Exam 3: Attitudes and Job Satisfaction

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The evidence indicates that satisfied employees increase customer satisfaction and loyalty.In service organisations,customer retention and defection are highly dependent on how frontline employees deal with customers.Reports show that low employee morale was a major factor undermining employee satisfaction.

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Recently,a review of more than 300 studies corrected some errors in that earlier review and found the correlation between job satisfaction and job performance to be moderately strong,even across international contexts.The correlation is higher for complex jobs that provide employees with more discretion to act on their attitudes.A review of 16 studies that assessed job performance and satisfaction over time also linked job satisfaction to job performance and suggested that the relationship mostly works one way: satisfaction was a likely cause of better performance,but higher performance was not a cause of higher job satisfaction.At the organisational level,research finds that organisations with more satisfied employees tend to be more effective than organisations with less satisfied employees.