Employee and customer perceptions: Their relationship to organisational performance in a franchise system

Natasha Johnston; Wendy Spinks; Mark L Manning

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Employee and customer perceptions: Their relationship to organisational performance in a franchise system

Journal article

Open access

Peer reviewed

Employee and customer perceptions: Their relationship to organisational performance in a franchise system

Natasha Johnston, Wendy Spinks and Mark L Manning

Journal of New Business Ideas and Trends, Vol.8(1), pp.35-49

2010

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Abstract

Business and Management

organisational climate

customer satisfaction

franchise

human resource management

Purpose - The purpose of this study is to investigate, within a franchise system, relationships between organisational climate, customer satisfaction (measured directly and indirectly) and two measures of organisational performance (customer post purchase behavioural intentions and net sales). Design/methodology/approach - Nineteen units of a coffee franchise system were investigated. Data were collected from employees and customers via respondentcompletion surveys. Net sales data were provided by the master franchisee. Hypotheses were tested using multiple linear regression and correlation analyses. Findings - Significant relationships were found between organisational climate, customer satisfaction and customer post purchase behavioural intentions. Net sales, however, were not related to customer satisfaction. In contrast to previous studies no correlation was found between direct and indirect measures of customer satisfaction. Research limitations/implications - This study was limited to one coffee franchise group's activities in one culturally homogeneous country. Further research involving a variety of franchised operations across a range of geographic/cultural contexts would provide more generalisable results.

Details

Title: Employee and customer perceptions: Their relationship to organisational performance in a franchise system
Authors: Natasha Johnston (Author) - University of the Sunshine Coast - Faculty of Business
Wendy Spinks (Author) - University of the Sunshine Coast - Faculty of Business
Mark L Manning (Author) - University of the Sunshine Coast - Faculty of Business
Publication details: Journal of New Business Ideas and Trends, Vol.8(1), pp.35-49
Publisher: U B P Consulting and Publishing
Date published: 2010
ISSN: 1446-8719
Organisation Unit: University of the Sunshine Coast, Queensland; USC Business School - Legacy
Language: English
Record Identifier: 99449730102621
Output Type: Journal article

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