LEAN PROCUREMENT PRACTICES AND PERFORMANCE OF LEVEL SIX PUBLIC HOSPITALS IN NAIROBI CITY COUNTY, KENYA
Keywords:
Lean Procurement Practices, Value Stream Mapping, Resource Optimization, Performance, Level Six Public HospitalsAbstract
Lean procurement is an approach to procurement that focuses on maximizing value by improving efficiency and limiting waste. Despite huge investments in the health care, most public hospitals are under bad conditions; characterized by dilapidated facilities, obsolete medical equipment, inadequate drugs and low bed capacity in the wards. The general objective of the study was to examine effect of lean procurement practices on performance of level six public hospitals in Nairobi City County, Kenya. The specific objectives are to examine effect of value stream mapping, and resource optimization on performance of level six public hospitals in Nairobi City County, Kenya. The research employed a descriptive research design. The unit of analysis was four level six public hospitals in Nairobi County. The unit of observation was 194 procurement staff in the hospitals. The study adopted census sampling. Data was collected using questionnaires. A pilot test was conducted with 10% of the sample size hence 18 staff took part in the pilot study. Content and construct validity was used to assess if the items in the questionnaire match with the constructs under conceptual framework. Reliability was tested using Cronbach’s Alpha Coefficient. Data was analyzed using SPSS Version 28. Findings were tabulated. The content of the questionnaire was validated by the supervisor and procurement professionals. The study findings revealed that both practices significantly influenced hospital performance, with coefficients of 0.314 (p < 0.05) for value stream mapping, and 0.335 (p < 0.05) for resource optimization, indicating their critical roles in enhancing operational efficiency and service delivery. The study concluded that these lean procurement practices significantly contribute to better hospital performance by optimizing processes, and improving resource use. Recommendations include integrating value stream mapping into procurement procedures to eliminate inefficiencies, and implementing strategic resource optimization frameworks to enhance service quality and reduce costs.
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