UNIVERSITAS INDONESIA CUSTOMER INVOLVEMENT …lib.ui.ac.id/file?file=digital/20351438-TA- S Olvah Alhamid.pdf · have tremendous commercial value therefore a company needs to commercialize

UNIVERSITAS INDONESIA

CUSTOMER INVOLVEMENT INCREASES CUSTOMER SATISFACTION

SKRIPSI

S OLVAH ALHAMID

0706302985

FAKULTAS EKONOMI

PROGRAM STUDI KELAS KHUSUS INTERNASIONAL

GRONINGEN

JANUARI 2013

Customer involvement....., S Olvah Alhamid, Fe UI, 2013

UNIVERSITAS INDONESIA

CUSTOMER INVOLVEMENT INCREASES CUSTOMER SATISFACTION

SKRIPSI

DIAJUKAN SEBAGAI SALAH SATU SYARAT UNTUK MEMPEROLEH GELAR SARJANA EKONOMI

Diajukan Oleh

S OLVAH ALHAMID

0706302985

FAKULTAS EKONOMI

PROGRAM STUDI KELAS KHUSUS INTERNASIONAL

GRONINGEN

JANUARI 2013



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Figure 1HALAMAN PENGESAHAN


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ABSTRAK NAMA : S OLVAH ALHAMID

PROGRAM STUDI : MANAJEMEN - KELAS KHUSUS INTERNASIONAL

JUDUL : KETERLIBATAN KONSUMEN MENINGKATKAN KEPUASAAN KONSUMEN

Skripsi ini membahas tentang Inovasi Terbuka dalam pelayanan kesehatan, yaitu keterlibatan pihak ketiga (konsumen) dalam proses inovasi dengan menggunakan media sosial untuk membantu tingkatan kepuasan pelanggan. Penelitian ini menggunakan metode kualitatif deskriptif dengan membangun framework pada hasil penemuan. Hasil penelitian ini menunjukan bahwa penggunaan media sosial meningkatan kepuasan pelanggan dalam pelayanan kesehatan khususnya dalam hal penanganan penyakit kronis.

Kata Kunci:

Inovasi Terbuka, Pelayanan Kesehatan, Keterlibatan Konsumen, Media Sosial, Penyakit Kronis


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ABSTRACT NAME : S OLVAH ALHAMID

STUDY PROGRAM : MANAGEMENT – INTERNATIONAL UNDERGRADUATE

TITLE : CUSTOMER INVOLVEMENT INCREASES CUSTOMER SATISFACTION?

This research discusses about how Open Innovation in healthcare system, which is the involvement of third party (consumer) in innovation process contributes to customer’s satisfaction level through the use of social media. This research uses qualitative descriptive method by developing a framework for the findings. The result of this research proves that the use of Open Innovation in healthcare system by using social media increases customer’s satisfaction, especially customers with chronic diseases.

Key words:

Open Innovation, Healthcare System, Customer Involvement, Social Media, Chronic Diseases



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Table of Contents HALAMAN PERNYATAAN ORISINALITAS ............................................................................... 1

Figure 1HALAMAN PENGESAHAN ......................................................................................... 2

ABSTRAK ................................................................................................................................ 3

ABSTRACT .............................................................................................................................. 4

Lembar Pernyataan Persetujuan Publikasi Karya Ilmiah ...................................................... 5

untuk Kepentingan Akademis ............................................................................................... 5

Introduction .............................................................................................................................. 8

Research Objective ........................................................................................................... 9

Research question ............................................................................................................. 9

Sub‐research questions ..................................................................................................... 9

The contributions of sub‐research questions ................................................................... 9

Background Theory ................................................................................................................... 9

Open Innovation ................................................................................................................... 9

Open Innovation Approaches ......................................................................................... 10

Social Media ........................................................................................................................ 11

Modes of Communication .............................................................................................. 11

The Types Social Media Used in Healthcare Sector ........................................................ 11

Healthcare ........................................................................................................................... 12

Patient/Customer Satisfaction ............................................................................................ 12

Linking Open Innovation, Social Media, and Patient/Customer Satisfaction in Healthcare Sector ............................................................................................................ 12

Methodology ........................................................................................................................... 14

Literature Review ................................................................................................................ 14

Figure. 1 Initial Research Framework ............................................................................. 15

FINDINGS ................................................................................................................................. 16

Figure 2. Social Media in Healthcare Sector ................................................................... 16

Figure 3. Customers Demand in Healthcare Sector ........................................................ 17

ANALYSIS ................................................................................................................................. 17

