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A Generational Study of Employees Customer Orientation A Motivational Viewpoint in Pandemic Time
A Generational Study of Employees Customer Orientation A Motivational Viewpoint in Pandemic Time
To cite this article: Ali B. Mahmoud , Nicholas Grigoriou , Leonora Fuxman , William D.
Reisel , Dieu Hack-Polay & Iris Mohr (2020): A generational study of employees’ customer
orientation: a motivational viewpoint in pandemic time, Journal of Strategic Marketing, DOI:
10.1080/0965254X.2020.1844785
Introduction
The world is currently in the grip of the Covid-19 pandemic. Covid-19 has had a profound
effect on the way in which organisations conduct their business (Bartik et al., 2020), often
necessitating a change in their business models (Seetharaman, 2020). Figure 1Not surpris
ingly, Covid-19 represents one of the most significant environmental changes in the
modern marketing history, which could potentially have a significant impact on many
facets of an organisation’s marketing operation (He & Harris, 2020).
Covid-19’s emergence, and its sweeping transformation of the political, social, and
economic landscape has created a unique opportunity for researchers in every disci
pline to study the impacts of the Covid-19 virus (Venkatesh, 2020), Accordingly, this
study addresses an aspect of COVID-19 from an interdisciplinary perspective within
marketing and business psychology. Covid-19 research and its impact has been given
relatively inadequate attention, especially in a non-Western context. Despite the nas
cent aspect of Covid-19 and its effects on organisational practice, early studies show
H5
H2 Burnout
H5
Covid-19 H1 Job
Perceptions Insecurity
H5
H3
H6 Motivation
H6
H6
Generation H6 H6
H4
Customer
Orientation
that the virus is impacting job loss, job changes, job outcomes, coping, and support
(Venkatesh, 2020). This study focuses on employees’ customer orientation to explore
the potential effects of customer service employees’ COVID-19 perceptions on their
reported levels of job insecurity, burnout, motivation and customer orientation. Stock
and Hoyer (2005, p. 536) define customer orientation as ‘employees’ behaviours that
are geared towards satisfying customer needs adequately.’ We also investigate
whether generational differences moderate the hypothesised relationships in a non-
Western setting. In our analysis, we first assess a path model to learn how workplace
motivation predicts employees’ customer orientation transmitting the effects of
COVID-19 perceptions via job insecurity and burnout. Second, we see if the path
from COVID-19 to customer orientation exhibits any significant variations among
Generations X, Y and Z employees. In this study, we follow Mahmoud, Fuxman, et
al.’s (2020)) generational definitions, namely, Generation X (people born between
1965–1981), Generation Y (those born between 1982–1999, also known as
Millennials), and Generation Z (people born between 2000–2012)
To the best of our knowledge, understanding the effects of Covid-19 has not been
previously studied amongst customer service employees working in organisations based
in the MENA region. Further, organisational human resource management research has
been studied extensively from a Western perspective (Jackson et al., 2014), however, less
is own about such practices from a developing country perspective (Nguyen et al., 2018),
especially from a Middle Eastern context (Afiouni et al., 2014). When coupled with the
JOURNAL OF STRATEGIC MARKETING 3
dearth of marketing studies focussing on the Middle East (Onyancha, 2011), our study
attempts to bridge both research gaps.
We centre our research on the service sector jobs, specifically customer service roles
because employee perceptions and behavioural attitudes with regard to customer orien
tation are conspicuously vital for jobs in service industries. Employee interactions with the
customer (external or internal) are directly linked to the long-term economic sustainability
via service profit chain, (a commonly accepted concept developed by Heskett et al., 1994).
In service industries, employees providing (e.g., customer) service central and inseparable
from service delivery, to the extent that workers represent the services organisation
provides to consumers (Brown et al., 2002).
Scholars of strategic marketing attest that internal marketing will empower employees
to perform in a more market-oriented manner and motivate them to accomplish their job
tasks (Lings & Greenley, 2009). The path to a service organisation’s growth and its
economic well-being starts with employee’s favourable perceptions and attitudes
towards their job (driven by internal quality environment), which results in better reten
tion and employee productivity improving service value presented to the customer.
Greater levels of service value, yields in better levels of customer satisfaction, which
sequentially improves customer loyalty, generating enhanced profitability and growth
(Bordoloi et al., 2018; Chowdhury et al., 2014; Farrell & Oczkowski, 2012; Strong & Harris,
2004).
