LITERATURE REVIEW: IMPACT OF EMPLOYEE SATISFACTION ON HOSPITALITY PERFORMANCE Literature Review 1. Introduction In the modern day world where the impact of business and industries is totally dependent upon the amount of satisfaction of the employees, it is very important to formulate the schemes and plans to make sure that the employees are wholly appreciable. According to the views of Sageer, Rafat and Agarwal (2012), Hospitality industry, being a core service industry is totally dependent on the plans and communication skills of the employees and to be better at it, they need to be happy at the work space, they are indulging in. Service industry is defined as the field of business that works for the satisfaction of the customer either by providing work to the customers or by the goods without being involved in the process of manufacturing. According to the views of Abraham (2012) the service industry is related to the scheme of customer satisfaction and for the very fact has to maintain the wellness and satisfaction level of the employees itself. The importance of employee satisfaction, therefore, in the mentioned industry is immense for which a number of impacts are there in the due course. The impacts of the employee satisfaction on the hospitality industry can be segregated into both positive and negative impacts. The following literature review highlights on the impacts of employee satisfaction on the hospitality performance. The following paragraphs highlight the concept of employee satisfaction, hospitality industry along with the importance of employee satisfaction in the sector. 2. Hospitality Industry: Definition and concept According to Frey, Bayn and Totzek (2013), Industry is defined as the place or service which is related to the production of goods for the masses in the major course of time. The industrial sector of the industry is related to the various means of the service including the manufacturing sector and the service sector of the concerned time. The manufacturing sector is defined as the sector that is related to the production of goods and services in the concerned time with the help of raw materials that is being manufactured in the same time. According to Brotherton (2012), the service industry is the industry which is related to the providing of the service and the work to the customers without being involved in any sort of the production process in the concerned period of time. The service industry has many sectors in it out of which the hospitality sector is of prime importance. Hospitality sector is defined as the category of service industry which is related to the fields of services of the lodging, hotels, restaurants and the transportation industry of the concerned sector. According to Frey, Bayn and Totzek (2013), the sector of the hospitality sector is a billion dollar industry that is dependent on a number of factors like maintenance of the sector and the concept of direct operation in the industry. There are a number of sectors in the hospitality industry which is related to the sectors of accommodation and travel and tourism. The concept of hospitality industry is important with reference to the service industry as with the amount of the hospitality sector in the concerned industry as with the importance of the employee satisfaction in the concerned sector of the industry. . According to the views of Abraham (2012), Employee satisfaction is one of the major industries of the sector which focusses on the relevancy of the industries in the concerned sector. It is surely one of the major sectors that is related to the hospitality sector and help to make sure that the industry is relatively related to the satisfaction factor of the industrial sector. 3. Employee Satisfaction: Definition and concept According to Boella and Goss-Turner (2013), Employee satisfaction is one of the major concepts when it comes to the working of the service industry and is defined as the amount of satisfaction that the employees have in terms of the work and the level of their jobs. The whole concept is abstract and subjective to the core as it cannot be measured in terms of any measurement tool but the level of satisfaction can be measured using a tool of the employee satisfaction survey that is to be accepted by the organization for the measurement of the satisfaction level (Vasquez 2014). There are a number of factors that affect the amount of satisfaction that is there in the employee section which are measured by the organization for the concerned period of time. According to the views of Sageer, Rafat and Agarwal (2012), the amount of satisfaction of the employees of the firm is measured by a large amount of factors like the amount of compensation that the employee derives from the industries with special emphasis to the perceptions of the management sector and flexibility of the employees in the concerned time span. The importance of the concept of employee satisfaction in the hospitality industry is of prime level as this will help the industry to flourish with the level of the amount of employee satisfaction and the customers being of utmost importance. The hospitality industry is a service based industry which is prone to the concept of employee satisfaction in terms of the amount of facilities that is being given by the people of the industry in the concerned period of time. According to Boella and Goss-Turner (2013), the employee of the industry are the major forces that helps to make sure that all the customers of the industry are happy with the services which is given by the employees in the concerned period of time. 4. Importance of Employee Satisfaction on Hospitality Performance The hospitality industry is related to the fact of employee satisfaction in the concerned period of time as it is related to the servings of the employees. According to the views of Shooshtarian, Ameli and Amini Lari (2013), the importance of the employee satisfaction in the hospitality industry is of immense importance as it helps the