The Impact of Statistical Thinking on Operational Performance and Managerial Decision-Making in Private Dental Service Organizations in the Southern Region of Saudi Arabia: An Empirical Investigation

Abstract

Introduction: The literature has extensively addressed statistical thinking (STk) as a set of principles and concepts implemented within organizations to adopt a statistical perspective. This approach is frequently linked to the application of continuous improvement programs (CIPs), such as Six Sigma and Lean Six Sigma. This study examines whether implementing STk principles positively correlates with operational performance (OP) within private dental services organizations operating in the CIP framework. Methods: This empirical study investigated a sample of 34 organizations from the private sector. Structural equation modeling, specifically partial least squares, was used for data analysis. Results: Statistical significance for the outer model loadings was demonstrated. Mediating variables positively affect the constructs’ explanatory power, even when statistical techniques (STes) do not show direct associations. The model exhibited a significant degree of explanatory power. Further, it effectively captured the association among STes, OP, and decision-making (DM). In the multigroup analysis, only STes did not exhibit a statistically significant difference compared with the other components. Conclusion: The results provide evidence that CIPs are beneficial for applying STk principles and have a favorable effect on both OP and DM. This highlights the significance of CIPs, such as Six Sigma, Lean Six Sigma, and Total Quality Management, in a managerial context. This highlights the need to establish mechanisms that facilitate the dissemination and application of STk principles and STes to improve OP and DM in the dental services sector.