Social Media Benefits for Chronic Diseases Patients .......................................................... 19

Obesity, Lung, and Heart Attack ..................................................................................... 19


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Ashtma ............................................................................................................................ 19

Diabetes .......................................................................................................................... 19

Social media Usefulness Classification ................................................................................ 20

Access .............................................................................................................................. 20

Specification .................................................................................................................... 20

Self‐Management............................................................................................................ 20

Knowledge Diversity ....................................................................................................... 20

Emotional Support .......................................................................................................... 20

Marketing ........................................................................................................................ 20

Customers/Patients Demand Classifications ...................................................................... 21

Education ........................................................................................................................ 21

Effectiveness and Efficiency ............................................................................................ 21

Emotional Supports ......................................................................................................... 21

Personalization ................................................................................................................ 21

Alternatives cures ........................................................................................................... 21

Figure 4. Combination of Findings Classifications ........................................................... 22

Linking Findings with “Dimensions of Hospital Service Quality” Framework (by Padma et al. 2008) ...................................................................................................................... 22

CONCLUSION, IMPLICATION, AND LIMITATION ..................................................................... 24

REFERENCES ............................................................................................................................ 25


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Introduction Open innovation is interesting and worth studying because it is a new theory and discovery. It was found by Henry Chesbrough in 2003. He discovered the importance of gathering wider knowledge in order to regenerate the performance or produce innovations to stakeholders. In comparison, many organizations rely only on the internal research and development (R&D), alliances and outsourcing (Narula 2001) in developing and exchanging knowledge in innovation process. In other words, organizations are not being considerate to actually involve stakeholders, such as customers, in innovation process but only the top management, or shareholders. This type of organizations are classified as closed organizations (Chesbrough 2006) because the lack of external input or external involvements in innovation process. Open innovation actually offers organizations the tool of accessing and gathering knowledge outside organization and carrying it into organizations, as well as carrying internal ideas out of organizations. In other words, this theory actually proves the importance of external inputs. This theory has then become very popular for learning organizations. In order to gather knowledge and connect it with organizations, social media used is one of the options. Due to the fact that almost everyone is using social media tools nowadays. Moreover, the significant characteristic of social media is that it connects everyone and everywhere. The examples of social media are Facebook, blogs, microblogging such as Twitter, etc. Therefore, organizations which are looking for inputs in order to perform better as well as taking customers’ needs more seriously can use social media to establish the relationship. Additionally, nowadays, customers share their experiences with any aspects through social media, more specifically their experiences with what they consume, such as products and services. By looking at this trend, organizations could very much use the information in order to understand what customers need.

In service sectors, customers’ involvement actually plays a vital role, because it is about serving customers. As mentioned by Sillanpaa & Junnonen (2012) that there is a difference between innovations in product and service sector which means that in service sector, customers actually involve in each stage of innovation process, especially in changing environment, participative approach is needed (Maklan et al. 2008). One of the most important sectors that continuously grows and needs more attention is healthcare. The growing importance of healthcare sector by individuals as well as governments leads to higher demand for more efficient and effective ways in dealing with healthcare system. As matter of fact that healthcare sector is one of the largest expenditure of every country, it is important that healthcare sector system is considered to be managed in such a way that is able to deal with customer needs in order to deal with customer level of satisfaction because customers/patients continuously search for effectiveness and efficiency in healthcare sector. Therefore, in order to integrate with customers/patients, as well as digging up what customer/patients demand for, organizations could develop a platform that is used as a basket of inputs and share knowledge and ideas resulting as an increase in the level of customer satisfaction. By cooperating with social media, customers can be encouraged to involve in the continuous improvement of organizations, more specifically in healthcare sector. By doing so, healthcare sector widens up the pool of knowledge for the innovation process. Since the environment is rapidly changing, organizations need to realize that internal inputs may not cope with all the potential knowledge and ideas for better performance especially when dealing with customers. Due to the limitation of internal inputs of organizations, Edvardsson and Ohlsson (1996) conceptualized that service sector is required to develop right prerequisites/conditionsin creating value for customers by


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providing what customers need. Therefore, this paper will further focus on analyzing open innovation theory, social media, and customers’ satisfaction in a narrow scope, which is hospital, and develop a new conceptual framework.

Research Objective The purpose of this study is to offer recommendations for patients/customers involvement in the innovation process by providing a clear insight about how open innovation could contribute to customer satisfaction level through social media.

Research question To what extent do social media contribute to treatment effectiveness in association with customer satisfaction level in healthcare sector?

