Examining CRM's Impact on Hong Kong Public Hospital Satisfaction

This report investigates the impact of Customer Relationship Management (CRM) on service quality and patient satisfaction within public hospitals in Hong Kong. The study delves into the concepts of CRM, service quality, and patient satisfaction, exploring their interrelationships and significance in the healthcare sector. It examines the rationale for applying CRM, evaluating its effectiveness in enhancing service delivery and patient outcomes. The research employs a structured approach, including a literature review, methodology, data analysis, and conclusion with recommendations. Key themes addressed include the essential role of CRM in public hospitals, the relationship between CRM, service quality, and patient satisfaction, the impact of various CRM applications, and criteria for CRM enhancement. The report aims to provide insights into how CRM practices can be optimized to improve healthcare services and patient experiences, ultimately contributing to better patient outcomes in Hong Kong's public hospitals.

Examine the impact of Customer Relationship
Management on the improvement of service
quality and patient’s satisfaction of public
hospital in Hong Kong

Table of Contents
Research Title..................................................................................................................................1
INTRODUCTION...........................................................................................................................1
Research Aim.........................................................................................................................2
Research Objective.................................................................................................................2
Research Questions................................................................................................................2
Rationale of the study.............................................................................................................3
Significance of the study........................................................................................................3
Problem statement..................................................................................................................3
Chapter structure....................................................................................................................4
Framework and analysis.........................................................................................................5
CHAPTER 2 LITERATURE REVIEW..........................................................................................8
Introduction............................................................................................................................8
Concept of customer relationship management, service quality and patient satisfaction......8
Significant of the application of customer relationship management in public hospital in Hong
Kong.....................................................................................................................................11
Impact of customer relationship management practices on the service quality and patient
satisfaction............................................................................................................................12
Determination of the effectiveness of CRM practices of public hospitals in order to the service
quality...................................................................................................................................13
CHAPTER 4 RESEARCH METHODOLOGY............................................................................14
Introduction..........................................................................................................................14
Research philosophies..........................................................................................................14
Research approaches............................................................................................................15
Research techniques.............................................................................................................15
Research Design...................................................................................................................16
Data collection......................................................................................................................16
Ethical consideration............................................................................................................17
Research limitation...............................................................................................................18
DATA ANALYSIS AND INTERPRETATION...........................................................................19
Introduction..........................................................................................................................19

Theme 1:Customer relationship management plays an essential role in public hospital.....19
Theme 2: The relationship between customer relationship management, service quality and
patient satisfaction in public hospital in Hong Kong...........................................................20
Theme 3: The impact of various application of customer relationship management on the
patient satisfaction and services quality in public hospital in Hong Kong...........................21
Theme 4: Criteria by which customer relationship management can enhance in public hospital
in Hong Kong.......................................................................................................................22
CONCLUSION AND RECOMMENDATION.............................................................................24
Conclusion............................................................................................................................24
REFERENCES..............................................................................................................................28

Research Title
“To examine the impact of Customer Relationship Management on the improvement of service
quality and patient’s satisfaction of public hospital: A case study of public hospital
INTRODUCTION
In the present time, in the health and care sector various new improvement and
development has occurred under which management focuses on the quality of care services and
requirement of the patients. In this sector, the major objective of the management of hospital and
services provider is to deliver effective and high quality of care services to patients so as they
can improve their health issue and diseases (Scott and Spouse, 2013). It is very important for the
management and service provider is to effectively understand the actual requirement and health
issue of the patient through which they can impressively deliver the relevant and impressive care
services to patient. It is also very important for the service provider and doctors to maintain
healthy relationship with customer or patient through which they can feel comfortable in the
hospital (Reeves and et.al., 2011). Quality of services and patient satisfaction is largely depends
upon the relationship between heath care experts and their patients. While they have effective
bounding and understand, they can able to deliver effective patient satisfaction and care services
to them.
Customer relationship management can be defined as revolving process in which
companies try to interact more with consumers in order to identify their needs and requirements.
It supports in providing satisfactory services to customers so that they feel satisfied. Health care
sector is the main industry where patients need quality care from medical professionals so that
their health can be improved soon (Zhong and et.al, 2016). If health care professionals do not
have strong relationship with patients then they will not be able to understand medical
requirements of care users and can get failed to provide them satisfactory services. Role of
medical professionals are very important in order to improve services quality of patients. They
are the main person those who directly communicate with patients (Yoshida and James, 2010.).
If they fail to understand their medical issue then will not be able to meet with their needs (Ahl
and et.al, 2016).
The main issue is faced by care users in the recent time they are not getting timely
treatment by doctors and nursing staff in hospitals. It decreases their trust thus, they do not
1

