A Study of Service Quality, Corporate Social Responsibility, Hospital Image, and Hospital Value Creation in Medan

     

   

  European Research Studies Journal Volume XX, Issue 4B 2017 pp. i-x

  ERSJ, Vol. XX, Issue 4B, 2017 Guest Editor: Professor of Economics, West Pomeranian University

  Agnieszka Brelik, of Technology of Szczecin, Szczecin, Poland Guest Co-Editor:

Simon Grima, Professor of Accounting and Finance, Department of

Insurance, University of Malta, Malta Guest Editorial Board Members:

Jean-Pierre Allegret, Professor of Economics, University of Paris X Ouest -

Nanterre La Défense, France

Ramona Rupeika-Apoga, Professor of Finance, Chair, Department of

Finance and Accounting, Faculty of Business, Management and Economics,

University of Latvia, Latvia

Anca Bandoi, Ass. Professor of Economics, University of Craiova, Romania

Theologos-Homer Bonitsis, Ass. Professor of Finance, School of

Management, New Jersey Institute of Technology, Newark, NJ, USA

Pavla Breckova, Ph.D. Ing. Professor of Management, Head of Management

Department, Faculty of Economic Studies, University of Finance and

Administration, Czech Republic

Slawomir I. Bukowski, Professor of Economics, Deputy Rector, Kazimierz

Pulaski University of Technology and Humanities in Radom, Poland

Tatiana V. Epifanova, Professor Dr. of Economic Sciences, Rostov State

University of Economics, Russia

  ii

Andees Faíña, Professor of Economic Analysis, European Chair Jean Monnet

in European Industrial Economics, Department of Economic Analysis,

University of Coruña, Spain Jesus-Andree Filipe,

  Professor of Economics, Instituto Universitário de Lisboa (ISCTE-IUL), Portugal

Hardy Hanappi, Professor of Political Economy, Ad Personam Jean Monnet

Chair for Political Economy of European Integration, IWM- Economics,

Technology University of Vienna, Austria

Christis Hassapis, Professor of Finance, Department of Economics,

University of Cyprus, Cyprus

John Malindretos, Editor TIJF, Professor of Finance, CC College of

Economics, Finance & Global Business, William Paterson University, New

Jersey, USA Vera Palea,

  Ph.D. in Economics, Università Degli Studi di Torino, Italy

Tulus Suryanto, Akt., CA., The State of Raden Intan Lampung Islamic

University, Indonesia

Statty Stattev, Dr. Sc. Professor of Macroeconomics, Rector of the University

of National and World Economy, Bulgaria

Ileanna Tache, Professor of Economics, Vice Dean, Ad Personam European

Chair Jean Monnet, Faculty of Economic Sciences, Transylvania University

of Brasov, Romania

Eleftherios I. Thalassinos, Professor of International Economics, European

Chair Jean Monnet, Director Jean Monnet Centre of Excellence, Editor ERSJ,

  IJEBA, IJMTEI, Chair ICABE, University of Piraeus, Greece

Natalia G. Vovchenko Professor Dr. of Economic Sciences, Vice Dean,

Rostov State University of Economics, Russia Joachim Zentes,

  Professor Dr. Dr. H.C. Director H.I.MA. Institutfür Handel

  iii Guest Editor’s Note Professor Agnieszka Brelik

It is my great honor and pleasure to act as the Guest Editor for issue 4B 2017

th

of the European Research Studies Journal on its 20 anniversary. It was

a challenge for me working with a team of distinquist colleagues from several

countries on the preparation of the issue.

  

All articles were selected based on specific criteria set by the Guest Editorial

Board, appointed for this issue of the journal in accordance with the Code of

Ethics and the Basic Requirements for Publication that have been adopted by

the Journal since its circulation in 1998.

  

As the Guest Editor of this volume I am very thankful to the members of the

Editorial Board consisting of 21 colleagues from 17 different countries. I am

also thankful to the Guest Co-Editor Professor Simon Grima from

University of Malta and the Editor-in-Chief of ERSJ Professor El

Thalassinos for their effective cooperation in the preparation stage of this

volume. For the successful completion the Guest Editorial Board has followed

the double blind method in the evaluation process of each article according to

their professional and academic experience.