Subresearch questions 1. What are the important variables in new service development? 2. What are the social media modes of communication in healthcare sector? 3. How to involve customers in innovation process in healthcare sector? 4. What do social media offer to customer in healthcare system? 5. What do customers demand in healthcare sector?

The contributions of subresearch questions The first question is asked in order to understand what actually differs from product and service sectors in innovation process. These variables,service concepts, service system, and service process, play a vital role in service sectors. Regarding that, these variables help organization to assure that organizations are actually creating value for customers and meeting customers’ needs. The second question is built to present and understand how information and knowledge are shared through social media so that organizations could be reassured about the importance of communication through social media. The third question is asked to offer organizations certain ways of how to involve customers in the innovation process. The fourth question is asked to assure organizations that social media can be used as a bridge that transfers knowledge, ideas, as well as inputs to perform better and develop new innovations based on what customers demand for. The last question is asked to inform organizations what customers actually demand, especially in healthcare sector and to present the fact that customers/patients use social media to share and exchange knowledge and experiences, as well as information. In order to support this study, author narrows the research scope merely to hospital. Therefore, other sectors of healthcare, such as insurance, biotechnology, and pharmaceuticals organizations will not be taken into account.

Background Theory

Open Innovation In the competitive business world, firms or organizations are required to develop continuous improvement in order to cope up with customer demands. Innovation has been described by many authors in the general as continuous regeneration of a product or service. However, as stated by Chesbrough (2003), innovation is not merely to be restricted internally in commercialization process, but also absorbing from external resources. The open innovation paradigm focuses on a wide range of exploration and exploitation of knowledge through multiple elements (Inauen & Schenker‐Wicki 2011). A company that focuses too internally, or implementing closed‐innovation process, will lose the opportunities that will appear outside the organization in innovation process because it might


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have tremendous commercial value therefore a company needs to commercialize both internal resources and external resources into creation of new products, platforms, architectures, and systems (Chesbrough 2003). In other work of Chesbrough (2012), he mentioned that there are two important kinds of open innovation: outside‐in and inside‐out. The outside‐in part of open innovation involves opening up a company's innovation processes to many kinds of external inputs and contributions, and inside‐out open innovation requires organizations to allow unused and underutilized ideas to go outside the organization for others to use in their businesses and business models. As well supported by Inauen & Schenker‐Wicki (2011), open innovation has three core processes, which are known as outside‐in process, inside‐out process, and coupled process, or the combination of both. Organizations need to collaborate and integrate external parties in the innovation process because each organization in all industries will realize the limitations of their internal activities. Therefore in order to thrive, organizations need to include the assessment of external knowledge to cope up with complex and fast moving environment (Chesbrough 2003). Additionally, as mentioned by Dutta et al. (1999) that in developing new products, not only technological competence is needed, but also marketing competence. However, there is a difference between innovations in service and product sector which is in service sector, costumers involve in each stage of innovation process (Sillanpaa & Junnonen 2012). Therefore, in changing environment, participative approaches are focusing on customer involvement and co‐creation in the innovation process (Maklan et al. 2008).

Open Innovation Approaches Open innovation in healthcare sector could be assessed by the involvement of customers/patients. Gourova & Toteva (2011) mentioned five main practical approaches for customers’ involvement:

1. Lead‐Users Involvement Usually, organizations in each industry conduct customer surveys and focus group to understand customers’ needs.

2. Ideas competitions Organizations create competition for filtering external ideas for new product (service) development.

3. Virtual communities Developed by and to people who share common interests or activities.

4. Knowledge brokering Intermediaries that help transfer resources between two groups based on their needs.

5. Living labs A user‐centric innovation methodology for real‐life contexts which includes various stakeholders in the innovation processes.

Under the assumptions of customer/patient‐oriented which tend to fulfill their needs by buying it from external providers and also because customers’ needs are unique, contextual, and rather complex, therefore customer involvement is vital in innovation process as a value co‐creation to satisfy those unique demands and add more value to the product/service (Fragidis et al. 2010). Botero et al. (2009) stated that customers/patients are encouraged to actively participating in creating innovations collective repositories and shared conversations through social media such as virtual community because then wider pool of resources/ideas is available. By engaging customers/patients to participate actively, organizations will understand the needs of customers.


