An evaluation of service level agreements on customer satisfaction: the case of Zamtel.

Abstract

This research was based on the evaluation of Zamtel SLAs on customer satisfaction. This study applied a mixed methods sequential exploratory research design to determine SLA factors that influence the adoption of Zamtel services. The research was conducted using two phases. The first phase being the qualitative approach which mainly addressed the descriptive and second pase was an explanatory analysis of SLAs on customer satisfaction. These factors of the SLAs were then used as the main thematic areas for this study. The findings under the qualitative analysis indicated that Zamtel SLAs are partially effective on impacting customer satisfaction. Zamtel still needs to make investment in improving communication, technology, infrastructure, and minimize the service quality gaps to adequately improve the problem of poor speed network (mobile and internet) delivery and hence enhance customer satisfaction. In addition, Zamtel should redesign the KPIs to focus on how SLAs can be enhanced to improve customer. The overall bivariate regression model between customer satisfaction and Zamtel SLAs had a coefficient of 0.636, implying that for every change in the variables that constitute Zamtel SLAs, customer satisfaction changes about 63.6%. The overall significance of the model had a probability value (p-value) of 0.000 implying a good fitted model to explain the impact of SLAs on customer satisfaction. Both the R-square and the Adjusted R-square values of 0.159 and 0.155 were above 5%, according to statistical theory, this implies a good fitted model The results of the multivariate SLA variables for Zamtel impacted on customer satisfaction positively except for one variable outsourcing and key performance indicators which impacted on customer satisfaction negatively and significantly. The model estimated an R-squared value of 0.432 (approximately 43.2%) of variations in customer satisfaction (CS) at Zamtel was explained by the model. This was a good fit since 43.2% was greater than 5%. On the other hand, the model was correctly specified as the probability (0.000) of the F-statistic critical value is 0%. This meant that the joint influence of the explanatory variables on customer satisfaction are statistically significant at 1 percent level of significance. Zamtel should intensify communication by enlightening messages to the customers on the network interruptions. Zamtel management should pay attention to service processes and ensure that the employees are well trained. In addition, it should to invest more on technologies that will ensure efficiency and competitiveness in serving customer and overall satisfactions of the customers to eliminate service quality gaps.