dc.description.abstract | ABSTRACT
Private healthcare has a significant market share, approximately 50% in Sub –Saharan Africa. Private healthcare in Kenya contributed 2.9% of the 4.7% of health investment in the year 2012. The sector contributes 22% of all health services in Kenya. Despite the sector’s contribution concerns have been raised about Kenyan private health sector’s performance in relation to efficiency, patient satisfaction, financial viability and effectiveness. While quality management practices may enhance the Service Quality-organizational performance relationship, no research has been undertaken in private healthcare facilities in Nairobi, Kenya. The main purpose of this study was to analyze the moderating effect of quality management practices on the relationship between service quality and organizational performance of private healthcare facilities in Nairobi. Specific objectives were: to establish the relationship between service quality and organizational performance; to determine the effect of quality management practices on organizational performance; and to establish the moderating effect of quality management practices on the relationship between service quality and organizational performance. Drawing from the Theory of Quality Trilogy, Gaps Model of Service Quality and Deming’s Theory of Quality Management, it was conceptualized that the independent, dependent and moderator variables are service quality, quality management practices and organizational performance respectively. Correlational survey research design and population of 55 private health facilities were used. A census study was used with a response rate of 94.5%. The pilot results (N=3) revealed reliability ranged between α=0.700 and α=0.867. Results revealed that service quality had a positive significant effect on organizational performance of private health facilities in Nairobi and accounted for 82.7% (R2=0.827, p=.000) significant variance in organizational performance. Further, results revealed that quality management practices had positive significant effect on organizational performance and accounted for 80.1% (R2=0.801, p=.000) significant variance in organizational performance. The relationship between service quality and organizational performance was moderated significantly by quality management practices implying that quality management practices improved organizational performance by 13.7 % (∆R2=0.137; p=0.000). Thus, it has a positive moderating effect on the relationship between service quality and organizational performance (β=0.162, p=0.000). This means that enhanced service quality dimensions increase organizational performance. The study concluded that service quality practices were significant predictors of organizational performance. In addition, incorporation of effective quality management practices improved organizational performance significantly. Furthermore, quality management practices moderated the relationship between service quality and organizational performance. The study recommended that private healthcare facilities should enhance service quality dimensions, institute effective quality management practices as these efforts amplify organizational performance. The study provided service quality dimensions which include competence and equity that will aid healthcare policy makers in strengthening the relationship between quality of care and organizational performance. | en_US |