The impact of functional and service quality on perceived security in manufacturing and telecommunication services

Abstract

Purpose

This research deals with the critical factors of quality and their significance to perceived security as an effort to build a formidable loyalty of customers in a technology driven service environment. The primary purpose of this study is to investigate the key contributing elements of functional and service quality on perceived security and to further analyze its impact on customer satisfaction and loyalty.

Design/methodology/approach

A hypothesized structure model is proposed and justified using the data collected in the manufacturing and telecommunication service sectors in South Korea through survey with total 647 respondents. To clarify the reliability of model and validity of the proposed hypothesis, AMOS 24.0 software was utilized. Furthermore, two moderating variables were adopted for the depth understanding.

Findings

This study reveals that service quality dominantly influences the level of perceived security due to its characteristics that are mostly formed on the stage of customer-contact activity. This study further provides a strategic methodology for manufacturing and telecommunication firms to foster sustainable growth by focusing on perceived security during the service delivery process.

Originality/value

This finding is particularly important as Ontact technology becomes increasingly critical during the COVID-19 pandemic. It is worthwhile noting that the research outcome of this study may, in turn, trigger the trust issue that need to be combined with quality in the era of Industry 4.0.

Citation

Song, H.J., Shin, N., Koo, H.M. and Shin, W.S. (2025), "The impact of functional and service quality on perceived security in manufacturing and telecommunication services", International Journal of Quality & Reliability Management, Vol. 42 No. 2, pp. 504-526. https://doi.org/10.1108/IJQRM-07-2021-0218