Impact of Employee Empowerment on Customer Oriented Behavior

Customer orientation philosophy emerges as one of the most important practices in the Organization. This article highlights the importance of customer-orientated behavior through making the customer's interest the first priority and concern for employees. As a result, long-term, mutual, and profitable relationships can be established between all parties. A customer-oriented firm has a greater chance of satisfying its customers than do firms that lack a customer orientation approach. This study aimed to measure the impact of employee empowerment on customer oriented behaviour in the commercial banks. The study addressed two perspectives of empowerment (i.e., structural and psychological empowerment). Frontline employees plays an excellent role in mediating the relationship between clients and service providers. Findings reveal that both forms of empowerment have a positive and significant impact on customer-oriented behavior. However, psychological empowerment has a stronger impact on customer-oriented behavior than does structural empowerment. Only three dimensions(communications, training, and knowledge and skills) have a significant positive impact on the dependent variable. In addition, three dimensions of psychological empowerment(meaning, competence and impact)have significant and positive impact on customer-oriented behavior. This study offers new insights into the existing literature and provides implications and directions for future research.