CONFIRMATORY FACTOR ANALYSIS FOR LEAN HEALTHCARE PRACTICES IN MALAYSIAN HEALTHCARE INDUSTRY
Keywords:
Lean healthcare, Quality initiatives, Structural equation model, Confirmatory factor analysis, Healthcare industryAbstract
Healthcare industry itself is moving forward toward preparing lower cost of material, cheaper price, JIT deliveries, and elimination of waste and defects in many aspects of the activity or operation, and strengthening relationships with vendors, and ultimately producing high quality products and customers services better than competitors. A survey through questionnaire was conducted to determine the level of lean healthcare practices. 128 sets of questionnaire were successfully collected that brought to 40.4% response rate. Structural equation modeling technique was adopted to analyze the data gathered from the survey. Hence, this study produces implications on theory and management and provides a practical guide for healthcare practitioners to enhance their organizational performance through the implementation of lean healthcare practices. This paper presents finding of Exploratory Factor Analyses (EFA), Confirmatory Factor Analysis (CFA), and reliability analysis empirically verified and validated. The results indicate that four LH constructs are acceptable for further analysis. The paper with a proposed future direction ends of this research.
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References
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Endsley, S., Magill, K. M., Godfrey, M. M. (2006). Creating a Lean. Family Practice Management, 13(4), 34-38.
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Forrester, P., and Shimizu, U, Soriano-Meier, H., Garza-Reyes, J. and Basso, L. (2010). Lean production, market share and value creation in the agricultural machinery sector in Brazil. Journal of Manufacturing Technology Management. 21(7), 853-871.
Fullerton, R. R., and Wempe, W. F. (2009). Lean manufacturing, non-financial performance measures, and financial performance. International Journal of Operations and Production Management, 29 (3), 214-240.
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Li, S., Rao., S. S., Ragu-Nathan, T. S., and Ragu-Nathan, B. (2005). Development and validation of a measurement instrument for studying supply chain management practices. Journal of Operation management, 23, 618-641.
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Linderman, K., Schroeder, R. G., Zaheer, S., and Choo, A.S. (2003). Six sigma: A goal-theoretic perspective”, Journal of Operation Management, 21, 193-203.
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Oliver, N., Delbridge, R. and Lowe, J. (1996). Lean production practices: International comparisons in the auto componentsindustry. British Journal of Management, 7(Issues Supplement s1), pp. 29-44.
Prajogo, D. I. (2005). The comparative analysis of TQM practices and quality performance between manufacturing and service firms. International Journal of Service Industry Management. 16(3), 217-228.
Sakakibara, S., Flynn, B. B., and Schroeder, R. G. (1993). A framework and measurement instrument for just-in-tme manufacturing. Production and Operation Management, 2(3), 177-194.
Shah, R., and Goldstein, S. M. (2006). Use of structural equation modeling in operation management research: looking back and forward. Journal of Operation Management, 24(2), 148-169.
Shah, R., and Ward, P. T. (2007). Defining and developing measures of lean production. Journal of Operations Management, 25(4), 785-805.
Shivaji, E. and Subramaniam, S. (2009). Applying lean techniques in hospital.
URL: http://ssrn.com/abstract=14410066 [Assessed on 19 March 2010]
Snee, R. D. (2010) Lean six sigma-getting better all the time. International Journal of Lean SixSsigma, 1(1), 9-29.
Sobek, D.K. and Jimmerson, C. (2003). Applying the Toyota production system to a hospital pharmacy, Proceedings of the 2003 Industrial Engineering Research Conference, Portland, 18th-20th May
Snee, R. D., and Gardner, E. C. (2008). Putting all together-continuous improvement is better than postponed perfection. Quality Progress, October, 56-59.
Sodikoglu, E., and Zehir, C. (2010). Investigating the effects of innovation and employee performance on the relationship between TQM practices and firm performance: An empirical study of Turkish firms. International Journal of Production Economics, 127(1), 13-26.
