Abstract:
The adoption of the value-based healthcare strategies in hospital management is meant to achieve high health outcomes at low
costs. The resultant effects are increasing value to the patients as well as attaining universal health coverage. The main
objective of the study was to determine the influence of integrated practice units’ strategy on the performance of County
referral hospitals in Kenya. The research was anchored on value-based theory. The study was founded on positivism research
philosophy. The study adopted a descriptive research design. The study area was the Lake Region Economic Bloc (LREB)
counties in Kenya. The study population was 1400 employees of fourteen (14) county referral hospitals in the Lake Region
Economic Bloc. The study adopted the stratified random sampling method, in which the management employees were
stratified, and then the respondents were selected randomly within each stratum. The strata consisted of; hospital management
board, departmental (top level) management and sub-departmental (middle level) management. The study sample size was
four hundred and forty five (405) respondents determined using Yamane formula yielding three hundred and twelve (312)
respondents plus a 30% (93) increase to cater for non-response. Primary data was collected using a questionnaire that was
dropped and picked after two weeks. Content validity was checked and an average content validity index (CVI) of 0.8 was
attained, which met the recommended threshold of 0.75. Reliability was tested through a pilot test and an average Cronbach
alpha coefficient (α) score of 0.748 was attained, which is above the recommended score of at least 0.7. Data was analyzed
using descriptive statistics which include mean, standard deviation, variance, frequency distribution and percentages. For
inferential statistics, the study used simple regression analysis to establish the causal relationships as conceptualized. Pearson
correlation was used to test the strength of the relationship between the independent and dependent variables. Data was
presented in tables, graphs, pie charts, frequencies and percentages. The findings indicated that there was a significant positive
relationship between Integrated Practice Units strategy and County hospitals performance. The results indicate that 45.3% of
the variance in the hospital’s performance was attributable to Integrated Practice Units strategy. In theory, policy and practice,
the study findings supported the position that county referral hospitals ought to invest in Integrated Practice Units strategy to
achieve the outcomes of high quality healthcare services at affordable cost, thus enhanced performance.