Demystifying the Relation between Workforce demographics, Job Satisfaction and Perceived Customer Satisfaction in Indian Banking Industry

Abstract

The proposition concerning the relationship between job satisfaction and customer satisfaction is not novel in organizational behaviour research. The profound impact of job satisfaction in improving organizational productivity through satisfied and retained customers is well documented. The present study attempts to assess the relationship between job satisfaction and customer satisfaction from the employees' point of view in the Indian banking industry, an approach that is unique to the study. The relationship between an employee and the customer is of utmost importance, especially in the service sector industry like banking. Relevant statistical tools (using SPSS) were applied to a sample of 542 employees of commercial banks. The results confirmed a positive relationship between the two constructs. Thus, when employees are satisfied with their job, they perceive that they deliver superior service, thus making their customers happy and satisfied. Consequently, they will recommend their organization to others, thereby improving revenues. Exploring further, the study also tested some demographic variables with respect to job satisfaction and concluded that employees' level of management, and type of bank they work for, had a significant relationship, while age did not show any significant relationship with job satisfaction.