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GUIDESTAR RESEARCH WHITE PAPER

A model by Hee Yoon and Beatty (2001) presents two antecedents of job satisfaction and employee service quality:

  • 1.

    Supportive management, that is, the extent to which management is supportive of and shows concern for employees.

  • 2.

    Service climate, that is, employees’ shared perceptions of how much the organization values service.

A representation of this model is shown below:

Service Climate

Work Effort

Supportive Management

Employee Service Quality

Job Satisfaction

As illustrated in the model, service climate affects work effort but not job satisfaction. However, supportive management has both an effect on work effort and perceived job satisfaction. Work effort influences employee service quality directly as well as through job satisfaction. An empirical test of the model showed that, relative to work effort, job satisfaction was a better predictor of employee service quality.

Conclusions

The empirical literature summarized in this report highlights the criticality of the relationship between employee attitudes and customer satisfaction. How employees feel about their job has an impact on their work experience, but also on tangible business outcomes such as customer satisfaction, sales, and profit. Employees can strongly contribute to an organization’s success by having a customer-centric approach in their work and in their work-related interactions. However, they are more likely to do so if they are satisfied with their job. The question is then: “What should organizations do to ensure high job satisfaction among their employees?” As found in the practices of Fortune 100 companies, employee satisfaction is the result of a holistic approach that involves strategic steps such as:

GUIDESTAR RESEARCH - WHITE PAPER - FEBRUARY 2005

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