The transformative outcomes of frontline employee adaptability for service value co-creation : a study of the banking sector

Purpose: This study aims to address two relatively unexplored issues in banking service literature. The first relates to the impact of co-creation behaviors of frontline employees (FLEs) on their well-being. The second is the impact of FLEs' adaptability on their performance of co-creation behaviors and their well-being in the workplace. Design/methodology/approach: A structural model was built and tested using survey data collected from 366 FLEs offering financial consulting services to customers at banks. Findings: FLE co-creation behaviors have positive impacts on FLEs’ well-being, including well-being in the workplace (job satisfaction) and general well-being (quality of life). Moreover, FLEs with a high level of interpersonal and service-offering adaptability perform co-creation behaviors better than those with lower adaptability and have higher job satisfaction. Between service-offering adaptability and interpersonal adaptability, the former has stronger effects than the latter. Practical implications: The findings suggest that banks develop and enhance FLEs’ adaptability and co-creation behaviors to enhance their well-being and customer value. Originality/value: Prior research on FLEs' co-creation mainly focuses on customer-related transformative outcomes, leaving their own well-being less examined. This study fills this gap by providing evidence to suggest that although active co-creation behaviors require FLEs to have more skills and put in more effort, they do bring about transformative impacts in terms of better job satisfaction and quality of life. Additionally, a high level of adaptability helps FLEs to comfortably perform their co-creation behavior, thereby reducing stress and improving well-being.