Service Performance in Banks: The Effects of Customer Relationship Management Systems Extended Usage

Luyao Xu

doi:10.54097/2bf0yj19

Authors

Luyao Xu

DOI:

https://doi.org/10.54097/2bf0yj19

Keywords:

Customer Orientation, CRMS Extended Usage, IS Infusion Model, Leader Substitutes Theory

Abstract

With the rapid development of information technology, customer relationship management systems (CRMS) have been widely adopted by banks and play a crucial role in customer development and retention. However, there are also numerous cases of CRMS implementation failures. Further, employees are enabled by CRMS to make service decisions with the support of leaders. The role of leaders in employees’ CRMS usage is understudied. Thus, based on the information systems diffusion model and the theory of leader substitutes, a research model is proposed and empirically tested. The results show that employee CRMS explorative usage has a positive impact on their service performance, while employee CRMS exploitative usage has a significant negative impact on service performance. Besides, significant leadership substitution effects are discussed in CRMS usage.

Downloads

Download data is not yet available.

References

Agarwal R., & Prasad J. 1998. A conceptual and operational definition of personal innovativeness in the domain of information technology. Information Systems Research. 9(2). pp.204-215.

Ahearne M., Jelinek R., & Rapp A. 2005. Moving the direct effect of SFA adoption on salesperson performance: training and support as key moderating factors. Industrial Marketing Management. 34(4). pp.379-388.

Auh S., & Mengue B. 2005. Balancing exploration and exploitation: the moderating role of competitive intensity. Journal of Business Research. 58(12). pp.1652-1661.

Barton D.L., & Deschamps I. 1998. Managerial influence in the implementation of new technology. Management Science. 34(10). pp.1252-1265.

Benitez J., Henseler J., Castillo A., & Schuberth F. 2020. How to perform and report an impactful analysis using partial least squares: guidelines for confirmatory and explanatory is research. Information & Management. 57(2). pp.103168.

Chen I.J. & Popovich K. 2003. Understanding customer relationship management (CRM): people, process and technology. Business Process Management Journal. 9(5). pp.672-688.

Chen G., Gully S.M., & Eden D. 2001. Validation of a new general self-efficacy scale. Organizational Research Methods. 4(1). pp.62-83.

Chen R.R., Ou C.X, Wang W., Peng Z. & Davison R.M. 2020. Moving beyond the direct impact of using CRM systems on frontline employees’ service performance: the mediating role of adaptive behavior. Information System Journal. 30(3). pp.458-491.

Chen Q.J., Wan M.F., & Wang Y.M. 2021. The influence of digital technology application on ambidextrous innovation of enterprises—empirical test based on organizational life cycle. Soft Science. 35(11).

Cooper R.B. & Zmud R.W. 1990. Information technology implementation research: a technological diffusion approach. Management Science. 36(2). pp.123-139.

Fassott G., Henseler J. & Coelho P.S. 2016. Testing moderating effects in PLS path models with composite variables. Industrial Management& Data Systems. 116(9). pp.1887-1900.

Feng J.Y. 2021. The influence of ambidextrous innovation on provincial innovation performance- the mediating effect of R&D expenditure and the moderating effect of learning absorptive ability. Taiyuan University of Technology.

Guerola-Navarro V., Raul O., Hermenegildo G. & Agustin I.F., 2021. Customer relationship management (CRM) and innovation: a qualitative comparative analysis (QCA)in the search for improvements on the firm performance in winery sector. Technological Forecasting & Social Change. 169. pp.120838.

Hannah S.T., Avolio B.J., Walumbwa F.O. & Chan A. 2012. Leader self and means efficacy: a multi-component approach. Organizational Behavior and Human Performance. 118, pp.143-161.

He Z.-L., & Wong P.-K. 2004. Exploration vs. Exploitation: An empirical test of the ambidexterity hypothesis. Organization Science. 15 (4). pp 481-494.

Henseler J. & Fassott G. 2010. Testing moderating effects in PLS path models: an illustration of available procedures. Handbook of Partial Least Squares (in book). pp.713-735.

Igbaria M. & Tan M. 1997. The consequences of information technology acceptance on subsequent individual performance. Information &Management. 32(3). pp.113-121.

