What matters most in achieving customer satisfaction in banking? A study from the perspective of employee characteristics

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Wajeeha Aslam ◽  
Kashif Farhat ◽  
Imtiaz Arif ◽  
Chai Lee Goi
Keyword(s):  
Customer Satisfaction ◽  
Banking Industry ◽  
Employee Performance ◽  
Partial Least Square ◽  
Mediating Effect ◽  
Equation Modeling ◽  
Content Type ◽  
And Performance ◽  
Employee Characteristics ◽  
The Relationship

PurposeThis study aims to identify the factors that influence customer satisfaction in the banking sector from the perspective of employee characteristics. More specifically, this study identifies the impact of employee etiquettes, employee performance, technical selling skills and customer-oriented behavior on customer satisfaction in the banking industry. The study also seeks to investigate the mediating effect of employee etiquettes, employee performance and technical selling skills on the relationship between customer satisfaction and customer-oriented behavior.Design/methodology/approachThe data were collected with the help of a Likert scale questionnaire from the active banking customers in Karachi, Pakistan, who visit bank branches once a month minimum. For 268 responses, partial least square-structural equation modeling (PLS-SEM) technique was employed for hypothesis testing.FindingsThe results showed a positive and significant relationship between customer-oriented behavior and employee etiquettes, technical selling skills and performance. The employee’s customer-oriented behavior, etiquettes, technical selling skills and performance were also found to be significantly related with customer satisfaction. Finally, the results revealed that technical selling skills, employee performance and employee etiquettes partially mediate the relationship between customer-oriented behavior and customer satisfaction.Practical implicationsIt is recommended that banking employees should adopt customer-oriented behavior in order to achieve and maintain customer satisfaction. The bank managers should also work on improving the etiquettes and performance of the employees and provide them detailed technical knowledge of the services and products offered by the bank.Originality/valueArguably, it is one of the first studies to examine the mediating effects of employees' technical selling skills and employees' performance on the relationship between customer orientation and customer satisfaction, specifically in the banking industry.

scholarly journals Effect Of Compensation, Environment and Leadership Style On Employee Spirit and Performance Through Motivation

2021 ◽  
Vol 7 (1) ◽  
pp. 1-20
Author(s):  
Muhammad Yani
Keyword(s):  
Work Environment ◽  
Leadership Style ◽  
Work Motivation ◽  
Employee Performance ◽  
Partial Least Square ◽  
Least Square ◽  
Equation Modeling ◽  
Employee Morale ◽  
And Performance ◽  
The Relationship

This study aims to examine the effect of compensation, environment and leadership style on employee morale and performance through study motivation at PT. EX. This study used a sample of 95 respondents, namely employees of the production section of PT. EX. which is taken using non-probability sampling techniques from the population or production employees. The data analysis technique used the Structural Equation Modeling (SEM) Partial Least Square (PLS) approach using the Smart PLS version 3.0 software. The results showed that: Compensation and work environment have a positive and significant effect on work motivation, compensation and work environment have a positive and significant effect on morale, work motivation has a positive and significant effect on employee performance and employee morale. Leadership style has no effect on work motivation, employee performance and morale. Compensation and work environment have no effect on employee performance. Compensation has a positive and significant effect on employee performance through work motivation, work environment has a positive and significant effect on employee performance through work motivation, compensation has a positive and significant effect on work motivation through work motivation, the environment has a positive and significant effect on morale through work motivation. In addition, motivation cannot mediate the relationship between leadership style and employee performance, and motivation cannot mediate the relationship between leadership style and morale.