In this issue of ERSJ we have published several articles selected among others

after a peer evaluation by the Guest Editorial Board members. It is in the

intention of the Journal to take opportunities disseminating scientific

research from colleagues from all over the world. I strongly believe that

some of the publications are of high quality with innovative ideas that can be

adopted easily for the benefit of the economies they are referred to.

  Professor Dr. Agnieszka Brelik

West Pomeranian University of Technology of Szczecin, Szczecin, Poland

  iv ERSJ Editor’s Note th

ERSJ celebrates its 20 anniversary in 2017 with the publication of issues

dedicated to international conferences, special events, economic and business

themes and more.

  

Selected articles have been included in this issue covering economic and

business disciplines after an extensive evaluation procedure set by the Guest

Editorial Board.

  

I would like to take this opportunity to express my sincere thanks to all the

members of the Board for their collaborative behavior, especially to the

Guest Editor Professor Agnieszka Brelik for her cooperation in the

preparation of this issue. Her intervention was always valuable and very

helpful.

  

It was a great honor for me to cooperate with all the authors, to read all

the articles getting a very good understanding of the content, the conclusions

and the methodology used in each one of the articles where I had an interest.

  

Recommendations and conclusions included in the published articles could

be of great importance in case they were adopted by the corresponding bodies.

After 20 years of publication experience I would like to congratulate my

cooperatives from several countries for their valuable comments and their help

in the circulation of ERSJ.

  Professor El Thalassinos European Chair Jean Monnet

  v ERSJ Volume XX, Issue 4B, 2017 Contents:

  1. Toward the Best Model of Strategy Implementation in Indonesian Islamic Banking from the Lens of Strategic Clarity

Dodi Permana.........................................................................................................3-15

  2. Trafficking of Migrant Workers in Indonesia: A Legal Enforcement and Economic Perspective of Prevention and Protection Efforts Herry Nuraeny…………………………………………………………………………..16-26

  

3. ASEAN-China Free Trade Area: An Assessment of Tariff Elimination Effect

on Welfare

Sugiharso Safuan………………………………………………………………………..27-37

  

4. Analysis of Factors Affecting Inflation and its Impact on Human Development

Index and Poverty in Indonesia

Yolanda Yolanda...................................................................................................38-56

  

5. Creating a Learning Organization as an Increase in the Adaptability of a

Company's Human Capital to the Volatility of the External Environment

  

I.M. Aliev, V.I. Sigov..............................................................................................57-69

  

6. Relationship of Earnings Management and Earnings Quality before and after

  IFRS Implementation in Indonesia

Farichah Farichah................................................................................................70-81

  

7. Blended Learning Russian as a Foreign Language: The Principles of

Organization and Implementation Experience

A.N. Al-Kaisi, A.L. Arkhangelskaya, M.A. Bragina, B.A. Bulgarova, O.I. Rudenko-

Morgu

  …………………………………………………………………………………….82-98

  

8. The Impact of the Global Stock Market and the Foreign Exchange Market on

Domestic Financial Market

W. Murti..............................................................................................................99- 111

  

9. Problems and Prospects of Higher Education System Development in Modern

Society

  vi

  

10. A Study of Service Quality, Corporate Social Responsibility, Hospital Image,

and Hospital Value Creation in Medan A.N. Lubis, P. Lumbanraja, R.R. Lubis, B.K. Hasibuan …………………………125-133

  

11. Strategic Implementation of Environmentally Friendly Innovation of Small

and Medium-Sized Enterprises in Indonesia Muinah Fadhihah, Andriyansah ……………………………………………………134-148

  12. Socio-Political and Economic Aspects in Legal Context

Edy Lisdiyono, Sri Suatmiati.............................................................................149-157

  

13. Role of MNCs in Changing Preferences for Food Consumption in Russia

under Import Substitution

  

V.Yu. Chernova, V.S. Starostin, G.V. Butkovskaya, A.M. Zobov.......................158-166

  14. Factors of Economic Behavior of Population in Regional Labor Market E.I. Beglova, S.I. Nasyrova, A.V. Yangirov ……………………..………………...167-182

