Analysis of technical efficiency in hospital settings in Kenya
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Date
2014-10-07
Authors
Rithaa, Koome Gilbert
Journal Title
Journal ISSN
Volume Title
Publisher
Kenyatta University
Abstract
The World Health organization called attention to the importance of efficiency in all functions of
a health system and in ultimately achieving the goals of health improvement, stewardship,
responsiveness and fairness in financing (WHO, 2000). Although, efficiency improvement
should be seen as a strategy for mobilizing domestic resources and utilizing the available
resources. without waste to achieve the desired health sector goals; it is not usually the case
especially in low income countries like Kenya. Practically, there is not much consideration to
efficiency by health care administrators in contrast to it being mentioned in health policies
(~ollingsworth, 2008). Currently, Kenyan health system is under intense pressure to deliver
improved health services using proportionately fewer resources. Quantifying the current level of
inefficiency in the hospital system helps provide insight into the 'degree to which these pressures
could be met by a more effective use of resources (Kirigia, 2004). The general objective of this
study is to analyze the technical efficiency in hospital settings in Kenya. The study will use a mix
of analytical and descriptive study design employing econometric techniques for its analysis.
Simple random sampling will be used to select a study sample of 30 County referral hospitals
from the 47 main County referral hospitals in Kenya for the study. A cross sectional model will
be used to analyze secondary data collected using Data Envelopment Analysis (DEA) to
determine efficiency levels followed by Tobit regression analysis of environmental variables
using STATA version 10 to determine explanatory variables for inefficiencies in the hospitals.
The findings of this study will be useful to the policy-makers, county and health facility
managers in their effort of designing appropriate policy anq managerial interventions for
ensuring efficient mobilization and use of health care resources