A Structural Equation Model of Supply Chain Efficiency of Elderly Care Businesses during Crisis in Thailand
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Abstract
This study aimed to develop a structural equation model (SEM), confirm construct validity, and test the model against empirical data related to the supply chain efficiency of elderly care businesses during a crisis in Thailand. The research employed a quantitative approach using a structured questionnaire to collect data from 400 executives of elderly care organizations. Structural equation modeling was used to analyze the causal relationships among the variables.
The results indicated that information sharing and supplier performance had statistically significant direct effects on supply chain efficiency (p < 0.001). In addition, supplier performance acted as a mediating variable in the relationship between information sharing and supply chain efficiency, with an indirect effect coefficient of 0.240. However, innovation did not have a significant direct effect on supply chain efficiency. The developed model demonstrated a good fit with the empirical data, as indicated by the following fit indices: CMIN/df = 1.957, CFI = 0.990, GFI = 0.947, AGFI = 0.920, RMR = 0.009, and RMSEA = 0.049.
These findings emphasize the importance of strengthening information-sharing mechanisms and enhancing supplier performance to improve the flexibility and effectiveness of supply chain management in elderly care organizations, particularly during periods of crisis. The results also suggest that elderly care business operators can apply information sharing and supplier performance factors in operational planning to enhance the resilience and efficiency of supply chain management within their organizations.
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