industry to flourish and help to maintain equal and cordial relationship with the customers who are the main motivators of the industries. The principle importance of the employee satisfaction of the hospitality performance is related to the fact that the course of employee satisfaction is of major help in the concerned time span. According to Ko and Hur (2014), in response to the importance of employee satisfaction, it is of great value as it makes the hospitality performance better and help to make sure that the customers are highly satisfied in the course of the time. 5. Impact of Employee Satisfaction on the Hospitality Industry There are a number of impacts, both on the positive and the negative side of the story that is related to the employee satisfaction of the employees in the longer period of time. The impacts of the employee satisfaction on the hospitality performance are as follows To maintain the relation between the customer and the employee One of the major impact of the concept of employee satisfaction in the hospitality sector is to maintain the relation between the customer and the employee. According to Karatepe (2013), the customer and the employee of the hospitality sector is the major instance of the sector who are there on both the extremes of the industry. The relation between the customer and the employee is of prime importance as this makes sure that the customer becomes the returning customer to the hospitality sector (Rast and Tourani 2012). The hospitality sector being a service industry is one of the major industrial phases that promises to give the customer full satisfaction in terms of the experience that they have in the hotel or restaurant or the transportation sector in the concerned time span. According to Ko and Hur (2014), with the satisfaction of the concerned sector is to make sure that the amount of employee satisfaction is of prime importance as with the employee satisfaction, the customers will be satisfied as they will get their desired level of service from a person who is himself/ herself happy with the work space. Better working from the employees One of the principle impacts of the employee satisfaction in the hospitality performance is the better working of the employees. If the employees of the hospitality sector is happy and satisfied in their own lives and it gives them immense pleasure to work for a particular sector and the industrial output of the certain cases, then the working of the employees is of great importance. According to the views of Shooshtarian, Ameli and Amini Lari (2013), the satisfaction level is directly proportional to the amount of work which is better in the course of time. The better working of the employees is of prime importance as it can give the required sector the business and the profit that is required for the working of the industrial sector and the amount of business that is given by the employees to the concerned sector. High employee turnover rate One of the basic needs of any employment sector is the want to have a high turnover rate in terms of employees so that the employees who are working for the employers and who are ready to make sure that their work module is given the concerned sector. The high employee turnover rate is of great importance as it makes sure that the employees who are willing to work for the sector are given proper attributes for doing the same. According to Vasquez (2014), the high employee turnover rate makes sure that the concerned sector becomes the employer of choice which is one of the chief motivating factors for any employment industry and which enables an industry to have the required amount of satisfaction level in the concerned sector. With the amount of employee satisfaction, the high employee turnover rate is to make sure that that the employees working for the industries are given the amount of satisfaction so that they are present for all the days working for the sector. According to the views of Tsai et al. (2015), being a 24*7 industry which serves the employees all time in a day, then the employee satisfaction of the industry is there in the concerned sector. The high employee turnover rate is measured due to the hospitality industry being one of the major industries that has the requirement of the high employee turnover and satisfaction of the customers in the concerned time. Sector of employee preference The sector of the employee preference is there in the concerned hospitality sector as this means that the employees have the preference to work for the industry in the specified period (Sarwar and Abugre 2013)s. If the employee prefer the industry over the other industry, there is a possibility that the sector is better in terms of the production and other factors that motivates the industries in the concerned time span. According to the views of Manhas and Tukamushaba (2015), the employee preference is directly affected by the amount of satisfaction of the employees as this helps the employees to have a genuine reason to be the major influence in the course of time. The sector of the employee preference is there in the employee satisfaction level and is to be measured by the amount of work being done by the employees in the arena of hospitality performance sector. Maintaince of recruitment in the hospitality sector The maintenance of the recruitment rate in the hospitality sector is one of the major instances that measures the amount of positivity that the hospitality sector has. According to the views of Manhas and Tukamushaba (2015), the recruitment factor is one of the major instances that help to measure the amount of employee inflow that a particular sector has in terms of the amount of employees employed and the amount of recruitment features in the concerned services. The hospitality sector is one of the major sectors that has a great influence on the employee satisfaction and helps to measure the amount of the recruitment that the concerned sector has in terms of the hospitality industry (Sarwar and