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Social Media The ways individuals communicate and gather information have been changing rapidly in past few decades. One of the ways of communicating is through social media. Social media is a tool for any kind of collaboration and exchange of information among people. The examples of social media are through social network such as LinkedIn, Facebook, Twitter (microblogging), YouTube, blogs, Wikis, and Flickers (Anklam 2009). Agnihotri et al. (2012, p. 334) defined social media as digital content and networkbased interactions that are developed and maintained by and between people. Hennig‐Thurau et al. (2010, p. 312) stated that social media has been used by individuals to participate in social networks which enable them to create and share content, communicate with one another, and build relationship. Collectively, social media software is a reaction to the inherent human need in which organizations are starting to investigate schemes for a formalised implementation of social media within the workplace (Fernando 2010). In fact, nowadays, individuals dedicate their time in a substantial amount to interact with social media. With regard to this, in this dynamic environment where consumers are more demanding and preferences are changing quickly, social media has played a vital role in connecting organizations and consumer. Therefore organizations need to be aware that the way they do business is considered to be exposed toward social media by individuals, more specifically consumers, because social media helps develop knowledge bases for both organizations as well as consumers (Agnihotri et al. 2012).

Modes of Communication Steele (2011) mentioned that there are three types of social media modes of communication in healthcare sector:

1. Centralized communication Whole‐community can update and access found in public health‐customers interaction.

2. One‐to‐many communication From patients’ information to clinical researcher.

3. One‐to‐one communication Intimate relationship between physicians and patients.

There are many types of social media that could engage individuals as well as groups in gathering and exchanging information wherever and whenever, such as texting via mobile phone, emails, Facebook, and Twitter (Fisher & Clayton 2012; Anklam 2009; Woodside 2012).

The Types Social Media Used in Healthcare Sector Texting

Texting or short message system (SMS) via mobile phone has been used to help patients as a reminder to have a better life style management. This has been proven by several studies such as smoking cessation (Whittaker et al. 2007) via texting in order to help patient quit smoking, another one is a study in African‐American patients with type 2 diabetes perceived the effects of an automated text messaging diabetes program to extend beyond self‐care reminders to include improved social support, increased self‐efficacy, and modified health beliefs. This suggests that mobile health applications can affect self‐management through behavioral constructs typically


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associated with traditional self‐management support programs (Nundy et al. 2012) and another function of texting is to act as reminder to attend the doctor appointment (Koshy et al. 2008; Nundy et al. 2012). Emails Act as an answering provider (physicians) for the questions by patients, additional services include automated prescription refills, results reporting, appointment scheduling, and support relating to administrative questions (Detmer 2003). Facebook It is online communities that can be used for support of specific conditions and diseases as well as posting information such as photos, videos, comments, or provider and hospital reviews. (Woodside 2012). Twitter Twitter is an example of microblogging. Twitter, can be effectively utilized during emergency situations, status updates, and receiving feedback from patients (Woodside, 2012). Other uses for Twitter (anecdotally called TwitterCare) include diabetes management, blood glucose monitoring, drug safety alerts, diagnostic brainstorming, chronic condition selfmanagement, rare disease tracking and resources, infant care tips, and post discharge follow‐up care (Fisher & Clayton 2012).

Healthcare Fafard (2008) stated that health care organizations are organizations which consist of specialists who have power of knowledge over their expertise and have an influence over both clients and operations. Such expertise consists of management organizations, human resources, quality, cost, and networking (Simonen et al.2012).

Patient/Customer Satisfaction In healthcare sector, customers/patients’ satisfaction is the most important thing to be taken into account. Therefore, healthcare sector is required to maintain the quality of the service in order to keep the customers/patients satisfied. There are many definitions of customers/patients satisfaction and service quality. Customer satisfaction is the post‐purchase evaluation of products or services given the expectations before purchase (Kotler 1991, cited by Padma, Rajendran, & Sai 2009). Parasuraman et al. (1985) stated that service quality is a result of the difference between perceived and expected service. In regard with competitive advantage, Ware (1995) stated that patient satisfaction is considered as an important aspect to help hospitals achieve the competitive advantage, because when customers/patients feel satisfied with the healthcare service, for instance a hospital, customers/patients tend to stick with the hospital. It gives the hospital the better reputation which might lead to greater profits or retain more customers/patients.

Linking Open Innovation, Social Media, and Patient/Customer Satisfaction in Healthcare Sector Open innovation has been boomingly used by any industry regarding its effectiveness, because it could help organizations in innovation process throughout internal and external ideas. In dynamic environment, organizations can use the external inputs to help organizations sharpen the performance in dealing with dynamic environment. The use of social media could be the source of external inputs in which it involves external parties in the innovation process, such as customer, or


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patients in healthcare sector. Because, in healthcare sector, patients satisfaction is one of the most vital variables that keeps hospitals grow. Service quality can contribute to patient satisfaction. As conceptualized by Edvardsson and Ohlsson (1996), the main task of new service development is to develop the right prerequisites for customer process and customer outcome. Customer process means that the new development must be adapted from customers’ needs and customer outcome must be sharpened in a good quality. There are three prerequisites for new service development, which are service concepts, service system, and service process (Edvardsson & Ohlsson 1996). The service concepts can be generated through internal and external ideas (Edvardsson & Ohlsson 1996; Chesbrough 2003) to assure that organizations create value for the customers and meet the customers’ needs. The service system is the resources used to realize the concept and the service process is the specific activities involved in the development of new service/service innovation.


