SUCCESS FACTORS THAT AFFECT THE EFFICIENCY OF STEEL INDUSTRY ORGANIZATIONS IN THAILAND

Abstract

This study aims to 1) develop and test structural equation model of success factors that affect the efficiency of the steel industry organizations in Thailand and 2) study the factors that have both direct and indirect effects on the efficiency of the steel industry organizations in Thailand. The research was a quantitative study. The sample was 365 executives and employees in 115 companies that were the members of the steel industry group in Thailand, as selected by purposive sampling. Data were collected using questionnaires and analyzed by structural equation model. The findings depicted that the success factors affecting the organizational efficiency (OrgEff) consisted of organizational learning culture (OrgLear), organizational function collaboration (OrgCol), organizational absorption ability (OrgAbs), and organizational innovation creation (OrgInno). In addition, OrgInno directly affected OrgEff and OrgLear as well as OrgAbs indirectly affected OrgEff. The results, besides, portrayed that in operating the steel industry business effectively, the public and private sectors should cooperate with relevant organizations in all sectors to formulate policies and support the development of an information system that linked in a complete production system so that businesses attain the ability to increase their competitiveness, the opportunity to access more funding sources, and the expansion in both domestic and foreign markets.