Employee and customer loyalty: two targets, one endeavor?

Abstract

Purpose

Recently, leading scholars suggested that firms should align strategic and tactical human resource management efforts to cope with growing turnover rates, and that the human resource management field should broaden its scope by embracing the views of all stakeholders. In this research paper, the authors aim to present a study inquiring about the influence of the implementation of an employee experience strategy on employee loyalty and the effect of employee loyalty on customer loyalty in a firm operating in the service sector.

Design/methodology/approach

The authors used longitudinal data collected yearly from 2020 to 2022. Overall, 766 employees participated in the longitudinal study. The authors also analyzed cross-sectional data from 166 employees and their customers.

Findings

The study’s results suggest that implementing an employee experience strategy increases employee loyalty. The study’s findings also indicate that organizations implementing such a human resource management strategy reach employee and customer loyalty.

Originality/value

There is a lack of evidence about the positive effect of the alignment of an employee experience strategy and tactics on different organizational stakeholders. This study provides insights for scholars and practitioners willing to use the employee and customer experience framework to positively impact organizations.

Citation

Pelaez M, S. and Roman Calderon, J.P. (2023), "Employee and customer loyalty: two targets, one endeavor?", Personnel Review, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/PR-01-2023-0035