Exploring Internal Marketing, Employee Satisfaction, and Commitment for Customer Orientation at Anutapura Palu Hospital Moderated by Cultural Congruence

Maskuri Sutomo; Setiawan Mandala Putra

doi:10.23887/ijssb.v8i3.77437

Authors

Maskuri Sutomo Management Department, Faculty of Business and Economics, Tadulako University
Setiawan Mandala Putra Management Department, Faculty of Business and Economics, Tadulako University

DOI:

https://doi.org/10.23887/ijssb.v8i3.77437

Keywords:

Internal Marketing, Employee Satisfaction, Organizational Commitment, Customer Orientation, Cultural Congruence

Abstract

This research aims to explore the direct influence of internal marketing on employee satisfaction, organizational commitment and consumer orientation, as well as examining the indirect impact of internal marketing on consumer orientation. An additional focus of this study is to identify the important role of cultural congruence in organizational contexts. This type of research is descriptive-causal research. This survey used 100 respondents from employees at Anutapura Hospital, Kota Palu, Sulawesi Tengah. Respondents were selected using proportional stratified sampling, which implies that the number of employees depends on the size of the division. The analysis technique that will be used in this research is the Structural Equation Modeling (SEM) analysis technique using the SmartPLS partial least squares (PLS) application. The results of this research found that internal marketing has a positive effect on employee satisfaction, organizational commitment and customer orientation in hospitals. In addition, employee satisfaction and organizational commitment were found to be able to mediate the relationship between internal marketing and customer orientation. Cultural congruence identified in this research was found to have a moderating effect on the relationship between internal marketing and employee satisfaction, but not on organizational commitment. The implications of this research are that management needs to pay greater attention to the development of effective internal marketing strategies. Apart from that, management must also consider cultural congruence in managing the organization.

References

Abbas, J. (2020). Impact of total quality management on corporate sustainability through the mediating effect of knowledge management. Journal of Cleaner Production, 244, 118806.

Al Samman, A. M., & Mohammed, A. T. I. (2021). The mediating role of job satisfaction and affective commitment in the relationship between internal marketing practices and customer orientation. International Journal of Organizational Analysis, 29(4), 847-872.

Aldridge, J. M., & Fraser, B. J. (2016). Teachers’ views of their school climate and its relationship with teacher self-efficacy and job satisfaction. Learning Environments Research, 19, 291-307.

Ali, M.Z.; Ahmad, N. Impact of pay promotion and recognition on job satisfaction (A study on banking sector employees karachi). Glob. Manag. J. Acad. Corp. Stud. 2017, 7, 131–141.

Allal-Chérif, O., Climent, J. C., & Berenguer, K. J. U. (2023). Born to be sustainable: How to combine strategic disruption, open innovation, and process digitization to create a sustainable business. Journal of Business Research, 154, 113379.

Anshori, I. (2018). Penerapan Nilai Budaya Kerja: Peluang dan Tantangan bagi Peningkatan Kinerja Madrasah. Jurnal Pendidikan dan Humaniora: CENDEKIA, 2(3), 191-201.

Bailey A. A., Albassami F., Al-Meshal S. (2016). The roles of employee job satisfaction and organizational commitment in the internal marketing-employee bank identification relationship. International Journal of Bank Marketing, 34(6), 821–840.

Bailey, A. A., Albassami, F., & Al-Meshal, S. (2016). The roles of employee job satisfaction and organizational commitment in the internal marketing-employee bank identification relationship. International journal of bank marketing, 34(6), 821-840.

Balta, S. (2018). The Influence of Internal Marketing on Employee Satisfaction in the Service Industry. Business Management Dynamics, 8(1).

Bastida, M., Neira, I., & Lacalle-Calderon, M. (2022). Employee's subjective-well-being and job discretion: Designing gendered happy jobs. European Research on Management and Business Economics, 28(2), 100189.

Becker, T. E., Klein, H. J., & Meyer, J. P. (2012). Commitment in organizations: Accumulated wisdom and new directions. In Commitment in organizations (pp. 432-465). Routledge.

Berry, L. L. (1981). The employee as customer. Journal of retail banking, 3(1), 33-40.

Brown, T. J., Mowen, J. C., Donavan, D. T., & Licata, J. W. (2002). The customer orientation of service workers: Personality trait effects on self-and supervisor performance ratings. Journal of marketing research, 39(1), 110-119.

