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Supply chain innovation and organizational performance in the healthcare industry

Supply chain innovation and organizational performance in the healthcare industry Purpose – The purpose of this paper is to examine supply chain (SC) innovation for improving organisational performance in the healthcare industry. Design/methodology/approach – A research model is proposed which describes the impact of SC innovation, supplier cooperation, SC efficiency, and quality management (QM) practices on organisational performance. The proposed research model and hypotheses were tested using structural equation modeling based on data collected from 243 hospitals. Findings – The results of the study support that organisational performance is positively associated with constructs of each SC innovation factor. Innovative design of SC has a significant impact on selection of and cooperation with excellent suppliers, improved SC efficiency, and encouragement of QM practices. Research limitations/implications – The data used in this study were collected from relatively large hospitals with more than 100 beds in South Korea. The generalization of the study results may be limited by the size of sample hospitals. Originality/value – This study provides useful planning information in the healthcare industry. The results suggest successful implementation of SC management is attained through continuous SC innovation with supplier cooperation, which in turn improves organisational performance. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png International Journal of Operations & Production Management Emerald Publishing

Supply chain innovation and organizational performance in the healthcare industry

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Publisher
Emerald Publishing
Copyright
Copyright © 2011 Emerald Group Publishing Limited. All rights reserved.
ISSN
0144-3577
DOI
10.1108/01443571111178493
Publisher site
See Article on Publisher Site

Abstract

Purpose – The purpose of this paper is to examine supply chain (SC) innovation for improving organisational performance in the healthcare industry. Design/methodology/approach – A research model is proposed which describes the impact of SC innovation, supplier cooperation, SC efficiency, and quality management (QM) practices on organisational performance. The proposed research model and hypotheses were tested using structural equation modeling based on data collected from 243 hospitals. Findings – The results of the study support that organisational performance is positively associated with constructs of each SC innovation factor. Innovative design of SC has a significant impact on selection of and cooperation with excellent suppliers, improved SC efficiency, and encouragement of QM practices. Research limitations/implications – The data used in this study were collected from relatively large hospitals with more than 100 beds in South Korea. The generalization of the study results may be limited by the size of sample hospitals. Originality/value – This study provides useful planning information in the healthcare industry. The results suggest successful implementation of SC management is attained through continuous SC innovation with supplier cooperation, which in turn improves organisational performance.

Journal

International Journal of Operations & Production Management – Emerald Publishing

Published: Oct 18, 2011

Keywords: South Korea; Hospitals; Supply chain management; Organizational performance; Health care; SC innovation; SC efficiency; Supplier cooperation; Quality management practice; Structural equation modeling

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