A Structural Equation Modelling Evaluation of Antecedents and Interconnections of Call Centre Agents’ Intention to Quit

Chux Gervase Iwu,Afeez Olalekan Jaiyeola,Chukuakadibia Eresia-Eke,Tichaona Buzy Musikavanhu,Olayemi Abdullateef Aliyu,Abdullah Promise Opute

doi:10.3390/jrfm14040179

Abstract

Call centers play a significant role in the operational dynamics of different types of businesses. This is especially the case because a call center agent’s demeanor can impair or engender customer satisfaction, which has ramifications for business patronage. Unfortunately, the pressures associated with the role of the call center agent have made staff attrition a norm in the industry. While this does not augur well for the call center or the organizations that they serve, the role of possible antecedents in the equation of staff attrition in South African call centers remains largely unexplored. Using a structural equation modeling approach, this study examined the interconnections between customer orientation, knowledge management, job satisfaction, and employees’ intention to quit. Additionally, the mediating influence of job satisfaction on the association between customer orientation and knowledge management of the intention to quit is examined. This study found significant relationships between knowledge management, customer orientation, and job satisfaction and the dependent variable (intention to quit). In addition, this study establishes that the extent to which job satisfaction may mediate the influence on the intention to quit hinges on the organizational element considered. Two factors limit the extent to which the findings from this study can be generalized. First, this study focused on the call center setting in South Africa. Second, convenience sampling was used in this study. This study points to critical operational practices that call center managers can embrace toward enhancing job satisfaction and reducing intention to quit propensity. Using structural equation analysis, we contend that call centers in the South African setting would effectively address staff attrition if appropriate organizational practices are endorsed toward ensuring employee job satisfaction.

Highlights

Call centers have become the norm for organizations wishing to remain in close contact with their customers
Typical characteristics of emerging markets include a low per capita income, high volatility, volatile currency swings, and high risk-induced potential for growth (Morgan Stanley Capital International (MSCI)). Thriving in such a challenging economic setting requires a strategic operational approach that drives performance enhancement. This is in line with the operational foundation that this study leans on to examine employees’ intentions to quit in the South African call center setting
Situated in the internal marketing viewpoint (e.g., Choi and Joung 2017; Kotler and Armstrong 2012), this study examined the extent to which employee job satisfaction and intention to quit were imparted by customer orientation and knowledge management in the call center setting

Summary

Introduction

Call centers have become the norm for organizations wishing to remain in close contact with their customers. Research has distilled the dual consequences of high employee turnover for organizations: unrecouped financial investments (Bilau et al 2015; Cohen and Veled-Hecht 2010; Ibrahim 2015) and indirect financial resources such as the loss of valuable knowledge (Mwilu 2016). Employee turnover could take a voluntary or involuntary form. While voluntary turnover refers to situations where employees decide to resign by themselves, involuntary turnover arises when organizations terminate or dismiss employees (De Winne et al 2018). Dysfunctional turnover occurs when star employees of organizations are laid off and functional turnover manifests when organizations encourage all employees, especially the poorly performing employees, to leave (Becton et al 2017)

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