  

15. The Effect of Human Resources Management Competency and the Role of

Culture on Accrual Accounting Implementation Effectiveness and the Impact on

Quality of Accounting Information Nurul Hidayah, Wahyudin Zarkasyi ………………...……………………………..183-199

  

16. Mobile Banking Adoption in Thailand: An Integration of Technology

Acceptance Model and Mobile Service Quality W. Puriwat, S. Tripopsakul ………………………………………………………….200-210

  

17. Optimal Monetary and Macroprudential Policies Under Risk Taking

Environment

R. Triandhari, S. Safuan, M. Syamsudin, H. Alamsyah.....................................211-226

  

18. Adoption Model of E-Commerce from SMEs Perspective in Developing

Country Evidence – Case Study for Indonesia Agus David Ramdansyah, H.E.R. Taufik ………………...………………………..227- 243

  19. Banks’ Risk Taking Behavior and the Optimization Monetary Policy R. Triandhari, S. Safuan, M. Syamsudin, H. Alamsyah …..……………………...244-259

  

20. The Study of the Logistics Development Effectiveness in the Eurasian

Economic Union Countries and Measures to Improve it

Z.S. Raimbekov, B.U. Syzdykbayeva, K.P. Mussina, L.P. Moldashbayeva, B.A.

  vii

  

21. Conception of Managing of Fuzzy-Institutional Meso-Level Organizational

Separations in a Context of Product Projects Internationalization O.N. Dmitriev, S.V. Novikov ……………………………………………...…………277-289

  

22. The Importance of Structural Criminal Responsibility System in Juvenile

Criminal Law in Indonesia Krismiyarsi …………………………………………………...……………………….290-304

  

23. Audit Committee Characteristics and Integrated Reporting: Empirical Study

of Companies Listed on the Johannesburg Stock Exchange

  A. Chariri, I. Januarti ………………………………………………………...……...305-318

  

24. Improving Mechanisms to Manage Foreign Trade Activity of Regional

Industrial Complexes in the Context of International Limitations

  V.V. Bezpalov ………………………………………………...……………………….319-333

  25. Bank Factoring: Russian and International Practice G.A. Bunich, E.I. Abdyukova, A.A. Sysoeva, V.S. Akopov ……………………… 334-349

  

26. The Construction of the Digital Organizational, Social and Economic

Production Mechanism in the Agro-industry

D.D. Burkaltseva, O.V. Boychenko, O. S. Sivash, N.M. Mazur, S.A. Zotova, A.V.

  Novikov ………………………………………………..……………………………...350-365

  

27. Realization of Investment Processes in the Agricultural Sector of the Digital

Economy

D.D. Burkaltseva, O.S. Sivash, O.V. Boychenko, L.V. Savchenko, T.N. Bugaeva, S.A.

  

Zotova...............................................................................................................366-379

  28. Crowd-Technology in the Selection of Personnel

O.L. Chulanova, G.H. Kucherenko, D.V. Chulanov, A.V. Kirillov, A.V.

  Melnichuk ….....................................................................................................380-397

  29. Formation of Stakehold ers’ Client Capital of Trade Institutions

S.S. Galazova, V.V. Manuylenko, B.T. Morgoev, N.V. Lipchiu, M.A. Biganova.......

  

..........................................................................................................................398-411

  

30. Operational Management of Enterprise Structures in the Sphere of

Education and Science: Problems and Methods for their Solution A.A. Galushkin ………………………………………………………………………..412-420

  viii

  

31. Organizations of the Sphere of Education and Science Methods of

Competitiveness Improvement A.A. Galushkin …………………...…………………………………………………...421-431

  

32. ASEAN Economic Community Impact on MSMSs: A Regional Case Study

L. Kustina, Junedi.............................................................................................432-438

  

33. Theory and Practice of Managing Public Procurement Based on Key

Professional Competencies

  I.P. Gladilina ………………………………………………………………………….439-452

  34. Project Lending in Banking Risk Management Yu.Yu. Rusanov, N.N. Natocheeva, T.V. Belyanchikova, G.S. Bektenova ……...453-471

  35. Current Trends in the Development of Russia’s E-Commerce Sector J.V. Gnezdova, V.I. Barilenko, N.N. Semenov, Y.V. Yakutin, S.V. Sharova ……472-483

  

36. Development of Algorithms for Searching, Analyzing and Detecting

Fraudulent Activities in the Financial Sphere

M.P. Khrestina, D.I. Dorofeev, P.A. Kachurina, T.R. Usubaliev, A.S.

