Journal of Business Research 58 (2005) 1330 – 1339

The effects of specific job satisfaction facets on customer perceptions of

service quality: an employee-level analysis
Robin L. Snipesa,*, Sharon L. Oswaldb,1, Michael LaTourc, Achilles A. Armenakisb,2
a
D. Abbott Turner College of Business, Columbus State University, 4225 University Avenue, Columbus, GA 31907-5645, United States
b
College of Business, Auburn University, Auburn, AL 36849, United States
c
Department of Marketing, College of Business, University of Nevada, Las Vegas, 4505 Maryland Parkway, Las Vegas, NV 89154, United States
Received 17 September 2003; accepted 30 March 2004

Abstract

Previous research has shown that employee job satisfaction is a relevant factor in service quality improvement. Employees who feel
satisfied with their jobs provide higher levels of customer satisfaction. This study contributes to the current body of work in this area by
investigating the responses from 351 employees and their 8667 customers from one service industry (higher education) to determine which
specific facets of employee job satisfaction have the largest effect on customer perceptions of service quality. The uniqueness of this study is
in its design. Most other studies of this type have analyzed organization-level data, while this study employs employee-level data. The study
model also includes an unprecedented analysis of the effects of specific facets of job satisfaction on customer perceptions of service quality.
Results suggest that certain job satisfaction facets may have a larger effect on service quality than others.
D 2004 Elsevier Inc. All rights reserved.

Keywords: Employee job satisfaction; Employee empowerment; Customer satisfaction; Service quality; Job facet satisfaction; Services management

1. Introduction to be the center of management concern. Implementing

policies to increase employee satisfaction should pay off in
So far, organizations of the 21st century have faced an the end. However, employee job satisfaction alone is not
environment of constant change. The changes in the work- enough to effect the changes necessary for significant service
place in the last few decades, including the dramatic increase quality improvements. Maintaining high service quality is
in the number of service companies in the United States, also a function of providing employees with the control and
have caused an increased interest in the antecedents and authority to better serve customers. Across the private,
consequences of customer satisfaction in service industries public, and voluntary sectors, empowering staff is widely
(Brady and Cronin, 2001; Hartline and Ferrell, 1996; Bitner advocated as a means to improve the performance and
et al., 1994; Heskett et al., 1994). Most managers today productivity of organizations (Leslie et al., 1998).
understand that to make a substantial impact on organiza- In this article, we consider the role of job satisfaction and
tional service quality, frontline workers and customers need employee feelings of empowerment on service quality in a
service industry. Bitner (1990) noted that, in the service
encounter, employees are performers rather than simply
* Corresponding author. Tel.: +1 706 562 1673; fax: +1 706 568 2184. workers, and their behavioral performance is the service
E-mail addresses: snipes_robin@colstate.edu (R.L. Snipes)8 quality that customers perceive. Service quality as perceived
oswald@business.auburn.edu (S.L. Oswald)8 by customers, then, is one of the most important nonfinancial
michael.latour@ccmail.nevada.edu (M. LaTour)8
achilles@business.auburn.edu (A.A. Armenakis).
performance measures to examine in a service organization.
1
Tel.: +1 334 844 4071. This article contributes to previous work in the areas of
2
Tel.: +1 334 844 6506. employee job satisfaction and service quality in three
0148-2963/$ - see front matter D 2004 Elsevier Inc. All rights reserved.
doi:10.1016/j.jbusres.2004.03.007
 R.L. Snipes et al. / Journal of Business Research 58 (2005) 1330–1339 1331

