The Moderating effect of stakeholder involvement on the relationship between regulatory framework and dental supply chain performance in Kenya

Abstract

The dental healthcare sector plays a critical role in healthcare service delivery and public health outcomes. However, Kenya’s dental supply chain continues to experience procurement inefficiencies, counterfeit and substandard products, supply disruptions, regulatory compliance costs, and operational risks that affect the availability, quality, and affordability of dental healthcare services. Despite the importance of regulatory systems within healthcare supply chains, limited empirical research has examined how regulatory framework influences dental supply chain performance in Kenya. This study therefore examined the influence of regulatory framework on dental supply chain performance in Kenya, focusing on compliance requirements and risk management, while also examining the moderating effect of stakeholder involvement. The study was anchored on Regulatory Compliance Theory, Stakeholder Theory, and Contingency Theory. The study adopted a positivist philosophy and explanatory cross-sectional research design using a quantitative approach. Primary data were collected from 212 respondents drawn from Kenya’s dental supply chain. The sample comprised 158 respondents from operational organizations including public and private dental clinics, referral hospitals, and importers/distributors of dental products, and 54 respondents from regulatory institutions including Kenya Bureau of Standards, Kenya Medical Practitioners and Dentists Council, Kenya Revenue Authority, and Pharmacy and Poisons Board. Data were analyzed using descriptive statistics, Exploratory Factor Analysis (EFA), Confirmatory Factor Analysis (CFA), correlation analysis, hierarchical regression, and Structural Equation Modelling (SEM) through SPSS version 27 and LISREL 8.8. The findings revealed that compliance requirements significantly and positively influenced dental supply chain performance, supporting H1a, while risk management also had a significant positive influence on performance, supporting H1b. The results showed that organizations with stronger compliance systems and proactive risk management practices experienced better procurement efficiency, operational continuity, responsiveness, and product quality assurance. However, stakeholder involvement did not significantly moderate the relationship between regulatory framework and dental supply chain performance, leading to the rejection of H2a and H2b. The regression results further showed that the study variables explained 10.4% of the variation in dental supply chain performance. The study concluded that regulatory compliance and proactive risk management are critical strategic mechanisms for improving efficiency, accountability, resilience, and operational performance within Kenya’s dental supply chain. The study recommends strengthening compliance systems, supplier evaluation mechanisms, and coordinated regulatory oversight to improve supply chain performance and reduce operational inefficiencies within Kenya’s dental healthcare sector.