Dobrotvorskiy ………………………………………………………………………...484-498

  

37. The Increase in Geopolitical Competition as a Challenge (threat) to Russia's

National Security

  V.V. Kovalev, V.V. Kasyanov, Yu.S. Bortsov, A.Yu. Goloborod’ko, T.D. Skudnova ………………………………………………………………………….…..499-508

  38. Investment Activity in Russia’s Regions E.A. Krasil'nikova, E.A. Mayorova, A.F. Nikishin, T.V. Pankina ……………….509-521

  

39. Implementing the Concept of Sustainable Development in Russia:

Developing the Childhood Infrastructure

O.V. Kuchmaeva, E.A. Maryganova, O.A. Mahova, T.P. Maksimova...............522-535

  

40. Government Promoting Communication Tool in Innovation Development of

Companies S.A. Lipina, S.A. Lochan, D.V. Fedyunin, V.V. Bezpalov ………...………………536-547

  

41. Tax Amnesty and Tax Administration System: An Empirical Study in

Indonesia

Waluyo Waluyo.................................................................................................548-556

  ix

  

42. Performance Measurement Information, Job Rotation, Role Stress, and

Performance: An Investigation οf Local Government

F.G. Dewi, A. Halim, S. Sugiri, E. Nahartyo.....................................................557-577

  43. A Legal Perspective of the Law Enforcement of Land Dispute

  

F. Santiago........................................................................................................578-587

  44. Optimizing SMEs ’ Business Performance Through Human Capital Management Agus Suroso, Ade Irma Anggraeni, Andriyansah …………………………………588-599

  45. Fertility, Urbanization and Underemployment

M.T. Nurlina, K.M. Sobri, Yunisvita, Liliana, M. Farhan.................................600-608

  46. Indonesian Market Economics Is Reviewed of the Constellation of Law

Yuhelson...........................................................................................................609-621

  

47. Professional Competence and Service Innovation in Higher Education

Institutions in Central Java, Indonesia

Suparjo.............................................................................................................622-636

48.

  Improvement of Employees’ Performance through Training Intervention in Digital Era

  I. Budiningsih, T. Dinaryo, Z. Ashari ………………………………………………637-654

  

49. Development of Knowledge Management Model in Establishing Innovation

and Company Performance in UMKM/ SME in Indonesia

C.W. Utami, M. Ferdiansah..............................................................................655-665

50.

  The “New National Problem” in Europe: Problems of Migration Policy at the End of the 20th Century

  

I.A. Gataullina, D.V. Shmelev, O.V. Kozlova, O.M. Gilmutdinova, I.B. Shagbanova,

L.K. Nagmatullina............................................................................................666-678

  

51. Emotional Intelligence and Behavior Styles of Russian Middle Managers in

Business Communication S. Gurieva, I. Kuznetsova, E. Yumkina, S. Manichev, E. Sidorenko …………….679-693

  52. Cultural Code in Controlling Stereotypes of Mass Consciousness O.D. Shipunova , L.V. Mureyko , I.P. Berezovskaya, I.V. Kolomeyzev, V.A.

  x

  53. Main Determinants of Financial Reporting Quality in the Lebanese Banking Sector

R. Mahboub......................................................................................................706-726

  

54. The Effect of the Financial Crisis on Emerging Markets: A Comparative

Analysis of the Stock Market Situation Before and After

S. Grima, L. Caruana........................................................................................727-753

  European Research Studies Journal Volume XX, Issue 4B, 2017 pp. 125-133

  

A Study of Service Quality, Corporate Social

Responsibility, Hospital Image, and Hospital Value Creation

_1* in Medan _{1 2} Arlina Nurbaity Lubis , Prihatin Lumbanraja , Rodiah Rahmawaty Lubis ₁ Beby Kendida Hasibuan Abstract:

  

Globalization and emerging market created fierce global competition toward healthcare

services industry. Retaking public trust required an overhaul of local hospital’s value

creation. Value is the key concept to win the customer’s heart.

