Internal marketing, employee job satisfaction, and perceived organizational performance in microfinance institutions

2016 ◽  
Vol 34 (5) ◽  
pp. 773-796 ◽  
Author(s):  
Eddy Balemba Kanyurhi ◽  
Déogratias Bugandwa Mungu Akonkwa

Purpose – The purpose of this paper is threefold: first, testing the relationships between internal marketing and employee satisfaction; second, investigating the links between employee satisfaction and perceived organizational performance; and finally, testing the relationship between internal marketing and perceived organizational performance. Design/methodology/approach – Data were collected from 419 employees working in 53 microfinance institutions (MFIs) in Kivu (DR Congo). Data processing was performed using structural equations modeling through LISREL 9.1. Findings – The results revealed that there is a positive and significant relationship between internal marketing and employee satisfaction. The results also revealed that there is a positive and significant relationship between internal marketing and perceived organizational performance. However, no significant relationship between employee satisfaction and perceived organizational performance was identified. Research limitations/implications – There is a need to conduct a large qualitative survey aiming to understand why MFIs apply internal marketing and marketing practices in general. The results from such a study would serve to prepare a global quantitative study, which integrates in the same model internal marketing, external market orientation, employee job satisfaction (EJS), and organizational performance. Practical implications – Results invite MFIs managers to change their mind and focus more on their employees. In fact, employees generate the most cost in general but they can also contribute to sustain growth and profitability. This is possible if they are better rewarded for their efforts. Originality/value – This study links internal marketing, EJS and perceived performance in a sector and country which have been less or not studied in the marketing sector.

2019 ◽  
Vol 42 (7) ◽  
pp. 797-817
Author(s):  
Tazeem Ali Shah ◽  
Mohammad Nisar Khattak ◽  
Roxanne Zolin ◽  
Syed Zulfiqar Ali Shah

Purpose The main purpose of this paper is to examine the mediating role of psychological capital in the relationship between perceived psychological empowerment and employee satisfaction, normative organizational commitment and turnover intentions. Design/methodology/approach To test the proposed research model, the authors collected field data from seven telecommunication companies located in the Islamabad Capital Territory of Pakistan. Through a two-wave data collection design, a total of 411 participants reported their perceptions about psychological empowerment and psychological capital at Time 1 and their job satisfaction, normative organizational commitment and turnover intention at Time 2. Findings Results supported the hypothesized relationships, showing that psychological capital fully mediates the relationship between perceived psychological empowerment and employee job satisfaction, normative organizational commitment and turnover intention. Research limitations/implications This study relied on cross-sectional data, which does not fully satisfy the conditions of establishing causality. Practical implications Results of this study will help organizations and practitioners to understand the importance of psychological empowerment and psychological capital and how they positively influence organizational performance, including employee job satisfaction, normative organizational commitment and turnover intention. Originality/value Drawing upon the self-determination theory of Deci and Ryan (2000), this study contributes to organizational behaviour literature by proposing and testing psychological capital as an underlying mechanism that can explain the impact of psychological empowerment on employee satisfaction, normative organizational commitment and turnover intention.


2017 ◽  
Vol 29 (1) ◽  
pp. 133-146 ◽  
Author(s):  
Mary Agnes Wambui Kiarie ◽  
Loice C. Maru ◽  
Thomas Kimeli Cheruiyot

Purpose The purpose of this paper is to determine the effect of leader personality traits on employee job satisfaction. A leader personality trait on employee job satisfaction remains a cause of concern in the contemporary business environment. Design/methodology/approach The study employed an explanatory research design to establish the cause-effects between leader personality traits and employee job satisfaction. Path goal theory and Big Five-factor model of personality traits underpinned the study. Questionnaire was used to obtain data pertaining to the model’s constructs. A multiple regression equation model tested the hypotheses. Findings The study showed that leader extraversion; openness to new experiences; emotional stability; conscientiousness and agreeableness have significant effects on employee job satisfaction. The study thus concluded that leaders who portray extraversion; openness to new experiences; emotional stability; conscientiousness and agreeableness enhance employee job satisfaction. Research limitations/implications This study was only limited to leader personality traits and employee job satisfaction; as such further research area could be undertaken in leader personality traits and organizational adaptation to change. Practical implications Leaders need to communicate to employees effectively, listen to their input and feedback, mentoring and empowering them, be innovative and creative, embracing the determination of standards for task performance and be empathetic. Social implications As organizations are exposed to changes, not only to prosper but also to survive in the current dynamic changing environment, leaders must be cognizant of the fact that employee job satisfaction is the bedrock of sustainable organizational performance. Originality/value The paper enhances on how leader personality traits (Big Five-factor model of personality traits) affects employee job satisfaction and performance in organizations.


