International Journal of Business Management, Entrepreneurship and Innovation

The Effect of Training and Development on Productivity of Employees in Listed Investment Firms in Kenya

Joseph Waweru Mwangi, N Munyua — Sun, 07 May 2023 12:45:44 +0000

The objective of this research was to assess how training and development impact employee productivity in investment companies listed in Kenya. Maslow's Hierarchy of Needs, Hawthorne Effect, and Expectancy Theory were the guiding principles of this study. A literature review was conducted to define the variables of the study. The research was conducted using a descriptive design, and the target population was made up of 72 participants, consisting of 15 human resource managers and 57 human resource staff from the 15 listed investment firms on the Nairobi Stock Exchange. The study utilized the census sampling technique, with all 72 individuals participating. To gather primary data, questionnaires were distributed after being tested for reliability and validity. The data collected was analyzed using descriptive statistics such as standard deviation and means, as well as inferential statistics using the Statistical Package for Social Sciences (SPSS) version 25.0 software. Correlation coefficients were employed to assess the relationship between the variables in the study. The data findings were presented using tables and pie charts to facilitate the interpretation of results and draw conclusions and recommendations. According to the research conducted in Kenya on investment firms, it was discovered that training and development have a substantial and direct impact on employee productivity. The study showed that training and development had a beta coefficient of 0.490 and a p-value of 0.000. The regression model analysis revealed that training and development is a strong predictor of employee productivity. According to the study, training and development has a considerable impact on the performance of employees working in listed investment firms in Kenya, as evidenced by the adjusted R-square value of 0.793. The research suggests that companies should focus on all aspects of training and development as they have a significant and positive impact on employee performance in this sector.

Corporate Governance and Organizational Performance of Referral Hospitals in Kenya: A Case of Kenyatta National Hospital

Fredrick Kyalo Muthengi, Mary Ragui — Tue, 23 May 2023 03:10:38 +0000

In both developed and developing economic context, an important concern in recent years has been corporate governance due to empirical evidence that organizational performance is significantly affected by corporate governance. Tthis study seeks to determine the effects of corporate governance on the performance of referral hospitals in Kenya with a case of Kenyatta National Hospital. The study objectives included how board composition, stakeholder engagement, transparency and structural considerations affect the performance of Kenyatta National Hospital. The study benefits various groups including the government especially the Ministry of Health, top management of referral hospitals and their stakeholders among others. Theoretically, the study was grounded on agency theory, upper echelon theory and stakeholder theory. A descriptive survey design was adopted; both qualitative and quantitative data was gathered. The target population was 248 staff of Kenyatta National Hospital of which a sample was obtained by the use stratified random sampling method. A combination of both the questionnaire method and secondary data collection sheet were utilized to gather both primary and secondary data respectively, which were subjected to both descriptive and inferential techniques of data analysis. The findings established a positive significant correlation between Board composition, Stakeholder engagement, transparency and Structural considerations has a favorable and significant association with the effectiveness of the Balanced Scorecard for organizations. The Pearson correlation value was more than 0.5, which is an unmistakable sign of a strong association between the variables. Strong Pearson coeﬃcients were obtained from the analysis, and it is clear that each predictor variable has an impact on organizational performance. The model between dependent variable had an R squared of 0.697 meaning that is 69.7% of influence on performance of organizations could be attributed to the independent variables. The regression results produced a value for the multiple regression model that showed that all values had a positive factor. Findings revealed that there was an association between employee performance and Board composition, Stakeholder engagement, transparency and Structural considerations. Leaders should be able to balance between organizational needs and stakeholders’ expectations to achieve a good corporate governance practice of public hospitals. Structures can be influenced by mandate of the organization and the board compositions by the technicality of the role being played by an organization. Policy recommendations include: establishing an independent board of directors to oversee the management of an organization, enhancing shareholder participation in decision-making through mechanisms such as proxy voting; and encouraging ethical behavior and a culture of compliance throughout the organization.