This paper examined the value-creation based on inpatients as co-creator concept. A second-

order analysis was conducted to evaluate the ten aspect of service quality as we want to

evaluate each’s importance factor.

  

Medical personnel is considered as the most important aspect to deliver services in

healthcare industry. Hospital value improved by delivering good services and building

hospital image. CSR must improve hospital image to increase hospital value.

  Keywords: Value-creation, hospital image, CSR, Service Quality.

  1

  

Value Creation in Medan

126

1. Introduction

  A key concept to win customers’ heart is through creating the value for customers. It also has been viewed as key success factor in marketing approach (Kotler & Keller, 2012; Sheth & Uslay, 2007). According to Vargo and Lusch (2008), firm could not deliver the value itself, but offer the value to customers. Customers acted as “co- creator” while realizing the actual value. Thus, one’s value can only be created by includin g customers’ point of view. Edvardsson et al. (2005) proposed a perspective to view a firm’s services as value creation process. Since then, services perspective become one of the root in value creation. However, it had not been analyzed in a manner to evaluate the relation betw een services on a firm’s value. We previously stated the existence of ‘creator’, which refer to the firm activities, and ‘co-creator’, which refer to customer, as the core of create one’s value. Firm’s activities viewed as internal process that determine the proposition of value. Ronnback et al. (2009) claimed that these internal factors were the central source the destroyed value. Since the services was outsourced, the intended value was never experienced by the customer. This study aimed to evaluate the role of both firm activities and customer in value creation process. The firm provide services and conduct corporate social responsibility (CSR) which aimed to improve the value to its customers. A corporate reputation acted as mediator in order to achieve the desired value. Globalization effect in addition to the newly emerged market of ASEAN Economic Community (AEC) pushed competition to a new level. In healthcare services industry, many people believe in services provided by a firm which perceived as the most valuable for them. In Indonesian’s case, many of its people believe in services provided by other countries than local services. As result, it will be more benefit to other country than Indonesia. Thus, improving local healthcare services value become an important matter. A firm delivered value to customers in order to attract them to product or services provided by the firm. However, the crucial factor of these activities lies on customers’ perspective toward the proposed value. Customer will seek for the most valuable one while deciding their product or services consumption. Value creation become more and more important to be analyzed. Local’s healthcare services should create a more valuable services to regain people’s trust for local services. Lubis et al.

  (2016)’s work on service dimension of healthcare services in Indonesia showed that customers perceived 10 aspects on service quality dimension. However, the previous study did not empirically analyze its impact on value creation. The current study aimed to evaluate the importance of each aspect of service quality in healthcare in addition to evaluating its impact on value creation.

  127

  Service quality approach originally proposed by Parasuraman et al. (1985) on five dimension, (1) tangibility, (2) empathy, (3) responsiveness, (4) reliability, and (5) assurance. The basic of service delivered to customers were based on these five dimension. However, Lubis (2016) expanded the model in accordanc e to inpatients’ perspective of hospital’s service quality in Indonesia. The previous study categorized service quality based on 10 aspects, namely (1) patient educational services, (2) staff-professionalism, (3) food aspect, (4) assurance, (5) responsiveness and convenience services, (6) empathy, (7) cleanliness, (8) well-educated staff, (9) people trust-gaining services, and (10) reliable services.

  The current study used the ten-dimension of hospital services quality aspect as we conduct the research in Indonesia. The first part of this study aimed to evaluate the most important aspect that constructing service quality as whole. The second part of this study evaluated the effect of service quality on both corporate images and value. Many of previous study treated service quality and corporate images as unrelated variables. However, as we speak of customers, they experienced the service delivered to them. The experience may build their perception toward hospital which will feed public with information and shape its corporate image.

