Achieving service quality through service innovation exploration-exploitation: The critical role of employee empowerment and slack resources

Purpose This study investigates the effects of service innovation exploration-exploitation on financial performance through the delivery of quality services. Additional emphasis is also given to examining the extent to which employee empowerment and slack resources enhance or suppress the performance benefits of service firms engaging in service innovation exploration versus exploitation. Design/methodology/approach Data were drawn from a multi-informant survey of service firms using a drop-and-collect approach. The survey gathered data from managers, customer service employees and customers to test the hypotheses. Findings The results show that excelling at both exploitative and exploratory innovation helps enhance the quality of services, which in turn yield superior financial performance. Further, empowering employees enhances the relationship between exploratory and exploitative service innovation and service quality. We also show that the extent managers’ perceived their market to be competitive influences in the pursuit of high levels of both service innovation exploration and exploitation and that this relationship is impacted by the extent they believe they have available slack resources. Practical implications The findings suggest that service firms need to pursue both exploitation and exploration at high levels simultaneously and empower their employees to stay ahead of competitors in delivering quality services, which ultimately contribute to the achievement of superior financial outcomes. Also, the findings highlight the importance of employee empowerment, market competitiveness and slack resources in the pursuit of high levels of both service innovation exploration and exploitation. Originality/value These findings and our theory indicate that this study is the first to empirically examine organizational ambidexterity in the context of service innovation exploration – exploitation adopting the principles of combined and balanced innovation. The study provides insights into the critical role of customers’ perceptions of service quality in contributing to firms’ financial performance. Our insights are unique in that the study incorporates managers, employees and customers in an integrated service innovation model.

Rallying the troops or beating the horses? How project-related demands can lead to either high performance or abusive supervision

In today's high-pressure work environment, project managers are often forced to “do more with less.” We argue that this imperative can lead project managers to engage in either high-performance or abusive supervision behaviors. To understand this process, we develop a model and associated propositions linking a project manager's cognitive appraisal of project-related demands to high-performance work practices versus abusive supervision behaviors—both of which impact three project outcomes: stakeholder relationships, people-related project success factors, and employee well-being. We propose that the choice between high-performance work practices and abusive supervision behaviors is moderated by a project manager's personal resources (psychological capital, emotional intelligence, and dark triad personality).

On the importance of pro-environmental organizational climate for employee green behavior

In their call to action, Ones and Dilchert(2012) discuss several possible individual and some contextual determinants of employee green behavior that await examination by industrial and organizational I–O) psychologists. Although these authors briefly mentioned organizational climate, specifically ethical climate, as a potentially relevant predictor of green behaviors, they mostly emphasized the role of individual difference characteristics and traditional job performance determinants such as knowledge, skills, abilities, and other person factors (KSAOs).

Employee green behavior: A theoretical framework, multilevel review, and future research agenda

We propose a conceptual model based on person–environment interaction, job performance, and motivational theories to structure a multilevel review of the employee green behavior (EGB) literature and agenda for future research. We differentiate between required EGB prescribed by the organization and voluntary EGB performed at the employees’ discretion. The review investigates institutional-, organizational-, leader-, team-, and employee-level antecedents and outcomes of EGB and factors that mediate and moderate these relationships. We offer suggestions to facilitate the development of the field, and call for future research to adopt a multilevel perspective and to investigate the outcomes of EGB.

A daily diary study on ambidextrous leadership and self-reported employee innovation

Ambidextrous leadership involves a combination of behaviours that stimulate employee exploration (‘opening behaviour’) and behaviours that facilitate exploitation of ideas (‘closing behaviour’). We hypothesized that the interaction between leaders’ daily opening and closing behaviours (i.e., ambidextrous leadership) predicts employees’ daily self-reported innovative performance. Results based on diary data provided by 113 employees across five work days supported this hypothesis: daily self-reported innovative performance was highest when both daily opening and closing behaviours were high.