important ways. The primary contribution of this study is in perceptions. Additionally, to examine the impact of job
its design, which allows for a more accurate assessment of satisfaction on service quality, our study captures employee
variable effects and relationships. In this study, we conduct performance from a customer perspective rather than from
an unprecedented analysis of the specific effects of different an employee perspective. We believe this customer per-
job satisfaction facets (e.g., satisfaction with pay, satisfaction spective is one of the more realistic performance measures
with supervision, satisfaction with working conditions, etc.) for a service employee.
on customer service quality perceptions. Previous studies
have found a significant and positive relationship between 2.1.1. Global scales versus facet scales
global job satisfaction and service quality (Hartline and The conceptual domain of job satisfaction is broad,
Ferrell, 1996; Schneider and Bowen, 1985). In this study, we because it includes all characteristics of the job itself and the
propose that rather than using a bglobalQ job satisfaction work environment, which employees find rewarding, ful-
scale or a summed bcompositeQ scale, a study of individual filling, and satisfying, or frustrating or unsatisfying
job satisfaction facets could provide researchers and man- (Churchill et al., 1974). Operationally, job satisfaction
agers with a better understanding of the job satisfaction– consists of several facets, including satisfaction with the
service quality linkage. In fact, previous job satisfaction supervisor, work, pay, advancement opportunities, cow-
research has shown that facet scales respond differentially to orkers, and customers. Job satisfaction measures of varying
treatments and may provide more in-depth information on levels of specificity have been widely used in both
the true relations between job satisfaction and other variables theoretical and practical research. One approach to obtaining
(Ironson et al., 1989; Smith, 1976). A knowledge of which measures of job satisfaction is to ask directly about overall
specific job satisfaction facets contribute most to service feelings about the job, called a global scale. Global scales
quality has both conceptual and managerial implications. ask the respondent to combine his or her reactions to various
A second contribution of this study is in the way that the aspects of the job in a single, integrated response. An
data were aggregated. Most of the prior research linking job example of this type of scale is Hackman and Oldham’s
satisfaction to service quality has used organization-level (1975) bfacet-freeQ scale.
data. To date, there are very few studies of the job Conversely, facet scales are intended to cover separately
satisfaction–service quality linkage at the individual each of the principal areas within the general satisfaction
employee level of analysis. A third contribution of this domain. Each facet is intended to be relatively homogeneous
study is in the use of 11 bcontrolQ variables to help eliminate and discriminably different from the others. Previous
possible study contaminators. The inclusion of control research suggests that specific job satisfaction measures
variables (such as employee/customer demographics and should be used to measure specific behavior (Fisher, 1980;
other workplace variables) was an important element of the Ironson et al., 1989). Rather than using measures of overall
study since previous research has shown that these variables job satisfaction, such as global scales, one could focus on the
could confound the results of the study (Babin and Boles, relationship between separate facet satisfaction scores to
1998; Andaleeb and Basu, 1994; Brown and Peterson, performance. In fact, some research has shown that perform-
1993; Wiley, 1991). ance implications may differ depending upon the type of
satisfaction under study (Schwab and Cummings, 1970).
One job facet satisfaction scale was developed specifically
2. Background and research hypotheses for the services industry: the Job Satisfaction Survey, or JSS
(Spector, 1985). It was developed to cover the major aspects
2.1. Research on job satisfaction and service quality of job satisfaction in service organizations, with the
subscales (facets) being clearly distinct in their content.
Job satisfaction is one of the most researched phenomena Very little research exists regarding the effects of specific
in the organizational behavior literature. In a service facets on customer service quality. However, previous
organization, it is possible that employee job satisfaction research on service quality clearly indicates that global job
may have its biggest impact in the area of customer satisfaction has a positive influence on service quality (Yoon
satisfaction. Studies have shown that job satisfaction is et al., 2001; Hartline and Ferrell, 1996; Schlesinger and
positively related to employee perceptions of service quality Zornitsky, 1991). Therefore, based on the foregoing review
(Schlesinger and Zornitsky, 1991) and customer ratings of of the literature and previous research, the following
service quality (Yoon et al., 2001; Reynierse and Harker, hypothesis is advanced:
1991). This idea is at the heart of the service–profit–chain
Hypothesis 1. Each job satisfaction facet will exert a direct
theory developed by Heskett et al. (1994), which suggests that
and positive effect on service quality.
the firm’s financial performance is derived from customer
satisfaction, which is derived from employee performance,
which, in turn, is derived from employee satisfaction. 2.1.2. Intrinsic versus extrinsic facets of job satisfaction
In this study, we have attempted to measure employee Previous research indicates that intrinsic rewards may
performance in service industries in terms of service quality play a more important role in customer-oriented behavior
1332 R.L. Snipes et al. / Journal of Business Research 58 (2005) 1330–1339

Fig. 1. Hypothesized structural model.

than their extrinsic counterparts (Huffman and Ingram, Therefore, the following hypothesis is posited:
1992). Other research has shown that intrinsic work
Hypothesis 2. Job satisfaction facets dealing with intrinsic
rewards could affect the job satisfaction–performance
reward factors (e.g., nature of work, satisfaction with
relationship (Ivancevich, 1979). Intrinsic work rewards
customers) will be stronger (more significant) predictors
are those rewards received by an individual directly as a
of customer service quality than facets dealing with extrinsic
result of task performance. They are self-regulated in that
factors (e.g., satisfaction with pay, supervision, benefits,
a person is not dependent on an outsider, such as the
contingent rewards).
manager, to provide them. One example is the feeling of
achievement that comes from completing a challenging
project or helping a customer. This is in direct contrast to 2.2. Employee empowerment
the nature of extrinsic rewards, which are externally
controlled. Employee job satisfaction alone is not enough to
In their study of home healthcare employees, Huffman effectuate the changes necessary for significant service
and Ingram (1992) found that intrinsic job satisfaction quality improvements within a service organization. Main-
dimensions were positively and significantly correlated with taining high service quality is also a function of providing
a customer orientation. However, satisfaction with extrinsic employees with the discretion and authority to better serve
factors was not found to be significantly related to a customers. This principle is integral to the concept of
customer orientation. employee empowerment. Velthouse (1990) defined empow-
 R.L. Snipes et al. / Journal of Business Research 58 (2005) 1330–1339 1333

