164 IMPROVING THE SERVICES QUALITY OF EDUCATIONAL STAFF BASED ON SATISFACTION AND LOYALTY ANALYSIS OF NURSING STUDENTS Fresty Africia*, Stefanus Supriyanto**, Tiyas Kusumaningrum* * Faculty of Nursing Universitas Airlangga, Kampus C Mulyorejo Surabaya, 60115 ** Faculty of Public Health Universitas Airlangga, Kampus C Mulyorejo Surabaya, 60115 Email: tiyas-k@fkp.unair.ac.id ABSTRACT Introduction: Educational staff services play a role in determining the quality of education. Service quality is able to provide satisfaction for students. Students who were satisfied with the perceived quality will develop student loyalty to the institution. The purpose of this study was to assess the effect of educational staff service quality with the satisfaction and loyalty of nursing students so that the educational institutions as service providers are able to provide the best service and survive in the midst of competition. Method: The study was an explanative survey with a cross-sectional design. Data collection was conducted using both quantitative (questionnaires) and qualitative (Focus Group discussion/FGD) methods. This study used proportional random sampling, with 110 students as samples. The variables in this research were customer expectations, perceived quality, student satisfaction and loyalty. The data was collected by a questionnaire and analyzed by linear regression, while FGD was conducted in two different groups (students and staff’s managers). Result: The result of the study explains the influence of student expectations on the perceived quality of the educational staff with a p-value = 0,002. There was no influence of student expectation on student satisfaction with a p-value = 0,156. The influence of the perceived quality of the educational staff towards student satisfaction had a p-value = 0,000. The influence of student satisfaction on student loyalty had a p-value = 0,000. Conclusion: The fulfilment of student expectations will have a positive impact on perceived quality. Furthermore, the positively perceived quality will create student satisfaction and student loyalty towards the educational institutions. For further research, it is suggested to examine the effect of satisfaction on student complaints. Keywords: customer expectation; educational staff; loyalty; perceived quality; satisfaction INTRODUCTION Education is a conscious and well- planned effort to create an atmosphere of learning in the learning process so that learners can actively develop their self-potential to have spiritual strength, self-control, personality, intelligence, a noble character, and the necessary skills that they, society, the nation and the state needs (RI, 2012). Educators and education staff are two professions that are closely related to the world of education, although the scope of the two is different. Educators and education staff have roles and positions that are equally important in the context of education (learning). This is in accordance with Law no.20, Article 40, Paragraph (2) 2003 where educators and education staff are obliged to create a meaningful, fun, creative, dynamic and dialogical education atmosphere and have a professional commitment to improving the quality of education. Academic institutions are always expected to improve the academic services offered so as to improve the student’s performance (Goga, Kuyoro and Goga, 2015). Educational institutions need to implement appropriate management so that the educational environment can be modified as needed (Khachian et al., 2013). The globalization era is a challenge for universities preparing their graduates to be able to compete in the struggles of the job market and to produce innovative and creative graduates (Prasetyaningrum, 2009). Under these conditions, educational institutions are finding it necessary to recognize and meet the needs of consumers in providing quality services (Muzakiyah, Syukri and Setyaningsih, 2011). Data from the quality assurance team at STIKes Ganesha Husada Kediri in 2016, in their assessment on their educators (lecturers), showed that 26% were in a very good category and 74% were in a good category. The assessment of the educational staff had never been done before. The results of the initial survey using questionnaires on October 17, 2016, showed that 4 out of 10 nursing students felt that the service personnel at STIKes Ganesha Husada Kediri are below their expectations. Students, as the most important element in educational institutions, need to be heard regarding whether the service that has been given is below their expectations or not. Customer satisfaction is expected to affect loyalty (Rinala, Yudana and Natajaya, 2013). Data from the new admissions team at STIKes Ganesha Husada Kediri in 2016 showed that the number of registered students had Improving the Services Quality of Educational Staff Based on ... (Tiyas Kusumaningrum, et.al.) 165 decreased by 14% from 175 to 151 students. According to Tjiptono (2003), the creation of consumer satisfaction can provide several benefits such as a harmonious relationship between service owners and consumers, providing a good basis for re- purchase and the creation of consumer loyalty, and forming a recommendation from word of mouth services. If there is dissatisfaction from the concerned student, it can have a bad impact in the form of demands or complaints, even