the work place. Firms looking to increase their profitability and market share hence need to concentrate these factors as well. This paper tries to bring out the relationships between customer satisfaction, and the effects of positive word of mouth generated thereafter.

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