Jansen J. J. P., Bosch F. A. J. V. D., & Volberda H. W. 2006. Exploratory innovation, exploitative innovation, and performance: effects of organizational antecedents and environmental moderators, Management Science. 52 (11). pp. 1661-1674.

Jasperson J., Carter P.E. & Zmud R.W. 2005. A comprehensive conceptualization of post-adoptive behaviors associated with information technology enabled work systems. MIS Quarterly. 29(3). pp.525-557.

Kerr S. & Jermier J.M. 1978. Substitutes for leadership: their meaning and measurement. Organizational Behavior and Human Performance. 22(3). pp.375-403.

Kuvaas B.& Buch R.2020. Leader self-efficacy and role ambiguity and follower leader-member exchange. Leadership & Organization Development Journal.41(1). pp. 118- 132.

Koo C., Chung N. & Kim H.W. 2015. Examing explorative and exploitative uses of smartphones: a user competence perspective. Information Technology. 28(1). pp133-162.

Kwok N., Shen W. & Brown D.J. 2020. I can, I am: differential predictors of leader efficacy and identify trajectories in leader development. The Leadership Quarterly. 32(5). pp.101422.

Li Y.F., Huang J.H. & Song T.T. 2018. Examining business value of customer relationship management systems: IT usage and two-stage model perspectives. Information Management. 56(3). pp.392-402.

Liu H., Wu S., Zhong C. & Liu Y. 2020. An empirical exploration of quality management practices and firm performance from Chinese manufacturing industry. Total Quality Management & Business Excellence. 32(15-16). pp. 1694-1712. DOI: 10.1080/14783363.2020.1769474.

Luo Y. & Ling H.2013. Exploration and exploitation of information systems usage and individual performance. Procedia Computer Science. 22. pp. 863-872.

March J.G. 1991. Exploration and exploitation in organizational learning. Organization Science. 2. pp.71-87.

Parthasarathy M., & Sohi R.S. 1997. Salesforce automation and the adoption of technological innovations by salespeople: theory and implications. Journal of business and industrial marketing. 12(3). pp.196-201.

Podsakoff P.M., Mackenzie S.B. & Lee J.Y. 2003. Common method biases in behavioral research: a critical review of the literature and recommended remedies. Journal of Applied Psychology. 88(5). pp.879-903.

Roh T.H., Ahn C.K. & Han I. 2005. The priority factor model for customer relationship management system success. Expert Systems with Applications. 28(4). pp.641-654.

Roman S. & Lacobucci D. 2010. Antecedents and consequences of adaptive selling confidence and behavior: a dyadic analysis of salespeople and their customers. Journal of the Academy of Marketing Science. 38(3). pp.363-382.

Saga V. & Zmud R.W. 1994. The nature and determinants of IT acceptance, routinization and infusion. In Levine, L. (Ed.), Diffusion, Transfer, and Implementation of Information Technology. Elsevier Science Inc. New York. NY. pp.67-86.

Subramani M. 2004. How do suppliers benefit from information technology use in supply chain relationship? MIS Quarterly. 28(1). pp.45-73.

Suki N.M & Ramayah T. 2011. Understanding consumer intention with respect to purchase and use of pirated software. Information Management & Computer Security. 19(3). pp.195-210.

Wang X.J. 2020. A multi-level research on the impact of employee-customer value co-creation on service innovation. Jilin University.

Wu Y.C. 2010. An exploration of substitutes for leadership: problems and prospects. Social Behavior and Personality. 38(5). pp.583-595.

Xu X.D. & Wang X.Y. 2008.Leadership substitution: a new perspective for the study of leadership effectiveness. Human Resources Development of China. (09). pp.10-13.

Yin K., Wang C.F. & Zhang K.L. 2017.Substitutes for leadership theory: a literature review and prospects. Foreign Economics& Management. 39(11). pp.61-76.

Yukl G.A. 2006. Leadership in organization (6th ed.). Upper Saddle River. NJ: Prentice Hall.

Zablah Alex R., George R. Franke, Tom J. Brown, & Darrell E. Bartholomew. 2012. How and when does customer orientation influence frontline employee job outcomes? A meta-analytic evaluation. Journal of Marketing. 76(3). pp.21-40.

Zhang L.L. 2021. The impact of customer-oriented atmosphere on employees’ proactive behaviors. Research on Financial and Economic Issues. 9(14).