Arabian Journal of Business and Management Review (OMAN Chapter) Vol. 3, No.6; jan.

2014

JOB SATISFACTION OF EMPLOYEE AND CUSTOMER

SATISFACTION

Masoud Amoopour1, Marhamat Hemmatpour2, Seyed Saeed Mirtaslimi3*

1
Department of Educational Management, Islamic Azad University, Rasht Branch, Rasht, Iran
2
Department of Educational Management, Islamic Azad University, Rasht Branch, Rasht, Iran
3*
M.A. Student of Business Management, Islamic Azad University, Rasht Branch, Rasht, Iran
(Corresponding Author)

Abstract
Transcendental organizations meet their needs and expectations of customers. To succeed in
today's complex and competitive market, researchers believe that customer satisfaction is a
key factor. Job satisfaction experienced by employees will effect on the quality of the
services they provide which in turn will affect their job performance. Employees’ satisfaction
is led to customer satisfaction. Satisfied employees feel more commitment to their
organization and customers. Among the positive outcomes of job satisfaction in customer-
oriented organization is customer satisfaction. Customer satisfaction is guidance for
achieving greater customer loyalty.
Keywords: Organizations, Customer Satisfaction, Employees’ Satisfaction
1. Introduction
The employees of the organization are measures of superiority degree of organizations that
amount of their loyalty and commitment is cause to do assigned task with a higher quality.
This increases performance, efficiency and effectiveness of the organization. Conversely,
employees who are careless or irresponsible on organization assigned functions behavior are
transferred to partners and reduce the performance of individuals and decline organization in
terms of quality and quantity. Customer satisfaction in 1990 had a significant impact on
management thinking. In fact, detecting understand, confront and anticipate customer needs
are important sources of competitive advantage and survival for a company that have decisive
effect on set of priorities and activities of company. Service industries in the world today are
a major part of markets in many countries. Thus, increasing the number of jobs in the service
industry in GDP increased importance of these different countries, subject of service delivery
impeccable and the superior quality has been an issue of considerable (shahin & abolhasani,
2006). One of the most crucial concepts of behavior in organization is discussion of job
satisfaction. It always been introduced implications for how to the satisfaction and
dissatisfaction and it are considered as one of the crucial factors in the success or failure of a
job. Scientists and scholars of management science productivity, absence from work, job
satisfaction and employees relocation are considered as the main variables in organizational
behavior (Robbins, 2007).
A number of scientific studies are done in supporting the relationship between job
satisfaction and job performance. These studies indicate that employees, who have
experienced job satisfaction, are more likely to be productive and remain in their jobs. Job

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satisfaction experienced by employees will effect on the quality of the services they provide
which in turn will affect their job performance (Eisenberg and et al 2012).
Eskildsen and Nussler (2000) have done study with title: “The managerial drivers of
employee satisfaction and loyalty”. The purpose of their study was the first to establish a
structural model that describes causal relationship between sub-systems of human resource
management, employee satisfaction and loyalty, and as well as the performance of the
company. The second purpose of this study empirical test this structural model through a
survey conducted among 670 human resource managers where 215 people responded. These
managers were from private and public companies in the related sectors.

