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abstract Drawing from the organizational behaviour and services marketing literature, we develop a conceptual model of self‐managing team (SMT) service climate, taking into account characteristics of the organizational context, the SMT, and the individual employee. In order to assess the impact of SMT service climate, we include a number of internal consequences (i.e., in‐company performance data) and external service performance outcomes (i.e., customer‐perceived service quality). As a result of the hierarchically nested data‐structure (i.e., groups and individuals), we investigate the antecedents of SMT service climate in service groups using a multi‐level approach. Our results reveal that organizational and group factors have a significant cross‐level influence on individual employee perceptions of SMT service climate. Furthermore, we demonstrate that employee perceptions of SMT service climate are positively related to customer‐perceived service quality, while there is no relationship with service productivity measures.
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