Skip to main content
Log in

Management of frontline financial sales personnel

  • Original Article
  • Published:
Journal of Financial Services Marketing Aims and scope Submit manuscript

Abstract

The employee turnover rate within the financial services industry is one of the highest among all industries. Studies demonstrate that a salesperson’s organizational commitment and propensity to leave are impacted by job satisfaction and emotional exhaustion. This study examines the relationships among emotional exhaustion, organizational commitment, propensity to leave and the facets of job satisfaction. Findings support that: (i) financial services salespeople’s propensity to leave is influenced by emotional exhaustion, (ii) emotional exhaustion is mediated by multi-faceted job satisfaction in predicting organizational commitment and (iii) the facets of job satisfaction are, in part, mediated by organizational commitment in predicting propensity to leave.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Figure 1

Similar content being viewed by others

References

  • Ayal, I. and Maimon, Z. (1978) Sales demands on securities brokers. Industrial Marketing Management 7 (3): 161–169.

    Article  Google Scholar 

  • Babakus, E., Cravens, D.W., Johnston, M. and Moncrief, W.C. (1999) The role of emotional exhaustion in sales force attitude and behavior relationships. Journal of the Academy of Marketing Science 27 (1): 58–70.

    Article  Google Scholar 

  • Barrutia, J.M., Charterina, J. and Gilsanz, A. (2009) Salesperson empowerment in Spanish banks: A performance-driven view. Journal of Financial Services Marketing 14 (1): 40–55.

    Article  Google Scholar 

  • Bedian, A.G. and Achilles, A. (1981) A path analytic study of the consequences of role conflict and ambiguity. Journal of Management Journal 24 (June): 417–424.

    Google Scholar 

  • Bergeron, J. and Laroche, M. (2009) The effects of perceived salesperson listening effectiveness in the financial industry. Journal of Financial Services Marketing 14 (1): 6–25.

    Article  Google Scholar 

  • Boles, J.S., Johnston, M.W. and Hair, J.F. (1997) Role stress, work-family conflict and emotional exhaustion: Inter-relationships and effects on some work related consequences. Journal of Personal Selling and Sales Management 17 (1): 17–28.

    Google Scholar 

  • Boles, J.S., Madupalli, R., Rutherford, B.N. and Wood, J.A. (2007) The relationship of facets of salesperson job satisfaction with affective organizational commitment. Journal of Business & Industrial Marketing 22 (5): 311–321.

    Article  Google Scholar 

  • Brashear, T.G., Manolis, C. and Brooks, C.M. (2005) The effects of control, trust, and justice on salesperson turnover. Journal of Business Research 58 (3): 241–249.

    Article  Google Scholar 

  • Brown, S.P. and Peterson, R.A. (1993) Antecedents and consequences of salesperson job satisfaction: Meta-analysis and assessment of causal effects. Journal of Marketing Research 30 (1): 63–77.

    Article  Google Scholar 

  • Chonko, L. and Burnett, J. (1983) Measuring the importance of ethical situations as a source of role conflict: A survey of salespeople, sales managers, and sales support personnel. Journal of Personal Selling & Sales Management 3 (1): 41–47.

    Google Scholar 

  • Churchill, G.A., Ford Jr, N.M. and Walker Jr, O.C. (1974) Measuring the job satisfaction of industrial salesmen. Journal of Marketing Research 11 (3): 254–260.

    Article  Google Scholar 

  • Clugston, M. (2000) The mediating effects of multidimensional commitment on job satisfaction and intent to leave. Journal of Organizational Behavior 21 (4): 477–486.

    Article  Google Scholar 

  • Comer, J.M., Machleit, K.A. and Lagace, R.R. (1989) Psychometric assessment of a reduced version of INDSALES. Journal of Business Research 18 (4): 291–302.

    Article  Google Scholar 

  • Cordes, C.L. and Dougherty, T.W. (1993) A review and an integration of research on job burnout. Academy of Management Review 18 (4): 621–656.

    Google Scholar 

  • Cropanzano, R., Rupp, D.E. and Byrne, Z.S. (2003) The relationship of emotional exhaustion to work attitudes, job performance and organizational citizenship behaviors. Journal of Applied Psychology 88 (1): 160–169.

    Article  Google Scholar 

  • Crosby, L.A., Evans, K.R. and Cowles, D. (1990) Relationship quality in service selling: An interpersonal influence perspective. Journal of Marketing 54 (3): 68–81.

    Article  Google Scholar 

  • Farkas, A.J. and Tetrick, L.E. (1989) A three-wave longitudinal analysis of the causal ordering of satisfaction and commitment on turnover decisions. Journal of Applied Psychology 74 (6): 855–868.

    Article  Google Scholar 

  • Flood, P.C., Turner, T., Ramamoorthy, N. and Pearson, J. (2001) Causes and consequences of psychological contracts among knowledge workers in the high technology and financial services industries. International Journal of Human Resource Management 12 (7): 1152–1165.

    Article  Google Scholar 

  • Fornell, C. and Larker, D.F. (1981) Evaluating structural equation models with unobservable variables and measurement error. Journal of Marketing Research 18 (1): 39–50.

