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Within the retail banking sector, the customer-centric business model has become an important and new business trend in recent years. The enhancement of the frontline service employees’ engagement and their customer-oriented behaviors are among the key factors affecting business performance (BP) in this sector of the banking industry. The purpose of this paper is to improve management decisions to enhance BP through examining the relationship between the frontline employees’ engagement and BP while taking into account the mediating effect of customer-oriented behaviors on this relationship.

A quantitative approach was adopted to conduct the present study, and the respondents were sampled from a large commercial bank in Iran using a structured questionnaire. Overall, 50 branch managers and 90 frontline employees were selected using random sampling. A confirmatory factor analysis was conducted to ascertain the validity and reliability of the observed items and a structural equation model was used for testing the proposed hypotheses and research framework.

The findings showed that customer-oriented behaviors mediated the relationship between the frontline employees’ engagement and bank’s branches’ BP. Higher levels of the frontline employees’ engagement enhance the customer-oriented behaviors. It was revealed that the frontline employees are engaged in their job and organization. Moreover, the engaged frontline employees listen carefully to customers, the customer’s problem is important to them and they complete their tasks precisely for customers. It has been confirmed that customer-oriented behaviors enhance branches’ BP. The bank frontline employees’ engagement and customer-oriented behaviors, in turn, affected the bank’s branches’ financial performance, process performance and employee performance compared with the bank’s key competitors.

This study highlights the value of empirically establishing how employee customer-oriented behaviors are affected by employee engagement as an integrative construct bringing together BP.

This study can help improve BP by increasing the frontline employees’ engagement and their customer-oriented behaviors. This study suggests that organizations using the findings of this study could effectively assess their frontline employees’ engagement and their customer-oriented behaviors and then plan for improving them.

This study offers a customer-oriented initiative as a social responsibility to be considered by retail banks. In light of the social exchange theory, the banks valuing customer-oriented can provide employees with knowledge, skills, values and support to develop motivation and abilities to demonstrate customer-oriented organizational citizenship behaviors.

Previous studies demonstrated that the employees’ engagement affects their customer-oriented behaviors. In addition, studies have referred to the effect of employees’ customer-oriented behaviors on BP. However, to the best of the knowledge, key questions regarding how the employees’ engagement at the branch level fosters customer-oriented behaviors and, in turn, the bank’s branches’ BP, remain unanswered. Hence, this study contributes to the investigation of the mediating role of the frontline employees’ customer-oriented behaviors in the relationship between their engagement and branches’ BP in the retail banking sector.

This study investigated the effects of social capital on frontline bank employee's adaptive selling behavior via the psychological process. Frontline bank employees' positive social relationships enhance their perception of the work environment and encourage work engagement. With the multiple mediation model, both internal and external social capital have direct and indirect influence on the frontline bank employee's adaptive selling behavior.

Data for this study were collected from a cross-sectional sample of retail banking industry in Korea. Specifically, using two-step procedures, employees of financial service or insurance sales department in banks were selected and online survey questionnaires were distributed to them. Data from 330 employees were collected and analyzed.

The results of this study showed how social capital affects frontline bank employees' person–job fit as a cognitive psychological process, leading to work engagement as an emotional psychological process and, in turn, more adaptive selling behavior. Using multiple mediation analysis, the results showed that work engagement on its own exerts a mediating effect on social capital, whereas a person–job fit does not.

This study applied both aspects of the social capital concept by dividing it into internal and external social capital, and exploring each separately. This study examined the influence on psychological processes and behavioral response by distinguishing between the two forms of social capital. Second, this study expands the previous studies by introducing social capital as an antecedent factor of frontline bank employees' adaptive selling behavior. Finally, this study explains how frontline bank employees' relational resources (i.e. social capital) influence their emotional aspect (i.e. work engagement) and cognitive aspect (i.e. person–job fit), which ultimately influence performance-driven behavior (i.e. adaptive selling behavior).

This research showed the importance of hiring frontline bank employees with excellent social capital capabilities. Furthermore, this study underscored the fact that organizations require preparing and providing practical management methods that can improve the social capital of their current frontline employees. Last, organization need to design the job in a way that innately improves frontline employees' social capital. Therefore, these jobs provide many opportunities for frontline bank employees to use their ability to build relationships in their interactions with customers and make practical decisions to achieve job performance.

This study improved our understanding regarding the importance of employees' social capital by revealing the psychological process of how frontline bank employees' social capital affects adaptive selling behavior. Second, this study expands on the literature by introducing internal and external social capital as an antecedent factor affecting the adaptive selling behavior of frontline bank employees. Furthermore, this study advances understanding on the manner in which relational resources of frontline bank employees (i.e. social capital) influence the emotional (i.e. work engagement) as well as the cognitive aspects (i.e. person–job fit), which ultimately influence performance-driven behavior (i.e. adaptive selling behavior).

