Employee loyalty has a positive influence on service quality. Employee loyalty towards organization a study of academician seema mehta,tarika singh, s. In order to test the impact of employee loyalty to the company. Kreisman, 2002 found that financial benefits enhance the employee loyalty and organizational commitment. An empirical study of employee loyalty, service quality. Employee loyalty towards organization a study of academician. The relationship between employee loyalty and organizational performance has long been. The mediating effect of employees loyalty in the relationship between empowerment and employees performance. Employee loyalty is the extent to which the personnel are faithful to the organization, having feelings of bonding, inclusion, care, responsibility and devotion towards it. It starts with the idea that the employee loyalty creates value for the organization. Abstract fred reichheld in his book, the loyalty effect, defines the loyalty as the willingness to make an investment or personal sacrifice to strengthen a.
The paper proposes a refined synthesis of the literature on the link. Satisfactory appraisal system is also necessary to have steady. However, employee commitment goes a step further than loyalty. A study on the impacts toward the loyalty of the employee. The most popular definition of job satisfaction is one developed by locke 1976. Abstract fred reichheld in his book, the loyalty effect, defines the loyalty as the willingness to make an investment or personal sacrifice to strengthen a relationship. He argued that financial benefits play a positive role in employees loyalty enhancement. Employee loyalty is all about employees being committed for the success of the organization with a strong belief that working with that particular organization is their best option. A study on the impacts toward the loyalty of the employee among the back of house staffs in hotel industry.
This statement is widely endorsed in the literature although there is little consensus on the definition of loyalty. This study examines intercorrelations of employee loyalty and engagement as independent variables and how they affect the performance of sales executives. The fact that employee loyalty affects service quality 0. Employee loyalty and the factors affecting it diva. This study examines intercorrelations of employee loyalty and engagement as. A loyal employee is happy to continue to work for the organisation, as is a committed employee. Loyalty stems from being loyal to the organisation because the organisation wants the best for you. Employee loyalty at the workplace international management. Loyalty, as a general term, signifies a persons devotion or sentiment of attachment to a particular object, which may be another person or group of persons, an ideal, a duty, or a cause. However, the study analyzed retention on the basis of individual factors basis. The purpose of this paper is to clarify the relationship between employee loyalty and organizational performance. The main purpose of this study is to define and model the approach of developing employee loyalty through human resource management policies by identifying. It should always be noted that the sole means of establishing loyalty in customers and keeping them regular customers of the organization is to. Customer loyalty, employee loyalty, organizational.
Since our analysis shows that service quality affects cost reduction 0. It can also be described as the extent to which there there is a general willingness among employees to make an investment or personal sacrifice for the good of the organization. Many researchers approached employee retention using a group of individual factors such as employee motivation 4, job satisfaction 1, and organizational culture 5. Factors influencing employee loyalty directly and indirectly through. Relationship between employees loyalty, organizational commitment and financial benefits j. The impact of employee loyalty on the success of commercial.
He defined employee job satisfaction as a pleasurable or positive emotional state. Employee loyalty is is a deliberate commitment to further the best interests of ones employer, even when doing so may demand sacrificing some aspect of ones selfinterest beyond what would be required by ones legal and other moral duties elegido, 20, p. Organisations are highly dependent on employees loyalty. Bhakar, brajesh sinha prestige institute of management, gwalior. What is the perception of employees with respect to the meaning of loyalty in. Loyal employees are faithful to the organisation and do their best in service providing, which has a direct and significant influence on the service companies performance. There are three main dimensions compacts in all companies. Therefore, they see a need for further research looking into both the definition of.
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