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Methodology

Literature Review This study uses certain search engines in collecting the academic journals databases. These search engines are mostly available through “electronic databases” lists of University of Groningen, such as “Business Source Premier”, “EBSCOhost COMPLETE”, Econ Lit, Emerald, and Scopus. Other search engines used were Google and Google scholar merely because the related articles were not available in the aforementioned electronic databases, and author was given options to link to Google and Google scholar. In searching the literature, author uses “keywords” in order to narrow the scope. The keywords are “open innovation”, “social media”,and ”healthcare system”. However, the result was too broad and too wide. In order to maintain a narrow scope, author then decided to adding more specific keywords such as “social media” “AND” “healthcare”, “social media” “AND” “customer needs”, “open innovation” “AND” “customer involvement”. In sorting the academic journals, author choosing the options “relevance”, “cited by”, and “date (newest)” in order to maintain the relevancy and stay updated. After narrowing the searching, author decides to choose 56 academic journals.

However, in the process, author only picks 46 academic journals to be reviewed. Nine out of 46 is used to build “open innovation” theory, another nine is used to conceptualize “social media” definition, two was used to describe “patients/customers satisfaction”, two was used to describe the link between the three, the rest 15 journals was used to find the benefits of social media, what social media offers, and what customers demand in healthcare sector, the other eight was used to support arguments within, also Padma et al. (2008) proposed framework is used to link findings.

2 1

6

4 5

3

Open Innovation

Social Media Customer Satisfaction

Healthcare

Sector


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Figure. 1 Initial Research Framework Figure 1 is used as the point of departure of the study. The framework is built based on basic knowledge about the open innovation, social media, and customer satisfaction because author is encouraged to find out and analyze the framework. The framework actually helps author to keep author on track of finding how open innovation actually differs from other innovation theories, how social media is used, and their contributions to healthcare sector. Additionally, in order to make this study more interesting, author also searches for customer satisfaction theory. Later, author will develop a new framework, and the framework will entirely be based on literature review.

The numbers within the framework are put to guide the study.Arrow number 1 explains in what ways open innovation can be implemented towards social media in healthcare sector and it also explains in what ways social media contribute to open innovation. Arrow 3 explains customers/patients’ needs that are fulfilled or satisfied by social media in healthcare sector, and it also explains what social media offers to customers/patients in healthcare sector. The general line of thought was to figure out how healthcare sector could involve customers/patients in open innovation through social media in order to increase the customers/patients’ satisfaction level. However, arrow 2 was put to explains in which way the open innovation contributes to customers/patients’ satisfaction level which, and the link between open innovation and customer satisfaction is ambiguous. On the one hand, customers/patients could altogether develop platform as virtual community to exchange information and request information to expertise/physicians. On the other hand, expertise/physicians are mostly found to be unavailable to engage in virtual communities (Tijhuis et al. 1998).


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FINDINGS Based on literature review, author finds out that there are many variables which connect the open innovation, social media, and customer satisfaction in healthcare sector, such as hospital. In open innovation sector, author finds that there are ways of implementing open innovation in general, more specifically in healthcare sector. Within social media context, there are many variables that strengthen the usefulness of social media in healthcare sector, especially between patients with chronic diseases (Figure 2).Additionally, the growing importance of healthcare sector leads to growing demands by customers/patients (Figure 3).

Figure 2. Social Media in Healthcare Sector

Figure 2 (after being classified) represents the characteristics of social media in healthcare sector, hospital, which actually functionin many ways in helping customers/patients dealing with their illness, more specifically chronic illness. Customers/patients mostly look for alternative treatment at relatively low cost.