lawsuits and spreading it in mass media. If this happens, it is very harmful to the reputation of the concerned college (Suardana, I., 2007). The competitive situation between universities’ demands requires the institutions to pay attention to the quality in order to be able to excel in the competition (Ayu, Srinadi and Eka, 2008). Universities should take anticipatory steps to face the competition and to be responsible for exploring and improving all aspects of the owned services (Ayu, Srinadi and Eka, 2008). Quality services can be identified through customer satisfaction, especially from the students (Ayu, Srinadi and Eka, 2008). Tjiptono (2011) mentioned that quality has a close relationship with the satisfaction of the customer. Quality provides a boost to the consumers to forge strong bonds with the service owners. In the long term, such ties allow the service owners to understand the expectations of consumers and their needs (Tjiptono, 2011). Institutions should be able to improve student satisfaction by improving the quality of the services offered, making the good quality services better and improving the weaker ones. The priority is considered to be student satisfaction in order to achieve student loyalty. This study has examined customer expectations (student), perceived quality of the supporting educational staff, student satisfaction, and student loyalty. The aim of this study was to assess the effect of educational staff service quality on the satisfaction and loyalty of the nursing students. MATERIALS AND METHODS The research method used was an explanative survey with a cross-sectional approach. The study was conducted at STIKes Ganesha Husada Kediri on 13 th to the 31 st March 2017. The research population was all of the nursing students at STIKes Ganesha Husada Kediri, which was many as 151 students. The sampling technique used in this study was proportional random sampling, with a sample size of 110 students based on sample size formula. The data was collected by using a questionnaire. The Questionnaire had been tested for validity and reliability with the Pearson and Cronbach Alpha tests. The collected data were analysed by using linear regression. The research variables include customer expectations (student) and perceived quality, student satisfaction, and student loyalty. A focus group discussion (FGD) was conducted after the quantitative data collection was completed in two different groups; the students and the student’s services manager. The implementation of FGD for students was on a different schedule than that of the managers. This study passed the ethical test conducted on March 8 th , 2017 at the Faculty of Nursing Universitas Airlangga Surabaya with No 355-KEPK. RESULTS This section will present the results of the study based on student expectations, perceived service, satisfaction and the loyalty of the students along with the influence of the variables. The total respondents were 110 students with the majority being female (67%). From this number, the majority said that they were between their second and fifth year of being students. From Table 1, it can be explained that the customer expectation variable fulfilled as many as 55.5% of the respondents. The perceived quality variable on technical quality, functional quality, and amenity was also quite good, with 50.9%, 51.8%, and 51.8% respectively. Student satisfaction with the services provided by the majority in the category of quite satisfied was mentioned by 52.7% of the students. The loyalty variable shows that the majority of students (94.5%) are willing to recommend the school to the community and expect the continuity of relationship by 64.5%. The students who proud getting a degree in nursing school were 66.4%. Table 2 indicated that as many as 36 students thought their fulfilment and the value of the services as being good, and as many as 20 students felt unfulfilled and thought that the valued services are felt fair enough. As many as 25 students thought that the assessment Jurnal Ners Vol. 12 No. 2 Oktober 2017: 164-170 166 service was felt fair enough, and as many as 29 of the students thought that their expectations were unfulfilled and judged the perceived service to be fair enough. Table 3 is the result of the tabulation that indicates that as many as 48 students perceive the service as being good and feeling satisfied, as many as four students perceive the service being quite satisfied and as many as 50 students who assessed the service felt sufficiently satisfied with the service. Table 4 presents the influence of the research variables. There was a significant correlation between customer expectation and perceived quality. Customer expectation has no direct correlation with student satisfaction, but instead through the variable between the perceived qualities. Perceived quality has a very strong correlation (β: 0,910) and is positive towards student satisfaction. Student satisfaction has a strong enough correlation (β; 0,456) to student loyalty. Fulfilling customer expectations will, therefore, enhance perceived quality, which will have an impact on increasing student satisfaction and increasing student loyalty to the institution. DISCUSSION The Correlation of customer expectation to perceived quality of student The direct correlation of customer expectation towards the perceived quality by