erment as bone’s belief in his/her ability to exercise choiceQ service quality. Additionally, to measure these effects at the
(p. 16). Several studies have found significant correlations individual employee level of analysis (versus the group
between feelings of empowerment and job satisfaction level of analysis), the responses needed to be matched
(Laschinger et al., 2001; Spreitzer et al., 1997; McDonald across the two response groups. Many service industries
and Siegall, 1993; Riggs and Knight, 1994; Brown et al., were considered, but the industry chosen for this study was
1993). From an employee’s perspective, feelings of empow- higher education for several reasons, including (1) education
erment should have a positive influence on attitudinal and is a service industry and students, therefore, are consumers
behavioral responses. Previous research has found that if of this service (Schneider et al., 1994); (2) this setting was
contact employees perceive that their manager values them one of the few service industries that would allow the
and provides them with appropriate control and authority researchers to be able to accurately match individual
over their work, they will feel more positively about their employee responses to their customers so as to obtain an
jobs (Yoon et al., 2001; Babin and Boles, 1996). Therefore, employee-level of variable linkages; (3) consumers in this
the following hypothesis is posited: industry (i.e., students) may be able to give more accurate
assessments of employee service quality because of the
Hypothesis 3. Feelings of empowerment will exert a direct
amount and extent of their experiences with customer–
and positive effect on employee job satisfaction.
contact employees (i.e., faculty); and (4) the nonresponse
Only a few studies have examined the relationship bias typically found in customer satisfaction research
between employee feelings of empowerment and service (Richins, 1983) could be reduced by using this setting.
quality. In their study of 279 hotel units, Hartline and Ferrell
(1996) found that empowerment, under the appropriate 3.2. Data collection procedure
conditions, increases job satisfaction and service quality. It
seems logical and makes intuitive sense that allowing Two survey instruments were needed to test our hypoth-
customer–contact employees to use their discretion in eses: one to measure employee attitudes and one to measure
serving customers could have many positive influences on service quality perceptions. Questionnaires assessing
their responses and the service encounter. From an employ- employee attitudes were hand-distributed by the researchers
ee’s perspective, feelings of empowerment should provide to 571 faculty members at six post-secondary teaching
employees with the sense of control that is needed to make institutions located in three southeastern states. A total of
the necessary changes for service quality improvements. 351 usable surveys were returned for a response rate of 60%.
Therefore, we advance the following hypothesis: To measure customer (student) attitudes toward faculty
service quality, a questionnaire was administered to each
Hypothesis 4. Feelings of empowerment will exert a direct
participating faculty member’s students (i.e., bcustomersQ).
and positive effect on customer perceptions of service
The student questionnaire contained demographic questions
quality.
and the SERVQUAL items relating to faculty service quality
(see Appendix A). Both the faculty and student survey
2.3. Hypothesized model instruments were coded to assure ease of matching. After
matching student responses to faculty and eliminating all
Fig. 1 depicts the structural model to be tested in this responses for which matches were not obtained, the final
study. The structural model shows the hypothesized student sample totaled 8667 responses, or an average of 25
relations between the independent and dependent variables, student (customer) responses per employee.
either observed (depicted in boxes) or latent (depicted in
circles). 3.3. Data aggregation
The design of the model contributes to the uniqueness of
this study. As shown in Fig. 1, the specific effects to be The unit of analysis in this study is the contact employee.
investigated in this study are between the individual job Thus, employee service performance is an aggregate of his/
satisfaction facets and the latent variable bservice quality.Q her individual customer responses. Previous studies at the
Each job satisfaction facet is hypothesized to exert a positive group level have aggregated employee and customer data
effect on service quality. for each group (e.g., organization/company) and then
compared the data across groups. The difference in this
study is that the data are aggregated at the individual
3. Method employee level to compare data across employees.

3.1. Empirical study context 3.4. Measures

To test the hypothesized model, a two-sample research While most of the scales have been widely used in
design was needed: an employee sample to measure job marketing and management research, some items were
attitudes and a customer sample to measure perceived reworded to make them compatible with the setting and
1334 R.L. Snipes et al. / Journal of Business Research 58 (2005) 1330–1339