Covid-19 has altered the global political landscape. Governments in many countries
have initiated curbs to people’s mobility, whilst others have placed lockdown spanning
parts of or entire countries causing job losses of millions of people around the world in the
midst of the COVID-19 pandemic (BBC, 2020b) thus possibly elevating the levels of job
insecurity. In response to the pandemic, some organisationslike Google have asked their
employees to work from home. War-like crises have been linked to near-constant disrup
tions to the everyday life where many businesses shut down because of the ‘war’ causing
many people economic damage and loss of jobs while other businesses being at sig
nificant risk of confronting the same destiny (Mahmoud & Reisel, 2015; Farrell &
Oczkowski, 2012). The uncertainties stemming from the COVID-19 crisis are threatening
on many levels and are expected to increase prospects of job loss and therefore should
predict increased incidents of job insecurity. Therefore, we posit:
H1: Customer service employees’ Covid-19 perceptions are positively correlated with job
insecurity.
extant literature posits job insecurity as a proxy through which external factors can affect
other attitudinal and behavioural variables (Mahmoud & Reisel, 2015; Farrell & Oczkowski,
2012). We expect that COVID-19 perceptions effects will be transmitted via job insecurity
into burnout. We therefore hypothesize:
H2: Job insecurity stemming from Covid-19 perceptions positively predicts burnout among
customer service employees.
Strong and Harris (2004, p. 184) define customer orientation as the ‘cultural and
behavioural aspect of market orientation, and as such is a strategic element which is of
equal importance to competitor orientation and inter-group communications’. Brown
et al. (2002) refer to employee customer orientation as demonstrations of individual’s
predisposition to satisfy customer needs in an on-the-job environment. In other words,
customer orientation incorporates employees’ attitudinal dispositions and behaviours
which centre on the notion of offering marketing solutions to customer problems
(Strong & Harris, 2004) by satisfying the needs of customers (Hennig-Thurau, 2004;
Strong & Harris, 2004) while providing them with pleasing interactions (Hennig-Thurau
& Thurau, 2003). The levels of customers’ satisfaction with an organisation are, thus,
mainly determined by the perception of the quality of the services received during their
encounters with frontline employees (Brady & Cronin, 2001; Choi & Joung, 2017; Roy,
2013; Varghese & Edward, 2018). Frontline employees are seen by customers as the first
and maybe the only representation of the organisation (Varghese & Edward, 2018).
Further, job attitudes and organisational behaviours are thought to determine customers’
perceived service quality and satisfaction (Mahmoud & Reisel, 2014; Choi & Joung, 2017).
According to Farrell and Oczkowski (2012), highly customer-oriented employees are more
likely to go beyond the their job description and further engage in what they think is in
the organisation’s best interests.
Internal marketing has long been debated as a tool of motivating employees to
engage in market-oriented and customer-focused behaviours (Lings & Greenley, 2009).
From an organisational perspective, it is necessary to evaluate the consequences of
employees’ motivation to improve their levels of customer orientation (Glassman &
McAfee, 1992; Strong & Harris, 2004; Varghese & Edward, 2018). Motivated employees
have been posited as important factors in differentiating the business and establishing
a holistic consumer experience to endear customers favourability towards a brand and its
prestige (O’Keeffe et al., 2016). Much of the scholarly work in this area has roots in the
Social Exchange Theory (Adams, 1965) suggesting that individuals engage in reciprocal
attitudes and behaviours and support those who provide benefits (Pelham, 2009). We,
therefore, expect that the more employees are motivated in the workplace the higher the
levels of their customer orientation will be. Accordingly, we posit:
H4: Workplace motivation among customer service employees is positively related to the
employees’ customer orientation.
We also suggest that customer orientation levels are indirectly affected by COVID-19 by
levelling up job insecurity and burnout and, hence, damaging motivation in the work
place. We therefore posit:
H5: Covid-19 perceptions exerts indirect adverse effects on customer orientation via
a sequence of mediators consisting of job insecurity, burnout and motivation.
JOURNAL OF STRATEGIC MARKETING 7
In this paper, we contend that understanding the generational gap in the workplace is
indispensable as it may cause variations in the effects of COVID-19 perceptions on
employees’ customer orientation. However, when generational differences are well
accounted for, a positive workplace emerges, with lower adverse effects of the COVID-
19 crisis.
Based on the previous studies related to workplace generational variances, and the
earlier hypotheses, we hypothesise the following.
H6: The path from Covid-19 perceptions to customer orientation is not invariant across
Generations X, Y, and Z.