discuss their problems effectively with health care professionals. Practices of customer
relationship management is considered as effective strategy through which hospitals can fulfil
their mission an can met with objectives. CRM approach supports in serving best to patients and
enchaining their satisfaction level (LÊgreid, 2017).
Patient satisfaction is highly desirable outcome of the clinical care in the health and care
organisation. The patient satisfaction is the judgement on the quality of hospital care in all of its
aspects. In addition to this service quality ion the health care is the level of value provided by
any heath care resource as determined by the some measurement. On the other hand the concept
of customer relationship management is the approach to manage the company's interaction with
current and potential customers (Röthlin , 2013). In the concept of CRM (customer relationship
management) refers to the strategy, technologies and practices that organisation used to manage
and analyse customer interaction. With help of customer relationship management, company can
easily understand the actual needs and requirement of customer related to product and services
and delivers services accordingly (Kassim and Asiah Abdullah, 2010). This system can take use
of various channels in order to improve the relationship with customers such as telephones, live
chat, direct mail, marketing material, and social media (Osborne and et.al, 2015).
In the present study, the major objective of the researcher is to analyse the impact of
customer relationship management on the improvement of service quality and patient
satisfaction of public hospital in the Hong Kong (Aaker, 2011). In order to attain this objective,
researcher is examining the impact of application of the customer relationship management and
how the hospital use the technology and strategy to maximise the negative comments and
improve the services quality in the hospital with respect of public hospital in the Hong Kong. A
public hospital or government hospital is a hospital which is owned by a government and
receives government funding. This kind of hospital provides medical care free of charge and the
cost which is covered by government reimbursement. Thus, the researcher aim is to investigate
that what is the impact of customer relationship management application in the cited venture to
enhance services quality and patient satisfaction (Coxen, Van der Vaart and Stander, 2016).
Research Aim
“To analyse the impact of customer relationship management on the improvement of service
quality and patient satisfaction of public hospital in the Hong Kong”
2

Research Objective
 To critically examine the concept of CRM, service quality and customer satisfaction
 To evaluate the significance of application of CRM in public hospitals in Hong Kong
 To explore how service quality could be improved by practising Customer Relationship
Management
 To determine effectiveness of CRM practices for enhancing service quality and patient
satisfaction in public hospital
Research Questions
 What is the concept of services quality, patient satisfaction, and customer relationship
management?
 What is the significance of various application of the customer relationship management
in the hospital?
 Analyse how service quality could be improved by practising Customer Relationship
Management
 Determination of the effectiveness of CRM practices for enhancing service quality and
patient satisfaction in public hospital
Rationale of the study
In the present study, researcher have main aim is to investigate the impact of the of
Customer Relationship Management on the improvement of service quality and patient’s
satisfaction of public hospital. In this study, researcher have major objective is to analyse the
impact of the customer relationship management on the improvement of the service quality and
patient satisfaction (Blocker, Flint, Myers and Slater, 2011). The major objective of this
selection of this topic is those researchers have huge interest in this topic, as they wanted to
explore their understanding and knowledge about customer relationship management and also
examine the application of the customer relationship management in the health and care
organisation (Berry, Davis and Wilmet, 2015). The major reason for selection of this topic
because researcher wanted to explore his knowledge about the impact of customer relationship
management on the patient satisfaction and services quality in the health and care corporation.
This topic is interesting because customer relationship management have direct relation with
patient satisfaction in the hospital so with help of this study, researcher can determined its
3

relation with patient satisfaction and service quality in the public hospita (Eid, 2011)l. By
discussing the research topic in the study, management of public hospital in the Hong Kong can
analyse the impact of the customer relationship management on the services quality and patient
satisfaction.
Significance of the study
In the present research study, the researcher have main aim is to analyse the impact of
Customer Relationship Management on the improvement of service quality and patient’s
satisfaction of public hospital and how service quality could be improved by practising
Customer Relationship Management. With assistance of this research study, researcher can
easily acquire the knowledge and information about the importance of customer relationship
management within the hospital (Albliwi, Antony and Lim, 20150. With assistance of this study,
researcher can also analyse that how various application of the customer relationship
management can enhance the care services quality and t\ patient satisfaction level. Thus, it can
be said that this investigation study is very important which provides the huge knowledge and
importance about the service quality, patient satisfaction and customer relationship management.
Problem statement
In this present study, this selected topic of customer relationship management and its
various application impact on the service quality and patient satisfaction level in the hospital is
very huge topic because customer relationship management have various application so it is
quite difficult to involve all theories, concept, and approaches of customer relationship
management in the present study (Dahl, 2015). In the literature review, researcher has collected
secondary data because in this chapter various articles, books, magazines, online articles,
newspaper etc so it is quite difficult to select effective article related to this topic. Another major
problem which faced by the researcher is related to the time (Glasby, 2017). In order to
accomplishing this study, the researcher has very limited time period and fund through which the
researcher have faced problem in the entire study. The Researcher have noticed that there are
several kinds of problem and issue with respect of patient satisfaction and services quality in
public hospital which required to be addressed by management of hospital. In this aspect,
customer relationship management is that practices which help in overcome the problem along
with service quality and patient satisfaction.
4