objectives of this study. An exploratory factor analysis include the following (with ratings of 1=much worse than I
revealed that all scale items were statistically significant and expect to 7=much better than I expect):
the resulting factor loadings showed unidimensionality in
terms of model fit indices and face validity. Final measure- bThe instructor’s willingness to help you.Q (empathy)
ment items for this study and their factor loading estimates bThe instructor’s ability to teach the material.Q (com-
are listed in Table 1. petence and reliability)
bThe appearance of the physical facilities.Q (tangibles of
3.4.1. Perceived service quality the work environment)
Parasuraman et al. (1985) defined perceived service
quality as the difference between consumer expectations of As suggested by organizational researchers (Parasura-
service and the perceptions of the actual service rendered. man et al., 1991; Carman, 1990), to confirm that the
What is important then is the customer’s perception of scale measured conceptually distinct dimensions, the indi-
service quality, which is not necessarily the same as the vidual items were factor analyzed using principal compo-
company’s perception of its service quality. nents analysis. The factor analysis revealed that only four
One of the most popular measures of service quality is factors had eigenvalues greater than 1.0 (using the blatent
SERVQUAL, developed by Parasuraman et al. (1988, root criterionQ). Therefore, only four factors were retained
1991). SERVQUAL was originally conceived as a for further analysis: employee empathy (12 items),
generic measure that could be applied to any service. employee competence and reliability (10 items), tangibles
However, based on research, Carman (1990) suggested of the work environment (4 items), and overall service
that SERVQUAL needs to be customized to the service quality (1 item). An analysis of the coefficient alphas for
in question, which may mean adding items or changing each subscale revealed that subscale reliabilities were high
the wording of items. Although there may be some (see Table 1 for a factor breakdown and internal consistency
question as to the number of dimensions measured by reliabilities).
SERVQUAL, the validity of the items that make up the The SERVQUAL portion of the survey asked respond-
SERVQUAL scale appears to be well supported both by ents to compare their perception of the service quality
the procedures used to develop the items and by their received to the performance level they believed should be
subsequent use as reported in the literature (Cronin and delivered in several areas, including the job facet satisfac-
Taylor, 1992; Carman, 1990). tion and employee feelings of empowerment.
To measure instructor service quality, the survey asked
respondents to compare their perception of the service 3.4.2. Job facet satisfaction
quality received to the performance level they believed The JSS (Spector, 1985) was developed specifically for
should be delivered. Examples of the SERVQUAL items service employees. To confirm the scale measured concep-
tually distinct facets of job satisfaction, the individual items
were factor analyzed using principal components analysis.
Table 1 Both varimax and equimax rotation methods produced
Summary of study variable characteristics (N=351)a seven interpretable factors, rather than 10 (see Table 1 for a
Construct measure No. of items Mean S.D. a factor breakdown). An analysis of the internal consistency
Employee job satisfaction for each job satisfaction subscale revealed reasonably high
Satisfaction with 10 4.22 1.29 .90 coefficient alphas. Examples of job satisfaction items
contingent rewards include the following (with ratings of 1=strongly disagree
Satisfaction with 6 5.82 1.18 .87 to 7=strongly agree):
coworkers
Satisfaction with customers 5 5.59 .93 .78
Satisfaction with benefits 3 4.98 1.50 .85 bI like the people I work with.Q (satisfaction with
Satisfaction with 6 5.89 .89 .74 coworkers)
the work itself bI like my students.Q (satisfaction with customers)
Satisfaction with pay 4 4.26 1.40 .76 bThe benefit package we have is fair.Q (satisfaction with
Satisfaction with 2 3.71 1.49 .70
operating procedures
benefits)
Perceived service qualityb bMy job is enjoyable.Q (satisfaction with the work itself)
Empathy 12 5.17 .65 .97
Competence and reliability 10 5.31 .59 .95 3.4.3. Employee feelings of empowerment
Tangibles of the 4 4.77 .49 .79 A four-item scale was used to gauge employee feelings
work environment
Overall quality 1 5.47 .76 –
of empowerment. The items on our empowerment scale
Feelings of empowerment 4 4.65 1.62 .84 were taken from previous research in that area (Spreitzer,
a
Total number of employee respondents=351. 1996) and included, bMy job affords me enough power to
b
Total number of customer respondents=8667 (represents an average of take any corrective action I deem necessary when a student
25 responses per employee). is dissatisfied with serviceQ; bThe organization cares about
 R.L. Snipes et al. / Journal of Business Research 58 (2005) 1330–1339 1335

my opinionQ; bThis organization values my contribution to out of the model (see Newcomb, 1994, for a further
its well-beingQ; and bI do not have the authority necessary to discussion of this method). Partialing out variable effects
take actions for turning dissatisfied students into satisfied assured that the effects of their differences would not distort
onesQ (reverse-coded). As indicated in Table 1, the reliability the results of this study.
of this four-item scale was high at .84.

3.4.4. Control variables 4. Data analysis and results

To enable the researchers to assess the true effects of the
model variables, 11 control variables were included on the The variables were analyzed using structural equations
surveys. Based on previous research in the service quality modeling. The software chosen to analyze the structural
literature, these variables were believed to be possible study equations model was EQS (Bentler, 1992).
contaminators (Babin and Boles, 1998; Andaleeb and Basu,
1994; Brown and Peterson, 1993; Marsh, 1987; Reynierse 4.1. Descriptive statistics
and Harker, 1991; Wiley, 1991). They include employee
tenure, employee work experience, employee workload, 4.1.1. Employees
employee gender, employee age, student gender, student Of the 351 faculty respondents, 61% were male and 39%
age, perceived complexity of the class, student class were female. The respondents’ average age was 49 years,
experience, student perception of grading fairness, and and average tenure with the organization was approximately
student GPA. The effects of these variables were partialed 11 years.

Fig. 2. Final structural model.

