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DOI https://doi.org/10.18551/rjoas.2017-06.33
ANALYSIS OF THE INFLUENCE OF SERVICE QUALITY, SERVICE FAIRNESS ON PUBLIC SATISFACTION AND TRUST: A STUDY ON THE USERS OF PUBLIC
SERVICES IN THE POPULATION AND CIVIL REGISTRATION DEPARTMENT OF JAYAPURA CITY GOVERNMENT OF PAPUA PROVINCE
Djong H. W. Makanuay
Doctoral Program of Management Sciences, University of Brawijaya, Indonesia
Armanu, Fatchur Rohman
Faculty of Economics and Business, University of Brawijaya, Indonesia
Solimun
Faculty of Mathematics and Natural Sciences, University of Brawijaya, Indonesia *E-mail: [email protected]
ABSTRACT
This research is to examine and prove empirically the influence of service quality and service fairness on public satisfaction and trust. This research is an explanatory research that aims to explain the causal relationship between the variables by using quantitative approach. The population of this research was all the public users or the public receiving services at the Department of Population and Civil Registration of Jayapura city government. The sampling was done by multiplying the number of variables with number 25. The analysis method used to answer the hypothesis in this research was GSCA (Generalized Structured Component Analysis). The results of the study showed that (1) the service quality and service fairness significantly influenced the public satisfaction, (2) the public satisfaction also had a significant influence on the public trust, (3) the service quality and (4) service fairness had no significant influence on the public trust, (5) The testing results of indirect relationship showed that the public satisfaction was significant as the mediation of the relationship between the service quality and public trust, and (6) the public satisfaction was the mediation of the relationship between the service fairness and public trust.
KEY WORDS
Service quality, service fairness, satisfaction, trust.
A qualified provision of public services is one of the obligations that must be conducted by a government, including the government of regency/city. The demand is increasingly enhanced by handing over a broader authority to the government of regency/city in line with the enactment of Law No.22 of 1999 on Local Government, which has been amended to be Law No.32 of 2004. The policy is much directed to develop a service system that is faster, more professional, accurate, and appropriate as well as prioritizing the protection of public civil rights in possession of the population documents. The enactment of Law No.21 of 2001 on Specialized Authonomy of Papua (Otsus) is merely the government policy in the framework of implementing a fair government and development, improving people's welfare, enforcing the law, respecting the protection of human rights, and reducing the gap between Papua Province and other regions.
There are five dimensions of bureaucracy to build a professional performance-based bureaucracy, that is: 1) institutionalization; 2) personnel device; 3) administration; 4) finance and equipment; and 5) management of government administration (Widodo, 2005). Furthermore, Ramli (2008) stated that the weakness of public service in Indonesia is not only on the consistency of SOPP (Standard Operational Procedure of Service) but also on the weak affirmation of SPM limit. The weakness of state administration generally involves the procedures and mechanisms of service that are convoluted, non-transparent, less
informative, less accommodative, and less consistent so as not to guarantee the certainty (in the terms of law, time, and cost) as well as still found many practices of illegal levies of some unscrupulous people who request liar compensations. The characteristics of government services that are largely monopolistic causing market competition have made the concern of public service managers on a qualified service provision become weak. According to Parasuraman et al. (1988), if the service received is in accordance with the expectation, then the service quality is perceived good and satisfying. In linear, if the service received exceeds the consumer expectation, the quality of service is perceived ideal. Otherwise, if the service received is lower than the expectation, the quality of service is perceived poor. Kotler (1997) added that consumer satisfaction is the level of one's feeling after comparing the performance or result of services to their expectations.
The fairness treatment received from the party who does an exchange also affects customer's satisfaction, loyalty, and purchase intention (Chiu et al., 2009). This indicates that the buyer or the recipient of the service should obtain an appropriate service fairness, dealing just the same with one another. Distributive and procedural fairnesses influence the public trust in taking decisions (Folger and Konovsky, 1989). This suggests that public trust not only influences customer satisfaction but also customer trust. The Department of Population and Civil Registration of Jayapura City prior to 2012 has not provided good, transparent, professional services for the public, resulting in public dissatisfaction and decreased public trust to the state apparatus.