CHARACTERISTICS:Social contributionSupport Knowledge diversity Effectiveness of treatmentInformative Ease of useLow costFast responseProactive Self‐managementAssistance Decrease hospitalizationOngoing managementPost commentsShare experiencesEducative Better outcomeSpecification Up‐to‐dateTransparency Constant feedbacksTrustworthinessPersonalization Inclusion of expertsVarious types of disease

Social Media Offers


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Figure 3. Customers Demand in Healthcare Sector

DIMENSIONS: Awareness Receive educationOffer prevention Larger informationGuidance Self‐managementTypes of diseasesEffectiveness Support Community Sharing Advice Rapid accessInteractive Intensive treatmentBetter outcomeImproved quality of patientTime efficiency Reminder Quality of informationEase of useAvailability Specific informationAlternative cures

Figure 3 (after being narrowed) shows what customers/patients actually demand in healthcare sector, hospital. Customers/patients with chronic illnesses mostly search for affordable ways in general, self‐management treatment in particular, to get better health/outcome.

ANALYSIS In this part, author will explain the findings, and link the findings with the sub‐research questions to further develop a new framework. This study expects to generate customers’ satisfaction level in healthcare sector by using open innovation and social media.

While writing the study, there are links found between sub‐questions. Sub‐question2 mentions how information is spread out towards social media, and apparently it has a link with sub‐question 3 which mentions ways of involving customers/patients in innovation process, and one of the ways is through social media, which also provides a link with sub‐question 4. Sub‐question 4 mentions the reasons why customers/patients are encouraged to use social media. Sub‐question 4 does provide a link with sub‐question 5 in a way that social media actually provides what customers/patients demand in generating better outcome. However, sub‐question 1 does not link with the sub‐question

Customers Demand


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2, 3, or 4 because sub‐question 1 is used to create a picture of the aspects that service organizations need to take into account in creating new service. In contrast with sub‐question 5, because sub‐question 1 provides a link with sub‐question 5 in a way that service organizations, here is healthcare, based on the new service development theory (Edvardsson & Ohlsson 1996), are required to involve customer process (needs) to generate valued outcome for customers.

This study actually shows that there are many customers/patients demand dimensions in healthcare sector. This study proposes that the use of social media seems to overcome what customers/patients demand in healthcare sector because it offers varied functionalities. Based on literature review, findings on this study show that social media in healthcare sector is used as community sharing to allow self‐management treatment to improve health quality/better outcome for customers/patients with chronic illnesses, Figure 2 and Figure 3 both represent customers/patients demand dimensions and social media characteristics respectively in healthcare sector (after being classified based on the variables connectedness). Social media is an effective tool to be used in healthcare sector because it provides ways/modes of exchanging information/knowledge instantaneously. There are numerous hospitals worldwide, however, the implementation of social media in healthcare system is still not very common in real life. Hence Baldwin et al. (2002) suggested that there are two contexts in which healthcare organizations are still in need of improvement. The first one is the need to engage interactive activity with patients about their health by providing more related information. The second one is the need to use information communication technology effectively and efficiently to support the interaction.

In generating new ideas into new service development, open innovation theory suggests that there are certain ways to involve customers in developing new service, one of the ways is through virtual communities (Gourova & Toteva 2011). Customers/patients actually can develop platform, such as virual community, to produce ideas altogether and inform hospitals what customers/patients seek for, for instance the availability of social media use in healping them through ongoing‐treatment. In the same way, hospitals can also develop platform to accommodate customers/patients’ ideas in order to create value for customers/patients since the product served in hospitals is service and the quality of the service is essential. In generating the customer satisfaction level, service quality tends to determine the satisfaction level, as mentioned by Parasuraman et al. (1985) that customers/patients satisfaction is a result of the difference between perceived and expected service (Padma et al. 2008).

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Social Media Benefits for Chronic Diseases Patients

There are many benefits for patients in using social media through the recovery process (see APPENDIX). However, the focus of this study is the use of social media by patients with certain chronic diseases. Revenson et al. (1991) mentioned that nowadays the number of patients with chronic illness has increased. In order to support the long‐term care management, patients need more supporting self‐care practice to engage themselves rather than only traditional visits to practitioners (Vassilev et al. 2010). In this dynamic environment, healthcare system is becoming more expensive to afford. Patients need to reduce their per capita expense in most aspects, especially patients with chronic diseases who need to engage in ongoing treatment (Varlamis & Apostolakis 2006) in order to develop better outcome (Woodside 2012). Therefore, an increase in the size of social media is expected to reduce per capita expense in healthcare systems (Tijhuis et al. 1998). Martinasek et al. (2011) and Laakso et al. (2011) mentioned that healthcare sector needs be customer/patient‐centered in order to fulfill patients’ needs.

Obesity, Lung, and Heart Attack Laakso et al. (2011) mentioned that obesity, lung, and heart attack which are associated with inactive lifestyles which need to be addressed by tracking health determinants through interactive platform such as social media. Rheumatoid Arthritis disease ‐persistent pain, swelling, and stiffness in joints‐ has the ability to suffer from psychological dysfunction (Revenson et al. 1991) therefore the need for social support is very vital.

