1.

0 Introduction

In this study we would like to research the impact of employee engagement on customer
engagement. We would also like to know what impact two organizational climate components
may have on employee engagement. These two components are ‘climate for initiative’ and
‘climate for psychological safety’. We would also want to know if resulted customer engagement
consequently affects customer ‘relationship commitment’ and ‘switching intention’.

The whole research model is shown in Figure I.

Figure I: The Research Model

2.0 Objectives
The primary objective of this study is to know the impact, if any, on customer engagement.
However, the specific objectives are:
o To know the effect of climate for initiative on employee engagement;
o The relationship between climate for psychological safety and employee engagement;
o The relationship between customer switching intention and customer engagement ;
o The relationship between customer relationship commitment and customer
engagement;
o The relationship between employee engagement and customer engagement

3.0 Methodology
The study has been done using data and from different banks operating in Chittagong. Two
structured questionnaires were used to collect data. One questionnaire was used to collect data
from employee and another one to collect data from customer. The employee and the customer
were to be from to the same branch of the same bank. The respondents were selected on
convenience manner. Besides, sample size for employees is 8 and for customer is 16. Thereby,
the sample may be biased. We went to different banks individually and talk to the employees of
that bank .They helped us to complete the employee questionnaires. We also collected customer
data from the customers of the same bank .The employee were so much supportive for this
research but the customers were little bit confused about the research questionnaires. At the
end we completed our research questionnaire by the help of employees and customers.
4.0 Findings and Analysis
4.1 Customer Engagement

Mean = 5.66
Standard Deviation = 0.92

Interpretation: The level of customer engagement is found to be 5.66 which seems to

be at moderate level. However, banks can work more to improve it otherwise customers
may switch to other banks.
The standard deviation is 0.92 which indicates that customers feel more or less same
regarding their level of engagement.

4.2 Relationship Commitment

Mean = 5.68
Standard Deviation = 1.15

Interpretation: The level of relationship commitment is found to be 5.68 which seems

to be at moderate level. However, banks can work more to improve it to make sure
better customer satisfaction.
The standard deviation is 1.15 which indicates that customers feel more regarding their
level of commitment.

4.3 Switching Intention

Mean = 2.35
Standard Deviation = 1.18

Interpretation: The level of switching intention is found to be 2.35 which indicates the
switching intention is customer is very low.

Comments: The customer engagement and relationship commitment is at

moderate level. So the switching intention in customers is very low.

4.4 Climate for Initiative

Mean = 6.05
Standard Deviation = 0.49

Interpretation: The level of climate for initiative is found to be 6.05 which indicates the
climate for initiative is significantly good.
The standard deviation is 0.49 which indicates that employee feel less regarding their
level of initiative.

4.5 Climate for Safety

Mean = 6.27
Standard Deviation = 0.52
Interpretation: The level of climate for safety is found to be 6.27 which indicates the
climate for safety is significantly good.
 The standard deviation is 0.52 which indicates that employee feel less regarding their
level of safety.

4.6 Employee Engagement

Mean = 4.78
Standard Deviation = 0.42

The level of employee engagement is found to be 4.78 which seems to be at moderate

level. The standard deviation is 0.42 which indicates that employee feel less same
regarding their level of engagement.

Comments: As the climate for initiative and climate for safety is significantly good,
the employee engagement is also at moderate level.

5.0 Correlation

Correlation= 0.73
 The relationship between initiative and employee engagement is strongly positive.

Correlation= 0.33
 The relationship between initiative and customer engagement is moderate positive.

Correlation= 0.71
 The relationship between safety and employee engagement is strongly positive.

Correlation= 0.16
 The relationship between safety and customer engagement is weekly positive.

Correlation= 0.12
 The relationship between customer engagement and employee engagement is weekly positive.

Correlation= 1
 The relationship between customer engagement and customer engagement is strongly
positive.

Correlation= 0.11
 The relationship between switching intention and employee engagement is weekly positive.

Correlation= 0.25
 The relationship between relationship commitment and employee engagement is weekly
positive.
Correlation= 0.11
 The relationship between switching intention and employee engagement is weekly positive.

Correlation= -0.54
 The relationship between switching intention and customer engagement is negative moderate.
 Correlation= 0.90
 The relationship between commitment and customer engagement is strongly positive.

6.0 Conclusion

In this research we found that the customer engagement and relationship commitment is at
moderate level. So the switching intention in customers is very low. We also found that the
climate for initiative and climate for safety is significantly good, so the employee engagement
is also at moderate level.
The employee engagement is good because the employee feel safe in the working
environment and they provide good service and product to the customer. This also ensure
customer satisfaction.This research shows the customer and employee relationship, customer
satisfaction, employee engagement in the banking sector of Bangladesh.