The role of organizational justice in the customer orientation– performance relationship

Abstract

Purpose While companies have increasingly encouraged employees to adopt a customer orientation, less attention has been given to the impact that customer orientation has on employees' job outcomes and performance. Previous research has used job demands-resource theory (JD-R) and proposed several mechanisms through which customer orientation influences performance, yet the intervening variables in the process have shown inconsistent results. The purpose of this paper is to investigate the contextual role of organizational justice on the relationship between customer orientation and performance through work engagement. In this way, offering more understanding of the contingent effects that intervene in the customer orientation-performance relationship. Design/methodology/approach Using a structural equation model (SEM) in a sample of 249 marketing, sales and management managers in Chilean companies, this paper tested different hypotheses concerning the role of work engagement, organizational justice and customer orientation in relation to perceived performance. Findings This study informs that organizational justice (procedural and distributive justice) moderates the relationship between customer orientation and performance through work engagement. Precisely, the findings reveal that at lower values of organizational justice, changes in customer orientation negatively influence work engagement and in turn performance. Originality/value The results contribute to strengthening customer orientation theory by integrating a contextual variable often omitted: organizational justice. By exploring the moderation effect of organizational justice on customer orientation, this paper reveals contingent effects of employees' perceived fairness on the organization in the relationship between customer orientation and performance through work engagement. The findings encourage managers to look after employees' perceived organizational justice when they implement customer-oriented approaches, in particular, of those employees who work in the frontline sales and service positions.