Ashtma Martinasek et al. (2011) mentioned that Asthma disease is in need for continuous intensive care and real‐time treatment. Several studies have mentioned that by using asthma monitoring and educational tools available in the Internet‐based, patients experienced asthma control improvement as well as reduce morbidity and emergency room costs. Through social media, asthmatics can share experiences and advocacy, and discuss concerns such as dietary program to have improved health.

Diabetes Diabetes is one of the diseases that have been studied the most. Greene et al. (2010) stated that diabetics are in need for intensive treatment such as sugar measurement level towards insulin titration every certain hour therefore they need larger information that might have not been revealed by traditional visits. And in order to lower cost, diabetics need alternatives way of meditation such as social media which provides guidance and share clinical information towards community platform. Thielst (2011) stated that in order to reduce rehospitalisation, aftercare plans through social media are needed to assist diabetics.


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Social media Usefulness Classification Because certain variables are better connected than others, based on the findings (see APPENDIX), classifications are created.

Access Meaning that everyone can access the information (Laakso et al. 2011) regarding the diseases they are suffering because through social media, patients can improve collaboration of information and knowledge sharing, ask questions, and have daily updates as well as quickresponse from the experts and ina proactive way such as online chat(Woodside 2012; Sarringhaus 2011) at low cost tool (Steele 2011; Thielst 2011). Additionally, the ease of use of social media itself (Steele 2011; Thielst 2011) helps patients to access anywhere and anytime.

Specification Here, patients can search for specific drugs and information (Woodside 2012) regarding the type of diseases (Sarringhaus 2011; Steele 2011) to engage in a practical real‐time treatment (Martinasek et al. 2011) at home (Fichman et al. 2011; Woodside 2012; Steele 2011; Varlamis & Apostolakis 2006) as well as receive constant feedback (Fichman et al. 2011; Sarringhaus 2011) from physician in order to have management prevention for the disease (Laakso et al. 2011) and develop better outcome (Woodside 2012).

SelfManagement Patients can engage in self‐management (Martinasek et al. 2011) recovery process (Woodside 2012; Thielst 2011) due to the required ongoing treatment (Varlamis & Apostolakis 2006) by finding assistance and guidance toward trustworthy sources (Sarringhaus 2011; Steele 2011) because there is inclusion of experts who provide regarding information in order to decrease rehospitalisation (Varlamis & Apostolakis 2006).

Knowledge Diversity Social media could provide more detailed information (Steele 2011; Thielst 2011; Varlamis & Apostolakis 2006) regarding the various needs of disease types in which patients might have not been discovered by visiting physicians and because chronic diseases patients need to run intensive treatment (Greene et al. 2010), therefore knowledge sharing by experts as well as other patients are available through social media (Steele 2011).

Emotional Support Patients who are suffering from chronic disease are in need to be supported by their closest people such as family and friends, as well as other patients with common interest (Varlamis & Apostolakis 2006; Martinasek et al. 2011) by using social media platform (Fichman et al. 2011) such as virtual community (Greene et al. 2010). Patients can share their experiences and information regarding treatment as well as lifestyle (Revenson et al. 1991; Laakso et al. 2011).

Marketing There are patients who wouldn’t mind to take medical instruments such as pharmaceutical drugs; however there are also non‐pharmaceutical drugs patients who would prefer to consume natural


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cures (Greene et al. 2010). Social media also provides space for marketers to promote and provide information about meditation such as chemical and non‐chemical drugs.

Customers/Patients Demand Classifications

Education Martinasek et al. (2011) mentioned that patients expect to receive health education through information and technology such as social media instead of having traditional visits to physicians or practitioners all the time. Patients have various types of chronic diseases (Tijhuis et al. 1998) that need constant guidance and broader information (Sidorov 2010) to help them through self‐monitor and self‐management care (Laakso et al. 2011; Vassilev et al. 2010). Patients also need to learn about the prevention actions regarding the various illnesses (Martinasek et al. 2011). Other than the needs for chronic illness patients, the information about emergency situation such as disaster is also needed to be obtained (Gao et al. 2011).