2019 ◽  
Vol 27 (3) ◽  
pp. 786-811 ◽  
Author(s):  
Abderrahman Hassi

Purpose The purpose of this study is to examine the influences of transactional and transformational leadership styles on employee job satisfaction, employee affective commitment and organisational citizenship behaviour (OCB) within Moroccan organisations. Design/methodology/approach Data were gathered from a sample of 219 employees working in seven different industries in Morocco and analysed using Structural Equations Modelling (SEM). Findings SEM analyses reveal that employee job satisfaction, affective commitment and OCB are only impacted by the personal recognition dimension of the transformational leadership style. The study indicates that charisma and intellectual stimulation (transformational leadership) as well as contingent reward and management-by-exception (transactional leadership) did not yield significant results. Research limitations/implications The use of a cross-sectional research design limits establishing cause-and-effect relationships. Practical implications The results of the current study may be of use and interest for organisations in designing effective leadership training programs, as it takes into account how managers and/or practitioners tap into their subordinates’ effective behaviour. Originality/value With insights derived from a non-Western perspective, the major theoretical contribution of the present study lies in exploring the effects of transactional and transformational leadership styles on employee job satisfaction, employee affective commitment and OCB in Morocco.


2015 ◽  
Vol 27 (7) ◽  
pp. 1618-1640 ◽  
Author(s):  
Hyun-Woo Joung ◽  
Ben K. Goh ◽  
Lynn Huffman ◽  
Jingxue Jessica Yuan ◽  
James Surles

Purpose – The purpose of this study is to investigate the relationships between internal marketing practices, employee job satisfaction, organizational commitment and turnover intention in the foodservice industry. Design/methodology/approach – The target population was employees who were currently working at a restaurant in the USA. All respondents were recruited from different states for the generalization of the study results. A confirmatory factor analysis validated the measurement model, and subsequently, structural equation modeling tested the proposed model. Findings – Three internal marketing practices – vision, development and rewards – were good indicators for predicting employee job satisfaction, and two internal marketing practices – development and rewards – in addition to job satisfaction were significant predictors for employee organizational commitment. Finally, the findings indicated that job satisfaction and affective commitment had a significant impact on lowering employee turnover intention. Research limitations/implications – In further research, more internal marketing practices – such as employee motivation, customer orientation, sharing information, employee empowerment – can be added to the model to increase employee job satisfaction and organizational commitment. Practical implications – Foodservice operators should focus on internal marketing practices to have satisfied employees who, in turn, are more likely to deliver high service quality to customers. Originality/value – This study has not only extended the influential scope of the internal marketing theory to organizational commitment, but has also proposed the antecedents of organizational commitment (i.e. internal marketing practices and employee job satisfaction) and clarified the relationships among them.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Cláudia Miranda Veloso ◽  
Bruno Sousa ◽  
Manuel Au-Yong-Oliveira ◽  
Cicero Eduardo Walter

PurposeThis study applies an Employee Satisfaction Index (ESI) model to quantify the level of job satisfaction and explores the factors that influence employee satisfaction, performance and loyalty to an information technology recruitment and outsourcing organization in Portugal.Design/methodology/approachAs an instrument of data collection, questionnaire was applied to the company's employees, which was divided into two parts: the first part consisted of a previous questionnaire, with questions related to sociodemographic characterization; the second part consisted of the ESI. The company operates only in the information technology (IT) market, and there are currently 300 consultants with different skills.FindingsThe results confirm that the company's employees are globally satisfied, and this satisfaction contributes positively and significantly to the reinforcement of contextual performance and to their loyalty to this organization.Originality/valueJob satisfaction takes on a growing interest in understanding quality of life, strategic management and organizational performance. Job satisfaction contributes to the professional finding, that is, in employees’ activity and in adopting positive attitudes toward customer satisfaction, thus promoting organizational performance.


2016 ◽  
Vol 39 (5) ◽  
pp. 599-628 ◽  
Author(s):  
Mohammed-Aminu Sanda ◽  
John Kuada

Purpose This paper aims to investigate the influencing dynamics of culture (national and organizational), employee characteristics, employee job satisfaction and organizational commitment in determining the organizational performances of firms in the retail banking sector in a developing country such as Ghana. Design/methodology/approach A conceptual framework linking national and organizational cultures to employees’ job satisfaction, job characteristics, organizational commitment and organizational performance was developed, and their measurement scales were adapted to guide the empirical investigation. Data were collected using a questionnaire filled in by 300 employees in nine retail banks in Ghana. The results were first analyzed by carrying out data reduction of the measured scales by using the Statistical Package for the Social Sciences-based factor analysis approach. The reduced data obtained from the factor analysis were then analyzed for model goodness fit by using the Analysis of Moment Structures-based structural equation modeling approach. Findings Effective organizational performance of retail banks in Ghana is directly influenced by the relationships among organizational culture, employee job satisfaction and organizational commitment. Research limitations/implications The study sample was drawn from a single sub-sector of the Ghanaian economy. Replications and extensions of the study in different sectors that are experiencing high growth will help test the robustness and generalizability of the findings. Practical implications The study provides empirical knowledge that could be used to understand the influencing interrelationships among organizational culture, employee job satisfaction and organizational commitment on the organizational performances of retail banking firms in a developing country context. Originality/value The study adds to the literature as one of the most comprehensive studies of the links between culture, job satisfaction, employee characteristics and organizational commitment toward organizational performance within the banking sector in Ghana to date.


