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Tradeoffs in Responses to Work Pressure in the Service Industry Rogelio Oliva California Management Review Reprint Series ©2001 by The Regents of the University of California CMR, Volume 43, Number 4, Summer 2001 Tradeoffs in Responses to Work Pressure in the Service Industry Rogelio Oliva ncreasing class size throughout the public education system and teachers’ burnout; rising airline load factors and airport utilization rates reaching historical highs; long waiting times for emergency care and shorter hospital I stays after surgery—these are all symptoms of systematic imbalances in demand and supply in service-providing organizations. The service sector repre- sents over 70 percent of the U.S. economy and provides almost three out of every four jobs in America. Studies consistently report that the main determi- nant of customer satisfaction, even when purchasing sophisticated products, is the level of service obtained from the supplier. Furthermore, managers of service firms are also service consumers, and they surely appreciate the frustration of poor or unfair treatment in a service transaction. It seems paradoxical that ser- vices are recognized as critically important to our economy and yet episodes of poor service proliferate. The complaint of poor services has regularly been picked up by the popular
California Management Review – SAGE
Published: Jul 1, 2001
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