Cao, J.; Liu, C.; Wu, G.; Zhao, X.; Jiang, Z. Work–Family Conflict and Job Outcomes for Construction Professionals: The Mediating Role of Affective Organizational Commitment. Int. J. Environ. Res. Public Health 2020, 17, 1443

Casey, D., & Sieber, S. (2016). Employees, sustainability and motivation: Increasing employee engagement by addressing sustainability and corporate social responsibility. Research in Hospitality Management, 6(1), 69-76.

Chen, Q., Huang, R., Pak, K. Y., & Hou, B. (2021). Internal marketing, employee satisfaction and cultural congruence of Gulf airlines. Tourism Review, 76(6), 1214-1227.

Cherif, F. (2020). The role of human resource management practices and employee job satisfaction in predicting organizational commitment in Saudi Arabian banking sector. International Journal of Sociology and Social Policy, 40(7/8), 529-541.

Chiu, W., Won, D., & Bae, J. S. (2020). Internal marketing, organizational commitment, and job performance in sport and leisure services. Sport, Business and Management: An International Journal, 10(2), 105-123.

De Bruin, L., Roberts-Lombard, M., & De Meyer-Heydenrych, C. (2021). Internal marketing, service quality and perceived customer satisfaction: An Islamic banking perspective. Journal of Islamic Marketing, 12(1), 199-224.

Eliyana, A.; Ma’arif, S.; Muzakki. Job satisfaction and organizational commitment effect in the transformational leadership towards employee performance. Eur. Res. Manag. Bus. Econ. 2019, 25, 144–150.

Farzad, A., Nahavandi, N. and Caruana, A. (2008), “The effect of internal marketing on organizational commitment in Iranian banks”, American Journal of Applied Sciences, Vol. 5 No. 11, pp. 1480-1486.

Fazio, J., Gong, B., Sims, R., & Yurova, Y. (2017). The role of affective commitment in the relationship between social support and turnover intention. Management Decision, 55(3), 512-525.

Feng, T., Wang, D., Lawton, A., & Luo, B. N. (2019). Customer orientation and firm performance: The joint moderating effects of ethical leadership and competitive intensity. Journal of Business Research, 100, 111-121.

Frambach, R. T., Fiss, P. C., & Ingenbleek, P. T. (2016). How important is customer orientation for firm performance? A fuzzy set analysis of orientations, strategies, and environments. Journal of Business Research, 69(4), 1428-1436.

Ghozali, Imam & Latan, Hengky (2017), Partial Least Square: Konsep, Metode, dan Aplikasi menggunakan program WarpPLS 5.0, Edisi ke-3, Semarang: Badan Penerbit Universitas Diponogoro

Gountas, S., Gountas, J., Soutar, G., & Mavondo, F. (2014). Delivering good service: Personal resources, job satisfaction and nurses’ ‘customer’ (patient) orientation. The Journal of advanced Nursing, 70(7), 1553-1563.

Hardiyansyah, H. (2018). Kualitas Pelayanan Publik: Konsep, Dimensi, Indikator dan Implementasinya. Gava Media.

Hosseini, S. A. (2014). Components of organizational culture based on Denison model. Kuwait Chapter of the Arabian Journal of Business and Management Review, 3(12A), 31.

Huang, Y. T., & Rundle-Thiele, S. (2014). The moderating effect of cultural congruence on the internal marketing practice and employee satisfaction relationship: An empirical examination of Australian and Taiwanese born tourism employees. Tourism Management, 42, 196-206.

Huang, Y. T., & Rundle-Thiele, S. (2015). A holistic management tool for measuring internal marketing activities. Journal of Services Marketing, 29(6/7), 571-584.

Huang, Y. T., Rundle-Thiele, S., & Chen, Y. H. (2019). Extending understanding of the internal marketing practice and employee satisfaction relationship: A budget Chinese airline empirical examination. Journal of Vacation Marketing, 25(1), 88-98.

Ismail W., & Sheriff N. M. (2017). The effect of internal marketing on organizational commitment: An empirical study in banking sector in Yemen. Polish Journal of Management Studies, 15(1), 88–98.