Chapter structure
In the present dissertation, there are various kinds of the chapter which address to attain
the aim of the study such as analyse the impact of customer relationship management on the
service quality and patient satisfaction in the health and care organisation (Bringle, Hatcher and
Jones, 2012). These chapters are as follows- Chapter-1 Introduction: In this chapter the main aim and objective of the study will
design through which entire study can conduct. In the absence of this chapter, researcher
cannot attain its main objective of the research. In this problem statement, rationale of the
study, research question etc. is included (Cozby and Bates, 2015). Chapter-2 Literature review- This is another one of the significant chapter in the entire
dissertation which provide the detail knowledge and understanding about the topic. In
this chapter, various views and statement of various articles can included through which
detail knowledge and information can gather in the study (Drozd and Nosal, 2012). The
depth research will include in this chapter by which all information can easily acquire
about the topic. In the absence of this chapter dissertation cannot accomplish. Chapter-3 Research methodology: This is another important chapter in the entire study
which provides help to researcher in attain the objective. With help of this chapter
researcher can understand the actual issue and find out the best solution of research
problem. Chapter-4 Data analysis: This is another chapter of the research study which help to
researcher in assessing and analysing the whole information about the topic. With help of
this chapter, researcher can effective analysis the collected information and conclude the
result and outcome of the study.
 Chapter-5- Conclusion and recommendation- This is another most effective and
significant chapter in the entire dissertation which gives the final conclusion and
summary of the study. With help of this chapter, summary and recommendation of the
study can address (Edward, 2000).
5

CHAPTER 2 LITERATURE REVIEW
Introduction
This chapter reviews various themes related to the research topic. With assistance of the
themes, the researcher can collect the secondary information with respect of topic. With
assistance of this chapter, the researcher has opportunity to gain effective knowledge and
understanding related to matter (Beard, 2014). In this chapter, the views, opinion and statement
for the topic of research have summarised and synthesised of various authors. The major
objective of this chapter is to collect the views, opinion, and statement of various authors about
the subject. In this present study, the major objective is to analyse the impact of customer
relationship management on the patient satisfaction and services quality. (Chong and Zhou,
2014). For this objective, the researcher has focused on the literature review under which various
themes has been designed on the topic of customer relationship management and its relation with
service quality and patient satisfaction. Following are various themes which provide effective
knowledge and understanding about the subject.
Research Framework: Customer relationship management- Service quality - customer
satisfaction
Concept of customer relationship management, service quality and patient satisfaction
According to the view of Rasheed, (2013) CRM is an approach of the managing and
maintaining the company interaction and relationship with potential customers. In this aspect,
information has been compiled from various communication channels like company's website,
email, telephone, live chat, marketing material, social media etc. customer relationship
management is a system under which organisation and customer can develop healthy
relationship. It can be said that it is a approach for managing the relationship with customer and
buyers in the market (Newby and et.al., 2014).
In the opinion of Taylor, Bogdan and DeVault, (2015) service quality is a measure how
well a service is delivered as compare to customer expectations. It is an action or an activity that
can offered by party to another party which is basically intangible. It is a focused evaluation that
reflects the customer perception of specific dimension of service. On the other hand customer
satisfaction is marketing term that measures how product or service supplied by a company. It is
6

a part of customer experience that exposes suppliers behaviours on customer expectations
(Pisanti and et.al., 2015).
According to the view of Agbor (2011), in the health and care organisation, there is direct
relationship between the customer relationship management, service quality, and patient
satisfaction. While health and care experts adopt an effective approach of the customer,
relationship management then it will positively influence the services quality and patient
satisfaction. CRM is an approach that helps in developing the relationship between the customer
and organisation. According to the view of Preston-Shoot and Kline, (2012) in context of health
and care sector, customer relationship management is that approach in which effective
relationship can maintained between the health care experts and patients (Gittell, 2016). For the
health care providers, there are various elements of the customer relationship management by
which any organisation can easily understand the actual requirement of the customer related to
the product and services and company can easily deliver the right kind of services which they
required. With help of the customer relationship management system, within the hospital health
experts can improve their relationship and determine the best marketing opportunities and best
target. In hospital, the CRM program can enable to send right message to right person at right
time. This helps in allowing health care experts to take better care of health of patients. In the
opinion of Rasheed, (2013) customer relationship management program also helps to achieve
mission by improving health of community (Sumaedi and et.al, 2014). Thus, it can said that with
help of customer relationship management approach in health and care organisation, there can
improve the relationship between the health care experts and patients. It refers to the practices,
strategies and technologies that organisation uses for manage and analysing the business
relationship with customers (Dickinson and O'Flynn, 2016). In the health and care sector, while
health practitioner maintains health customer relationship then they can easily acknowledge and
identify the actual health issue among the patient. It is very important for the management and
service provider is to effectively understand the actual requirement and health issue of the
patient through which they can impressively deliver the relevant and impressive care services to
patient. It is also very important for the service provider and doctors to maintain healthy
relationship with customer or patient through which they can feel comfortable in the hospital.
Thus, it can said that in the health and care organisation, customer relationship management
7