Effectiveness and Efficiency Patients have different timetable as well as different location of living which requires different type of medication or at least supplement medication to boost awareness of health management program (Sidorov 2010). In this fast‐changing environment, patients are searching for a highly interactive (Martinasek et al. 2011) two‐way communication (Sarringhaus 2011) that is being linked to the physicians to get quick responses (Greene et al. 2010). Patients are also searching for lower fixed cost, affordable, suitable alternatives for everyone in comparison to traditional visits (Tijhuis et al 1998). Additionally, people are more willing to engage with relatively easy tools for anyone to use (Laakso et al. 2011; Steele 2011; Thielst 2011).

Emotional Supports Patients with chronic illness need to express their emotional feelings to make them feel better and reduce the level of depression as well as have supports in return to enhance recovery process (Revenson et al. 1991).Patients actively participate trough social media, therefore learning communities could be developed in order to share experiences, knowledge, improve customer access to related‐illnesses (Laakso et. al 2011)

Personalization Patients could request for general and specific information for example exercise patterns and diet behavior to control the food and attitudes as well as specific cure for related‐illness (Greene et al. 2010) to achieve better outcome.

Alternatives cures Through social media, there are many alternatives cures available. Some patients are looking for natural cures (Greene et al. 2010) in which marketers are using social media to sell the products.And because patients with chronic illness are required to take intensive care,which could be very costly, social media helps patients with the availability of alternative cures that are relatively low‐cost, and also help patients with assistance and guidance (Woodside 2012) for the treatment.


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Figure 4. Combination of Findings Classifications

Based on literature review, this framework provides the connection between what customers/patients demand and what customers/patients receive towards the use of social media in healthcare sector. Additionally, the fact that customers/patients’ demands are fulfilled by social media leads to the improved customers/patients’ health/outcome which leads to an increase in customers/patients’ satisfaction level in healthcare sector.

Linking Findings with “Dimensions of Hospital Service Quality” Framework (by Padma et al. 2008)

Padma et al. (2008) stated that the service quality dimensions are paramount to customers/patients’ satisfaction level. Nowadays, customers/patients are more demanding and looking for affordable alternatives of medication to generate better health/improved outcome. Healthcare should focus on service quality dimensions to create customers/patients’ satisfaction (Padma et al. 2008). However, the proposed framework merely describes the service quality through direct face‐to‐face engagement between physicians/expertise with customers/patients at the hospital. In contrast, healthcare sector, hospital, actually can engage physicians/expertise with customers/patients toward third party involvement, which is social media.However, there are several dimensions that seem to

Knowledge diversity

Emotional support

Self‐management

Marketing

Specifications

Access Education

Effectiveness and efficiency

Alternatives cures

Social Media Classifications in Healthcare Sector

Customers/Patients’Demands Classifications in Healthcare Sector

Personalization

Emotional support


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work with social media involvement. “Social Responsibility” dimension seems to support open innovation theory by involving third party in someway, because this dimension mentions that hospital scan also provide free treatment/service to customers/patients. In providing free service, hospitals can do it by using social media. In addition, “Administrative Procedures” dimension mentions about the difficulties of making appointments and also longer waiting times. Social media can be used to overcome these issues. Moreover, “Personnel Quality” mentions about any interactions between service personnel/physicians/expertise and customers/patients in delivering service which are expected to be responsive, reliable, etc. In order to encourage better/more responsive interactions, social media is also an option. By implementing social media use in healthcare sector, hospital, customers/patients’ level of satisfaction is expected to increase.

Figure 1. Dimensions of Hospital Service Quality (P. Padma, L. Prakash Sai and Chandrasekharan Rajendran, (2008), “A Comprehensive Framework for Measuring Service Quality Perceptions of Patients: A Case”, Figure 1)


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CONCLUSION, IMPLICATION, AND LIMITATION This study focuses on open innovation and social media that contribute to customers/patients’ satisfaction level in healthcare sector. Based on Parasuraman et al. (1985), satisfaction is a result of the difference between perceived and expected service. In this study, the findings present that what customers/patients demands for in healthcare sector are fulfilled by social media. Therefore, the findings present that the increase in customer satisfaction level takes place by including social media as a bridge to connect customers/patients and healthcare sector in open innovation theory. However, the findings show that in generating better health/outcome toward social media as community sharing, customers/patients’ satisfaction level increases more by the interaction between customers/patients and customers/patients than with physicians/expertise due to thelow engagement of physicians/expertise engagement as community members.

Linking the findings with service quality dimensions framework proposed by Padma et al. (2008) shows that several dimensions of the framework can be done better by presence of social media.

Additionally, this study has limitation; the research only focuses on the benefits that social media contribute to customer/patients without concerning the disadvantages of social media. Recommendation for future research is to focusing on the effect of on customers/patients’ satisfaction level by increasing number of physician/expertise engagement in community sharing.


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