way of the linear regression test indicates if there was an increase in student expectations, there would be a requirement for improvement of the perceived quality of the service based on the student’s perception. This was in accordance with the concept of the American Customer Satisfaction Index which states that there is a significant correlation between student expectation’s on the perceived quality service (Fornell et al., 1996). The expectation of the customer is the consumer's belief that a product has certain desired attributes and it is the prediction of the consumer towards the possible attributes or performance of a given product (Tanuwijaya, 2012). Woodruff, R.B. & Gardial (2002) used the term "Comparison Standard" against the customer's expectation; they compared between the service product used with the standard that must be received. Perceived quality is an important element for consumer decision-making, and as a consequence, consumers will compare the quality according to the owned category of the product compared to the price paid (Yee, C.J. & San, 2011). The quality of educational staff services is assessed based on the quality distribution of the services. According to Donabedian A., 1980 in (Supriyanto, 2010), there are 3 categories that are technical quality, functional quality, and amenity. Technical quality in this study assessed the duties and functions of each educational staff based on Ganesha Husada Kediri Foundation Decree No.01/YGH-K/XII/2013. Functional Quality assessed the reliability, assurance, tangible, empathy and responsiveness of the educational staff. Amenity is based on the comfort and convenience in relation to the received service. A well-fulfilled expectation will encourage an assessment of the service, and judgment as well. From Table 2, we saw that most of the students' expectations were fulfilled and that they gave positive feedback of the perceived service. However, there was an unfulfilled expectation that needs to be analysed by the academic manager such as the slow distribution of certificates by the academic administrative staff. FGD revealed that the slow certificate distribution was happening because the Hospital does not immediately send a certificate of practice to the associated institution. The existence of the correlation of expectations on perceived quality is supported by a statement from Fornell et al., (1996) which stated that customer expectation is a forecast of the company's ability to provide good quality in the future and positively relates to perceived quality. Kunanusorn (2014) also supported the findings by stating that the quality of service is centred on the efforts to meet the needs, desires, and accuracy of delivery to balance with the customer expectations. Trimurthy (2008) stated that quality is a fundamental decision-making factor determined by the consumers based on the consumer's actual experience of a product or service based on its measurement results, expectations, the promised services, awareness and objectivity. Improving the Services Quality of Educational Staff Based on ... (Tiyas Kusumaningrum, et.al.) 167 The correlation of customer expectation to nursing student satisfaction This study shows no direct correlation between customer expectations and student satisfaction. Tse and Wilton (1988) in Tjiptono (2008) stated that customer satisfaction is directly proportional to customer loyalty, where customer satisfaction is determined by two main things: expectations and perceived performance. If the perceived performance exceeds expectations, then the customer will be satisfied. Otherwise, the customer will not be satisfied. Oliver (2013) agreed with the concept of Tse and Wilton by stating that the process of satisfaction begins after the consumer has obtained a standard of expectation or an example of the product or service performance. Woodruff, R.B. & Gardial (2002) stated that satisfaction is a gap between customer expectations and expected quality standards, where satisfaction can be felt positively or negatively based on the impression experienced by the customers. This condition occurs as a result of the interaction between service providers and customers. Table 1. Research variables (n = 110) No Variables Fulfilled Unfulfilled Total n % n % n % 1. Customer Expectation 61 55.5 49 45.5 110 100% 2. Perceived Quality Good Enough Total n % n % n % a. Technical Quality 56 50.9 54 49.1 110 100% b. Functional Quality 57 51.8 53 48.2 110 100% c. Amenity 57 51.8 53 48.2 110 100% 3. Student Satisfaction 52 47.3 58 52.7 110 100% 4. Student Loyalty Loyal Disloyal Total n % n % n % a. Advocate/Recommendation 106 94.5 6 5.5 110 100% b. Continuity of relationship 71 64.5 39 35.5 110 100% c. Proud 73 66.4 37 34.6 110 100% Table 2. Cross-tabulation result of Customer Expectation, Perceived Quality, and Student Satisfaction Customer Expectation Perceived Quality Total Student Satisfaction Total Good Enough Good Enough Fulfilled 36 25 61 32 29 52 Unfulfilled 20 29 49 20 29 58 Total 56 54 110 71 39 110 Table 3. Cross-tabulation result of Perceived Quality, Student Satisfaction, and Student Loyalty Student Satisfaction Perceived Quality Total Student Loyalty Total Good Enough Loyal Disloyal Good 48 8 56 44 8 52 Enough 4 50 58 27 31 58 Total 52 58 110 71 39 110 Table 4 Statistic test of correlations of Customer Expectation, Perceived