The Effect of Supplier Relationship Management on the Performance of Level Five County Referral Hospitals in Kenya.

Abstract

The purpose of the study was to ascertain supplier relationship management on performance of level five county referral hospitals in Kenya. Transaction cost theory guided the study on cross-sectional census strategy of mixed methods research by random sampling on 47 county referral hospitals in Kenya on a target population of 150 respondents. Procurement, finance, and medical staffs were units of remark. The study piloted twenty (15) questionnaires (10 % of sample) to test validity and reliability of the research instrument. Data on 82 questionnaires was transformed to interval scale, analyzed using exploratory factor analysis in developing multiple linear regression equation model. The final overall model was interpreted using F-test statistics and R² value the overall final model results were; {F-statistic (5, 76) = (12.180)}, against critical F value {(2.49), and general rule of thumb {(F>2.5), R² (.443)}. This upshot suggests a substantial relationship amid all moderated independent variables on dependent variable. Future research be on suppliers' characteristics and behaviours on supplier visibility in pharmaceutical supply chains in Kenya, route planning and scheduling on sourcing optimization in county referral hospitals in Kenya, communication structures on performance of county referral hospitals in Kenya, order systems on performance of county referral hospitals in Kenya, and closed loop emended operations on performance of reverse logistics sourcing in referral hospitals in Kenya.