Positive moods and word-of-mouth in the banking industry

2018 ◽  
Vol 36 (4) ◽  
pp. 764-783 ◽  
Author(s):  
Che-Hui Lien ◽  
Jyh-Jeng Wu ◽  
Maxwell K. Hsu ◽  
Stephen W. Wang
Keyword(s):  
Word Of Mouth ◽  
Banking Industry ◽  
Mediating Effect ◽  
Equation Modeling ◽  
Special Treatment ◽  
Content Type ◽  
Functional Value ◽  
Relational Benefits ◽  
Symbolic Value ◽  
The Relationship

PurposeThe purpose of this paper is to examine the mediating effect of functional value and symbolic value between positive moods and word-of-mouth (WOM) referrals in the context of Taiwan’s banking industry. In addition, this study investigates the moderating effect of relational benefits on the relationship between perceived value and WOM.Design/methodology/approachThe research model was tested using data collected from customers (n=362) of the top 10 domestic banks in Taiwan. Structure equation modeling was employed to test and validate the conceptual model.FindingsPositive moods are found to be an important predictor of functional value, symbolic value and WOM in this banking service study. Four types of relational benefits are identified including social, special treatment, confidence and face. Note that two distinct segments of bank customers are identified in terms of relational benefits: those who appreciate face benefits (n1=169), and those who appreciate general relational benefits (n2=193). The findings reveal the existence of partial mediation between a banking customer’s mood and WOM through functional value and symbolic value in the overall sample (n=362). However, it was found that functional value partially mediates the influence of positive moods on WOM among respondents in the “general relational benefits” segment only. That is, relational benefits are found to moderate the relationship between functional value and WOM.Originality/valueThis study expands the existing body of knowledge on customers’ perceptions of value by differentiating types of value perceptions.

Electronic customer relationship management (E-CRM), customer experience and customer satisfaction: evidence from the banking industry

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Pushpender Kumar ◽  
Anupreet Kaur Mokha ◽  
Subash Chandra Pattnaik
Keyword(s):  
Customer Satisfaction ◽  
Private Sector ◽  
Customer Relationship Management ◽  
Banking Industry ◽  
Relationship Management ◽  
Customer Experience ◽  
Customer Relationship ◽  
Equation Modeling ◽  
Content Type ◽  
The Relationship

PurposeThe purpose of this paper was to examine the relationship between electronic customer relationship management (E-CRM) and customer satisfaction through the mediating role of customer experience in the banking industry.Design/methodology/approachThe data were collected from customers of 10 banks (5 public and 5 private sector banks) of Delhi, India. In total, 836 useable structured questionnaires were filled, and the data were analyzed using structural equation modeling (SEM) through AMOS.FindingsThe results revealed that customer experience mediated the relationship between E-CRM and customer satisfaction confirming well with the hypothesized model.Research limitations/implicationsThe model was tested in the domain of banking industry; future results may be conducted in different domains for improving generalizability. A comparative study between public and private sector banks in terms of E-CRM, customer experience and customer satisfaction could also be conducted.Originality/valueThe study was the first to unequivocally analyze the influence of the E-CRM on customer satisfaction through customer experience in the banking industry. The study also introduced stimulus-organism-response (S-O-R) model as a theoretical support to associate E-CRM to customer satisfaction through customer experience. Thus, this study will enhance the current knowledge base and will also aid E-CRM managers amid decision-making process.

Employee engagement as a mediating variable on the relationship between employee relation practice and employee performance in a developing economy

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mohammed Sani Abdullahi ◽  
Kavitha Raman ◽  
Sakiru Adebola Solarin ◽  
Adams Adeiza
Keyword(s):  
Employee Engagement ◽  
Employee Performance ◽  
Partial Least Square ◽  
The Body ◽  
Least Square ◽  
Mediating Effect ◽  
Teaching Staff ◽  
Content Type ◽  
Employee Relation ◽  
The Relationship

