THE IMPACT OF EMOTIONAL INTELLIGENCE AND ARTIFICIAL INTELLIGENCE ON SERVICE PERFORMANCE
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Universiti Malaysia Sarawak (UNIMAS)
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This study investigates the impact of Emotional Intelligence (EI) and Artificial Intelligence (AI) practices on customer service performance in Sarawak’s banking and financial institutions. Specifically, the research aims to examine the relationships between three dimensions of EI which are Self-Emotion Appraisal (SEA), Use of Emotion (UOE), and Regulation of Emotion (ROE) as well as AI practices, with Internal Service Performance (ISP) and External Service Performance (ESP). The study offers theoretical contributions by integrating both human and digital resources through the Dynamic Capability View (DCV), and provides practical implications for managers seeking to strengthen service delivery through targeted EI development and AI adoption. The study employs SmartPLS for Partial Least Squares Structural Equation Modeling (PLS-SEM) to assess both the measurement and structural models. A total of 164 valid responses were collected and analyzed. The results reveal that six out of eight hypotheses were supported, indicating that ROE, and AI practices significantly enhance both ISP and ESP. However, SEA was found to have no significant impact on ISP, and UOE did not significantly influence ESP. These results highlight the distinct and complementary roles of emotional and technological capabilities in shaping overall service performance outcomes in the financial sector.