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The Incompleteness Theorem of
   Service Quality Measurement

              The Limitations of quantitative
            business excellence assessments


Peter Prevos
Manager Land Development, Coliban Water (Bendigo, Australia)
PhD Candidate, La Trobe University (Melbourne, Australia)
The Measurement Axiom
“What you measure is
   what you get”




                       Welch, J. (2001). Straight
                       from the gut. Warmer Books.
The Theorem
   “Any effectively
  generated system
capable of measuring
service quality cannot
be both complete and
     consistent.”



                         The incompleteness
                         theorem will be illustrated
                         using examples from the
                         tap water perspective.
Tap Water Services
●   Physical Parameters
    –   Pressure
        ●   Service failure (no
            pressure)
    –   Purity
        ●   Biological
        ●   Chemical



                                  Measuring water purity is
                                  a scientific process.
Tap Water Services
●   Subjective customer
    experience
    –   Surveys
    –   Taste testing




                          The customer experience   is
                          inherently subjective.
Service Quality

           Expected          Total Perceived Quality        Experienced
            Quality                                           Quality




                                                                 Image


  •   Market Communication
  •   Image
  •   Word-of-Mouth                               Technical                Functional
  •   Customer Needs                             Quality: What            Quality: How



The total perceived quality (Based on: Christiaan Grönroos 1990).
Measurement ≠ Understanding
“Too often we measure
    everything and
  understand nothing”




                        Welch, J. (2001). Straight
                        from the gut. Warmer
                        Books.
What does this mean?
●   Quantitative
    –   Necessary but not
        sufficient condition
●   Qualitative
    –   Inherently subjective
    –   Narratives of           Any specific suite of quantitative
                                service quality targets can not
        customer experience     measure all aspects. Qualitative
                                assessments are required to
                                understand customers.
InvisibleWater.org

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The Incompleteness Theorem of Performance Measurement in Service Quality

  • 1. The Incompleteness Theorem of Service Quality Measurement The Limitations of quantitative business excellence assessments Peter Prevos Manager Land Development, Coliban Water (Bendigo, Australia) PhD Candidate, La Trobe University (Melbourne, Australia)
  • 2. The Measurement Axiom “What you measure is what you get” Welch, J. (2001). Straight from the gut. Warmer Books.
  • 3. The Theorem “Any effectively generated system capable of measuring service quality cannot be both complete and consistent.” The incompleteness theorem will be illustrated using examples from the tap water perspective.
  • 4. Tap Water Services ● Physical Parameters – Pressure ● Service failure (no pressure) – Purity ● Biological ● Chemical Measuring water purity is a scientific process.
  • 5. Tap Water Services ● Subjective customer experience – Surveys – Taste testing The customer experience is inherently subjective.
  • 6. Service Quality Expected Total Perceived Quality Experienced Quality Quality Image • Market Communication • Image • Word-of-Mouth Technical Functional • Customer Needs Quality: What Quality: How The total perceived quality (Based on: Christiaan Grönroos 1990).
  • 7. Measurement ≠ Understanding “Too often we measure everything and understand nothing” Welch, J. (2001). Straight from the gut. Warmer Books.
  • 8. What does this mean? ● Quantitative – Necessary but not sufficient condition ● Qualitative – Inherently subjective – Narratives of Any specific suite of quantitative service quality targets can not customer experience measure all aspects. Qualitative assessments are required to understand customers.