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Managing the downside effect of a productivity orientation

Managing the downside effect of a productivity orientation PurposeAlthough many service organizations have adopted a productivity orientation to respond to increasing market challenges, the unanticipated downside effect of such an orientation is not well understood. For managers, it is interesting to know if this strategic initiative is working and how to implement it more successfully.Design/methodology/approachThe theoretical model used in this paper is tested with a survey of 879 frontline employees from five different health-care organizations.FindingsThe authors find evidence of a trade-off when a productivity orientation is adopted. A productivity orientation improves frontline service employee productivity performance but indirectly harms quality performance and job satisfaction. The authors find further evidence that trust in management helps to mitigate these negative effects.Research Limitations/implicationsThis paper suggests that a productivity orientation must be managed carefully. Efficiency improvements may be overshadowed by reduced quality and job satisfaction. Limitations arise from the self-reported survey data.Practical ImplicationsThe results suggest that employees who trust their managers are better able to cope with the stressors arising from increased productivity demands.Originality/valueTo the authors’ best knowledge, no research has systematically examined the process and potential hazards of implementing a productivity orientation from a frontline employee perspective. The current paper reveals the mechanisms by which a productivity orientation influences frontline employees’ change perceptions and performance and shows that employee trust in management may buffer the downside effects of a productivity orientation. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Journal of Services Marketing Emerald Publishing

Managing the downside effect of a productivity orientation

Journal of Services Marketing , Volume 30 (2): 17 – Apr 11, 2016

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References (85)

Publisher
Emerald Publishing
Copyright
Copyright © Emerald Group Publishing Limited
ISSN
0887-6045
DOI
10.1108/JSM-10-2014-0351
Publisher site
See Article on Publisher Site

Abstract

PurposeAlthough many service organizations have adopted a productivity orientation to respond to increasing market challenges, the unanticipated downside effect of such an orientation is not well understood. For managers, it is interesting to know if this strategic initiative is working and how to implement it more successfully.Design/methodology/approachThe theoretical model used in this paper is tested with a survey of 879 frontline employees from five different health-care organizations.FindingsThe authors find evidence of a trade-off when a productivity orientation is adopted. A productivity orientation improves frontline service employee productivity performance but indirectly harms quality performance and job satisfaction. The authors find further evidence that trust in management helps to mitigate these negative effects.Research Limitations/implicationsThis paper suggests that a productivity orientation must be managed carefully. Efficiency improvements may be overshadowed by reduced quality and job satisfaction. Limitations arise from the self-reported survey data.Practical ImplicationsThe results suggest that employees who trust their managers are better able to cope with the stressors arising from increased productivity demands.Originality/valueTo the authors’ best knowledge, no research has systematically examined the process and potential hazards of implementing a productivity orientation from a frontline employee perspective. The current paper reveals the mechanisms by which a productivity orientation influences frontline employees’ change perceptions and performance and shows that employee trust in management may buffer the downside effects of a productivity orientation.

Journal

Journal of Services MarketingEmerald Publishing

Published: Apr 11, 2016

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