Srinivasaraghavan, J., and Allada, V. (2006). Application of mahalanobis distance as a lean assessment metric. International Journal of Advanced Manufacturing Technology, 29, 1159-1168.
Tracey, M., and Tan, C. L. (2001). Empirical analysis of supplier selection and involvement, customer satisfaction, and firm performance. Supplier Chain Management: An international Journal, 7(4), 174-188.
Venkateswaran S. (2011). Implementing Lean In Healthcare Warehouse Operations-Evaluation of 5S Best Practice. Master Thesis of Sciences in Industrial Engineering, The Department of Construction Management and Industrial Engineering, Louisiana State University and Agricultural Mechanical College.
Wang, F-K., and Chen, K-S. (2010). Applying lean six sigma and TRIZ methodology in banking services. Total Quality Management and Business Excellence, 21(3), 301-315.
Womack, J. P., Jones, D. T., and Roos, D. (1990), The Machine that Change the World, New York: Macmillan Publishing Company.
Womack, J. P. and Jones, D. T. (1996). Beyond Toyota: how to root out waste and pursue perfection. Harvard Business Review, 74(5), pp. 140-153.
Zadry, H. R., and Yusof, S. M. (2006). Total quality management and theory of constraints implementation in Malaysia automotive suppliers: A survey result. Total Quality Management and Business Excellence, 17, (999-1020).
Zakuan, N., Yusof, S. M., and Shaharoun, A. M. (2009). The link between total quality management and organizational performance in Malaysian Automotive Industry: The mediating role of ISO/TS16949 efforts. Proceeding of the IEEE IEEM, Hong Kong, 439-443.
Zu, X., Fredenhall, L. D., and Douglas, T. (2008). The evolving theory of quality management: the role of six sigma. Journal of Operation Management, 26, 630-650.
Balle, M. and Regnier, A. 2007. Lean as a learning system is a hospital ward. Leadership in healthcare services, 20(1), 33-41.
Basu, D. R. and Miroshink, V. (1999). Strategic human resource management of Japanese multinasional: A case study of Japanesemultinasionalcompanies in the UK. Journal of Management Development, 18(9), 714-732.
Boyer, K. K. (1996). An assessment of managerial commitment to lean production. International Journal of Operation Management, 16(9), 48-59.
Browne, M. W., and Cudeck, R. (1993). Alternative Ways of Assessing Model Fit In Bollen, K.A, and Long, J. S (Eds.), Testing Structural equation model, Newbury Park: Sage, CA, pp. 136-162.
Chang, T. L. 2002. Six Sigma: A framework for small and medium sized enterprises to achieve total quality. PhD Dissertation, Cleveland State University.
Choo, A. S., Linderman, K. W., and Schroeder, R. G. (2007a). Method and context perspectives on learning andknowledge creation in quality management. Journal of Operations Management, 25(4), 918-931.
Choo, A. S., Linderman, K. W., and Schroeder, R. G. (2007b). Method and psychological effects on learning behaviors and knowledge creation in quality improvement projects. Management Science, 53(3), 437-450.
Doman, J. L. (2007). Leveraging lean process improvement methodology to promote economic abd environmental sustainability: Obstacle and opportunities. Master Thesis, Department of Civil Engineering Technology Environmental Management and Safety, Rochester Institute of Technology, Rochester, NY.
Endsley, S., Magill, K. M., Godfrey, M. M. (2006). Creating a Lean. Family Practice Management, 13(4), 34-38.
Flott, L. W. (2002). Industry in Transition, Metal Finishing, 77-82.
Flynn, B. B., Schroeder, R. G. and Sakakibara, S. (1994). A framework for quality management research and associated measurement instrument. Journal of Operation Management, 11, 339-366.
Forrester, P., and Shimizu, U, Soriano-Meier, H., Garza-Reyes, J. and Basso, L. (2010). Lean production, market share and value creation in the agricultural machinery sector in Brazil. Journal of Manufacturing Technology Management. 21(7), 853-871.