Methods
Our study took place in three countries located in the MENA region comprising of the
United Arab Emirates, Oman, and Egypt. We sent out an online survey between April and
August 2020 via a personalised invitation link to LinkedIn users working in customer
service positions at different organisations in the selected countries. We found the
participants on LinkedIn by setting the filters to return results based on country location
(i.e. Egypt, Oman, and the United Arab Emirates) alongside role title (i.e. customer service).
The sample population on LinkedIn was 65,000 users. Having filtered the search results,
we chose one participant for every three counts. We did that in combination with other
online social networks (i.e. Facebook, WhatsApp) to have a robust sample number of
respondents from each generational group. In each of these phases, all individuals were
made aware of the aim and procedures of the research. They were informed that they
could ask questions, raise issues regarding the survey, or withdraw from the study at any
time. Consent to participate in the study was part of the survey sent to the participants,
and since the survey was performed online, signatures of the participants were not
acquired. Responses to the questionnaire were anonymous. We assured all participants
of the confidentiality of their responses. The survey took about 10 minutes to complete.
Overall, our analysis drew on valid 752 responses. The final sample was made up of
Generation X (32%), Generation Y (46%) and Generation Z (22%). Most of our sample were
male (58%), educated to at least a Batchelor degree level (39%), and had a partner (46%).
Appendix 1 shows the descriptive statistics of the variables under investigation clustered
into generational groups.
Table 2. Outer loadings, VIFs, construct reliability and validity and descriptives.
Burnout Covid-19 Perceptions Customer Orientation Job Insecurity Motivation VIF
JSEC01 0.86 1.57
JSEC02 0.68 1.72
JSEC03 0.67 2.21
JSEC04 0.74 1.93
BURNOUT01 0.80 1.53
BURNOUT02 0.70 1.92
BURNOUT03 0.69 1.60
COV01 0.80 1.32
COV02 0.73 1.32
COR01 0.98 2.60
COR02 0.80 2.76
COR03 0.87 2.89
COR04 0.71 2.19
COR05 0.60 2.27
MOT01 0.71 1.87
MOT02 0.88 2.25
MOT03 0.84 2.29
CR 0.78 0.74 0.90 0.83 0.85
AVE 0.54 0.59 0.64 0.55 0.66
Mean 3.06 3.57 3.91 2.98 3.45
STDV 1.19 1.18 0.92 1.17 1.06
Table 1). As a result, we had values of less than 1. Table 2 indicates that all of the
constructs had Average Variance Extracted values (herein AVEs) higher than 0.5 (Fornell
& Larcker, 1981), Composite Reliability values (herein CRs) between .7 and .9 (Hair et al.,
2017), and Variance Inflation Factor values less than 5. Therefore, all the above statistics
imply that all the measures used in this study fulfilled the quality criteria of the discrimi
nant validity, construct reliability, and convergent validity. Before conducting path and
multigroup analyses utilising a Partial Least Squares Structural Equation Modelling (herein
PLS-SEM)using SmartPLS 3 (Ringle et al., 2015), we ran Common-Method Bias (herein
CMB) tests, which are required when using perceptual, self-report measures from a single
survey (Podsakoff et al., 2003). The inner Variance Inflation Factor (herein VIF) values (see
Table 3) were all less than 3.3 (Kock, 2015). Hence, there were no common method bias
issues detected. Finally, Appendix 2 demonstrates the descriptive statistics of the path
model constructs for the whole sample and for each generational group was produced
using SPSS Version 26.
Results
We examined the proposed model utilising PLS-SEM. We conducted a path assessment
followed by multigroup analysis (herein, MGA), building on standardised betas (β: for
direct effects), unstandardised betas (B: for indirect effects) and the corresponding
t-values by using the approach of bootstrapping, Q2 for predictive relevance, f2 to
10 A. B. MAHMOUD ET AL.
determine effect sizes. Besides, standardised root mean square residual (herein SRMR) was
used to judge the model fit to our data (Henseler et al., 2014).