Ambidextrous leadership and employees' self-reported innovative performance: The role of exploration and exploitation behaviors

The ambidexterity theory of leadership for innovation proposes that leaders' opening and closing behaviors positively predict employees' exploration and exploitation behaviors, respectively. The interaction of exploration and exploitation behaviors, in turn, is assumed to influence employee innovative performance, such that innovative performance is highest when both exploration and exploitation behaviors are high. The goal of this study was to provide the first empirical test of these hypotheses at the individual employee level. Results based on self-report data provided by 388 employees were consistent with ambidexterity theory, even after controlling for employee reports of their leaders' transformational and transactional leadership behaviors as well as employees' openness to experience, conscientiousness, and positive affect. The findings extend previous research on ambidexterity at the team and organizational levels and suggest a possible way for leaders to enhance employee self-reported innovative performance.

The relationships between work stressors and organizational performance in long-term care for elderly residents

This study investigates the relationships between work stressors and organizational performance in terms of the quality of care provided by the long-term care facilities. Work stressors are first examined in relation to the unit's structural factors, resident characteristics, and to the unit specialization. The study is completed by an investigation into the associations of work stressors such as job demands or time pressure, role ambiguity, resident-related stress, and procedural injustice to organizational performance. Also the moderating effect of job control in the job demands organizational performance relationship is examined. The study was carried out in the National Research and Development Centre for Welfare and Health (STAKES). Survey data were drawn from 1194 nursing employees in 107 residential-home and health-center inpatient units in 1999 and from 977 employees in 91 units in 2002. Information on the unit resident characteristics and the quality of care was provided by the Resident Assessment Instrument (RAI). The results showed that large unit size or lower staffing levels were not consistently related to work stressors, whereas the impairments in residents' physical functioning in particular initiated stressful working conditions for employees. However, unit specialization into dementia and psychiatric residents was found to buffer the effects that the resident characteristics had on employee appraisals of work stressors, in that a high proportion of behavioral problems was related to less time pressure and role conflicts for employees in specialized units. Unit specialization was also related to improved team climates and the organizational commitment of employees. Work stressors associated with problems in care quality. Time pressure explained most of the differences between units in how the employees perceived the quality of physical and psychosocial care they provide for the residents. A high level of job demands in the unit was also found to be related to some increases in all clinical quality problems. High job control buffered the effects of job demands on the quality of care in terms of the use of restraints on elderly residents. Physical restraint and especially antipsychotic drug use were less prevalent in units that combined both high job demands and high control for employees. In contrast, in high strain units where heavy job demands coincided with a lack of control for employees, quality was poor in terms of the frequent use of physical restraints. In addition, procedural injustice was related to the frequent use of antianxiety of hypnotic drugs for elderly residents. The results suggest that both job control and procedural justice may have improved employees' abilities to cope when caring for the elderly residents, resulting in better organizational performance.

An Empirical Examination of the Impacts from Termination of a Performance-Based Incentive Plan

This paper reports on the financial impacts from the termination of a pay for performance plan for the salesforce at a retail establishment. Using monthly panel data spanning more than eight years for 15 outlets of a major retailer, this study documents that store-level sales and operating profits decrease after the incentive plan is terminated. Individual performance data are then investigated to help identify the role of effort and selection effects in explaining the documented decrease. The analysis of the individual employee sales data reveals that virtually all of the declining store level sales can be explained by selection effects.

Do human resource practices enhance organizational commitment in SMEs with low employee satisfaction?

This paper considers a large matched employee–employer data set to estimate a model of organizational commitment. In particular, it focuses on the role of firm size and management formality to explain organizational commitment in British small and medium-sized enterprises (SMEs) with high and low levels of employee satisfaction. It is shown that size ‘in itself’ can explain differences in organizational commitment, and that organizational commitment tends to be higher in organizations with high employee satisfaction compared with organizations of similar size with low employee satisfaction. Crucially, the results suggest that formal human resource (HR) practices can be used as important tools to increase commitment and thus, potentially, effort and performance within underperforming SMEs with low employee satisfaction. However, formal HR practices commonly used by large firms may be unnecessary in SMEs which benefit from high employee satisfaction and positive employment relations within a context of informality.

