The Link between Engagement and Service Performance: The Mediation Role of Job Satisfaction and Customer-Oriented Behavior

Main Article Content

Mohammed A. Sadiq
Arie Indra Gunawan
Adila Sosianika
Fatya Alty Amalia


Small-medium enterprise, Service performance, Job satisfaction, Customer-oriented behavior


This study investigates the impact of engagement on service performance, both directly and through the mediation role of job satisfaction and customer-oriented behavior, among Small-Medium Enterprises (SMEs) frontline employees. 451 frontline employee data were gathered from SMEs in the greater Bandung region, Indonesia. To examine the hypothesized relationship between variables, the data were assessed using Partial Least Square (PLS). Also, the Bootstrap method was employed to assess job satisfaction and customer-oriented behaviors’ mediation role. The result reinforces the existence of a multi-dimensional engagement concept that encompasses the engagement towards both job and organization. This engagement does not directly influence employee service performance; it is influenced indirectly through job satisfaction and customer-oriented behavior. The managerial practices and theoretical significance of these findings are examined.


Download data is not yet available.
Abstract 339 | pdf Downloads 358


Adomako, S., Amankwah-Amoah, J., Tarba, S. Y., & Khan, Z. (2021). Perceived corruption, business
process digitization, and SMEs’ degree of internationalization in sub-Saharan Africa. Journal of
Business Research, 123, 196-207. doi: 10.1016/j.jbusres.2020.09.065

Ajayi, O. M., Odusanya, K., & Morton, S. (2017). Stimulating employee ambidexterity and employee
engagement in SMEs. Management Decision, 55(4), 662-680. doi: 10.1108/MD-02-2016-0107

Bailey, C., Madden, A., Alfes, K., Fletcher, L., D, R., & Holmes, J. (2015). Evaluating the evidence on
employee engagement and its potential benefits to NHS staff: a narrative synthesis of the literature.
Retrieved from

Borman, W. C., & Motowidlo, S. J. (1993). Expanding the criterion domain to include elements of
contextual performance. In N. Schmitt & W. C. Borman (Eds.), Personnel Selection in Organizations
(pp. 71-98). San Francisco, CA: Jossey-Bass.

Brien, A., Anthonisz, A., & Suhartanto, D. (2019). Human capital in the Dubai hotel industry: A study of
four- and five-star hotels and the HR challenges they face. Journal of Human Resources in
Hospitality & Tourism, 1-19. doi:10.1080/15332845.2019.1558489

Britt, T. W., Castro, C. A., & Adler, A. B. (2005). Self-Engagement, Stressors, and Health: A Longitudinal
Study. Personality and Social Psychology Bulletin, 31(11), 1475-1486. doi:10.1177/0146167205276525

Chang, K.-C. (2016). Effect of servicescape on customer behavioral intentions: Moderating roles of
service climate and employee engagement. International Journal of Hospitality Management, 53,
116-128. doi: 10.1016/j.ijhm.2015.12.003

Chin, W. W., Peterson, R. A., & Brown, S. P. (2008). Structural Equation Modeling in Marketing: Some
Practical Reminders. Journal of Marketing Theory and Practice, 16(4), 287-298. doi:

Choi, E.-K., & Joung, H.-W. (2017). Employee job satisfaction and customer-oriented behavior: A study
of frontline employees in the foodservice industry. Journal of Human Resources in Hospitality &
Tourism, 16(3), 235-251. doi: 10.1080/15332845.2017.1253428

Cropanzano, R., & Mitchell, M. S. (2005). Social Exchange Theory: An Interdisciplinary Review. Journal
of Management, 31(6), 874-900. doi: 10.1177/0149206305279602

Culbertson, S. S., Mills, M. J., & Fullagar, C. J. (2012). Work engagement and work-family facilitation:
Making homes happier through positive affective spillover. Human Relations, 65(9), 1155-1177. doi:
Farndale, E., Beijer, S., Van Veldhoven, M., Kelliher, C., & Hope-Hailey, V. (2014). Work and
organisation engagement: Aligning research and practice. Journal of Organizational Effectiveness:
People and Performance, 1(2), 157-176. doi: 10.1108/joepp-03-2014-0015

Guest, D. E. (2015). Voice and employee engagement. In P. Ackers & S. Johnstone (Eds.), Finding a
Voice. Oxford: Oxford University Press.