Ismail, W., & Sheriff, N. M. (2017). The effect of internal marketing on organizational commitment: an empirical study in banking sector in Yemen. Polish journal of management studies, 15(1), 88-98.

Jain, S. (2013). The concept of employee branding and its effectiveness as a tool for employee retention. Indian Streams Research Journal, 3(3), 1-4.

Kim, J. S., Song, H. J., & Lee, C. K. (2016). Effects of corporate social responsibility and internal marketing on organizational commitment and turnover intentions. International Journal of Hospitality Management, 55, 25-32.

Lambert, E. G., Paoline, E. A., & Hogan, N. L. (2020). The effects of inmate medical issues on correctional staff job involvement and organizational commitment. Journal of Correctional Health Care, 26(1), 66-82.

Li, W., Pomegbe, W. W. K., Dogbe, C. S. K., & Novixoxo, J. D. (2019). Employees’ customer orientation and customer satisfaction in the public utility sector: The mediating role of service quality. African Journal of Economic and Management Studies, 10(4), 408-423.

Lim, J. (2017). The effects of emotional intelligence on job satisfaction and customer orientation of hotel employees: Moderating effect of value sharing. Global Business & Finance Review (GBFR), 22(1), 80-90.

Lombardi, S., Sassetti, S. and Cavaliere, V. (2019), “Linking employees’ affective commitment and knowledge sharing for an increased customer orientation”, International Journal of Contemporary Hospitality Management, Vol. 31 No. 11, pp. 4293-4312.

Mazzarolo, A. H., Mainardes, E. W., & Montemor, D. S. (2021). Effects of internal marketing on strategic orientations in the banking sector. International Journal of Bank Marketing, 39(5), 810-833.

McFadden, P., Campbell, A., & Taylor, B. (2015). Resilience and burnout in child protection social work: Individual and organisational themes from a systematic literature review. The British Journal of Social Work, 45(5), 1546-1563.

Mohammad, A. A., Alshura, M. S., Al-Hawary, S. I. S., Al-Syasneh, M. S., & Alhajri, T. M. (2020). The influence of Internal Marketing Practices on the employees’ intention to leave: A study of the private hospitals in Jordan. International Journal of Advanced Science and Technology, 29(5), 1174-1189.

Mohammad, R., Rubelad, N., Newaz, R., Yuslizac, D. and Mui, H. (2018), “High commitment human resource management practices and employee service behaviour: trust in management as mediator”, IIMB Management Review, Vol. 30 No. 4, pp. 316-329.

Moreira Mero, N., Hidalgo Fernández, A., Loor Alcívar, M. I., & González Santa Cruz, F. (2020). Influence of internal marketing dimensions on organizational commitment: an empirical application in ecuadorian co-operativism. Sage Open, 10(3)

Narver, J. C., & Slater, S. F. (1990). The effect of a market orientation on business profitability. Journal of marketing, 54(4), 20-35.

Neneh, B. N. (2018). Customer orientation and SME performance: the role of networking ties. African Journal of Economic and Management Studies, 9(2), 178-196.

Neo, J.F., Smith, M. and Pedersen, D. (2014), “E-learning in multicultural environments: An analysis of online flight attendant training”, British Journal of Educational Technology, Vol.45 No.6, pp.1060-1068.

Park, J. H., & Tran, T. B. H. (2018). Internal marketing, employee customer‐oriented behaviors, and customer behavioral responses. Psychology & Marketing, 35(6), 412-426.

Pavlidou, C. T., & Efstathiades, A. (2021). The effects of internal marketing strategies on the organizational culture of secondary public schools. Evaluation and Program Planning, 84, 101894.

Peng, N., & Chen, X. (2023). Model-based learning towards environment in cross-cultural communication: a mediating role of technology innovation acceptance in culture congruence and English language teaching for environmental education. Economic Research-Ekonomska Istraživanja, 36(3), 2162946.

Perry, S. J., Hunter, E. M., & Currall, S. C. (2016). Managing the innovators: Organizational and professional commitment among scientists and engineers. Research Policy, 45(6), 1247-1262.

Qiu, J., Boukis, A., & Storey, C. (2022). Internal marketing: a systematic review. Journal of Marketing Theory and Practice, 30(1), 53-67.

Racela, O. C., & Thoumrungroje, A. (2020). When do customer orientation and innovation capabilities matter? An investigation of contextual impacts. Asia Pacific Journal of Marketing and Logistics, 32(2), 445-472.