1336 R.L. Snipes et al. / Journal of Business Research 58 (2005) 1330–1339

4.1.2. Customers esis 4. To investigate the possibility of an indirect effect on

A total of 8667 undergraduate student surveys were service quality, a post hoc analysis of indirect paths was
collected, for an average of 25 student responses for each conducted using structural equations modeling. An analysis
faculty member. Of the student responses, 42% were male of indirect parameter effects revealed that employee feelings
and 58% were female. of empowerment had a significant indirect effect on service
quality through its effect on job satisfaction (t=4.894,
4.2. Analysis of the model Pb.001). This means that, although it may not have a
significant direct effect on service quality, employee
The model used in this study was a type of nonstandard empowerment may have a significant indirect impact on
structural equations model used to measure the effects of service quality via job satisfaction.
specific facets of a construct on other constructs (see
Bentler, 1990, for more information on latent variable
models for separating specific from general effects). This 5. Discussion
type of model is similar to models used in prior psycho-
logical research. As shown in Fig. 1, the specific effects to The model in this study explains 17.7% of the variance in
be investigated in this study are between the individual job service quality (r 2=.177), and confirms previous research
satisfaction facets and the latent variable bservice quality.Q that has shown that job satisfaction can have a significant
(Note that the specific effects are between the indicators of impact on service quality and, ultimately, on organizational
job satisfaction and service quality, rather than between the effectiveness in a service organization. Especially in a
job satisfaction construct and service quality.) service company, service quality improvements can have a
dramatic impact on the organization’s bottomline (cf. Rust
4.2.1. Structural model analysis et al., 1995). As noted by Heskett et al. (1994), service
A partial variance/covariance matrix (excluding the quality drives customer satisfaction and loyalty, and the
effects of the control variables) was the input matrix for lifetime value of a loyal customer bcan be astronomicalQ (p.
this study (see Appendix A). The final structural model fit 164). The use of facet scales in this study enables a better
the data fairly well (CFI=.951, GFI=.935, v 2=126.5, df=41). understanding of how job satisfaction affects customer
Associations among the factors are displayed graphically in perceptions of service quality. Perhaps the most interesting
Fig. 2. finding of this study is that individual job satisfaction facets
do not contribute equally to customer service quality
4.3. Hypothesis test results perceptions. Additionally, Hypothesis 2 was only partially
confirmed—intrinsic job satisfaction facets were found to be
The model explains 42.4% (r 2=1 .7592, or .424) of the significant in determining customer perceptions of service
variance in job satisfaction, and 17.7% (r 2=1 .9072, or quality, but one extrinsic factor (satisfaction with benefits)
.177) of the variance in service quality. The analysis of the was also found to be significant in this study.
confirmatory factor model shows that all of the job Many managers believe the key to motivating service
satisfaction facets loaded significantly on the overall job employees is to reward workers with money, bonuses, or
satisfaction construct ( Pb.001), providing evidence of raises (Timmreck, 2001). However, oftentimes, the work
convergent validity. However, contrary to Hypothesis 1, itself can provide job satisfaction because the task is
only three facets of job satisfaction were found to be fulfilling or enjoyable. Intrinsic job satisfaction has to do
significant in predicting service quality in the structural with the psychological rewards employees get simply from
model: satisfaction with customers, satisfaction with bene- doing their jobs. It may be that when service employees are
fits, and satisfaction with the work itself. As hypothesized, intrinsically motivated by their jobs, they look for better
two of the job satisfaction facets dealing with intrinsic ways to serve customers. This type of motivation is quite
reward factors (satisfaction with the work itself and different from extrinsic motivation, which is about the
satisfaction with customers) were significant in predicting rewards one gets from others, such as pay raises and
service quality at the Pb.05 level. Therefore, the model bonuses. While extrinsics are important, they are normally
partially confirms Hypothesis 2. However, contrary to the not enough to keep service employees at their best. The
initial hypothesis, the model also shows that one extrinsic results of this study suggest that management efforts to
reward factor, satisfaction with benefits, also contributes increase intrinsic job satisfaction facets, such as employees’
significantly to service quality (path=.221, Pb.001). perception of the job itself, may have a larger influence on
The path relating feelings of empowerment to job service quality than other satisfaction facets. Aspects related
satisfaction was significant at the Pb.001 level (path=.651). to pay, contingent rewards, and operations have less of an
Therefore, the model did confirm Hypothesis 3. However, effect on employees’ service performance than intrinsic
the direct path relating feelings of empowerment to service factors. It may be that with extrinsic motivation, employees
quality was not found to be significant at the Pb.05 level focus more on the rewards rather than the work itself and,
(path=.046). Therefore, the model did not confirm Hypoth- therefore, work only well enough to get the rewards.
 R.L. Snipes et al. / Journal of Business Research 58 (2005) 1330–1339 1337