  2.1 Corporate Social Responsibility Approach

  Previous work on CSR claimed a four-level of CSR act which grouped to two groups (Schermerhorn, 2016). The first one cooperate with law while the other consists of persuasion area which be more voluntary act.

  Today’s social- environment strongly reacted to CSR activities. As far as reputation is concerned, CSR will be more likely to improve hospital

  ’scorporate image as long as they conduct the act of CSR. Previous works showed a strong relationship between CSR and corporate image (Gazzola, 2014; Susanto, 2012; Giannakopoulou et al., 2016; Hapsoro and Suryanto, 2017; Pena-Miguel et al., 2017). However, CSR may also affecting the organization to lose its publicimage (Ihlen et al., 2012). As people become more aware to ethical behavior, social responsibility factor become a bigger factor to be considered as strategic tools

  . Brandão et al. (2012) claimed that CSR in hospital governance helped to generate the desired value. In today’s competitive market, a good CSR practice will improve hospital value for a long term as it is practically improve its effectiveness and efficiency while delivering services. However,

  Gherghina & Vintia’s study (2016) showed that there is no effect of CSR on hospital value in form of stakeholder-related CSR but environment-related CSR. Srivastava et al. (2012) warned that CSR could damage corporate value if not managed well.

  2.2 Healthcare Image Approach

  

Value Creation in Medan

128

  entity. Corporate image may also be defined as the reflection of one’s organization from time to time over the eyes of stakeholders and expressed through their thought and words (Miles and Covin, 2000; Tsitsakis et al., 2014). Many scholars used the definition of embodiment of people’s experience on organization’s services (Fombrun, 1996), however there is no unambiguous definition yet. Based on previous work, the corporate images lies on people’s thought. Public’s thought of the corporate gave the signal of its capabilities and desired performance in future. It represent corporate attributes as whole and will affect people’s behavior toward the organization (Dolphin, 2004). Corporate images become important to create hospital’s value based on customer’s perspective.

2.3 Healthcare Value

  Value, in general, is defined as assessment of trade-off between cost and benefit or cost-benefit function (Day, 1990; Zeithalm 1988). People tend to evaluate something to be more valuable as they gain more (mostly monetary gain) from other (Gronross and Helle, 2010). Value creation is considered as process to imp rove the customers’ well-being which related to create a better-off situation for the customers. The term of ‘customers’ made it clear that fulfill every customers’ value is hard to achieve. One person’s value to other is different. For example, one may viewed a luxury bed in hospital as value while other do not see its benefit. Previous works showed that value- creation related to customers’ experience toward the value proposed by organization.

3. Data and Methodology

  A number of 150 inpatients from three private hospital in Medan were participated in this study. The study used questionnaires to collect the inpatients’ thought related to service provided by the healthcare, hospital image, CSR program, and hospital value. The questionnaires were built based on operational variables (Table 1). The study was conducted from January to March 2017.

  Table 1. Operational Variables Type of Variable Name Description Variable

  Healthcare Value Dependent Inpatients’ perceived value of healthcare services based on financial performance, effectiveness, and efficiency services.

  

Service Quality Independent A multi-dimensional approach of delivering

healthcare services Corporate Social Independent Inpatients’ opinion toward the healthcare’s CSR Responsibility program

  129

  The data were analyzed using second-order construct analysis using SmartPLS. The study evaluated the 10-dimension of service quality to determine the service quality construct. Bootstrap analysis was used to test the significance of each path.

  3.1 Model Specification

  The study aimed for evaluate the construct of service quality and evaluate the factors to improve healthcare value. We proposed the path model based on our objectives (Appendix 1). We also formulated the model to improve healthcare value as follow:

  (1) Where Value represent the healthcare overall perceived value, SERVQUAL represent the perceived service delivered by the healthcare, CSR represent the perceived CSR program, and IMAGE represent the healthcare reputation.

  3.2 Validity and Reliability Model

  The structural model’s validity was evaluated through convergent and discriminant validity. The convergent validity model was based on each constructs’ average extracted variance (AVE) value which should be at least 0.5 (

  Table 2). The model’s discriminant validity was based on Fornel-Lacker Criterion (Hair et al. 2014). The model’s reliability was based on internal consistency reliability. The value of each constructs’ composite reliability should be more than 0.7 (Table 2 and Appendix 2).

