Introduction
A significant problem that may have been observed in the past and that poses a risk of manifestation in future activities of any organization is chosen as an example for the situation under consideration. Regardless of the line of business, the end user of services or goods provides profit and interest to any business. For this reason, it is worth understanding the factors behind the decline in satisfaction levels and the growing number of complaints. Without detailing and addressing the underlying factors, the company’s activities will face difficulties and potential adverse outcomes (Đurić, 2023). For this reason, the selected topic is depicted in the form of a cause-and-effect diagram (Fig. 1), which can help in systematically analyzing the root causes of the problem:
Root Causes
The root causes observed in the diagram include:
- Lack of training: this cause can be classified into several categories simultaneously, underscoring its crucial role. Thus, it simultaneously relates to people and training quality and can be influenced by policies and process deficiencies.
- Employee turnover can be triggered by a multitude of factors, and in doing so, it undermines the quality of the organization. In considering customer satisfaction, a high level of this indicator is associated with lower organizational performance (Wang & Sun, 2020).
- Lack of employee motivation can be related to the previous two points, either as a cause or an effect.
- An organization’s policies can often be oriented toward benefit gain, leaving employees and customers dissatisfied.
- Inefficient systems for handling inquiries, production, and feedback can delay customer turnaround times, leading to complaints and contract breaches.
Actions Required
Based on the diagram, it is worth taking some definite measures to eliminate the likelihood of exceeding the norm in the number of complaints:
- Optimizing all processes should affect all departments, from training and onboarding to request resolution and response times.
- An employee recognition program and career development opportunities can reduce turnover and improve motivation.
- Communication skills tutoring.
- Complete review of training mechanisms.
- Ongoing updates of the information.
Overlapping Root Causes and Clusters
In a general format, this CED can shift the focus to a more comprehensive approach and allocate effort to a portion of the workforce to improve results. It occurs because the most likely factors cluster around the relevant sector. Issues with job knowledge and related topics are duplicated most frequently.
It is thus possible to summarize the observations, present them in a diagram, and conduct subsequent analysis. The high level of service complaints, dissatisfaction with service quality or products, returns, and cancellations is due to deficiencies in the organization’s processes. When broken down into sub-themes, it is noteworthy that inadequate training has become a central, overlapping factor across the categories of “training” and “people.” Thus, while addressing all potential manifestations of risk is essential, additional attention must be paid to these underlying issues.
Comparison to Other Models
To compare the analysis with typical CED methods, it is worth noting that it follows the fundamental structure of identifying categories and sub-causes. Part of the focus is on the relationships in which some items overlap. Such categories are highlighted by placing them on one side of the central axis for straightforward interpretation of the information.
Conclusion
The summary and recommendations highlight the need for a multidimensional approach. It coincides with the theories and materials discussed in the module materials (Louisiana State University, 2023). Such an approach highlights the problem’s complexity because eliminating one part can have ripple effects on others and is not always stabilizing. Overall, the analysis enables a deep understanding of the factors related to people, processes, policies, and other subtopics in resolving service or product complaints. Thus, this and similar tools can provide the most holistic view of strategy and required changes in the context of issues.
References
Đurić, N. (2023). Conceptual model of key predictors and consequences of customer satisfaction. Anali Ekonomskog Fakulteta u Subotici, 1(27), 1–15.
Louisiana State University. (2023). Module 3 Resource Book. First Fall CM 7150.
Wang, W., & Sun, R. (2020). Does organizational performance affect employee turnover? A re‐examination of the turnover–performance relationship. Public Administration, 98(1), 210–225.