PurposeThe aim of this research is to investigate the mediating effect of employee engagement (EE) on the relationship between employee relation practice and employee performance in Malaysian private universities (MPUs).Design/methodology/approachThis paper used a survey research design, and the study unit of the analysis consists of the academic staff of MPU. A sample of 314 teaching staff was used out of the target population (10,473) of the research, while simple random and stratified sampling techniques were used in order to determine the research sample. Data for the research were collected from the target participants via questionnaires, and partial least square-structural equation modelling (PLS-SEM) was utilized to evaluate the research hypotheses.FindingsThe outcome of the research revealed that employee relation practice (ERP) has a substantial effect on employee performance (EP), and EE partially mediates the relationship between ERP and EP.Practical implicationsThe outcome of this study has urged the universities' management to focus on building effective and sustainable ERP that will ensure academic engagement that can result to sound academic performance and university growth.Originality/valueThis research has contributed significantly to the body of knowledge by operationalizing EP, ERP and EE literature. In extension, this research contributes to develop the literature of leaders, acknowledging the ERP as an important tool for leadership growth.

Does leader-member exchange enhance performance in the hospitality industry?

2016 ◽  
Vol 28 (5) ◽  
pp. 969-987 ◽  
Author(s):  
Chung-Jen Wang
Keyword(s):  
Structural Equation ◽  
Hospitality Industry ◽  
Employee Performance ◽  
Equation Modeling ◽  
Leader Member Exchange ◽  
Content Type ◽  
Task Motivation ◽  
Member Exchange ◽  
And Performance ◽  
The Relationship

Purpose This paper aims to integrate leader–member exchange (LMX), creativity and performance research and to develop a model to investigate the relationships among LMX, task motivation, creativity and performance in the hospitality industry. Design/methodology/approach Structural equation modeling (SEM) with bootstrap estimation was conducted with a sample of 312 leader–employee dyadic data from international tourist hotels in Taiwan. Findings The results revealed that LMX positively affected performance and creativity. Most important of all, task motivation was found to mediate the relationship between LMX and creativity, while both task motivation and creativity were found to mediate the relationship between LMX and performance. Research limitations/implications With efforts to combine research variables into a unified theoretical model, this study is the first in the field of hospitality research which explores the two-path mediating effects of these relationships in an integrated SEM framework. More specifically, this study provides a synthesized perspective with bootstrap analyses to broaden hotel research with regard to LMX and examine its influences on employees’ creativity and performance. Practical implications The results of this study suggest that human resource departments in hotel companies should provide training programs for supervisors and employees to enhance their reciprocal relationships, and establish reward mechanisms to encourage the development of more creative services at work. Originality/value This study added to the literature with its use of a non-Western sample, and extended the prior research in the context of the hospitality industry. Overall, the conclusions provide empirical evidence in an integrated model that task motivation can strengthen the influence of LMX on creativity and can also nourish the influence of creativity on employee performance.

scholarly journals The mediating role of hedonic motivation on the relationship between adoption of e-banking and its determinants

2017 ◽  
Vol 35 (4) ◽  
pp. 558-582 ◽  
Author(s):  
Maruf Gbadebo Salimon ◽  
Rushami Zien Bin Yusoff ◽  
Sany Sanuri Mohd Mokhtar
Keyword(s):  
Ease Of Use ◽  
Partial Least Square ◽  
Perceived Usefulness ◽  
Mediating Effect ◽  
Equation Modeling ◽  
Perceived Ease Of Use ◽  
Content Type ◽  
Mediating Role ◽  
Perceived Security ◽  
The Relationship

Purpose The purpose of this paper is to examine the combined roles that perceived usefulness (PU), perceived ease of use, perceived security and hedonic motivation play on the adoption of e-banking. It also aims to determine the ability of hedonic motivation to transfer the effect of other determinants of e-banking adoption. Design/methodology/approach In order to empirically test the conceptual model of this study, data were collected from the users of e-banking in Nigeria. A total of 266 questionnaires were analyzed using partial least square structural equation modeling. Findings The empirical results revealed a significant and positive relationship between PU, perceived security and e-banking adoption. The same result was found to be applicable to the relationship between PU, perceived ease of use, perceived security and hedonic motivation. However, support was not found for the relationship between perceived ease of use and adoption of e-banking. Hedonic motivation plays a mediating role between PU, perceived security and e-banking adoption. The study did not find a mediating effect of hedonic motivation between perceived ease of use and e-banking adoption. Practical implications The results of this study provide insights for banking practitioners to know which aspect of e-banking to improve and to aid with policies that will increase adoption. Furthermore, improvements in hedonic motivation will also significantly increase adoption of e-banking. Originality/value This study is one of the pioneer studies that tests the mediating influence of hedonic motivation.