Another interesting finding of this study is the signifi- study, we opted for focus and clarity rather than breadth in
cance of the facet dealing with bsatisfaction with custom- this study. Therefore, only one service industry was
ers.Q The results of this study suggest that employees who included in the sample of this study. The sample chosen
are more satisfied with their customers are more likely to in this study contributed to the uniqueness in the design of
provide higher quality service. From a management stand- the study because it allowed the researchers to be able to
point, recruitment and selection programs that focus on match employee responses to their respective customers at
candidates who have more of a customer orientation should the individual employee level of analysis. However,
lead to higher levels of service quality. As pointed out by although academia is similar to other service industries in
Huffman and Ingram (1992), to improve employee job fit many ways, it is unclear whether the results of this study
and intrinsic job satisfaction for contact employees, man- can be generalized across all industries. As with any other
agers should recruit and screen for customer-oriented study using a one-industry sample, this study should be
employees who have realistic expectations of what the job replicated to provide validation across other service
has to offer (p. 72). Such individuals may derive job industries.
satisfaction from performing customer-oriented activities. The mixed effects of empowerment raise an interesting
The significant contribution of the satisfaction with question for further research. Although much has been
benefits facet to overall service quality is somewhat published in the area of employee empowerment, to date
surprising. Although the topic of employee benefits has little research has been published on the relationship
received increased attention in the media in recent years, between employee empowerment and service quality. More
the results of this study suggest that a competitive benefits research is needed to determine under which conditions
plan may play a more important role than previously empowerment is beneficial to service delivery. In this study,
thought in delivering high service quality. As companies we investigated employee feelings of empowerment only as
continue to compete for qualified workers, many employ- it relates to the sense of power and control over service
ers today are beginning to recognize the value of a quality improvements. Future studies should also investigate
competitive benefits plan in terms of increasing overall other psychological and contextual factors that may affect
employee job satisfaction and reducing employee turnover the success of empowerment programs. The relationship
(Parus, 1999). Benefit programs have become important between empowerment and service quality may be mod-
tools for attracting and retaining top talent, and this study erated by other employee and contextual variables, such as
suggests that benefit programs may also affect service organizational commitment, self-esteem, self-efficacy, job
quality. The effect of employee benefit programs on structure, and job design (Spreitzer, 1996).
customer service quality has received little attention in These and other limitations notwithstanding, the current
the literature, but given its importance here, perhaps it study provides dramatic substantiation of needed bsynergyQ
deserves greater attention. Future research should continue between service employees and customers. This research
to look at specific benefit programs and their impact on provides further validation of the link between specific
service performance. employee attitudes and customer service quality percep-
tions. It shows a causal link between certain job satisfaction
5.1. Limitations and directions for future research facets and customer attitudes. As pointed out by Ittner and
Larcker (2003), being able to weigh these measures makes it
Some caveats should be noted to put our findings in easier for managers to allocate resources according to their
perspective. First, as suggested in the introduction of this most beneficial uses.

Appendix A. Partial variance/covariance matrix (after partialing control variable effects)

V1 V2 V3 V4 V5 V6 V7 V8 V9 V10 V11 V12

Feelings of empowerment (V1) 1.97
Satisfaction with promotions (V2) 1.21 1.48
Satisfaction with coworkers (V3) .58 .60 1.17
Satisfaction with customers (V4) .22 .24 .10 .77
Satisfaction with benefits (V5) .77 .68 .59 .16 2.14
Satisfaction with work itself (V6) .45 .45 .41 .22 .36 .72
Satisfaction with pay (V7) .68 .85 .45 .06 .71 .38 1.75
Satisfaction with operations (V8) .32 .49 .20 .03 .08 .24 .29 2.05
Empathy (V9) .15 .21 .10 .09 .24 .12 .20 .09 .33
Reliability (V10) .16 .16 .09 .09 .24 .12 .15 .06 .26 .26
Tangibles (V11) .13 .13 .09 .05 .19 .10 .17 .02 .15 .14 .20
Overall quality (V12) .16 .20 .12 .09 .30 .13 .19 .07 .33 .29 .15 .44
1338 R.L. Snipes et al. / Journal of Business Research 58 (2005) 1330–1339

