Table 4: Variations in management opinions and perceptions regarding various aspects of outsourcing among outsourcing and non-out sourcing hospitals Managers.

Out Sourcing
N=23
Not Outsourcing
N=9
Odds Ratio P
Agree/Strongly agree (n, %) Agree/Strongly agree (n, %)
Opinion and knowledge about out sourcing
Outsourcing is one approach that can be used by hospital management to improve performance (n=32) 22 (96%) 8 (89%) 0.3636 0.4173
Know at least one hospital that is currently outsourcing one or more of the services it requires (n=29) 20 (100%) 8 (89%) 0.0000 0.3103
The Public Procurement and Disposal Acts (2003) and the MOH Public Private Partnership (PPP) policy 2009, can be used as a basis by hospitals to outsource (n=25) 16 (100%) 8 (89%) 0.0000 0.3600
Perception about out sourcing benefits
Out sourcing can be used by a hospital to achieve cost saving and to control costs (n=27) 16 (89%) 8 (89%) 1.0000 0.4708
Outsourcing enables the hospital to convert fixed costs to variable costs linked with predefined outputs by the contractor (n=23) 16 (94%) 6 (100%) ----a 0.7391
Outsourcing can be used by a hospital to achieve improvement in productivity of its operations (n=27) 18 (100%) 9 (100%)
Out sourcing enables hospital Management to focus resources on the core business of looking after patients (n=30) 19 (89%) 8 (90%) 0.8421 0.4655
Outsourcing can be used by a hospital to be able to deliver improved service to the patients (n=28) 19 (95%) 9 (100%) ----a 0.7143
Outsourcing can enable the hospital to improve its internal process through restructuring, re-engineering, standardization of processes service (n=26) 17 (94%) 8 (100%) ----a 0.6923
Outsourcing provides hospital management with flexibity and convenience for scaling up services reducing risk of poor service and limited or over capacity (n=25) 17 (94%) 7 (100%) ----a 0.7200
Outsourcing enables the hospital to gain quick and continuous access to the latest technological developments e.g. equipment (n=28) 19 (95%) 8 (100%) ----a 0.7143
Outsourcing can be used by the hospital to be innovative, expand service and rapidly develop new ways of delivering services (n=27) 17 (89%) 8 (100%) ----a 0.4872
Out sourcing allows the hospital to bring in vendors with newer capabilities and knowledge which can provide competitive advantage over other hospitals (n=27) 19 (95%) 7 (100%) ----a 0.7407
Perception about out sourcing risks
Outsourcing could lead to regulatory violations (e.g. violation of procurement act, corruption) and creation of legal obligations which may not be favorable to the hospital (n=30) 21 (95%) 6 (75%) 0.1429 0.1517
Out sourcing by the hospital can lead to over reliance on vendors which may be risky to the hospital in case the vendor performs poorly (n=29) 20 (95%) 6 (75%) 0.1500 0.1609
Out sourcing can lead to loss of confidentiality and possible breach of privacy since the contractor gets to know the internal operations of the hospital (n=27) 16 (89%) 6 (67%) 0.2500 0.1592
Outsourcing by the hospital creates complexity in vendor relationship management (n=25) 10 (56%) 3 (43%) 0.6000 0.2945
Out sourcing by the hospital leads to increased management complexities since it requires special skills to successfully outsource and manage the vendor (n=27) 11(61%) 6 (67%) 1.2727 0.3169
Sometimes outsourcing by the hospital may not lead to the expected deliverables/benefits (n=31) 19 (86%) 7 (78%) 0.5526 0.3263
----a Odds Ratios can’t be calculated due to small numbers