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Introduction
Service quality and customer satisfaction are vital aspects for any organization operating in the service industry to succeed. High levels of service quality lead to satisfied and loyal customers, which directly impacts key performance indicators such as repeat business, positive word of mouth, and profitability. As such, assessing and improving service quality has become an important area of research. This research aims to evaluate service quality in the context of higher education institutions by examining students’ perceptions of service quality in their university and its relationship with student satisfaction.

Literature Review

Service Quality Models and Dimensions

Some of the most widely used models for measuring service quality include the SERVQUAL model developed by Parasuraman et al. (1985, 1988) and the HEdPERF model created specifically for higher education by Firdaus (2005, 2006). SERVQUAL measures service quality across five dimensions – tangibles, reliability, responsiveness, assurance, and empathy. The HEdPERF model adapted these dimensions and added two new ones of academic aspects and non-academic aspects. Both models posit that service quality is the result of a comparison between expected service and perceived service performance. A positive service quality or satisfaction results when performance meets or exceeds expectations.

The importance of dimensions may also vary according to context and industry. For instance, while reliability and responsiveness are significant dimensions for most services, academic aspects and non-academic aspects would be more critical for universities. Non-academic aspects relate to factors like accommodation, food services, sports facilities, student activities, etc. Academic aspects relate to curriculum, teaching methods, assessment procedures, reputation of faculty, etc. Assessing the relative importance of dimensions in a university could help identify key areas for improvement.

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Service Quality in Higher Education

Numerous studies have evaluated service quality in higher education institutions using the SERVQUAL and HEdPERF models. Research has also examined the relationship between service quality perceptions and student satisfaction in universities. In general, these studies found dimensions like academic aspects, non-academic aspects, responsiveness, and reliability to significantly influence student satisfaction, with academic aspects reported to be the most crucial determinant (Firdaus 2005, Abidin et al 2018). Other studies highlighted differences in priorities across student demographic groups based on factors like gender and nationality.

A gap analysis comparing student expectations and perceptions has shown universities often fail to meet student expectations, particularly relating to responsive and caring service from faculty and administrative staff (Sultan & Wong, 2010). Such gaps need to be addressed to enhance the overall university experience and foster satisfaction. Other studies argue universities should aim to provide superior quality exceeding expectations to satisfy and retain students in an increasingly competitive landscape (Pratasomrk et al, 2019). A comprehensive evaluation of service quality is necessary to understand current perceptions and gaps, prioritize improvement areas, and developing strategic interventions.

Research Framework and Methodology

This study developed a research model to evaluate service quality perceptions in higher education institutions and its impact on student satisfaction and behavioral intentions. The model adopted and adapted the seven HEdPERF dimensions by Firdaus (2005, 2006) as the service quality constructs – academic aspects, non-academic aspects, reputation, access, program issues, understanding the individual student, and responsiveness. Student satisfaction was hypothesized as directly influenced by service quality perceptions. Satisfaction was then proposed to influence behavioral intentions relating to recommending the university to others, remaining loyal, and pursuing further studies.

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The context is a state university in Malaysia offering undergraduate programs. Data was collected using a structured questionnaire containing scales adapted from previous studies to measure the seven service quality dimensions, overall satisfaction, and three behavioral intentions. Questions used seven-point Likert scales, and the survey was distributed online to final year students from various disciplines. A sample of 425 completed responses was obtained and analyzed through descriptive analysis, reliability testing, confirmatory factor analysis, and structural equation modelling using SPSS and AMOS software.

Findings and Analysis

Reliability testing using Cronbach’s Alpha showed all constructs exceeded the recommended threshold of 0.7, indicating good internal consistency. Confirmatory factor analysis validated the measurement model fit with theoretical constructs. Structural equation modelling was then conducted to test the hypothesized relationships.

Results showed academic aspects, non-academic aspects, access, understanding individual students, and responsiveness significantly impacted service quality perceptions. Academic aspects had the strongest influence, followed by non-academic aspects and access. Reputation and program issues did not significantly affect overall quality. Further, service quality was found to strongly influence student satisfaction. Satisfaction positively influenced all three behavioral intentions, with loyalty being most strongly driven.

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A gap analysis of expectations and perceptions revealed dissatisfaction with facilities and infrastructures, responsiveness to student needs, as well as issues relating to program structure and variety of course options. Qualitative feedback supported these gaps. Overall, the results provided empirical validation of the research model and highlighted specific areas for service improvement at the university level.

Conclusion and Implications

This study evaluated the critical dimensions of service quality impacting student perceptions in a higher education context and how quality drives satisfaction and behavioral outcomes. Key findings provided strategic directions to enhance the university experience through initiatives concentrating on academic excellence, improved facilities and responsiveness, as well as review of certain programs and course structures. Successful service improvement would help strengthen the university brand image and student loyalty in a dynamic industry facing demand fluctuations and increased competition nationally and globally.

The research contributed to literature through developing and validating a context-specific model of higher education service quality and outcomes. The methodology adopted could be replicated at other institutions to benchmark quality standards and facilitate best practices. Though focused on a single context, the findings provided generalized insights into strategic factors necessary to satisfy and retain students. Limitations included a cross-sectional design, and scope for demographic and cultural influences. Future research could examine longitudinal perspectives or incorporate qualitative methods for richer understanding. Overall, continuously evaluating service quality remains critical to foster satisfied customers central to the long term viability of education providers.

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