References Leslie DR, Holzhalb CM, Holland TP. Measuring staff empowerment:
development of a worker empowerment scale. Research on Social Work
Practice 1998;212 – 22 [March].
Andaleeb SS, Basu AK. Technical complexity and consumer knowledge as Marsh HW. Students’ evaluations of university teaching: research findings,
moderators of service quality evaluation in the automobile service methodological issues, and directions for future research. International
industry. Journal of Retailing 1994;70(4):367 – 81. Journal of Educational Research 1987;11:253 – 388.
Babin BJ, Boles JS. The effects of perceived co-worker involvement and McDonald T, Siegall M. The effects of technological self-efficacy and job
supervisor support on service provider role stress, performance, and job focus on job performance, attitudes, and withdrawal behaviors. Journal
satisfaction. Journal of Retailing 1996;72(1):57 – 75. of Psychology 1993;126(5):465 – 75.
Babin BJ, Boles JS. Employee behavior in a service environment: a model Newcomb MD. Drug use and intimate relationships among women and
and test of potential differences between men and women. Journal of men: separating specific from general effects in prospective data using
Marketing 1998;62:77 – 91 [April]. structural equation models. Journal of Consulting and Clinical
Bentler PM. Latent variable structural models for separating specific from Psychology 1994;62:463 – 76.
general effects. In: Sechrest L, Perrin E, Bunker J, editors. Research Parasuraman A, Zeithaml VA, Berry LL. A conceptual model of service
methodology: strengthening causal interpretation of nonexperimental quality and its implications for future research. Journal of Marketing
data. Rockville (MD)7 Department of Health and Human Services; 1985;49:41 – 50 [Fall].
1990. p. 61 – 83. Parasuraman A, Zeithaml VA, Berry LL. SERVQUAL: a multiple item
Bentler PM EQS: structural equations program manual, version 3.0. Los scale for measuring consumer perceptions of service quality. Journal of
Angeles (CA)7 BMDP Statistical Software; 1992. Retailing 1988;64:12 – 40 [Spring].
Bitner MJ. Evaluating service encounters: the effects of physical surrounding Parasuraman A, Berry LL, Zeithaml VA. Refinement and reassessment of
and employee responses. Journal of Marketing 1990;54:69 – 82 [April]. the SERVQUAL scale. Journal of Retailing 1991;67(4);421 – 50.
Bitner MJ, Booms BH, Mohr LA. Critical service encounters: the Parus B. Survey links work/life programs to employee performance. ACA
employee’s view. Journal of Marketing 1994;58;95 – 106 [October]. News 1999;42(6):14 – 9.
Brady MK, Cronin Jr J. Some new thoughts on conceptualizing perceived Reynierse JH, Harker JB. Employee and customer perceptions of service in
service quality: a hierarchical approach. Journal of Marketing 2001; banks: teller and customer service representative ratings. Human
65;34 – 49 [July]. Resource Planning 1991;15(4):31 – 46.
Brown SP, Peterson RA. Antecedents and consequences of salesperson job Richins ML. Negative word-of-mouth by dissatisfied consumers: a pilot
satisfaction: meta-analysis and assessment of causal effects. Journal of study. Journal of Marketing 1983;47:68 – 78 [Winter].
Marketing Research 1993;30:63 – 77 [February]. Riggs ML, Knight PA. The impact of perceived group success–failure on
Brown SP, Cron WL, Leigh TW. Do feelings of success mediate sales motivational beliefs and attitudes: a causal model. Journal of Applied
performance–work attitude relationships? Journal of the Academy of Psychology 1994;79(5):755 – 66.
Marketing Science 1993;21(2):91 – 100. Rust RT, Zahorik AJ, Keiningham TL. Return on quality (ROQ): making
Carman JM. Consumer perceptions of service quality: an assessment service quality financially accountable. Journal of Marketing 1995;
of the SERVQUAL dimensions. Journal of Retailing 1990;66(1): 59:58 – 75 [April].
33 – 55. Schlesinger LA, Zornitsky J. Job satisfaction, service capability, and
Churchill GA, Ford NM, Walker Jr OC. Measuring the job satisfaction of customer satisfaction: an examination of linkages and management
industrial salesmen. Journal of Marketing Research 1974;11:254 – 60 implications. Human Resource Planning 1991;14(2):141 – 9.
[August]. Schneider B, Bowen DE. Employee and customer perceptions of service in
Cronin Jr JJ, Taylor SA. Measuring service quality: a re-examination and banks: replication and extension. Journal of Applied Psychology 1985;
extension. Journal of Marketing 1992;56:55 – 68 [July]. 70:423 – 33.
Fisher C. On the dubious wisdom of expecting job satisfaction to Schneider B, Hanges PJ, Goldstein HW, Braverman EP. Do customer
correlate with performance. Academy of Management Review 1980; service perceptions generalize? The case of student and chair ratings
5(4):607 – 12. of faculty effectiveness. Journal of Applied Psychology 1994;79(5):
Hackman JR, Oldham GR. Development of the job diagnostic survey. 685 – 90.
Journal of Applied Psychology 1975;60:159 – 70. Schwab DP, Cummings LL. Theories of performance and satisfaction: a
Hartline MD, Ferrell OC. The management of customer–contact service review. Industrial Relations 1970;9:408 – 30.
employees: an empirical investigation. Journal of Marketing 1996; Smith P.C.. Behaviors, results and organizational effectiveness: the problem
60(4):52 – 70. of criteria. In: Dunnette M.D., editor. Handbook of industrial
Heskett JL, Jones TO, Loveman GW, Sasser Jr WE, Schlesinger L. psychology. Chicago7 Rand McNally; 1976. p. 1 – 100.
Putting the service–profit chain to work. Harvard Business Review Spector PE. Measurement of human service staff satisfaction: development
1994;164 – 74 [March–April]. of the Job Satisfaction Survey. American Journal of Community
Huffman KD, Ingram TN. Service provider job satisfaction and Psychology 1985;13(6):693 – 713.
customer-oriented performance. Journal of Services Marketing 1992; Spreitzer GM. Social structural characteristics of psychological empower-
6(2):68 – 78. ment. Academy of Management Journal 1996;39:483 – 504 [April].
Ittner CD, Larcker DF. Coming up short on nonfinancial performance Spreitzer GM, Kizilos MA, Nason SW. Dimensional analysis of the
measurement. Harvard Business Review 2003;2 – 10 [November]. relationship between psychological empowerment and effectiveness,
Ironson GH, Smith PC, Brannick MT, Gibson WM, Paul KB. satisfaction, and strain. Journal of Management 1997;23(5):679 – 704.
Construction of a job in general scale: a comparison of global, Timmreck TC. Managing motivation and developing job satisfaction in the
composite, and specific measures. Journal of Applied Psychology health care work environment. The Health Care Manager 2001;20(1);
1989;74:193 – 200. 42 – 59 (September).
Ivancevich JM. High and low task-stimulation jobs: a causal analysis of Velthouse BA. Creativity and empowerment: a complementary relationship.
performance–satisfaction relationships. Academy of Management Jour- Review of Business 1990;13 – 8 [Fall].
nal 1979;22:206 – 32. Wiley JW. Customer satisfaction: a supportive work environment and its
Laschinger H, Spence K, Finegan J, Shamian J. The impact of workplace financial cost. Human Resource Planning 1991;14(2):117 – 27.
empowerment, organizational trust on staff nurses’ work satisfaction Yoon MH, Beatty SE, Suh J. The effect of work climate on critical
and organizational commitment. Health Care Management Review employee and customer outcomes: an employee-level analysis. Interna-
2001;26(3):7 – 23. tional Journal of Service Industry Management 2001;12(5):500 – 21.
 R.L. Snipes et al. / Journal of Business Research 58 (2005) 1330–1339 1339

