INFLUENCE OF SERVICESCAPE ON EMPLOYEE PERFORMANCE IN COMMERCIAL BANKS IN KENYA: THE MODERATING ROLE OF EMPLOYEE MOTIVATION: A SURVEY OF MOMBASA COUNTY
Hussein, Gulam A.
, Kanyanjua D
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The purpose of the study was to analyse the influence of servicescape on employee performance in commercial banks in Kenya by conducting a survey in Mombasa County. The study adopted a correlational design. The target population of the study comprised of all individuals in employment with commercial banks based in Mombasa County. Random sampling was employed in constituting the sample since it enables inclusion of all the categories of commercial banks. A sample size consisting of 150 respondents was selected who were drawn from all the three bank tiers and from various departments of their respective bank including operations, customer service, relationship, cash, sales, credit, cards, treasury and trade finance department. The primary data was collected through a semi-structured questionnaire. To help in the determination of the relationship between servicescape and employee performance, a regression model was used. The study found out that commercial banks largely put in place measures to ensure ambient working conditions, good spatial layout and adopted the use of signage to a large extent. The study concluded that there is a significant relationship between servicescape and employee performance such that 11.7% of variations in employee performance is expressed by variations in spatial layout, ambient conditions and signage. Further, the study also found out that employee motivation moderates the relationship between servicescape and employee performance. The researcher recommends that managers of commercial banks should find mechanisms of improving the initiation and use of servicescape dimensions. This is because banks are often the focus of the public and hence must provide a good servicescape to attract them into banking, besides improving market share. The researcher also recommends that the commercial banks should understand the need to create an effective servicescape elements such as ambient condition, space function, sign, symbols and artifacts.