Fullerton, R. R., and Wempe, W. F. (2009). Lean manufacturing, non-financial performance measures, and financial performance. International Journal of Operations and Production Management, 29 (3), 214-240.
Graban, M. (2009). Lean Hospitals: Improving Quality, Patient Safety and Employee Satisfaction. Ortho-Clinical Diagnostics, Taylor and Francis Group
Gunasekaran, A., Patel, C., and Tirtiroglu, E. (2001). Performance measures and metrics in a supply chain environment. International Journal of Operation and Production Management, (21)(1/2), 71-87.
Handley, S. M., and Benton Jr., W. C. (2009). Unlocking the business outsourcing process model. Journal of Operation Management, 27(5), 344-361.
Hu, L., and Bentler, P. M. (1998). Fit indices in covariance structure modeling: Sensitivity to under parameterized model misspecification. Psychological Method, 3(4), 424-254.
Hu, L., and Bentler, P. M. (1999), “Cutoff criteria for fit indixes in convariance structure analysis: conventional criteria versus new alternatives”, Structural Equation Modeling, 6(1), 1-55.
Institute for Healthcare Improvement (2005). Going lean in healthcare, Innovation Series. URL: http://www.wsha.org/files/82/GoingLeanHealthCareWhitePaper.pdf [Assessed on 19 April 2010]
Jarrett P. G. (2006). An analysis of international health care logistics: the benefits and implication of implementing just-in-time systems in the health care indystry. Leadership in Health Services, 19 (1), 1-10.
Jimmerson Cindy, D.W., Sobek D. K (2005). Reducing waste and Errors: piloting lean principles at intermountain healthcare. Joint Commission Journal on Quality and Patient Safety, 31, 249-257.
Joreskog, K. G., and Sorbom, D. (1993). LISREL 8: Structural equation modeling with the SIMPLIS command language, Chicago: Scientific Software International.
Koning, H. D., Verver, J. P. S., Heuvel, J. V. D., Bisgaard, S., and Does, R. J. M. M. (2006). Lean six sigma in healthcare. Journal for Healtcare Quality, 28 (2), 4-11.
Kuei, C. H., Madu, C. N., and Lin, C. (2001). The relationship between supply chain quality management practices and organizational performance. International Journal of Quality and Reliability Management. 18(8), 864-872.
Kueng, P., Meier, A., and Wettsein, T. (2000). Computer based performance measurement in SMEs: Is there any aoption? Proceeding in 1st International Conference on Systems Thinking in Management, 318-323.
Lee, C. Y., (2004). TQM in small manufacturers: An exploratory study in China. International Journal of Quality and Reliability Management, 21(2), 175-197.
Li, S., Rao., S. S., Ragu-Nathan, T. S., and Ragu-Nathan, B. (2005). Development and validation of a measurement instrument for studying supply chain management practices. Journal of Operation management, 23, 618-641.
Liker, J. (2004). The Toyota Way. McGraw-Hill, New York, NY.
Linderman, K., Schroeder, R. G., Zaheer, S., and Choo, A.S. (2003). Six sigma: A goal-theoretic perspective”, Journal of Operation Management, 21, 193-203.
Monczka, R., Trent, R., and Handfield, R. (2002). Purchasing and Supply Chain Management. (2nd Ed.), South Western, Cicinnati.
Moser, C. A. and Kalton, G. (1971). Survey methods in social investigation. 2nd Edition, Heinemann Educational: Landon.
Nordin, N., Deros, B. M., and Wahab, D. A. (2010). A survey on lean manufacturing implementation in Malaysian Automotive Industry. International Journal of Innovation, Management and Technology. 1(4), 374-380.
Nunnally, J. C. (1978). Psychometric theory. New York: McGraw Hill
Oliver, N., Delbridge, R. and Lowe, J. (1996). Lean production practices: International comparisons in the auto componentsindustry. British Journal of Management, 7(Issues Supplement s1), pp. 29-44.