We conducted Consistent-PLS Algorithm, followed by Consistent PLS Bootstrapping
run at 5,000 sub-samples (Preacher & Hayes, 2008). As a result, Covid-19 perceptions are
found to positively correlate with job insecurity (β = .41, P < .001, f2 > .20) that in turn
positively predicts burnout (β = .50, P < .001, f2 > .20). Further, burnout is found to
negatively relate to workplace motivation (β = – .39, P < .001, f2 = .20) which positively
predicts customer orientation (β = .63, P < .001, f2 > .50). Therefore, we find that H1, H2,
H3, and H4 are fully supported (See Table 5). In addition, Table 6 shows that all the un-
standardised betas are significant at probability value less than .001; thus, we find support
for H5. This finding means that Covid-19 perceptions exert indirect positive effects over
customer orientation (B = −.05, P < .001) that is transmitted via a sequence of mediators,
namely, job insecurity à burnout à motivation. In other words, more intense Covid-
19 perceptions will increase job insecurity which will consequently level up burnout
that will, in turn, adversely affect motivation leading to lower levels of customer orienta
tion amongst employees. Finally, with SRMR equivalent to .028 < .08, we find our
hypothetical model to be a robust fit to our data (Hu & Bentler, 1999). Table 4 shows
that the Q2 values of all the predictors are greater than 0, which implies adequate
predictive relevance. Also, R2 values for job insecurity (.17), burnout (.25), motivation
(.16), and customer orientation (.39) were above zero suggesting that our model has
substantial predictive accuracy (Cohen, 2013).
Finally, we ran an MGA. Using the t-values associated with the multiple comparisons
and reported in the parametric tests, we found the paths: job insecurity à burnout,
burnout à motivation, and motivation à customer orientation substantially not invariant
across Generations X, Y, and Z.
βx = .29**
βy = .39** βy = .56**
Covid-19 βz =.25** Job βz =.46**
Burnout
Perceptions Insecurity
βx = .30**
βz = -.60**
βy = -.30**
βx = -.11NS
Generation
Motivation
βx =.81**
βy = .54** βz = .40**
Customer
Orientation
Discussion
This study explored the effects of Covid-19 perceptions on customer orientation via job
insecurity, burnout and workplace motivation alongside generational effects of non-
equivalency among a sample of customer service employees working in different busi
nesses located in three countries in the MENA region. This is the first study linking
customer service employees to customer orientation in the MENA region during the
Covid-19 pandemic. Accordingly, we bridge an important, contemporary, knowledge
gap in the marketing literature pertaining to customer orientation among service orga
nisations’ customer service employees. We contribute to the customer orientation litera
ture by underscoring the importance extraneous factors, such as the personal experience
or perceptions of Covid-19’s impact on the workplace, can have on a customer
orientation.
We set out to explore the effects of Covid-19 perceptions on customer orientation by
examining the effects of job insecurity, burnout and workplace motivation across
a sample of customer service employees working in three MENA countries. Such an
examination is both timely and relevant given the natural disruption created by the
JOURNAL OF STRATEGIC MARKETING 13
Covid-19 pandemic on organisations’ marketing practice (Wang et al., 2020). Our results
reveal that the degree of customer orientation among customer service employees is
influenced by their level of motivation which in turn is determined by the degree of
burnout caused by Covid-19 perceptions. Interestingly, Generation X employees were
found to be the most resilient in their perceptions of COVID-19’s impact on customer
orientation. This finding confirms the work of Stevanin et al. (2018) who also found
support for the resilience related to burnout among Generation X employees in the
service sector.
Our findings have wider literature implications. For instance, within the human
resource management (herein HRM) domain, the ability to motivate and retain staff has
been empirically examined for several decades. Less is known within the HRM domain of
how organisations might achieve employee motivation and retention in a time of global
crisis. Our findings also have implications for the social sciences domain, especially in the
field of cross-cultural studies in business. Our study was set in the MENA region. We
believe there is opportunity to replicate our work in, for example, an Asian or Latin
American setting, given that nations in these regions have similar (that is, emerging)
economies to those in the MENA region, and are also experiencing the effects of the
global Covid-19 pandemic. Finally, within the organisational leadership domain, service
workers’ individual differences (e.g. Generation X) and their customer service orientation
are likely contingent on the nature of the work environment. When the work environment
is uncertain, for example, owing to Covid-19, an organisation’s leaders face the challenge
of creating a workplace environment that enables to continuance of high customer
orientation in the face of uncertainty.
Disclosure statement
No potential conflict of interest was reported by the author(s).
ORCID
Ali B. Mahmoud http://orcid.org/0000-0002-3790-1107
Nicholas Grigoriou http://orcid.org/0000-0003-4163-7852
William D. Reisel http://orcid.org/0000-0002-2325-9504
Dieu Hack-Polay http://orcid.org/0000-0002-1038-5018
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