    Article  Google Scholar 

  • Friend, S.B., Johnson, J.S., Rutherford, B.N. and Hamwi, G.A. (2013) INDSALES model: A facet-level job satisfaction model among salespeople. The Journal of Personal Selling and Sales Management 33 (4): 419–438.

    Article  Google Scholar 

  • Gaines, J. and Jermier, J.M. (1983) Emotional exhaustion in a high stress organization. Academy of Management Journal 26 (4): 567–586.

    Article  Google Scholar 

  • Gehling, R., Turner, D. and Rutherford, B. (2007) Defining the proposed factors for small business online banking: Interviewing the IT professionals. Journal of Financial Services Marketing 12 (3): 189–196.

    Article  Google Scholar 

  • Hair, J.F., Black, W.C., Babin, B.J. and Anderson, R.E. (2010) Multivariate Data Analysis. New Jersey: Oearson Education.

    Google Scholar 

  • Hoffman, D.K. and Ingram, T.N. (1992) Service provider job satisfaction and customer-oriented performance. Journal of Service Marketing 6 (2): 68–78.

    Article  Google Scholar 

  • Hollet-Haudebert, S., Mulki, J.P. and Fournier, C. (2011) Neglected burnout dimensions: Effect of depersonalization and personal nonaccomplishment on organizational commitment of salespeople. Journal of Personal Selling & Sales Management 31 (4): 411–428.

    Article  Google Scholar 

  • Igbaria, M. and Guimaraes, T. (1993) Antecedents and consequences of job satisfaction amount information center employees. Journal of Management Information Systems 9 (4): 145–174.

    Article  Google Scholar 

  • Jaramillo, F., Mulki, J.P. and Locander, W.B. (2006) The role of time wasted in sales force attitudes and intention to quit. International Journal of Bank Marketing 24 (1): 24–36.

    Article  Google Scholar 

  • Johnston, M.W., Parasuraman, A., Futrell, C.M. and Black, W.C. (1990) A longitudinal assessment of the impact of selected organizational influences on salespeople’s organizational commitment during early employment. Journal of Marketing Research 17 (August): 333–344.

    Article  Google Scholar 

  • Kahn, H. (2001) Stress in the financial sector. In: J. Dunham (ed.) Stress in the Workplace: Past, Present and Future. London: Whurr Publishers, pp. 90–108.

    Google Scholar 

  • Karatepe, O.M. and Tekinkus, M. (2006) The effects of work-family conflict, emotional exhaustion, and intrinsic motivation on job outcomes of front-line employees. International Journal of Bank Marketing 24 (3): 173–193.

    Article  Google Scholar 

  • Klein, D. and Verbeke, W.J.M.I. (1999) Autonomic feedback in stressful environments: How do individual differences in autonomic feedback relate to burnout, job performance, and job attitudes in salespeople? Journal of Applied Psychology 84 (6): 911–924.

    Article  Google Scholar 

  • Lagace, R.R., Goolsby, J.R. and Gassenheimer, J.B. (1993) Scaling and measurement: A quasi-replicative assessment of a revised version of INDSALES. Journal of Personal Selling & Sales Management 13 (1): 65–72.

    Google Scholar 

  • Lee, R.T. and Ashforth, B.E. (1996) A meta-analytic examination of the correlates of the three dimensions of job burnout. Journal of Applied Psychology 81 (2): 123–133.

    Article  Google Scholar 

  • Leiter, M.P. and Maslach, C. (1988) The impact of interpersonal environment on burnout and organization commitment. Journal of Organizational Behavior 9 (4): 297–308.

    Article  Google Scholar 

  • Locke, E.A. (1969) What is job satisfaction? Organizational Behavior and Human Performance 4 (4): 309–336.

    Article  Google Scholar 

  • Maslach, C. and Jackson, S. (1981) The measurement of experienced burnout. Journal of Occupational Behavior 2 (2): 99–113.

    Article  Google Scholar 

  • Miller, A., Sprigen, K., Gordon, J., Cohn, B., Drew, L. and Barrett, T. (1988) Stress on the job. Business Week 25 April: 40–45.

  • Montgomery, D.C., Blodgett, J.G. and Barnes, J.H. (1996) A model of financial securities salespersons’ job stress. Journal of Service Marketing 10 (3): 21–38.

    Article  Google Scholar 

  • Mowday, R.T., Steers, R.M. and Porter, L.W. (1979) The measurement of organizational commitment. Journal of Vocational Behavior 14 (2): 224–247.

    Article  Google Scholar 

  • Murray, K.B. and Schlacter, J.L. (1990) The impact of services versus goods on consumers’ assessment of perceived risk and variability. Journal of the Academy of Marketing Science 18 (1): 51–65.

    Article  Google Scholar 

  • Naumann, S.E. and Bennett, N. (2000) A case for procedural justice climate: Development and test of a multilevel model. Academy of Management Journal 43 (5): 881–889.