The research results of Zhu and Chen (2012), Wang and Mattila (2011), Consuegra et al. (2007), Guchait and Namasivayam (2012) indicated that there is a relation between service fairness and customer satisfaction. Conversely, the research results of Namkung and Jang (2010) showed that there are some dimensions of service fairness which have no relation to customer satisfaction and that there is an indirect relationship between service fairness and customer satisfaction. The various results of researches become a gap leading to re-examine the relationship between service fairness and customer satisfaction. Bigne and Blesa (2003) also conducted a research on the orientation, trust, and satisfaction of market. The result indicated that there is a significant relationship between satisfaction and trust.
Based on the background above, the statements of problem to be studied are as follows:
1. Does the quality of services significantly influence the users' satisfaction of public services in the Department of Population and Civil Registration of Jayapura city?
2. Does the fairness of services significantly influence the users' satisfaction of public services in the Department of Population and Civil Registration of Jayapura city?
3. Does the quality of services significantly influence the users' trust of public services in the Department of Population and Civil Registration of Jayapura city?
4. Does the fairness of services significantly influence the users' trust of public services in the Department of Population and Civil Registration of Jayapura city?
5. Does the users' satisfaction of public services significantly influence the users' trust of public services in the Department of Population and Civil Registration of Jayapura city?
6. Does the quality of services significantly influence the users' trust of public services in the Department of Population and Civil Registration of Jayapura city?
7. Does the fairness of services significantly influence the users' trust of public services in the Department of Population and Civil Registration of Jayapura city?
THEORETICAL REVIEW
Fitzsimmons and Fitzsimmons (2006) illustrated the role of services in economy sector as a complex phenomenon because the word of service itself has many meanings, ranging from 'service as a personal device' to 'service as a product'. Kotler (1997) defined quality as the totality of natures and characteristics of a product or service that is related to the ability to satisfy a stated or explicit need. The quality of service, according to Parasuraman et al. (1988), is built on the comparison of two main factors namely consumers' perceptions of the
services they receive/perceive (perceived service) and consumers' perceptions of the services they really expect/want (expected service). Parasuraman et al. (1985) conducted a specific research on some several types of service industries.
From that research, it was found that there are 10 main factors determining the quality of service, namely access, communication, competence, courtesy, credibility, reliability, responsiveness, security, understanding, and tangibles. Lind and Tyler (1988), Cohen Charash and Spector (2001), Greenberg (1993) stated that service fairness has four dimensions, including distributive, procedural, interpersonal and information fairnesses. Customer satisfaction is the overall goal of an organization (Winer, 2001). This indicates that customer satisfaction becomes the center of attention for an organization, particularly related to direct service provision to the customer. Seiders and Berry (1998) stated that service fairness is a necessary condition to generate the customer trust. Moreover, Singh and Sirdeshmukh (2000) revealed that consumers prefer to transact with service providers they trust the most and with whom they share an understanding of the obligation organizing their relationship. In addition, Cronin and Taylor (2000) argued that satisfaction is known as a thing closely related to "value" and "price" while quality service does not always depend on value and price.
The public perceptions on the uniformity of services received from service providers are the demands from the public to obtain an equal treatment (Chebata and Slusarczyk, 2005). The less appropriate treatment (fairness) from service providers is the main factor resulting in customer complaints (Ambrose et al., 2007), indicating that an individual basically will feel comfortable if he gets similar services to others. Based on the theory of Equity, Carr (2007) formulated and proposed a dimension of service fairness called as FAIRSERV to evaluate the service provided by service providers to customers. Service fairness is an effort made by service providers to provide similar services to customers. Trust is an overall evaluation at a higher level of satisfaction, and satisfaction is actually an important source of trust (Ravald and Gronroos, 1996).
Based on the research objectives that have been mentioned in the previous, this research belongs to an explanatory research. The research examined the hypothesis between the hypothesized variables with the aim to justify or reinforce the hypothesis and determine the nature of the relationship between the dependent variables and the
THE CONCEPTUAL FRAMEWORK
Figure 1 - The Conceptual Framework of Research
METHODS OF RESEARCH
independent variables (Wiyono, 2011). The research was conducted at the Department of Population and Civil Registration of Jayapura City Government of Papua Province. The population of this research was all the public users or the public receiving services at the Department of Population and Civil Registration of Jayapura city government. The sampling was done by multiplying the number of variables with number 25.
The data analysis method used in this research was GSCA (Generalized Structured Component Analysis). The hypothesis testing on the mediation variables was conducted by using Sobel Test procedure. Sobel Test is concerned with testing the significance of the path coefficients of indirect effects.