  Table 2. Validity and Reliability Criteria

Construct AVE Composite Reliability

Assurance 0.528 0.848 Cleanliness 0.737 0.892 Corporate Image 0.554 0.944 Corporate Social Responsibility 0.945 0.990 Empathy 0.685 0.867 Food Aspect 0.852 0.945 Healthcare Value 0.624 0.965 Patient Educational Services 0.596 0.937 Patient Trust 0.707 0.950 Reliable Services 0.627 0.833 Responsiveness and Convenience Services 0.676 0.892 Staff-Professionalism 0.691 0.929 Well-Educated Staff 0.580 0.846

  Table 2 showed that the proposed model and indicators had been fully passed the validity and reliability model and may be analyzed furthermore with the estimate analysis

  3.3 Estimate Result

  

Value Creation in Medan

130

  based on regression weight of each construct while explaining the service quality construct. Table 3 summarized the regression weight of service quality construct.

  Table 3. Service Quality Construct Construct

  Regression Weight Service Quality Well-Educated Staff

  0.917 Staff-Professionalism 0.900 Patient Educational Services 0.886

  Food Aspect 0.787 Responsiveness and Convenience Services 0.784

  Empathy 0.742 Reliable Services 0.686 Assurance 0.670 Patient Trust 0.517 Cleanliness 0.094

  Table 3 showed that the most important aspect of delivering services in healthcare industry is the staff or medical personnel. They play major role to improve service experienced by the inpatients. The medical personnel have to be well-educated and professional to their role. The other aspect was related to the food provided by hospitals. Many of current inpatients commented that the food was far from enjoyable. Based on our result, inpatients pay less attention toward hospit al’s cleanliness. The second part of our study was to evaluate the value-creation based on co-creator, inpatients, point of view. The proposed model suggested hospital’s reputation as mediating variables, thus there should be direct, indirect, and total effect. Table 4 summarized the path coefficient of our proposed model.

  Table 4. Direct, Indirect, and Total Effect Independent Dependent Mediator Direct Effect Indirect Effect Total Effect Variable Variable SERVQUAL 0.729* 0.729*

  IMAGE CSR 0.195* 0.195* SERVQUAL 0.405* 0.348* 0.752*

  IMAGE CSR

VALUE -0.088 0.093* 0.005

  IMAGE 0.447* 0.447*

• *Significant at level 5%

  Table 4 showed that both service quality and corporate social responsibility positively affecting hospital’s reputation. The effect of service quality on corporate image is dominant. According to the definition of corporate image as we stated before, inpatients’ experience or interaction with the service provided by the hospital

  131 sensitive to CSR practice, the slightest act of CSR may improve corporate image.

  Both service quality and CSR provided 67.2% explanation of the corporate image’s variance (R-squared = 0.672).

  Our result showed that in order to improve hospital’s value, the hospital should pay more attention on creating reputation and delivering a good services to inpatients. CSR, however, can only indirectly improving the value through the hospital’s brand image. The most important aspect is delivering the service. Inpatients interact with services and assess the value based on their experience toward them. The concept of customer or inpatients as co-creator also supported based on our s tudy. Our model explained 64.3% of hospital value’s variance with R-squared of 0.643.

4. Conclusion

  This paper gave a deep insight of healthcare services quality. Based on 10-aspect of services quality, most important aspect perceived by the inpatient was related to human resource. In order to deliver a better service quality, healthcare should improve their staff for both knowledge and how to care with their customers. Cleanliness did not serve as important factor for inpatients. The inpatients rather indif ferent with their room’s cleanliness as long as they get a better services and happy with the staff. This paper examined the new paradigm delivering healthcare services quality, CSR program, and healthcare corporate image to create corporate value. PLS bootstrap indicated that improving healthcare corporate value could be reached by improving healthcare services and corporate images. CSR program did not directly affect corporate value. However, CSR did improve its corporate images which indirectly built the corporate value. Thus, corporate should be aware that CSR will do nothing unless public perceived it well while improving corporate image in public’s mind.

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