The effect of customer orientation on frontline employees job outcomes in a new public management context

Abstract

PurposeThis paper seeks to examine the role of customer orientation in a model of affective and behavioural job outcomes grounded in Bagozzi's reformulation of attitude theory in the new public management context of a former public sector government department that has undergone corporatisation and now operates as a state‐owned enterprise (SOE).Design/methodology/approachFrontline employees (FLEs) complete a self‐administered questionnaire on how customer orientation affects their job satisfaction and organisational commitment, and how these job attitudes impact service recovery performance and turnover intentions. Data obtained from the FLEs were analysed using the structural equation modeling‐based partial least squares methodology.FindingsSeven of eight hypotheses are supported. Results suggest that there is a significant influence of customer orientation on job satisfaction and organisational commitment, which in turn influence service recovery performance and turnover intentions.Practical implicationsThe research advances understanding of the influence of customer orientation on affective and behavioural job outcomes. SOE managers can take actions on a number of different fronts to assist progress towards improving FLE service recovery efforts and reduce turnover intentions.Originality/valueThe impact of customer orientation on affective job outcomes (job satisfaction and organisational commitment) and behavioural job outcomes (service recovery performance and turnover intentions) has not been investigated in the context of SOEs.