Further Reading James LR, Demaree RG, Wolf G. Estimating within-group interrater
reliability with and without response bias. Journal of Applied
Psychology 1984;69:85 – 98.
Anderson EW, Fornell C, Lehmann DR. Customer satisfaction, market Judge TA, Thoresen CJ, Bono JE, Patton GK. The job satisfaction–job
share and profitability: findings from Sweden. Journal of Marketing performance relationship: a qualitative and quantitative review. Psycho-
1994;58:53 – 66 [July]. logical Bulletin 2001;127(3):376 – 407.
Bateman TS, Organ DW. Job satisfaction and the good soldier: the Kristof-Brown AL, Jansen K, Colbert A. A policy-capturing study of the
relationship between affect and employee bcitizenshipQ. Academy of simultaneous effects of fit with jobs, groups, and organizations. Journal
Management Journal 1983;26:587 – 95. of Applied Psychology 2002;985 – 93 [October].
Bentler PM, Chih-Ping C. Practical issues in structural modeling. Socio- Moorman RH. The influence of cognitive and affective based job
logical Methods and Research 1986;16:78 – 117 [August]. satisfaction measures on the relationship between satisfaction and
Blackburn RT, Clark MJ. An assessment of faculty performance: some organizational citizenship behavior. Human Relations 1993;46(6):
correlates between administrator, colleague, student and self-ratings. 759 – 76.
Sociology of Education 1975;48:242 – 56 [Spring]. Organ DW, Konovsky MA. Cognitive versus affective determinants of
Bowen D, Lawler E. The empowerment of service workers: what, why, organizational citizenship behavior. Journal of Applied Psychology
how and when? Sloan Management Review 1992;33:31 – 9. 1989;74:157 – 64.
Braskamp LA, Caulley D, Costing F. Student ratings and instructor self- Penn R, Rose M, Rubery J. Skill and occupational change. 1994. Oxford,
ratings and their relationship to student achievement. American England7 Oxford Univ. Press; 2002.
Educational Research Journal 1979;16(3):295 – 306. Reardon KK, Enis B. Establishing a company-wide customer orientation
Childers TL, Churchill GA, Ford NM, Walker Jr OC. Towards a more through persuasive internal marketing. Management Communication
parsimonious measurement of job satisfaction for the industrial Quarterly 1990;3:376 – 87 [February].
salesforce. In: Bagozzi RP, et al. Marketing in the 80’s: changes Reichheld FF, Sasser WE. Zero defections: quality comes to service.
and challenges. Chicago7 American Marketing Association; 1980. p. Harvard Business Review 1990:105 – 11 [September–October].
344 – 9. Ruch C. The research mission at the university. Focus 1995;21:7 [Fall].
Conger JR, Kanungo RN. The empowerment process: integrating theory Tenner AR, DeToro IJ. Total quality management: three steps to continuous
and practice. Academy of Management Review 1988;13:251 – 2. improvement. Reading (MA)7 Addison-Wesley; 1992.
Feldman KA. Research productivity and scholarly accomplishment of Thomas KW, Velthouse BA. Cognitive elements of empowerment: an
college teachers as related to their instructional effectiveness: a review binterpretiveQ model of intrinsic task motivation. Academy of Manage-
and exploration. Research in Higher Education 1987;26(3):227 – 91. ment Review 1990;15:666 – 81 [October].
George WR. Internal marketing and organizational behavior: a partnership Tornow WW, Wiley JW. Service quality and management practices: a look
in developing customer conscious employees at every level. Journal of at employee attitudes, customer satisfaction, and bottom-line conse-
Business Research 1990;20:63 – 70. quences. Human Resource Planning 1991;14(2):105 – 15.
Hackman JR, Oldham GR. Work redesign. Reading (MA)7 Addison- Venkatesan M. Empowering employees. The role of employees in service
Wesley; 1980. quality. Reading (MA)7 Addison-Wesley; 1993. p. 259 – 66.
Heinzerling JH, Hook J, Metzen AB. Teaching about consumer service: a Williams KJ, DeNisi AS, Blencoe AG, Cafferty TP. The role of appraisal
process. Journal of Home Economics 1990;82(2):31 – 4. purpose in information acquisition and utilization. Organizational
Hoyle RH, Smith GT. Formulating clinical research hypotheses as structural Behavior and Human Performance 1985;13:414 – 32.
equation models: a conceptual overview. Journal of Consulting and Yeager SJ. Dimensionality of the job descriptive index. Academy of
Clinical Psychology 1994;62(3):429 – 40. Management Journal 1981;24:205 – 12.
Iaffaldano MT, Muchinsky PM. Job satisfaction and job performance: a Yoav G. Intelligence, education, and facets of job satisfaction. Work and
meta-analysis. Psychological Bulletin 1985;97:251 – 73. Occupations 2003;30(1):97 – 123.