The Impact of Generative AI and Hybrid Work on Employee and Customer Experience: A Comprehensive Approach

This paper examines the impact of employee experience with Generative AI (GenAI) on employee experience, employee engagement, and their effects on customer experience, such as satisfaction, loyalty, and engagement in the service sector. Following a mixed-methods approach, this research comprises two studies: Study 1 uses survey data from 578 frontline employees in the UK and Vietnam to examine the research model, and Study 2 involves qualitative interviews to further elaborate on the findings. Results show that GenAI experience enhances employee experience and engagement, which in turn improves customer experience. The paper also highlights the mediating effect of employee experience and the context-dependent moderating effect of hybrid work. This research comprehensively explores the link between employee and customer experiences, while integrating employee experience with GenAI and hybrid work as timely constructs that reflect the complexities at the frontline. These findings contribute to the literature on human–technology interaction and organizational change, extending the service climate framework with empirical evidence on the evolving dynamics between technology, employees, and customers.