plays a very crucial role by which company patient can gain effective satisfaction level because
with help of healthy and effective relationship they can easily understand (Astuti and Nagase,
2014). According to the view of Yoshida and James, (2010) customer relationship management
is a process under which corporation using several methods, strategies and practices for maintain
an effective and healthy relationship with customers (Naidu and Reich, 2017). In addition to this,
with help of customer relationship management, company can easily collect the customer view,
opinion, and suggestion related to the services and commodity
According to the view of Taylor, Bogdan and DeVault, (2015) in the present time, there are
various kinds of software and platform can use by the company in order to maintain effective
and healthy relationship with customers. Social media and its various channels like Facebook,
twitter, instagram, you tube etc. With help of various platforms, company can easily get touch
with final customers and identify their views, opinion, and suggestion related to the product and
services (Kane and et.al, 2015). In the present time, social media is use by the various
organisations because with help of this company can easily identify the actual needs, wants of
the customer, and deliver services according to their demand and expectations (Khamisa and
et.al, 2015). It is a platform, by which companies can improve their relationship with customers
and answer their questions and queries quickly. Most of the customer uses the social media
platform for collect the information about the product process, features, delivery, distribution etc
so it can said that it is best platform to get touch with the customer. In the context of health and
social care, organisation can create its page on the internet and develop the profile on the various
social media channels so as it can easily know the review, comments, and experience related to
the services of health and care sectors (Navimipour and Charband, 2016).
Service quality
According to the view of Rasheed, (2013) service quality is a measure how well a service
is delivered as compare to customer expectations. It is an action or an activity that can offered by
party to another party which is basically intangible. It is a focused evaluation that reflects the
customer perception of specific dimension of service.
According to the view of Reeves and et.al., (2011), health care quality is most significant
aspect in hospitals which assist in improving health of patients. Service quality is that
measurement which shows how services are delivered in effective manner to customers. It is an
assessment of how well a delivered service conforms to the client's expectations. In the hospital,
8

services quality is that kind of measurement which shows that how much patient gain the
services and treatment from the health care experts. While health care experts deliver effective
service to the patients then they can able to improve their health issue and problem (Seing and
et.al, 2015). Thus, it can be said that it is very important that delivering services and treatment
must be at the high level of quality so as customer can gain effective satisfaction level.
According to the view of Steve, (2015) customer satisfaction have direct relationship with
service quality because while health and care experts in the hospital delivers an effective and
high quality of services then it is very easy to improve the level of patient satisfaction (Emerging
Role of Customer Relationship Management in Global World with reference to Healthcare
Services in Hospitals, 2016). In simple words, it said that customer satisfaction is that indicator
which defines consumer desires of purchase buying behaviour and loyalty (Minkiewicz, Evans
and Bridson, 2014).
Customer satisfaction
According to the view of Smith, (2015) customer satisfaction is marketing term that measures
how product or service supplied by a company. It is a part of customer experience that exposes
suppliers behaviours on customer expectations
According to the view of Smith, (2015) patient satisfaction is another one of the most significant
aspect in the health and care organisation. In this sector, it is very important to make satisfy its
patient by delivering right services and treatment according to their needs. It is also very
important for the health care experts and doctors to deliver right care services and treatment to
the patient so as they can improve their health issue and problem. In a simple word, it can said
that patient satisfaction is the measure of the extent to which a patient is content with the health
care which they received from their health care provider. It is a kind of performance indicator by
which health experts and practitioner can easily measure in self-report and specific type of
customer satisfaction metric (Customer relationship management in hospital industry - an
overview, 2016). In the health and care sector, patient satisfaction is the measurement by which
health care experts and doctors can measure that how effectively patient health issue are
improved and solve. In addition to this, with help of patient satisfaction, health experts can also
analyse the effectiveness of treatment services, used practices, equipment, and method in the
9