Measuring and managing service productivity: a meta-analysis

Despite service productivity’s scholarly prominence and practical relevance, past research in marketing has primarily adopted isolated perspectives from which disjointed empirical findings reign supreme. As the acquisition of knowledge about service productivity accelerates, the collective evidence becomes more interdisciplinary but also more fragmented. This study uses a meta-analysis to integrate the substantial empirical record on service productivity. We formulate hypotheses on the moderators of service productivity-determinant relationships and meta-analyze 77 articles, relying on 81 independent samples with a cumulative sample size of 30,238 participants to test our predictions. Our meta-analysis provides empirical evidence that service quality and internal efficiency must be considered jointly, not in isolation, to maximize profitability. Thus, relying on one aspect in isolation is less appropriate for measurement purposes and might not lead to positive outcomes. This important finding should concern service scholars and managers because falling profit margins require service firms to move beyond the traditional manufacturing productivity that separates service quality from internal efficiency and consider service productivity as a profitability concept. In sum, our findings provide a viable model to explain the main service productivity determinants and moderating variables, offering valuable insights for practitioners that aim to deliver cost-efficient service quality and promising future research directions.