Service quality management under risk prioritization and imprecise information: a hybrid fuzzy approach
Authors: Mukherjee Swarup , De Anupam , Roy Supriyo 
Published: November 2024

Purpose

Conventional risk prioritization methods rely on crisp inputs but struggle with imprecise data and hesitancy, resulting in inaccurate assessments that affect service and information quality and performance monitoring. This study proposes a fuzzy data-driven risk prioritization model for service quality under imprecise information.

Design/methodology/approach

Enterprise risk management is crucial for service quality management, ensuring effective identification, assessment and mitigation of risks impacting service delivery and customer satisfaction. This paper proposes a fuzzy data-driven multi-criteria model for risk prioritization involving multiple decision-makers. It introduces a hybrid method combining intuitionistic and hesitant fuzzy group decision-making to assess better and prioritize risks based on decision-maker preferences.

Findings

The proposed hybrid fuzzy model improves service quality in business operations by efficiently representing uncertain information in traditional frameworks. It helps identify potential risks in advance and enhances control over business operations, enabling organizations to benchmark service quality and identify best practices. Accordingly, organizations acquire information and background knowledge to benchmark their service quality. This, in turn, improves service quality under performance management.

Research limitations/implications

Despite the advantages of fuzzy models in risk prioritization, such as mimicking human reasoning more accurately, their complexity can hinder adoption. The intricate computational steps may deter shop-floor managers who prefer the more straightforward conventional crisp RPN approach, which is easier to understand and implement. However, while developing a hybrid fuzzy risk prioritization model may require more effort, its benefits become apparent over time. Once developed, the model can be integrated into software applications, allowing decision-makers to use it easily. This integration simplifies fuzzy computations and enhances risk prioritization, leading to more informed decision-making and improved risk management in the long term.

Practical implications

The proposed robust fuzzy framework improves risk management by integrating uncertain information and multiple decision-makers expertise, leading to more reliable outputs that enhance strategic decisions and operational efficiency.

Originality/value

We validate the proposed approach at an integrated steel plant’s risk management process, covering broad areas of the service quality domain. To the best of our knowledge, no study exists in existing literature attempting to explore the efficacy of the proposed hybrid fuzzy approach in risk management practices at prime sectors like steel. The study’s novelty is backed by this validation experiment, which indicates that the effectiveness of the results obtained from the proposed multi-attribute hybrid fuzzy methodology is more practical. The model’s outcome substantially adds value to the current risk assessment and prioritization literature that significantly affects service quality.