    Article  Google Scholar 

  • Netemeyer, R.G., Johnston, M.W. and Burton, S. (1990) Analysis of role conflict and ambiguity in structured equations framework. Journal of Applied Psychology 75 (April): 148–157.

    Article  Google Scholar 

  • Park, J.K., Chung, H.E. and Rutherford, B. (2011) Social perspectives of e-contact center for loyalty building. Journal of Business Research 64 (1): 34–38.

    Article  Google Scholar 

  • Parasuraman, A. and Futrell, C.M. (1983) Demographics, job satisfaction, and propensity to leave of industrial salesmen. Journal of Business Research 11 (1): 33–48.

    Article  Google Scholar 

  • Porter, L.W., Steers, R.M., Mowday, R.T. and Boulian, P.V. (1974) Organizational commitment, job satisfaction and turnover among psychiatric technicians. Journal of Applied Psychology 59 (5): 603–609.

    Article  Google Scholar 

  • Rajatanavin, R. and Speece, M. (2004) The sales force as an information transfer mechanism for new service development in the Thai insurance industry. Journal of Financial Services Marketing 8 (3): 244–258.

    Article  Google Scholar 

  • Rutherford, B.N., Boles, J.S., Hamwi, A.G., Madupalli, R. and Rutherford, L. (2009) The role of the seven dimensions of job satisfaction in salesperson’s attitudes and behaviors. Journal of Business Research 62 (11): 1146–1151.

    Article  Google Scholar 

  • Rutherford, B.N., Park, J.K. and Han, S.L. (2011a) Increasing job performance and decreasing salesperson propensity to leave: An examination of an Asian sales force. Journal of Personal Selling & Sales Management 31 (2): 171–183.

    Article  Google Scholar 

  • Rutherford, B.N., Hamwi, A., Friend, S.D. and Hartmann, N. (2011b) Measuring salesperson burnout: A reduced Maslach burnout inventory for sales researchers. Journal of Personal Selling & Sales Management 31 (4): 429–440.

    Article  Google Scholar 

  • Rutherford, B.N., Wei, Y., Park, J.K. and Hur, W.M. (2012) Increasing job performance and reducing turnover: An examination of Chinese female salespeople. Journal of Marketing Theory and Practice 20 (4): 421–434.

    Article  Google Scholar 

  • Sager, J.K. (1994) A structural model depicting salespeople’s job stress. Journal of the Academy of Marketing Science 22 (1): 74–84.

    Article  Google Scholar 

  • Schaubroeck, J., Cotton, J.L. and Jennings, K.R. (1989) Antecedents and consequences of role stress: A covariance structure analysis. Journal of Organizational Behavior 10 (1): 35–58.

    Article  Google Scholar 

  • Schwepker Jr, C.H. (2001) Ethical climate’s relationship to job satisfaction, organizational commitment, and turnover intention in the salesforce. Journal of Business Research 54 (1): 39–52.

    Article  Google Scholar 

  • Shepherd, C.D., Tashchian, A. and Ridnour, R.E. (2011) An investigation of the job burnout syndrome in personal selling. Journal of Personal Selling & Sales Management 31 (4): 397–410.

    Article  Google Scholar 

  • Smith, P.C., Kendall, L.M. and Hulin, C.L. (1969) The Measurement of Satisfaction in Work and Retirement; a Strategy for the Study of Attitudes. Chicago, IL: Rand McNally.

    Google Scholar 

  • Williams, L.J. and Hazer, J.T. (1986) Antecedents and consequences of satisfaction and commitment in turnover models: A re-analysis using latent variable structural equation models. Journal of Applied Psychology 71 (2): 219–231.

    Article  Google Scholar 

  • Wood, V.R., Chonko, L.B. and Hunt, S.D. (1986) Social responsibility and personal success: Are they incompatible? Journal of Business Research 14 (3): 207–8.

    Article  Google Scholar 

  • Wunder, R.S., Dougherty, T.W. and Welsh, M.A. (1982) A casual model of role stress and employee turnover. Proceedings of the Academy of Management Conference; August.

  • Yavas, U. (2006) How similar are frontline bank employees’ perceptions of service quality to their customers? A study of female customers and employees in Turkey. Journal of Financial Services Marketing 12 (1): 30–38.

    Article  Google Scholar 

  • Zeithaml, V.A., Parasuraman, A. and Berry, L.L. (1985) Problems and strategies in services marketing. Journal of Marketing 49 (2): 33–46.

    Article  Google Scholar 

  • Zellars, K.L., Perrewé, P.L. and Hochwarter, W.A. (2000) Burnout in health care: The role of the five factors of personality. Journal of Applied Social Psychology 30 (8): 1570–1598.

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Rights and permissions

Reprints and permissions

About this article

Check for updates. Verify currency and authenticity via CrossMark

Cite this article

Oh, JH., Park, J. & Rutherford, B. Management of frontline financial sales personnel. J Financ Serv Mark 19, 208–220 (2014). https://doi.org/10.1057/fsm.2014.19

Download citation

  • Received:

  • Revised:

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1057/fsm.2014.19

Keywords

Navigation