Rahimiaghdam, S. (2020). Internal Marketing and Employee Productivity with Mediating Role of Knowledge Sharing in Hotel Industry. The Journal of Productivity Management, 14(3 (54) autumn), 148-171.

Rashed, M. A. (2013). Culture, salience, and psychiatric diagnosis: exploring the concept of cultural congruence & its practical application. Philosophy, Ethics, and Humanities in Medicine, 8, 1-12.

Redondo, R., Sparrow, P., & Hernández-Lechuga, G. (2021). The effect of protean careers on talent retention: examining the relationship between protean career orientation, organizational commitment, job satisfaction and intention to quit for talented workers. The International Journal of Human Resource Management, 32(9), 2046-2069.

Reidhead, C. (2020). Impact of organizational culture on employee satisfaction: A case of Hilton hotel, United Kingdom. Journal of Economics and Business, 3(1).

Rivaldo, Y., & Nabella, S. D. (2023). Employee performance: Education, training, experience and work discipline. Calitatea, 24(193), 182-188.

Saad, N. M., Hassan, S. H., & Shya, L. M. (2015). Revisiting the relationship between internal marketing and external marketing: The role of customer orientation. The Journal of Developing Areas, 249-262.

Saluy, A.B., Abidin, Z., Djamil, M., Kemalasari, N., Hutabarat, L., Pramudena, S.M., & Endri, E. (2021). Employee productivity evaluation with human capital management strategy: The case of covid-19 in Indonesia. Academy of Entrepreneurship Journal, 27(5), 1-9

Santosa, P. I. 2018. Metode Penelitian Kuantitatif – Pengembangan Hipotesis dan Pengujiannya Menggunakan SmartPLS. Yogyakarta: Penerbit ANDI.

Sarstedt, M., Ringle, C. M., & Hair, J. F. (2021). Partial least squares structural equation modeling. In Handbook of market research (pp. 587-632). Cham: Springer International Publishing.

Schönwälder, J., & Weber, A. (2023). Maturity levels of sustainable corporate entrepreneurship: The role of collaboration between a firm's corporate venture and corporate sustainability departments. Business Strategy and the Environment, 32(2), 976-990.

Shaban, A. (2016). Managing and leading a diverse workforce: One of the main challenges in management. Procedia-Social and Behavioral Sciences, 230, 76-84.

Simwanza, A., & Mabagala, S. (2022). Resource mobilization for sport activities in Tanzanian secondary schools. Sport Marketing in a Global Environment: Strategic Perspectives.

Taneja, S., Sewell, S. S., & Odom, R. Y. (2015). A culture of employee engagement: A strategic perspective for global managers. Journal of Business Strategy, 36(3), 46-56.

Treviño, L. J., Egri, C. P., Ralston, D. A., Naoumova, I., Li, Y., Darder, F. L., ... & Furrer, O. (2020). A cross-cultural examination of person-organization fit: is PO fit congruent with or contingent on societal values?. Management International Review, 60, 287-314.

Trkovsky, J. (2017). Improved flight safety through effective communication among multicultural flight crew (Doctoral dissertation, Northcentral University).

Varshney, D.; Varshney, N.K. The effect of resilience on performance and job satisfaction among construction managers in Saudi Arabia. Glob. Bus. Organ. Excell. 2017, 36, 36–45.

Walker, S. The volatile human: Moderating effects on job satisfaction after job redesign. Acad. Bus. Res. J. 2017, 3, 28–43.

Wang, Q., Zhao, X., & Voss, C. (2016). Customer orientation and innovation: A comparative study of manufacturing and service firms. International Journal of Production Economics, 171, 221-230.

WapresRI. (2023). “Jangan Bedakan Pelayanan”. Available at: https://www.wapresri.go.id/jangan-bedakan-pelayanan/. (Accessed, Janury 14th 2024).

Yi, H. T., Cho, Y., & Amenuvor, F. E. (2023). Internal marketing and salespeople's out-of-role behaviour: The mediating role of job satisfaction. European Research on Management and Business Economics, 29(2), 100216.

Zumrah, A. R., & Boyle, S. (2015). The effects of perceived organizational support and job satisfaction on transfer of training. Personnel review, 44(2), 236-254.