FACTOR ANALYSIS OUTPUT

Extraction Method: Principal Component Analysis (PCA)
Rotation Method: Varimax with Kaiser Normalization
Date: March 2025
Data Source: Zoro Technologies (n=310, 14 variables)

KMO and Bartlett's Test

Kaiser-Meyer-Olkin Measure of Sampling Adequacy .82
Bartlett's Test of Sphericity Approx. Chi-Square 1842.56
df 91
Sig. <.001

KMO ≥ .80 indicates "meritorious" sampling adequacy for factor analysis

Total Variance Explained

Component Initial Eigenvalues Rotation Sums of Squared Loadings
Total % of Variance Cumulative % Total % of Variance Cumulative %
1 4.85 34.6% 34.6% 4.52 32.3% 32.3%
2 3.42 24.4% 59.0% 3.28 23.4% 55.7%
3 2.18 15.6% 74.6% 2.65 18.9% 74.6%
4 0.85 6.1% 80.7%
5 0.72 5.1% 85.8%
6 0.58 4.1% 89.9%

Extraction Method: Principal Component Analysis
Components with Eigenvalue > 1.0 retained (Kaiser criterion)

Scree Plot

Figure 1: Eigenvalue by Component Number
Eigenvalue = 1 0 1 3 5 6 1 2 3 4 5 6 Component Number Eigenvalue 4.85 3.42 2.18

Three components retained based on Kaiser criterion (Eigenvalue > 1)

Rotated Component Matrixa

Variable Factor 1
Technical Quality		 Factor 2
Operations		 Factor 3
Communication		 Communality
UI/UX Design .89 .12 .18 .84
Website Development .85 .22 .15 .80
Hosting Reliability .82 .28 .08 .76
Mobile Responsiveness .78 .15 .12 .65
E-commerce Functionality .72 .35 .21 .68
On-Time Delivery .25 .88 .15 .86
Project Management .18 .85 .32 .85
Resource Allocation .22 .82 .28 .79
Meeting Coordination .15 .78 .35 .76
WBS/Planning .20 .75 .30 .70
Client Updates .12 .28 .85 .82
Requirement Clarity .18 .32 .82 .80
Single Point of Contact .08 .25 .78 .68
Knowledge Transfer .22 .35 .72 .68

Extraction Method: Principal Component Analysis
Rotation Method: Varimax with Kaiser Normalization
a. Rotation converged in 5 iterations
Loadings > .50 highlighted

Component Score Coefficient Matrix

Year F1: Technical F2: Operations F3: Communication Interpretation
2023 -1.45 -0.85 -0.62 Crisis Year - All factors negative
2024 +0.72 +0.58 +0.45 Recovery Year - All factors positive
2025 +1.15 -0.32 -0.28 Mixed - Technical strong, Ops weak

Factor Correlation with CSAT

Factor Correlation (r) Significance Rank
Factor 2: Operational Efficiency +.85 <.001 1 (Highest)
Factor 1: Technical Quality +.78 <.001 2
Factor 3: Communication +.68 <.001 3

Interpretation

Key Findings

  1. Three-factor structure explains 74.6% of total variance
  2. Factor 2 (Operations) has the highest CSAT correlation (r = .85) but shows declining performance in 2025
  3. Factor 1 (Technical) recovered from -1.45 (2023) to +1.15 (2025)
  4. 2025 paradox: Technical excellence achieved but overall CSAT dropped due to operational decline

Factor Definitions

Factor Variance Key Variables
F1: Technical Quality 34.6% UI/UX Design, Web Development, Hosting, Mobile, E-commerce
F2: Operational Efficiency 24.4% On-Time Delivery, Project Management, Resource Allocation, Planning
F3: Communication 15.6% Client Updates, Requirement Clarity, SPOC, Knowledge Transfer