Service innovation in the hotel industry: culture, behavior, performance

The aim of this study is to focus on the service innovation culture (SIC) in the formation of frontline employees’ (FLE) innovation performance based on two fit theories. More specifically, the research evaluates and examines the mediating role of challenge-oriented citizenship behavior (COCB) and charged behavior in the aforementioned relationship. To test the hypotheses, two-step structural equation modeling with bootstrapping estimation was conducted in AMOS, using data from 215 full-time frontline hotel employees over a one-month time period. This study establishes that the development of a SIC is positively related to the innovation performance of FLE. Likewise, the results indicate that there is a partially mediating role for the COCB and expanded charged behavior (encompassing vitality and creative self-efficacy) of FLE in the relationship between SIC and innovation performance. The findings of this study highlight the need for managers to incorporate a secure and trusting work environment so FLE will eagerly participate in the service innovation process by voicing their novel ideas. Managers can also consider the significance of the employee selection procedures and take advantage of employing university graduate for frontline service jobs.