Student Dissertation

Agency : Customer Relationship; Knowledge Management; CRM Organization; CRM Orientation; key stakeholders

Objective : To study the effectiveness of traditional CRM practices, with respect to patient satisfaction To identify dimensions/determinants for effective customer relationship management implementation in the hospital To review the general usability and resistance principles in order to build an integrative framework for CRM

Background : Customer relationship management (CRM) has a growing popularity and is becoming one of the practical topics in the business field. In fact, due to the competitive environment, CRM is crucial and has become a niche for firm performance. Therefore, this study is an attempt to provide theoretical linkages existing between CRM dimensions and hospital performance. This study serves not only to clarify the relationship between CRM dimensions and hospital performance, but also to explain the mediation role of marketing capabilities in this relationship. CRM has recently become one of the most controversial issues and a focal-point in the business. It is worth mentioning that CRM is mainly based on the belief that establishing a sustainable relationship with customers is the cornerstone for obtaining loyal customers. The successful implementation of CRM strategy will be of great benefit to the organizations, adopting it, as such organizations can reap the benefit of increasing sales through better market segmentation, customizing products and services, obtaining higher quality products, gaining access to information and employee satisfaction, and above all, ensuring long-lasting customer-retention. Consequently, there is still a marked lack of research on CRM dimensions in the healthcare industry, extending plenty of opportunity in this field.

Methodology : Study was conducted at Shri Mata Vaishno Devi Narayana Superspeciality Hospital, Jammu. It is a cross sectional descriptive study conducted in a duration of 3 months with sample size of 100, where in consisted of 50 respondents, internal customer which included employees of hospital (30 respondents directly involved in patient care, clinical staff and 20 respondents where from management). Sampling Technique used is Non-probability sampling technique (Quota Sampling). Study is based on primary data collection as well as secondary data collection. The first step is the selection of CRM attributes by reviewing the literature on marketing and management research, followed by the design of the questionnaire (English), defined as a set of semi structured questions (open ended and closed ended) with the purpose to obtain information from respondents that are a subset (sample) of a target population. Information obtained is first specified, and then the following issues are settled: content of individual questions, form of response to and wording of each question, sequence of questions, and physical characteristics of the questionnaire. The first part of the questionnaire comprised of Likert- scale questions (1-strongly disagree to 5-strongly agree) that serve for the research. The second part of the questionnaire included demographic questions important for the comparative analysis of the data. Technique used is face to face interviews.

Findings : Some of Traditional CRM practices contributing positively for hospital to build long lasting relationship with organization include: ï‚· Hospital identified different customer type and gave treatment accordingly where in satisfaction levels were more than 50% in sample studied ï‚· Hospital gives value to patient need- 50% satisfaction levels ï‚· Hospital attends to patient complaint promptly- 50% satisfaction level ï‚· Hospital keeps patient information for future reference -75% satisfaction level ï‚· Hospital staff was courteous, enthusiastic in providing services, helped to resolve all the concerns-80% satisfaction levels ï‚· Hospital ambience and smooth distribution of information at the time of booking appointment-contributed -65% ï‚· Doctor’ behaviour and their competency played significant role -90% satisfaction level Some of the CRM practices which were not in favour of organization to build effective CRM organization include: ï‚· Timely information was not given by the hospital to patient contributed -50% dissatisfaction levels ï‚· Duration of waiting time is not comfortable for patients-50% dissatisfaction levels ï‚· Doctor’s chamber was also not easily located-50% dissatisfaction levels ï‚· Reports were not dispatched at scheduled time -70 % dissatisfaction levels ï‚· Hospital lacks mechanism for timely distribution of information and reports-50% dissatisfaction levels ï‚· Hospital does not provide relevant information to respective departments-60% dissatisfaction levels ï‚· Hospital neither has dedicated staff for database management of patients nor specific training is provided for maintaining customer relationship and it also does not give importance to presentation and analysis of patient information ï‚· Hospital also lacks integrated approach to resolve problems together for better relationship with patient-50% dissatisfaction levels ï‚· Hospital need to streamline its offerings according to patient needs as well -Effectiveness of CRM Practices can be evaluated as: ï‚· 35% patient coming to hospital came to know about this through family and friends. ï‚· Only 8% patients came to know about this hospital through social media which needs lot of up gradation ï‚· Almost 70% of patients are going to use services again and 50% of sample studied is going to recommend hospital to others. -Areas of Improvement include: ï‚· Frequency of data collection about patient satisfaction needs to be increased as demonstrated by data collected 30% to 40% feedbacks from patients coming to hospital is not been recorded ï‚· Modes of collection of patient data also have to be increased as of now hospital is concentrating only on feedback forms for getting the quality of services evaluated by patients. ï‚· According to employee’s reason for organization to work on patent satisfaction is mainly fear of damage to organization reputation followed by increase in regulation and fear of losing patients to competitors. -Review of General Resistance principles from management includes ï‚· According to management there is mechanism for timely distribution of reports and information but more than 50% clinical staff disagreed to this point. Even they showed higher level of disagreement to the point that hospital provides information on regular to respective departments-60% dissatisfaction levels. Opinion also differed on large extent about infrastructural requirements as well as training of staff for maintaining customer relationship. No proper mechanism to solve problem together was also point of disagreement.

Recommendations : Dimensions on which hospital can work for maintain customer relationship include: ï‚· Patient Centered -giving value, designing offerings and rendering services according to patients’ need ï‚· Regular Interaction -through feedback forms, personal interaction by hospital staff, following people on social media, follow up phone calls ï‚· Information Support -proper hierarchy of information flow should be followed, information provided should be on regular basis, genuine, given on right time and should be appropriate ï‚· Infrastructural Assistance -use of specific and advanced technology for database management ï‚· Effective Management -to have control of all activities (operationally and financially) performed, empowering and collaborating employees to achieve common goal


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