Toward an understanding of the relationship between LMX and performance over time: the role of trust in leader and appraisal satisfaction

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Rachel Gabel-Shemueli ◽  
Franco Alberto Riva Zaferson
Keyword(s):  
Structural Equation ◽  
Employee Performance ◽  
Equation Modeling ◽  
Content Type ◽  
And Performance ◽  
One Year ◽  
The Impact ◽  
The Relationship ◽  
Over Time ◽  
Trust In Leader

PurposeThe purpose of this two-wave longitudinal study was to examine the impact of leader–member exchange (LMX) on employee performance through trust in leader and appraisal satisfaction both cross-sectionally and after one year, and the reciprocal effect of employee performance on LMX one year later.Design/methodology/approachA full panel data design was applied and the sample consisted of 289 employees of a Peruvian insurance organization. Structural equation modeling (SEM) was used to test the research hypotheses.FindingsThe results show the relationship between LMX and performance was sequentially mediated by trust in leader and appraisal satisfaction on both occasions. Additionally, employee performance at Time 1 positively influenced LMX at Time 2.Originality/valueThis study highlights the dynamic and complex relationship between LMX and employee performance over time while identifying relevant variables that influence it.

“I buy green products, do you…?”

2019 ◽  
Vol 14 (1) ◽  
pp. 89-112 ◽  
Author(s):  
Azila Jaini ◽  
Farzana Quoquab ◽  
Jihad Mohammad ◽  
Nazimah Hussin
Keyword(s):  
Well Being ◽  
Partial Least Square ◽  
Mediating Effect ◽  
Purchase Behavior ◽  
Equation Modeling ◽  
Content Type ◽  
Hedonic Value ◽  
Personal Norm ◽  
The Relationship

Purpose In recent years, consumers are moving toward purchasing green cosmetics instead of chemical one. Plenty of cosmetics products are banned globally due to the usage of poisonous substances such as triphenyl phosphate and petroleum. As such, it is needed to shift the conventional purchase behavior to green purchase behavior (GPB) to reduce the negative impact on the environment and health. This study aims to investigate the factors that affect GPB in the context of cosmetics products purchase. Additionally, this study examines the moderating role of electronic word-of-mouth (eWOM) in influencing such green behavior. Design/methodology/approach This study used value-belief-norm (VBN) theory and elaboration likelihood model as a theoretical basis. By using judgmental sampling techniques, a total of 318 usable responses were gathered through online survey. The structural equation modeling approach using partial least square (SmartPLS, version 3.7) technique was used to test the study hypotheses. Findings Results reveal that altruistic value and hedonic value both positively affect pro-environmental beliefs, which eventually affect consumers’ personal norms. It is found that hedonic value has a greater influence on pro-environmental belief than altruistic value. Additionally, personal norm also exerts significant influence on GPB. Data also support the mediating role of pro-environmental belief and personal norm. Moreover, the multidimensional eWOM moderates the relationship between personal norm and GPB. Practical implications The findings from this study provide valuable insights for marketers, academicians and practitioners about the drivers of consumers’ green cosmetics purchase behavior. It will enable marketers to develop better strategies for the green market segment. Social implications The study findings also contribute to the social aspects by understanding consumers’ purchase behavior toward green cosmetics products. It ultimately promotes to consider a healthier lifestyle and to be concerned about environmental well-being. Originality/value This study is the first to introduce the eWOM as a moderator in the VBN theory. Moreover, this study contributes to the existing body of knowledge in the field by examining few new linkages; more specifically, considering pro-environmental belief as to the mediator between “hedonic value and personal norm,” as well as the mediating effect of personal norm in the relationship between “pro-environmental belief and GPB.” Moreover, this is a pioneer study to consider eWOM as a multidimensional construct rather than unidimensional, which is new in green marketing literature.

