Creating service excellence through Human Resource Management practices

Victoria Browning

doi:10.4102/sajbm.v29i4.778

Abstract

Service excellence has become a critical source of competitive advantage for organisations. This article focuses on the interaction between the frontline employee and the customer and the role of Human Resource Management (HRM) in sustaining service-orientated behaviour. The nature of the relationship between HRM and service behaviour is also explored, focusing on three possible intervening variables - commitment to customer service, job competence and organisational identification. The implications of this relationship for business managers are highlighted and it is suggested that to achieve service excellence, managers need to focus as much on their internal relationships with employees as they do on their external relationships with customers, as their contribution to organisational performance is inter-linked. Directions for future research in redefining HRM practices and determining the nature of the link between HRM and service-orientated behaviour are discussed.

Highlights

The service industry accounts for 60% of the world's economic activity (Irons, 1994)
The added value provided by Zerbe et al 's ( 1993) research support the results provided for a mediation model ofHRM practices influencing a service culture, which in tum, has an impact on service behaviour
The key role of service in creating competitive advantage underlines the importance of providing some additional empirical evidence. of what, up to now, has been primarily conjecture, and plausible conjecture at that. that ~RM activities within an organisation have a significant impact on service behaviour

Summary

Introduction

The service industry accounts for 60% of the world's economic activity (Irons, 1994). The quality of the service interaction between service provider and customer is an important part of a customer's experience of service It is this interaction which will be the focus of this article, and research will be presented which links the human resource management practices within organisations to the service behaviour of frontline employees. This result supports the move to empower frontline employees, both in terms of knowled!!e and skills, and to allow them the autonomv to carrv out th;ir job function It is plausible in light of the ~esults obtained b, Peccei & Rosenthal ( 1997) th;t competence could impa~t positively on service behaviour and as such on customer service. In order to enhance the service behaviour of their employees, managers need to focus on the HRM' practices within their organisation which will. it is proposed. have a positive impact on these intervening variables. and service behaviour

Result

Findings

Conclusions and implications for future research