Employees as Internal Customers- Handling the Dynamics

Published by MBA Skool Team, Published on November 02, 2015

Going back to the times of the Industrial Revolution, the employees of an organization were treated as the tools of work or simply the means of earning the profits for an organization. But as the time went on and more and more industries emerged the organizations realized the value an employee has to the company along with what value he can add to the company as an asset.

From employees being considered as machines or tools to being considered as assets, now is the time when a few companies do consider their employees as the customers in the HR terms.


Why to consider Employee as a Customer?

HR today is taking efforts in making the employees feel good at the workplace by being a good service provider of the values that company believes in and also keeping employees as their priority in the organization. The employees need to be taken as the customers of the HR, that is because there are many instances when a good employee leaves the organization due some inappropriate condition at the workplace; few of the conditions can be listed as below:-

1) Poor working conditions

These working conditions can be anything from an unhygienic washroom to a dissatisfaction of a given job role.

2) Inappropriate Performance Appraisal

An employee can be highly de-motivated to work if he is not appraised by any means i.e. monetary or non-monetary which can again result in employee leaving the organization.

3) Improper Grievance Handling

In case of any grievance if an employee is not given proper attention to resolve the grievance that can also be another factor of employee attrition.

4) Organization’s Culture

The overall organizational culture can also affect the employee’s decision to be in the organization.

5) Independence given to an employee

For an employee to be productive he needs to be given the space which he needs to work and bring in better ideas to the workplace for effectiveness and efficiency.

Above mentioned points have explained that what can lead an employee to leave the organization which in turn states the importance of giving the priority to the employees.

Concept of Employees as Customers

This concept of treating employees as customers is taken as talent management process by many companies now days. According to this concept, as for any seller the top priority is his customers, likewise, the company with the help of HR Department keeps its employees as top priority.

There are executives who underestimate the efforts put in by the workforce of the company, but what they fail to understand is that it is the employees who serve as the battleground for customer services and also carry forward the brand image of the company by being the unnoticed brand ambassadors to the company.

Ways to be a better Service Provider

1. Be Proactive

For employees to have a better understanding with the organization, the HR department needs be proactive. Proactive attitude should be reflected by the by of sensing the problems and approaching the employee before he/she approaches you with the complaint of something going wrong.

2. Better Returns

Employees have high expectations from the company when they are putting in their best efforts to get the results or the work done, this signifies that they should be given better returns if not higher than, then at least up to their expectations.

3. Work Culture

A friendly and a peaceful atmosphere should be maintained at the workplace, so that employees are motivated to work and feel that they are an important part of the organization rather than just an earning profit tool for them. A better work culture will enhance their effectiveness and bring in more innovative ideas to the organization which in turn will have a great outcome.

4. Proper Grievance Handling

Every organization should have proper grievance handling system which in case of the grievance of the employees will help them overcome it and comeback to the normal state. If an employee is facing some problem regarding colleagues, or is not getting sufficient resources to do the work properly then it is hampering his productivity.

5. Appraisal

An employee should be given appraisal in front of everyone whenever it comes to rewarding him for something extraordinary thing done by him. This will boost up his confidence and inspire him to do things in a better manner, this will also help in motivating other employees in the organization to give the results and have better recognition in the organization.


In the nutshell, organizations should and some of them are focusing on the employees’ needs and the requirements to work in an effective and efficient manner which would help organization grow more as well have good reputation in the market in terms of best “best organizations to work for”. This will help in attracting more talent and fresh blood to the organization and it will also help in reducing the attrition rate of any organization to the least possible number. Hence, to consider employees as internal customer more than the assets is proving to be beneficial for the companies.

This article has authored by Tejaswini Sethi from IMT Hyderabad


1) http://www.talentmgt.com/articles/7290-treating-employees-as-customers

2) The Economic Times.

The articles in this section have been submitted by our Authors. They have been reviewed & uploaded by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

If you are interested in writing articles for us, Submit Here

Share this Page on:
Facebook ShareTweetShare on Linkedin