Gupta, M., Shaheen, M., & Reddy, P. K. (2017). Impact of psychological capital on organizational
citizenship behavior: Mediation by work engagement. Journal of Management Development, 36(7),
973-983. doi: 10.1108/JMD-06-2016-0084

Gupta, N., & Sharma, V. (2016). Exploring Employee Engagement—A Way to Better Business
Performance. Global Business Review. doi: 10.1177/0972150916631082

Hair, J. E., Hult, G. T., Ringle, C. M., & Sarstedt, M. (2017). A Primer on Partial Least Squares Structural
Equation Modeling (PLS-SEM) (2 ed.). Thousand Oaks: Sage.

Hair, J. F., Black, W. C., Babin, B. J., & Anderson, R. E. (2010). Multivariate data analysis: A global
perspective (7th ed.). Upper Saddle River: Pearson Education.

Haruna, A. Y., & Marthandan, G. (2017). Foundational competencies for enhancing work engagement in
SMEs Malaysia. Journal of Workplace Learning, 29(3), 165-184. doi: 10.1108/JWL-07-2016-0066

Henseler, J., Ringle, C. M., & Sarstedt, M. (2015). A new criterion for assessing discriminant validity in
variance-based structural equation modeling. Journal of the Academy of Marketing Science, 43(1),
115-135. doi: 10.1007/s11747-014-0403-8

Jung, J. H., Brown, T. J., & Zablah, A. R. (2017). The effect of customer-initiated justice on customer oriented behaviors. Journal of Business Research, 71, 38-46. doi: 10.1016/j.jbusres.2016.10.019

Kahn, W. A. (1990). Psychological conditions of personal engagement and disengagement at work.
Academy of Management Journal, 33(4), 692-724. doi: 10.2307/256287

Karatepe, O. M., & Aga, M. (2016). The effects of organization mission fulfillment and perceived
organizational support on job performance. International Journal of Bank Marketing, 34(3), 368-
387. doi: 10.1108/ijbm-12-2014-0171

Ko, M. S., Lee, H. Z., & Koh, M. S. (2017). Effects of Nurses' Social Capital and Job Engagement on
Nursing Performance: Focused on the Mediating effects of Organizational Citizenship Behavior. J
Korean Acad Nurs Adm, 23(1), 42-51. doi: 10.11111/jkana.2017.23.1.42

Lara, F. J., & Salas-Vallina, A. (2017). Managerial competencies, innovation, and engagement in SMEs:
The mediating role of organisational learning. Journal of Business Research, 79, 152-160. doi:

Liao, H., & Chuang, A. (2004). A multilevel investigation of factors influencing employee service
performance and customer outcomes. Academy of Management Journal, 47(1), 41-58. doi:

Lu, C. Y., Dean, D., Suhartanto, D., Hussein, A. S., Suwatno, Kusdibyo, L., . . . Gunawan, A. I. (2020).
Predicting Tourist Loyalty toward Cultural Creative Attractions the Moderating Role of Demographic
Factors. Journal of Quality Assurance in Hospitality & Tourism, 1-19. doi:

Lu, L., Lu, A. C. C., Gursoy, D., & Neale, N. R. (2016). Work engagement, job satisfaction, and turnover
intentions. International Journal of Contemporary Hospitality Management, 28(4), 737-761. doi:

Lussier, B., & Hartmann, N. N. (2017). How psychological resourcefulness increases salesperson's sales
performance and the satisfaction of their customers: Exploring the mediating role of customer
oriented behaviors. Industrial Marketing Management, 62, 160-170. doi: 10.1016/j.indmarman.2016.08.009

Maria, S. R., Jong, A. d., & Zacharias, N. A. (2017). Frontline Employees' Innovative Service Behavior as
Key to Customer Loyalty: Insights into FLEs' Resource Gain Spiral. Journal of Product Innovation
Management, 34(2), 223-245. doi: 10.1111/jpim.12338