How training evaluation can be used to potentiate employee development in an organization

A Work Project, presented as part of the requirements for the Award of a Masters Degree in Management from the NOVA – School of Business and Economics

Perception of organizational politics and the effect of authenticity and affective commitment on deviance and task performance in contact centers

This study aimed to understand employees’ reactions to organizational politics in Contact Centers. Drawing from a sample of 187 supervisor-employee dyads, we studied the relationship between employees’ perceptions of organizational politics and supervisor-rated task performance and deviance, and mediation effects by authenticity at work and affective commitment. Results indicate that workers tend to react to workplace politics with deviant behavior and worse task performance. We found that the relationship between perceived politics and task performance was mediated by authenticity. The relationship between perceived politics and supervisor-rated deviance was mediated by affective commitment to the organization. Implications for management are discussed.

Niagara Employee Assistance Program Council fonds, 1980-2008, n.d.

The Niagara Employee Assistance Program Council was started in Welland in 1979. It expanded to a regional council in 1981. The membership consisted of companies, interested individuals, service providers and non-profit charitable organizations. The objective of this organization was to improve communication links and provide a networking framework for council members; to promote awareness of the Niagara Employment Assistance and Employee Assistance Programs within the community; to share feelings, knowledge and expertise of individuals and institutions in developing and maintaining effective Employee Assistance Programs; to bring attention to local issues and to improve on the effectiveness of Employee Assistance Programs in the Niagara region. This program assisted employees with personal problems that could affect job performance. The Niagara Employee Assistance Council was dissolved as of March 31, 2008.

Jitter measurements for Performance enhancement in the Service Sector

In a leading service economy like India, services lie at the very center of economic activity. Competitive organizations now look not only at the skills and knowledge, but also at the behavior required by an employee to be successful on the job. Emotionally competent employees can effectively deal with occupational stress and maintain psychological well-being. This study explores the scope of the first two formants and jitter to assess seven common emotional states present in the natural speech in English. The k-means method was used to classify emotional speech as neutral, happy, surprised, angry, disgusted and sad. The accuracy of classification obtained using raw jitter was more than 65 percent for happy and sad but less accurate for the others. The overall classification accuracy was 72% in the case of preprocessed jitter. The experimental study was done on 1664 English utterances of 6 females. This is a simple, interesting and more proactive method for employees from varied backgrounds to become aware of their own communication styles as well as that of their colleagues' and customers and is therefore socially beneficial. It is a cheap method also as it requires only a computer. Since knowledge of sophisticated software or signal processing is not necessary, it is easy to analyze

The influence of individual characteristics on employee creative participation

In a knowledge-based economy and dynamic work environment retaining competitiveness is increasingly dependent on creativity, skills, individual abilities and appropriate motivation. For instance, the UK government explicitly stated in the recent "Review of Employee Engagement and Investment" report that new ways are required through which British companies could boost employee engagement at work, improving staff commitment and, thereby, increase workplace productivity. Although creativity and innovation have been studied extensively, little is known about employees' intrinsic willingness to contribute novel ideas and solutions (defined here as creative participation). For instance, the same individual can thrive in one organisation but be completely isolated in another and the question is to what extent this depends on individual characteristics and organisational settings. The main aim of this research is, therefore, to provide a conceptual framework for identification of individual characteristics that influence employees' willingness to contribute new ideas. In order to achieve this aim the investigation will be based on a developed psychological experiment, and will include personal-profiling inventory and a questionnaire. Understanding how these parameters influence willingness of an individual to put forward created ideas would offer an opportunity for companies to improve motivation practices and team efficiency, and can consequently lead to better overall performance.

Office noise and employee concentration: identifying causes of disruption and potential improvements

A field study assessed subjective reports of distraction from various office sounds among 88 employees at two sites. In addition, the study examined the amount of exposure the workers had to the noise in order to determine any evidence for habituation. Finally, respondents were asked how they would improve their environment ( with respect to noise), and to rate examples of improvements with regards to their job satisfaction and performance. Out of the sample, 99% reported that their concentration was impaired by various components of office noise, especially telephones left ringing at vacant desks and people talking in the background. No evidence for habituation to these sounds was found. These results are interpreted in the light of previous research regarding the effects of noise in offices and the 'irrelevant sound effect'.