Drawing from Bagozzi’s (1992) reformulation of attitude theory, the purpose of this paper is to propose and test a conceptual model that links organization mission fulfillment (OMF) and perceived organizational support (POS) to job performance (JP) via work engagement (WE).

Data gathered from frontline bank employees with a time lag of two weeks and their supervisors in Northern Cyprus were utilized to test the aforementioned relationships.

The results from structural equation modeling suggest that OMF and POS foster WE. WE in turn stimulates employees’ JP. In short, WE fully mediates the effects of OMF and POS on JP.

Incorporating creative performance into the conceptual model would shed further light on WE as a mediator of the effects of OMF and POS on various performance outcomes. Gathering data from frontline bank employees in similar islands would allow conducting a cross-national study.

Management of banks can organize workshops where frontline employees can contribute to the preparation of the mission statement. Employees making such contribution will display elevated levels of WE, because they contribute to something which is significant and meaningful. Management should also use selective staffing procedures to hire individuals who are customer oriented and therefore feel energetic and dedicated and are engrossed in their work.

This study contributes to the current knowledge base by linking OMF and POS to JP via WE in frontline service jobs in the retail banking industry.

The purpose of this paper is to investigate the mediating role of person-job (P-J) fit on the impact of organizational resources (training and service technology), and a personal resource (customer orientation) on frontline bank employees’ job performance and turnover intentions.

A large-scale survey of 530 frontline employees of a national bank in New Zealand serves as the study setting.

Among others, results show that P-J fit fully mediates the impact of training on turnover intentions and job performance.

The cross-sectional nature of the study does not allow causal inferences. Therefore, future studies should adopt longitudinal designs.

Management should be careful in planning and providing organizational resources to frontline employees to enhance their perception of P-J fit. Also investing in the recruitment and selection of customer-oriented frontline employees would be a prudent course of action.

Empirical research in the banking services literature pertaining to the mediating role of P-J fit is scarce. There is also a lack of research regarding the interaction between personal and organizational resources resulting in complementary or supplementary effects on frontline employees’ fit perceptions. This study fills in the void in both areas.

The incidents of customer abuse of frontline service employees during service encounters are increasing which has led to co-destructruction of value. The service strategists makers are struggling hard to frame a holistic picture of such incidents to be able to reduce the number of misbehaviour incidents but still are unable to achieve success. The purpose of this paper is to incorporate a social system perspective to study in detail customer misbehaviour incidents from the perspective of frontline banking employees and customers.

The data from 33 frontline banking employees and 22 customers, 55 in total was collected by structured interviews. The data collection focused a critical incident technique and for the purpose of analysis, thematic analysis was optioned.

The employees and customers both blame each other to trigger a misbehaviour incident during banking transactions. The results reveal a clear communication gap between employees and customers as none of them understand the problems of the other party. The employees think that customers gain power through such incidents while customers believe employees to be ignorant, wasting the time, and lack complete information.

The marketing policy makers need to pay respect and complete organisational support to frontline staff working in high contact service firms to cope with misbehaving customers.

The study is pioneer in applying a social system perspective to explore employee and customer experiences of misbehaviour incidents during banking service encounters. Furthermore, the study has been first of its type to explore the phenomenon of misbehaviour from a developing country perspective.

Based upon social exchange theory, this study investigates the mediating effect of consumers' trust in banking industry frontline employees on two relationships: (1) the relation between consumers' perceptions of frontline employees' empathy and consumers' perceptions of frontline employees' performance, and (2) the relation between consumers' perception of frontline employees' customer orientation and consumers' perceptions of frontline employees' performance.

The authors used a time-lag research design to collect data through online questionnaires distributed in two waves. The sample comprises 375 respondents having experience and interaction with banking frontline employees.

Results confirm the mediating effect of consumers' trust in the banking industry on the relationships between their perceptions of frontline employees' empathy and consumer orientation on the one hand and their perceptions of frontline employees' performance on the other hand.

Results may be helpful to policymakers and managers in the service industries, prompting them to adopt approaches and strategies designed to build strong relationships with consumers, thus increasing consumers' trust and frontline employees' performance.

This study confirms the relevance of social exchange theory in understanding the role of consumers' trust and perceptions of frontline employees' empathy and consumer orientation in understanding their perception of frontline employee performance in the banking industry.

This study aims to investigate whether frontline retail banking employees’ proactive personality helps in ameliorating customer engagement. This study further aims to investigate the mediational role of work engagement and service recovery performance in the employee proactivity – customer engagement relationship.