RESULTS AND DISCUSSION
The better service quality will improve the users' satisfaction of services. The results of GSCA obtained a path coefficient of 0,370 and p-value = 0,007 (significant), thus the hypothesis is accepted. It indicates that the increased service quality can improve the service users satisfaction at the Department of Population and Civil Registration of Jayapura City Government of Papua Province. The indicators of service quality used in this research were obtained from the concept of service quality modified by Johnson (1998), Gronroos (1990), Parasuraman et al. (1985), consisting of: a) Access; b) Reliability; c) Responsiveness; d) Facilities; e) Convenience. The use of these indicators was based on the consideration that the Population and Civil Registration Department of Jayapura City Government of Papua Province is an organization that provides public services and not profit oriented.
The increased service fairness will improve the users' satisfaction of services. The results of GSCA obtained a path coefficient of 0,405 and p-value = 0,006 (significant), thus the hypothesis is accepted. This research results support the research conducted by Zhu and Chen (2012) stating that service fairness significantly has a positive correlation to users' satisfaction. Furthermore, service fairness has an important role in increasing the satisfaction of public service users in the Population and Civil Registration Department of Jayapura City Government of Papua Province.
The better service quality will also improve the users' trust of services. The results of GSCA obtained a path coefficient of 0,066 and p-value = 0,511 (not significant), thus the hypothesis is rejected. The research results do not support the previous research proposed by Chenet (2010) stating that service quality is positively correlated to users' trust. Similarly, Sultan and Wong (2013) stated that service quality has a positive relationship to satisfaction and trust. But, the quality of services provided by the Population and Civil Registration Department of Jayapura City Government of Papua Province did not directly influence the public trust, including consistency, competency, honesty, fairness, responsibility, help, and kindness.
The better service fairness will also increase the users' trust of services. The results of GSCA obtained a path coefficient of 0,234 and p-value = 0.067 (not significant), thus the hypothesis is rejected. These results suggest that the service fairness provided by the Population and Civil Registration Department of Jayapura City Government of Papua Province can not increase the public/users' trust. These research results do not support the research conducted by Herman et al.(2007) stating that price fairness positively correlates to public/users' satisfaction. Furthermore, Zhu and Chen (2012) argued that service fairness has a positive correlation to public/users' trust.
The increased service users satisfaction will also improve the users' trust of services. The results of GSCA obtained a path coefficient of 0,634 and p-value = 0,000 (significant), thus the hypothesis is accepted. Consumers satisfaction is the feeling of a person after comparing the performance or the result of services they receive to their expectations (Kotler, 2001). The indicators used to measure consumers/users' satisfaction in this research included: a) interaction, b) cost, c) security, d) office facilities; e) officers appearance; f) officers support. The use of these indicators was in accordance with the conditions existing on the subject of this research, namely the Population and Civil Registration Department of Jayapura City Government of Papua Province.
In the Sobel Test, the public satisfaction as the mediation of the effect of service quality on public trust obtained a p-value of 0,024 (significant), while the service users satisfaction as the mediation of the effect of service fairness on public trust obtained a p-value of 0,057 (significant).
CONCLUSION AND SUGGESTIONS
From the research, it can be concluded as follows:
The research results show that the service quality is able to give an impact to the public satisfaction, but it does not influence the public trust.
The service fairness can generate the public trust through the increased users' satisfaction of public services at the Population and Civil Registration Department of Jayapura City Government of Papua Province.
The society has a high level of satisfaction in administering their documents of population and civil registration to the Population and Civil Registration Department of Jayapura City Government of Papua Province.
The public trust is the willingness of the society to rely the services of population and civil registration on the Population and Civil Registration Department of Jayapura City Government of Papua Province.
Based on the results of the research, several suggestions can be made as follows: The aspects needed to immediately be concerned on is the existing facilities at the Population and Civil Registration Department of Jayapura City Government of Papua Province.
The improvements needed to be conducted are related to the systematic fairness in which the officers are not always in the place they should be. The improvements need to be done by imposing a work rotation so that the employees do not feel bored in carrying out the tasks.
The increased interaction of the officers can be performed by providing a continuous training so that the quality of the employees in providing services to the society can well proceed.
RESEARCH LIMITATION
The selection of the respondents of this research used a convenience sampling. That was, the respondents were the society who came for administering their documents of population and civil registration. Thus, it could not be denied that the answers obtained from the respondents were less consistent.
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