Menguc, B., Auh, S., Fisher, M., & Haddad, A. (2013). To be engaged or not to be engaged: The
antecedents and consequences of service employee engagement. Journal of Business Research,
66(11), 2163-2170. doi: 10.1016/j.jbusres.2012.01.007

Mukerjee, K. (2013). Customer-oriented organizations: a framework for innovation. Journal of Business
Strategy, 34(3), 49-56. doi: 10.1108/JBS-Jun-2012-0013

Najib, M., Ermawati, W. J., Fahma, F., Endri, E., & Suhartanto, D. (2021). FinTech in the Small Food
Business and Its Relation with Open Innovation. Journal of Open Innovation, Technology, Market,
and Complexity, 7(1), 88. doi: 10.3390/joitmc7010088

Najib, M., Sumarwan, U., Septiani, S., Waibel, H., Suhartanto, D., & Fahma, F. (2021). Individual and
Socio-Cultural Factors as Driving Forces of the Purchase Intention for Organic Food by Middle Class
Consumers in Indonesia. Journal of International Food & Agribusiness Marketing, 1-22. doi:

Nitzl, C., Roldan, J. L., & Cepeda, G. (2016). Mediation analysis in partial least squares path modeling:
Helping researchers discuss more sophisticated models. Industrial Management & Data Systems,
116(9), 1849-1864. doi: 10.1108/IMDS-07-2015-0302

Podsakoff, P. M., MacKenzie, S. B., & Podsakoff, N. P. (2012). Sources of method bias in social science
research and recommendations on how to control it. Annual Review of Psychology, 63, 539 - 569.
doi: 10.1146/annurev-psych-120710-100452

Rich, B. L., LePine, J. A., & Crawford, E. R. (2010). Job engagement: Antecedents and effects on job
performance. Academy of Management Journal, 53(3), 617-635. doi:10.5465/AMJ.2010.51468988

Saks, A. M. (2006). Antecedents and consequences of employee engagement. Journal of Managerial
Psychology, 21(7), 600-619. doi: 10.1108/02683940610690169

Sarstedt, M., Hair, J. F., Ringle, C. M., Thiele, K. O., & Gudergan, S. P. (2016). Estimation issues with PLS
and CBSEM: Where the bias lies! Journal of Business Research, 69(10), 3998-4010. doi:

Shokhsanam, Z., & Ahn, Y.-j. (2021). Employee Service Quality at Uzbekistani Halal Restaurants Amid
the COVID-19 Pandemic. Sustainability, 13(10), 5712. doi: 10.3390/su13105712

Shuck, B. (2011). Four Emerging Perspectives of Employee Engagement: An Integrative Literature
Review. Human Resource Development Review, 10(3), 304-328. doi: 10.1177/1534484311410840

Sirgy, M. J., Efraty, D., Siegel, P., & Lee, D.-J. (2001). A New Measure of Quality of Work Life (QWL)
Based on Need Satisfaction and Spillover Theories. Social Indicators Research, 55(3), 241-302 doi:

Siu, O.-l., Lu, J.-f., Brough, P., Lu, C.-q., Bakker, A. B., Kalliath, T., . . . Shi, K. (2010). Role resources and
work–family enrichment: The role of work engagement. Journal of Vocational Behavior, 77(3), 470-
480. doi: 10.1016/j.jvb.2010.06.007

Suhartanto, D., & Brien, A. (2018). Multidimensional engagement and store performance: The
perspective of frontline retail employees. International Journal of Productivity and Performance
Management, 67(5), 809-824. doi: 10.1108/IJPPM-03-2017-0065

Suhartanto, D., Dean, D., Nansuri, R., & Triyuni, N. N. (2018). The link between tourism involvement
and service performance: Evidence from frontline retail employees. Journal of Business Research,
83(Supplement C), 130-137. doi: 10.1016/j.jbusres.2017.10.039

Suhartanto, D., & Leo, G. (2018). Small business entrepreneur resistance of ICT adoption: a lesson from
Indonesia. International Journal of Business and Globalisation, 21(1), 5-18. doi:

Tenenhaus, S. M., Esposito, V., Chatelin, Y.-M., & Laura, C. (2005). PLS path modeling. Computational
Statistics & Data Analysis, 48(1), 159-205.