2016 ◽  
Vol 34 (6) ◽  
pp. 821-840 ◽  
Author(s):  
Ainsworth Anthony Bailey ◽  
Faisal Albassami ◽  
Soad Al-Meshal

Purpose The purpose of this paper is to assess the impact of a global measure of internal marketing on bank employee job satisfaction and employee commitment to the bank. In addition, the authors assessed the subsequent impact of job satisfaction and employee commitment on employee-bank identification. The dual mediating role of job satisfaction and employee commitment in the internal marketing-employee bank identification relationship was also explored. Design/methodology/approach Using self-administered questionnaires, the authors collected data from a convenience sample of Saudi Arabian bank employees attending training at the Institute of Banking, Saudi Arabia. Structural equation modeling was used to assess the predicted structural relationships. Findings Internal marketing has highly significant positive effects on job satisfaction and employee commitment to the bank. These in turn influence employee bank identification. Internal marketing also impacts employee bank identification indirectly through its impact on both job satisfaction and employee commitment. Practical implications Bank management needs to take a holistic approach to internal marketing and ensure that they create an environment where employers will be satisfied and committed to the point that they will feel proud to be associated with the organization. Originality/value The study uses a global measure and provides evidence of the dual mediating effects of job satisfaction and employee commitment to the bank in the internal marketing-employee bank identification relationship. This evidence is unearthed in the Saudi Arabian banking sector, characterized by conventional and Islamic banks.


2018 ◽  
Vol 26 (1) ◽  
pp. 13-29
Author(s):  
Erlangga Arya Mandala ◽  
Faresti Nurdiana Dihan

The Emotional intelligence, spiritual intelligence and job satisfaction to be part of the factors that influence performance. The purpose of this study was to determine the effect of emotional intelligence and spiritual intelligence on the performance through job satisfaction as an intervening variable partially and simultaneously. This study also aimed to determine the effect of emotional intelligence and spiritual intelligence on the performance through job satisfaction as an intervening variable directly and indirectly. This study was conducted to 77 respondents employees of PT. Madu Baru, Yogyakarta. The research method used is quantitative method uses statistical analysis and descriptive. The results of this study are (1) there is a significant effect of emotional intelligence on employee job satisfaction. (2) there is a significant influence of spiritual intelligence on employee job satisfaction. (3) There is a significant relationship between emotional intelligence and spiritual intelligence on job satisfaction. (4) There is a significant relationship between emotional intelligence on employee performance. (5) There is a significant relationship between spiritual intelligence on employee performance. (6) There is a significant relationship between emotional intelligence and spiritual intelligence on employee performance. (7) There is a significant relationship between job satisfaction on employee performance. (8) There is an indirect effect of emotional intelligence on the performance of employees through job satisfaction. (9) There is the indirect influence of spiritual intelligence on the performance of employees through job satisfaction. Keywords: emotional intelligence, spiritual intelligence, job satisfaction and employee performance


2019 ◽  
Vol 31 (1) ◽  
pp. 268-284 ◽  
Author(s):  
Deepak Bangwal ◽  
Prakash Tiwari

PurposeThe hotel industry suffers from retaining its employees, and to retain their employees is a big challenge to the hotel industry. So, the purpose of this study is to examine the causal relationship between workplace design features of hospitality industry with employee job satisfaction and their intent to stay through empirical validation.Design/methodology/approachAs per the objective of the study, three hypotheses were proposed based on a comprehensive literature review on workplace design features of the hospitality industry. The proposed relationships were examined by using structural equation modeling approach with AMOS 18 as prescribed by Hair et al. (1998).FindingsSignificant evidence was found in favor of proposed hypotheses. The result of hypothesis testing showed workplace design features of hospitality industry to positively influence employee’s intent to stay through job satisfaction.Originality/valueWhile the employee satisfaction and commitment has been a significant research topic for more than decades, barely any research has been conducted that focuses specifically on workplace design features of a hospitality industry. This study tries to make a link between workplace design with the employee intent to stay through employee satisfaction. These links are rare from an Indian perspective.


2017 ◽  
Vol 46 (3) ◽  
pp. 624-643
Author(s):  
Alfonso J. Gil ◽  
Mara Mataveli

Purpose The purpose of this paper is to analyse the relationship between learning processes (LP) – group learning (GL) and training processes – and job satisfaction (JS), by taking into consideration the mediating role of organizational size (OZ) and employees’ educational level (EEL). Design/methodology/approach Data were collected from the Spanish wine sector. The survey was addressed to the workers, and 230 valid questionnaires were obtained. The authors have proven their model of research through a model of structural equations, that is, by means of the partial least squares technique. Findings This paper proposes that LP play a significant role in determining the effects on JS, and OZ and EEL mediate the relationship between GL and JS. Research limitations/implications Owing to certain features of the sample and the use of measurement scales, the final results should be considered with caution. Further research in other contexts using qualitative methods is needed to validate these findings. Practical implications When seeking to improve employee JS, practitioners should take into account the link between LP and JS. It is especially necessary to consider the diversity in learning groups. Originality/value This paper provides an empirical analysis of the relationship between LP and JS and checks the mediation of OZ and worker education of workers between group learning and JS.


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