The relationship between employee satisfaction and customer satisfaction in the Sacco society in Nairobi: a case of Mwalimu national Sacco society.

Abstract

This study sought to investigate the relationship between employee satisfaction and customer satisfaction in Mwalimu National Sacco Society; specifically it focused on employee training and development, motivational level as well as employee work life conflicts and their influence or effect on customer satisfaction at the Sacco. The study concentrated on the employees and members of the Sacco who are the customers. Descriptive Survey method was used to conduct the study as it involves specific predictions with narration of facts and characteristics concerning the individuals. The target population was 169 employees of Mwalimu National Sacco and their 4572 members in Nairobi County. Stratified random sampling method was used on the employees to get a sample of 50 employees and 145 customers. The study design used two questionnaires as the research instrument. One of the questionnaire was used for the employees while the other for the customers of the Sacco. The data was analyzed using statistical package for social sciences (SPSS).Data presentation was in form of descriptive statistical such as means, standard deviations , frequency tables, pie charts and bar graphs. Inferential statistics was also included through the Pearson correlation coefficient between employee satisfaction and customers to detect linear relations. Subsequently, the tables of means, standard deviations and the appropriate correlation matrix were constructed from the results. The major findings were that there was a statistically significant strong relationship between the dependent variable customer satisfaction and independent variables of training and development, motivational level and work-life conflicts which represented employee satisfaction. The strongest relationship existed between the employee work-life conflicts and customer satisfaction followed by training and development and employee motivational levels respectively. The study recommends that the satisfaction index of both employee and customer should be given the same measure of attention as there is a statistically significant relationship between customer satisfaction and employee satisfaction. The research findings provided useful information to the Management of the Sacco, Savings and Credit Cooperative Societies and future researchers in the field.