This study used a triadic approach for the collection of primary data. Each triad consisted of a customer, a frontline employee and an immediate colleague of the frontline employee. Structured questionnaires were used to solicit data from the respondents. Specifically, customers were asked to report their level of engagement with the bank and the recovery performance of the employee who redressed their grievances. Frontline employees responded to their level of work engagement while their colleagues reported about the proactive disposition of frontline employees at the workplace.

Empirical findings revealed under service scenario, Indian retail banking employees’ proactive disposition nurtures customer engagement. It was further observed that this relationship is sequentially mediated by work engagement and service recovery performance.

The role of frontline employees in enriching customer engagement has to date remained under-researched among marketing scholars. To the best of the authors’ knowledge, this study is the maiden attempt to relate frontline employee proactivity with customer engagement. Also, this study is one of the early research to investigate customer engagement under a service recovery context, thereby, opening pathways for further exploration.

This study investigates the role of personal resource (i.e. psychological empowerment) in reducing the negative impact of emotional exhaustion of frontline employees on their engagement. It also examines the moderating effects of ethical climate and transformational leadership in mitigating the negative influence of emotional exhaustion on engagement among frontline service employees (FLEs).

Data were collected from 671 frontline employees from financial services sector. Confirmatory factor analysis (CFA) and hierarchical regression analysis (HRA) were used to test the hypothesized relationships.

Results show that the impact of emotional exhaustion on employee engagement is greatly affected by psychological empowerment. Transformational leadership moderates the negative effects of emotional exhaustion on psychological empowerment, while ethical climate weakens the negative impact of emotional exhaustion on employee engagement.

Service firms need to provide enough autonomy to emotionally exhausted frontline employees so that they feel valued. The emotionally exhausted employees can be engaged if they are empowered to discharge their job most effectively and a climate is ensured which can keep them motivated toward accomplishing their targets. A fair and just treatment shall boost their morale to perform better and to strengthen their staying intentions.

The novelty of our study lies in examining and fostering engagement among emotionally exhausted FLEs. It shows that job resources at the individual level (i.e. psychological empowerment), team level (i.e. transformational leadership) and organizational level (i.e. ethical climate) can help in encouraging work engagement among emotionally exhausted FLEs.

The purpose of the study is to test the effect of relationship managerial behavior (i.e. managerial coaching) on frontline employee performance (i.e. sales performance) and the mediating effect of employee's relationship behaviors (i.e. customer orientation and adaptive selling) in a Chinese banking environment.

Data were collected using a survey from 242 frontline employees working at a large commercial bank in Dalian (China). Measures on managerial coaching, customer orientation, adaptive selling and sales performance were adapted from the literature. Data were analyzed using structural equation modeling in AMOS 26.

Results indicate that (1) managerial coaching positively affects employee customer orientation, (2) employee customer orientation positively affects employee adaptive selling behavior and (3) adaptive selling behavior positively affects sales performance. Bootstrap analysis confirmed the significance and stability of all the direct paths (suggesting that every mediator fully mediates the effect of its antecedent on the criterion) but none of the indirect paths found support (full mediation model).

The study makes a contribution to the nomological network of managerial coaching by introducing a construct that has not been used previously (i.e. employee adaptive selling behavior) and testing its relevance in a commercial setting.

The results suggest that (1) managerial coaching is a central managerial behavior for companies that would like to implement a relationship marketing strategy because it helps promote specific employee relationship behaviors like customer orientation and adaptive selling, (2) there seems to be little cultural differences in the banking industry between the Chinese and the Western banks, suggesting that coaching and other management tools can be transferable from one culture to the other and (3) that coaching is an effective tool to help employees achieve higher sales performance.

The paper contributes to the literature on the use of managerial coaching in commercial areas to increase frontline employee relationships behaviors. The identification of adaptive selling as a mediator is an original contribution because it has received little attention in scientific research. Additionally, the use of a Chinese sample of bank employees responds to recent call for more research in cross-cultural settings.

The purpose of this paper is to investigate the combined effects of customer aggression, job stress, and emotional intelligence (EI) on job satisfaction and organizational turnover among managers from a developing country, i.e. Pakistan.

Data are collected from 230 respondents working as bank managers in Pakistan by means of a cross-sectional survey. The collected data are analyzed by employing a structural equation modeling (SEM) technique.

The employees perceive that job stress positively influences emotional exhaustion among employees. Furthermore, EI negatively influences job exhaustion to minimize the potential to lead it through to organizational turnover.

The combined effects of customer- and organization-related elements have been scarcely investigated – the heart and soul of contribution regarding this research. The moderation of EI to lessen the emotional exhaustion is a significant contribution to this study. Finally, the context of Pakistan’s banking sector is also unique to this study.