The Confirmatory Factor Analysis of Enhancing the Warehouse

Management Efficiency in Map Ta Phut Industrial Estate, Rayong

NOPPORN BUA-IN

Faculty of Business Administration,

King Mongkut’s University of Technology North Bangkok, Rayong Campus,

88/144 Bliss-Bankai, Nongtaphan, Rayong 21120,

THAILAND

were frequency, percentage, mean, and standard deviation (S.D.), exploratory factor analysis (EFA),

confirmatory factor analysis, and second-order confirmatory factor analysis. The data were analyzed by simple

statistics: percentage and standard deviation.

Industrial Estate, Rayong Province based on the POLC theory of Louis A. Allen. The principles of management

can be distilled down to four critical functions. These functions are planning, organizing, leading, and

controlling. The results of the first-order confirmatory factor analysis found that all the indexes passed the

criteria. The Chi-square minimum probability (CMIN/P) was 0.108, the Chi-square minimum discrepancy per

degree of freedom (CMIN/DF) was 1.137, the goodness of fit index (GFI) was 0.98, and the root mean square

error of approximation (RMSEA) was of 0.02. The factor loading was between 0.90 and 0.98 at the statistical

Received: November 12, 2022. Revised: March 14, 2023. Accepted: April 4, 2023. Published: April 24, 2023.

1 Introduction

Today the industrial sector realizes the significance

of the cost management of logistics involved in all

business and industrial activities. Thailand has a

plan for logistics system development written in

Thailand’s 20-Year National Strategy to drive the

development of entrepreneurs’ society to create the

business operators, development of supporting

elements and infrastructure to enhance the

competency of competition, and strong foundation

to support the competency enhancement of

competition under the changing contexts including

warehouse because there are no proper

arrangements to store the goods, no systems

identifying the locations of goods, and no assigned

locations of all types of goods. The only staff in the

warehouse know the locations and number of the

storage and it may cause a problem if the goods

required cannot be found in case the staff taking

decision for urgent operations which causes some

mistakes while operating. Most industries often face

the problems mentioned above because some

problems are difficult to be solved in the case of the

space in the warehouse, investment funds,

management system, and employees. If the

management system of the warehouse is not

effective, it highly affects the export business of

Thailand because this will decrease the growth rate

of the business. Therefore, the management system

deposit and storage of goods, and the proper

warehouse management and inventory control

system must be the most effective implementation.

And the study of guidelines for efficiency the

performance competency and reduce the

2 Literature Review

of added value arrangement and time reduction of

response, [7].

key business operation to provide excellent

customer service and enhance the advantages of

competitiveness. There are two kinds of

warehouses: consolidation warehouses and

distribution warehouses, [8]. However, the

warehouses regarding their functions in the supply

chain can be divided as follows: warehouse of raw

material storage, warehouse of processed products,

operations, [10].

3 Research Methodology

3.1 Conceptual Framework

The researcher implemented the POLC theory of

Louis A. Allen, [6] to the efficiency enhancement of

warehouse management in Map Ta Phut Industrial

Estate, Rayong Province as shown in Figure 2

below.

Fig. 2: Conceptual Framework

to the field. The index of item-objective congruence

1.00. Then, the researcher corrected the

questionnaire according to the experts’ evaluation.

After that, the researcher distributed the

questionnaire to 30 samples of a similar population

for try-out to evaluate the discrimination of the

questionnaire items by calculating the standard

deviation (S.D.) of the items with a checklist and

five-level Likert scale, and the correlation

coefficient of items with the five-level Likert scale,

and the reliability of the questionnaire was also

3.4 Data Collection

1) The researcher asked the executives of the

2) Then, the researcher distributed the questionnaire

3.5 Data Analysis

The researcher analyzed the data of the qualitative

research with the in-depth interview through the

into the four components by adjusting the structures

and names of the components. The factors were

divided into four components when their eigen

values were greater than 1.00. Each of the four

empirical data found that the statistics of analyzing

statistically significant at .01. The component with

the highest weighting scale was organizing (O)

Rayong Province had the construct validity and the

30 factors were considered important to enhance the

efficiency of the warehouse management in Map Ta

Phut Industrial Estate in Rayong Province.

(2) The researchers or other groups who are

7.2 For Government Sector/Private Sector

(1) The organizations involved in this can

(2) The government agencies and enterprises

results of the study as the guidelines for

enhancing their knowledge or effective

warehouse management.

to study the factors development of efficiency

enhancement of warehouse management should

proper public relations and constant training in

warehouse management to enhance the

employees’ skills and set the same operational

goals.

the warehouse problem solutions that they may

find during operations.

warehouse services should be conducted.