Abugre 2013). Good referral code from other employees The good referral code of the employees is one of the major impacts that the sector has in terms of the employee satisfaction level in hospitality performance sector. According to the opinions of Jeon and Choi (2012), the referral system is created to have a look at the amount of reference that one company has in terms of the employees in the concerned time span. With the increase in the amount of reference code, it is evident that the sector is great and is of great value to the employees in the concerned time span. With the greater the amount of employee satisfaction, it is evident that the sector mentioned has good employee outcome and that it has received great reference system in the concerned time span. Better productivity With the greater amount of employee satisfaction in the concerned time span, there is a scope of better productivity of the people in the concerned time span. According to the opinions of Jeon and Choi (2012), with the better productivity of the sense, it implies that there is a scope for better productivity which implies that with the greater amount of employee satisfaction, there is a scope for greater productivity of the employees. Happy customer service With the greater amount of customer satisfaction, there is scope of happy customers which means increase in business in the concerned time span. According to the views of Tsui, Lin and Yu (2013), with the happy customer service, it becomes evident that the employees of the firm are getting good results of their work resulting in greater employee turnover and satisfaction rate. Profit of the business organization The chief result of the customer satisfaction is the profit of the business firm that is there in the organization for the concerned time span. With the greater amount of customer satisfaction, there is a scope of greater business among the employees of the organization and also the greater profit in the same sector (Lai, Kan and Ulhas 2013). Employee satisfaction means that the employees are more interested to work which means that the employees are giving their best as a result of which there is more business and more profit in the hospitality performance. 6. Summary At the end of the report, it can be said that employee satisfaction is related to the performance of the hospitality sector in the concerned time span as it heavily impacts the working of the sector and has a large impacts on the performance. There are a number of instances that makes the employee satisfaction of the sector concerned with a number of factors and have impacts which are being discussed in the concerned report. Overall, the impacts are great and has to be concerned by the authorities at every space. 7. Reference Abraham, S., 2012. Development of employee engagement programme on the basis of employee satisfaction survey.Journal of Economic Development, Management, IT, Finance, and Marketing,4(1), p.27. Boella, M. and Goss-Turner, S., 2013.Human resource management in the hospitality industry: A guide to best practice. Routledge. Brotherton, B. ed., 2012.International Hospitality Industry. Routledge. Frey, R.V., Bayn, T. and Totzek, D., 2013. How customer satisfaction affects employee satisfaction and retention in a professional services context.Journal of Service Research,16(4), pp.503-517. Jain, R. and Kaur, S., 2014. Impact of work environment on job satisfaction.International Journal of Scientific and Research Publications,4(1), pp.1-8. Jaksic, M. and Jaksic, M., 2013. Performance management and employee satisfaction.Montenegrin journal of economics,9(1), p.85. Jeon, H. and Choi, B., 2012. The relationship between employee satisfaction and customer satisfaction.Journal of Services Marketing,26(5), pp.332-341. Karatepe, O.M., 2013. High-performance work practices and hotel employee performance: The mediation of work engagement.International Journal of Hospitality Management,32, pp.132-140. Ko, J. and Hur, S., 2014. The impacts of employee benefits, procedural justice, and managerial trustworthiness on work attitudes: Integrated understanding based on social exchange theory.Public Administration Review,74(2), pp.176-187. Lai, J.Y., Kan, C.W. and Ulhas, K.R., 2013. Impacts of employee participation and trust on e-business readiness, benefits, and satisfaction.Information Systems and e-Business Management,11(2), pp.265-285. Manhas, P.S. and Tukamushaba, E.K., 2015. Understanding service experience and its impact on brand image in hospitality sector.International Journal of Hospitality Management,45, pp.77-87. Rast, S. and Tourani, A., 2012. Evaluation of employees job satisfaction and role of gender difference: An empirical study at airline industry in Iran.International Journal of Business and Social Science,3(7). Sageer, A., Rafat, S. and Agarwal, P., 2012. Identification of variables affecting employee satisfaction and their impact on the organization.IOSR Journal of business and management,5(1), pp.32-39. Sarwar, S. and Abugre, J., 2013. The influence of rewards and job satisfaction on employees in the service industry.The Business & Management Review,3(2), p.22. Shooshtarian, Z., Ameli, F. and Amini Lari, M., 2013. The effect of labors emotional intelligence on their job satisfaction, job performance and commitment.Iranian Journal of Management Studies,6(1), pp.27-43. Tsai, C.Y., Horng, J.S., Liu, C.H. and Hu, D.C., 2015. Work environment and atmosphere: The role of organizational support in the creativity performance of tourism and hospitality organizations.International Journal of Hospitality Management,46, pp.26-35. Tsui, P.L., Lin, Y.S. and Yu, T.H., 2013. The influence of psychological contract and organizational commitment on hospitality employee performance.Social Behavior and Personality: an international journal,41(3), pp.443-452. Vasquez, D., 2014. Employee retention for economic stabilization: A qualitative phenomenological study in the hospitality sector.
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