Quality, Student’s Satisfaction and Student’s Loyalty at STIKes Ganesha Husada Kediri Variables p-value β Customer Expectation Perceived Quality 0,002 0,290 Customer Expectation Student’s Satisfaction 0,156 -0,065 Perceived Quality Student’s Satisfaction 0,000 0,910 Student’s Satisfaction Student’s Loyalty 0,000 0,456 Jurnal Ners Vol. 12 No. 2 Oktober 2017: 164-170 168 Kotler (2007) stated that satisfaction is the level of one's satisfaction after comparing the perceived results with their expectations. Conversely, if the student’s expectations are not fulfilled, then the level of student satisfaction with the institution will also decrease. The results of this study are consistent with the previous research conducted at several universities in Tehran showing that student expectations do not have a significant effect on student satisfaction and the values that the students understand. The quality of service has a direct and meaningful effect on student satisfaction (Kheiry, 2012). The correlation of the expected quality of the students does not directly affect the satisfaction but instead works through the intermediate variable, which is the students' perceived judgment on the educational personnel services. Some of the literature does mention that customer's satisfaction or that of the patient is determined by the accepted quality examiner (Strasse and Davis, 1991). The correlation of perceived quality to nursing student satisfaction The correlation of perceived quality to student satisfaction within the linear regression test was indicated by an increase in the perceived quality of the students. There will, therefore, be an increase in student satisfaction at STIKes Ganesha Husada Kediri. This is in accordance with the concept of ACSI (American Customer Satisfaction Index) Fornel which states that there is a significant correlation between perceived quality towards overall customer satisfaction (Fornell et al., 1996). According to the results of a research study on students in Singapore, it showed that service quality judged from the perspective of functional and technical quality has a positive influence on the satisfaction that impacts on WOM (Word of Mouth) positively (Teo and Soutar, 2012). Kheiry (2012) stated that the quality of the service perceived by students has a direct effect on student satisfaction and value. According to Durianto (2004) on Suprapti (2010), perceived quality is a consumer perception of the overall quality and superiority of a product or service similar to its intended purpose. Positive perceived quality will drive the consumer’s decision to purchase and create loyalty towards the product. Furthermore, considering that consumer perception can be forecasted, if the perceived quality is negative then the product will not be liked and will not last long in the market. Conversely, if the consumer’s perceived quality is positive then the product will be liked, and so the consumer will make the decision to buy the product. The correlation of student satisfaction to the loyalty of nursing student The correlation of student satisfaction to student loyalty showed that when student satisfaction is increased, it will be followed by student loyalty at STIKes Ganesha Husada Kediri. This is in accordance with the concept of ACSI (American Customer Satisfaction Index) which states that there is significant influence between customer satisfaction and customer loyalty (Fornell et al., 1996). The ultimate goal of a company that pursues consumer loyalty is the achievement of increased usage, the interest in repurchasing the same item, continuing or always using the same service product and choosing the brand of the service product in the future (Kotler and Keller, 2007). Consumer loyalty is a manifestation and continuation of consumer satisfaction (Rahadian, 2006). Satisfied students will be loyal to the institution. This is in accordance with Table 4 where most students are satisfied and have good loyalty towards the institution. Helgesen & Nesset (2007) stated that student satisfaction has the strongest correlation compared to other factors towards student loyalty and that the effect is three times greater than the image and brand image of the college towards student loyalty. Satisfied and loyal customers are the chance to gain new opportunities. Maintaining existing customers will generally be more profitable than turnover. as the cost to attract new customers can be five times the cost of maintaining an existing customer (Kotler and Keller, 2007). Thus, keeping the existing customers is the same as maintaining the survival of the company. In terms of education, to maintain the loyalty of community in the nursing college is similar with maintaining the continuity of the nursing education process helps to improve the quality of nursing services to the community. Improving the Services Quality of Educational Staff Based on ... (Tiyas Kusumaningrum, et.al.) 169 CONCLUSIONS The quality expectation and assessment of the educational staff is still quite good, as well as student satisfaction and loyalty. There is a positive correlation between customer expectation and perceived quality. However, customer expectation has no direct effect on student satisfaction but instead works through the perceived quality intermediary variable. 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