2. Customer Satisfaction
To succeed in today's complex and competitive market, researchers believe that customer
satisfaction is a key factor (Ndubisi & etal, 2007). Customer satisfaction is a critical
performance indicator (Adsit et al., 1996; Gilaninia et al, 2011). Customer satisfaction has
considerable value, because data related to consumption derived (in front of production) and
leading indicator is considered future profitability. Customer satisfaction is guidance for
achieving greater customer loyalty. Customer satisfaction through improving loyalty ensures
future income, reduce the costs of future transactions, reduces the price elasticity and prevent
from decline customers of organization when the slides possible quality. Also, word of mouth
recommendations from satisfied customers reduce costs of new customer’s attraction and
promote the organization's reputation. In contrast, customer dissatisfaction has reverse the
effects. Therefore, satisfied customers be a valuable asset for the organization (Anderson and
Fornell, 2000).
Transcendental organizations meet their needs and expectations of customers. These
organizations monitor their competitor’s activities and detect competitive advantages.
Mentioned organizations effectively anticipate future needs and expectations of its customers
to meet the needs and expectations. These organizations respond against their weaknesses so
quickly and effectively. They create and maintain transcendental relationships with all of
their customers. If organizations divided into three groups include the path of at the
beginning excellence organizations and organizations in the middle excellence, mature
organizations, it can say that in the beginning organizations have assessed level of customers
satisfaction, the middle excellence organizations have been successful to establish
relationship between short-term and medium-term goals with customer needs and
expectations and mature organizations measure incentives for business to understand
customer satisfaction and customer loyalty issues related and act based on it (Ghafari
Ashtiani,2008).
Today's rapidly changing and increasingly competitive environment, banks are forced to
make their views are directed towards customer satisfaction, because by increases customer
satisfaction will follow behavioral outcomes such as commitment, intent to stay, and
customer loyalty, creating mutually and beneficial relationships between service providers
and users, and acceptance of failure and probability slides and also positive word of mouth
recommendations of customer (Arasli et al, 2005).

3. Perceived Employees Commitment

Employee commitment reflects the allocation employees to help the company to reach its
goals. This involves doing high quality work, commitment to solve problems of customer,
and to invest time and suitable effort in the work and willingness to recommend products and
services of firms (Vilares & Coelho, 2001). Although commitment and loyalty employees are
different and have separate components and structures with different concepts but linked and
followed changing in the company focus (Crosby & et al, 1994). Nowadays the only

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organizations have a good position in the competitive arena that focused activities are to meet
demands of customers and satisfying their needs with minimum cost and maximum quality.
High quality products and service of organization is considered important specification and
axioms in organization. Identifying and addressing factors such as commitment and job
conscience that provides the field of promotion and advancement of organizations has greater
importance. Attention to employee commitment is one of the factors of organizational
development and thereby improves the administrative structure, reducing energy
consumption and time, correct perception of the situation, optimizing the flow of information
and communication. By Increase in occupational commitment, interaction among its various
components and structures will have better quality and changes in economic, political,
identify quality indicators using a systematic approach and detect its components (input,
process, output) is necessary (Asgari & Alipour, 2012).

4. Job Satisfaction
One of the most crucial concepts of behavior in organization is discussion of job satisfaction.
It always been introduced implications for how to the satisfaction and dissatisfaction and it
are considered as one of the crucial factors in the success or failure of a job. Scientists and
scholars of management science productivity, absence from work, job satisfaction and
employees relocation are considered as the main variables in organizational behavior
(Robbins, 2007). Job satisfaction is distance between the benefits and rewards that employees
receive and what their opinion should receive. This variable in the behavioral sciences is
important because this variable represents an attitude rather than a behavior. Job satisfaction
is a collection of compatible and incompatible feelings that employees view to their jobs and
in fact job satisfaction can be defined as pleasant and positive state of job evaluation or job
experience. Job satisfaction is one of the variables in the search for understanding the
attitudes and behaviors of employees towards their organization, it has been studied. Job
satisfaction reflects the extent to which the work environment (ie job, colleagues, and
supervision) to meet the individual needs. A recent study based more on human relations,
claiming that if people have a job to meet their needs, they will create a positive work
attitude. Maslow's theory for a long time was central base of the management theory. This
focus on the individual application level satisfying their needs, especially with regard to the
individual's working life, helping us to better understand employees' needs and motivations.
Job satisfaction is level of a positive feeling of employees. In this case, the actions or
activities of managers provide their organizational behavior. Lakeh (1969) defines
satisfaction to form a feeling of pleasure in job evaluation or to achieve the goal in term of
feeling. To clearly distinguish the structure of job satisfaction and organizational
commitment, if employees have job satisfaction in their organization in the long term,
satisfaction outcome is seen as outcome of a successful exchange, for example, the
commitment. Therefore, variables can describe the relationship between satisfaction and
commitment. It is important that expressing individual perception create a better organization
(Saekoo, 2011).
Attitude can be considered as attitude and willingness to respond favorable or unfavorable to
the individual, objects, concepts, or other things. One of the experts of management science
says that the “attitude is views about people, things, and events”. The attitude is just not
values and compared with attitudes, values is more extensive and the wider and has a more
comprehensive concept, while the values and attitudes are different. But their relationship is
very close. Conversely, value of attitude is less stable and it is not stable enough, attitude in
organization is the important which can affect the behavior (Robbins, 2007).