scholarly journals The Effect of Service Quality on Customer Loyalty Mediated by Customer Satisfaction in Tourism Villages in Badung Regency

2020 ◽  
Vol 7 (1) ◽  
pp. 46-52
Author(s):  
I Gusti Ngurah Surahman ◽  
Putu Ngurah Suyatna Yasa ◽  
Ni Made Wahyuni
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Customer Loyalty ◽  
Structural Equation ◽  
Partial Least Square ◽  
Least Square ◽  
Mediating Effect ◽  
Equation Modeling ◽  
Relationship Of ◽  
The Relationship

The aims of this research was to determine the effect of service quality with customer loyalty. And customer satisfaction as a mediator between the relationship of service quality with customer loyalty. This research was collected data from 100 respondents who were customers who visited the Tourism Village in Badung Regency. The data were analyzed using structural equation modeling with partial least square approach. The results indicate an insignificant direct effect of service quality on customer loyalty. Significant direct influence on service quality with customer satisfaction, and customer satisfaction with customer loyalty. Furthermore, the results show an indirect effect between service quality and customer loyalty, which is mediated by customer satisfaction. The findings was empirically indicate that service quality has a negative effect on customer satisfaction. And customer satisfaction has a full mediating effect, customer satisfaction is important explaining the quality of service to drive customer loyalty. Based on the results it can be concluded that this research offers empirical evidence of the relationship of service quality, customer satisfaction and customer loyalty. This research makes a theoretical contribution to clarifying the high level of service quality increasing customer loyalty through customer satisfaction.

Supervisor-directed OCB and deviant behaviors: the role of LMX and impression management motives

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Fenika Wulani ◽  
Tarsisius Hani Handoko ◽  
Bernardinus Maria Purwanto
Keyword(s):  
Impression Management ◽  
Mediating Effect ◽  
Equation Modeling ◽  
Organizational Deviance ◽  
Content Type ◽  
Deviant Behaviors ◽  
Interpersonal Deviance ◽  
The Impact ◽  
The Relationship

PurposeThis study investigates the effect of supervisor-directed organizational citizenship behavior (OCB) on leader–member exchange (LMX), the moderating role of impression management motives on this relationship, the effect of LMX on organizational and interpersonal deviance and the mediating effect of LMX on the relationship between supervisor-directed OCB and deviant behaviors.Design/methodology/approachThis study uses a survey questionnaire to collect data. Respondents were 342 nonmanagerial employees working in Surabaya Raya, Indonesia. Hypothesis testing is done using Partial least squares structural equation modeling (PLS-SEM).FindingsThe results show that supervisor-directed OCB is positively related to LMX, and LMX is negatively related to organizational deviance but not significantly related to interpersonal deviance. The study also finds that impression management motives moderate the positive relationship between supervisor-directed OCB and LMX. Furthermore, LMX mediates the relationship between supervisor-directed OCB and organizational deviance, but not interpersonal deviance.Practical implicationsThis study suggests the importance of human resource management (HRM) activities and managers being aware of subordinate OCB motives and the impact of LMX on interpersonal and organizational deviance, as well as what supervisors need to do to reduce these negative effects.Originality/valueFew studies examined the relationship between supervisor-directed OCB and workplace deviance behaviors (WDBs). This study provides a mechanism of their relationship by considering LMX as a mediator. Also, heretofore the existing studies tend to focus more on LMX as an antecedent of OCB. This study provides an understanding of OCB as an antecedent of LMX with the moderating effect of impression management motives.

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