Linking organizational resources and work engagement to employee performance and customer loyalty: the mediation of service climate

J Appl Psychol. 2005 Nov;90(6):1217-27. doi: 10.1037/0021-9010.90.6.1217.


This study examined the mediating role of service climate in the prediction of employee performance and customer loyalty. Contact employees (N=342) from 114 service units (58 hotel front desks and 56 restaurants) provided information about organizational resources, engagement, and service climate. Furthermore, customers (N=1,140) from these units provided information on employee performance and customer loyalty. Structural equation modeling analyses were consistent with a full mediation model in which organizational resources and work engagement predict service climate, which in turn predicts employee performance and then customer loyalty. Further analyses revealed a potential reciprocal effect between service climate and customer loyalty. Implications of the study are discussed, together with limitations and suggestions for future research.

Publication types

  • Research Support, Non-U.S. Gov't

MeSH terms

  • Adult
  • Consumer Behavior / statistics & numerical data*
  • Efficiency, Organizational / statistics & numerical data*
  • Employee Performance Appraisal / statistics & numerical data*
  • Female
  • Housing / statistics & numerical data
  • Humans
  • Job Satisfaction
  • Male
  • Middle Aged
  • Models, Statistical
  • Motivation*
  • Organizational Culture*
  • Restaurants / statistics & numerical data