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5. The Effects of Job Satisfaction on Employee Performance

Based on the theory of sub-systems of Glasl and Lievegoed (1997), an organization is
composed of the following three sub-systems: cultural sub-system, social sub-systems, and
technical sub-systems.
Cultural sub-systems are including the identity and the general policies of the organization. In
the field of human resource management discussion, this sub-systems meaning values and
cultural features whether explicit or implicit, it conduct how deal with individuals within the
organization. Social sub-systems are ie organization structure, knowledge and skills, and
areas of control / responsibility. The third and final subsystem concerned technical aspects of
the organization. This subsystem includes such items as individual processes and physical
assets and financial. In the field of human resource management discussion, this subsystem
include measures that is usually associated with the older term "personnel management" and
is included all contractual issues between employers and employees. In terms of employees,
this sub-systems describing the cultural context in which the job is done, and conditions
under which employees have agreed to take over the job. Employee satisfaction is happiness
and prosperity that the employees gain their jobs; this means that are they are happy to go to
work, perceive their jobs meaningful, their jobs has negative impact physical or mental health
them or not. Every aspect is related to the impact of the job on the employees, along with the
perception of employees from the organization / jobs are included in the definition of
employee satisfaction. Employees’ loyalty is a concept that is more action – oriented, because
it is dealing with employee behavior. This concept includes such as whether employees are
committed and in working they have a sense of personal responsibility, and tend to seeking or
not seeking another job. Human Resource Management seeking the multi-stakeholder
satisfaction. Several studies have shown that an effective system of management of human
resources is essential for superior financial performance and shareholder satisfaction because
an effective system enables human resource to attract and protect employees motivated and
possess the competencies necessary to achieve superior financial performance. This
relationship between employee loyalty and performance has also been confirmed in several
studies. For employees loyal, the organization should be able to meet their satisfaction.
Therefore, there is relationship between human resource management, employee satisfaction
and loyalty, and firm performance (Robins, 2010).

6. Job satisfaction of employees and customer satisfaction

When companies are looking for ways to improve customer service, they usually try to give
more facilities to customers and their needs are quickly resolved. But intelligent and forward-
thinking organizations revised in behavior and in connection with the employees before any
action and their satisfaction keep in first step. Studies show that employees’ satisfaction is led
to customer satisfaction. Satisfied employees feel more commitment to their organization and
customers. Employees who are satisfied with their work are likely to bring success for
employer. They efforts for more success and to improve the quality of customer service.

7. Discussion and Conclusion

Among the positive outcomes of job satisfaction in customer-oriented organization is
customer satisfaction. However, considering that the providing services to employees and
customers within the organization, human resources or employees play a central role,
discussion of organizational commitment and job satisfaction, which is key factors in
providing high quality services, will be important. Different theories have been proposed
about job satisfaction; also, contributing factors and creating of job satisfaction are varied and
numerous which can be categorized inherent aspects include personality traits, feelings,

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emotional, emotional states and external aspects include conditions and characteristic of
organizational, social and cultural. Job satisfaction and organizational commitment is based
on constructed-related but distinct. However, in order to provide a basis for management
decisions of human resource in planning, recruitment and retention of employees and reduced
costs due to staff leaving are jointly evaluated that this is very important. Job satisfaction
delivered factors such as workplace conditions, governing the relationship among the work
environment, social factors and cultural factors. Organizational commitment is as links
people with organization that is determined by a strong belief and acceptance goals and
values of the organization (affective commitment), tend to be much effort to the organization,
(commitment continuance) and strong desire to retain organization (normative commitment).
Employees’ satisfaction is led to customer satisfaction. Satisfied employees feel more
commitment to their organization and customers.

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