Prajogo, D. I. (2005). The comparative analysis of TQM practices and quality performance between manufacturing and service firms. International Journal of Service Industry Management. 16(3), 217-228.
Sakakibara, S., Flynn, B. B., and Schroeder, R. G. (1993). A framework and measurement instrument for just-in-tme manufacturing. Production and Operation Management, 2(3), 177-194.
Shah, R., and Goldstein, S. M. (2006). Use of structural equation modeling in operation management research: looking back and forward. Journal of Operation Management, 24(2), 148-169.
Shah, R., and Ward, P. T. (2007). Defining and developing measures of lean production. Journal of Operations Management, 25(4), 785-805.
Shivaji, E. and Subramaniam, S. (2009). Applying lean techniques in hospital.
URL: http://ssrn.com/abstract=14410066 [Assessed on 19 March 2010]
Snee, R. D. (2010) Lean six sigma-getting better all the time. International Journal of Lean SixSsigma, 1(1), 9-29.
Sobek, D.K. and Jimmerson, C. (2003). Applying the Toyota production system to a hospital pharmacy, Proceedings of the 2003 Industrial Engineering Research Conference, Portland, 18th-20th May
Snee, R. D., and Gardner, E. C. (2008). Putting all together-continuous improvement is better than postponed perfection. Quality Progress, October, 56-59.
Sodikoglu, E., and Zehir, C. (2010). Investigating the effects of innovation and employee performance on the relationship between TQM practices and firm performance: An empirical study of Turkish firms. International Journal of Production Economics, 127(1), 13-26.
Srinivasaraghavan, J., and Allada, V. (2006). Application of mahalanobis distance as a lean assessment metric. International Journal of Advanced Manufacturing Technology, 29, 1159-1168.
Tracey, M., and Tan, C. L. (2001). Empirical analysis of supplier selection and involvement, customer satisfaction, and firm performance. Supplier Chain Management: An international Journal, 7(4), 174-188.
Venkateswaran S. (2011). Implementing Lean In Healthcare Warehouse Operations-Evaluation of 5S Best Practice. Master Thesis of Sciences in Industrial Engineering, The Department of Construction Management and Industrial Engineering, Louisiana State University and Agricultural Mechanical College.
Wang, F-K., and Chen, K-S. (2010). Applying lean six sigma and TRIZ methodology in banking services. Total Quality Management and Business Excellence, 21(3), 301-315.
Womack, J. P., Jones, D. T., and Roos, D. (1990), The Machine that Change the World, New York: Macmillan Publishing Company.
Womack, J. P. and Jones, D. T. (1996). Beyond Toyota: how to root out waste and pursue perfection. Harvard Business Review, 74(5), pp. 140-153.
Zadry, H. R., and Yusof, S. M. (2006). Total quality management and theory of constraints implementation in Malaysia automotive suppliers: A survey result. Total Quality Management and Business Excellence, 17, (999-1020).
Zakuan, N., Yusof, S. M., and Shaharoun, A. M. (2009). The link between total quality management and organizational performance in Malaysian Automotive Industry: The mediating role of ISO/TS16949 efforts. Proceeding of the IEEE IEEM, Hong Kong, 439-443.
Zu, X., Fredenhall, L. D., and Douglas, T. (2008). The evolving theory of quality management: the role of six sigma. Journal of Operation Management, 26, 630-650.
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Published
2019-03-05
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Habidin, N. F., Che Omar, C. M. Z., Kamis, H., Md Latip, N. A., & Ibrahim, N. (2019). CONFIRMATORY FACTOR ANALYSIS FOR LEAN HEALTHCARE PRACTICES IN MALAYSIAN HEALTHCARE INDUSTRY. Journal of Contemporary Issues and Thought, 2, 17–29. Retrieved from https://ojs.upsi.edu.my/index.php/JCIT/article/view/918
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