Towards understanding the role of organizational identification in service settings: A multilevel study spanning leaders, service employees, and customers

Abstract

Previous research has shown that organizational identification (OI) of leaders is positively related to employee OI and, in turn, linked to positive behaviours of employees towards the organization. In the present study, we argue that leader OI does not only affect variables at the employee level but, through its influence on employees, also contributes to important customer outcomes (i.e., customer satisfaction, customer loyalty, and customer recommendations). Drawing on self-concept based theories of leadership effectiveness and insights from service linkage research, the present article proposes that OI plays an important role in these influence processes. Additionally, the article delineates the behavioural and psychological variables that intervene employee OI and customer outcomes. More specifically, we suggest that leader OI is positively related to follower OI, which results in customer-oriented service behaviour. Customer orientation, in turn, should positively affect customers' identification with the organization and, ultimately, result in customer satisfaction, customer loyalty, and customer recommendations. Results of a multilevel field study using data from leaders, employees, and customers provide support for our theoretical model.

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