Change Management Practices and Performance of Kenya Bureau of Standards

Mutahi P Kingori, Paul Waithaka — Mon, 29 May 2023 02:44:54 +0000

Management of state corporations in Kenya faces quite a number of challenges including corruption, poor management of resources, stringent regulations, political support, and policy gaps among others which influence organizational performance. The study sought to investigate the influence of change management practices on the performance of Kenya Bureau Standards in Nairobi City, Kenya. The specific objectives were to examine the influence of technology adoption, strategic leadership, stakeholder involvement and resource mobilization on the performance. The study was anchored by balanced score card model, diffusion of innovation theory, stakeholder theory and resource-based view theory. The study used a descriptive research design. The study target population was Kenya Bureau of Standards. The respondents were 730 employees working with the organization who were obtained from various departments. The respondents were categorized into departments whereby stratified sampling method was used. Simple random sampling method was used to select the respondents. The sample size was 258. A total of 26 questionnaires were piloted at the same organization but they were not included in the final study. Collection of primary data was done through the use of questionnaires which were administered to all the respondents. Descriptive statistical analysis such as mean and standard deviation was used in analyzing the quantitative data which were presented in terms of tables. Multiple regression analysis was done in establishing the relationship between variables. The study found that technology adoption, strategic leadership, stakeholder involvement and resource mobilization had a positive significant influence on the performance of Kenya Bureau Standards. The study concluded that adoption of technology enhances communication and collaboration which is important in today’s corporate environment where many organizations are still working from home and face to face interaction is nominal. Strategic leadership is ultimate for success of change programs as it directs all organization resources towards a common goal by effectively motivating employees to achieve a desired common change vision Resource mobilization ensures that the company will always have the resources available to meet its requirements, enabling it to continue offering its customers services. The study recommended that the organizational process in adopting technology should first clearly communicate the change and its benefits to employees, ask employees about their needs to help reduce change resistance by demonstrating that you are taking employee needs into account. The organization should develop a good engagement strategy by considering their grasp of the project's-initiated plan, their motivation for the project, and how each stakeholder will be impacted. The organization needs to establish a network of resource providers, use a variety of mobilization strategies, and concentrate on acquiring access to resources other than only financial ones.

Competitive Strategies and Performance of Selected Large Supermarkets in Nairobi City County, Kenya

Shadrack Bett, Charles Imo Avoga — Sat, 10 Jun 2023 18:38:28 +0000

A company's success is significantly influenced by its competitive response strategy. Competitive response strategies essentially aim to steer a business through its uncertain and erratic external environment while enabling it to keep order and efficiency in its internal operations. The COVID-19 pandemic negatively affected Kenya's retail industry and the economy. Due to a fall in economic productivity and consumer spending, many shops have struggled with smaller sales margins. Due to declining sales, companies have also been forced to lay off employees and close some branches. There is plenty of research on competitive response methods in other industries. However, few studies have focused on supermarkets, and no studies exist on whether or not these strategies were effective during the Covid-19 epidemic. Therefore, this study aimed to establish how competitive response strategies affected certain supermarkets' performance during COVID-19 in Nairobi. The research examined the effect of supermarkets' cost leadership, focus strategy, and differentiation on their operations during the COVID-19 crisis in Nairobi, Kenya. Specific research questions guided the overall study aims. The study employed a descriptive research design to address the research questions. The population of interest included the top, middle, and lower-level management staff from supermarkets participating in this study. The target population comprised 204 workers from various stores within the chosen supermarkets. In this investigation, the census approach of data collection was employed. Semi-structured and closed-ended questionnaires were the data collection instruments. The equipment used to perform the study was checked to confirm its accuracy and validity before it was set up for use. The data was then processed and categorized, and ready for analysis. Descriptive analysis was used to interpret the findings using average, frequency, and confidence interval statistics. The research only used inferential analysis inside the multi-regression paradigm. The model showed the level of correlation between the research variables. For inferential analysis, the correlation showed the significance of the linkages underpinning firm performance, cost leadership, and differentiation. Additionally, regression analysis showed the significance of the relationships underpinning dependent and independent variables. Lastly, the research complied with the required ethical standards and guidelines.

Kaizen Implementation and Performance of Manufacturing Firms in Nairobi County Kenya

Caroline Githongo, Janesther Karugu — Sun, 11 Jun 2023 06:38:26 +0000

All across the world, firms are experiencing dynamic changes in their environments and this may present challenges. The Kenyan manufacturing sector is key in the development plan as envisioned in Kenya’s vision 2030. To achieve this, the manufacturing sector in Kenya must therefore come up with ways to ensure their sustainability moving forward. The general objective of the study was to establish the effects of Kaizen implementation on operations performance in the case of manufacturing firms in Nairobi, Kenya. Specifically, the study sought to establish the effect of quality circles, teamwork, total productive maintenance systems and personal discipline on the operations performance of manufacturing firms in Nairobi County. The study was guided by the operations management theory, dynamic capabilities theory, the kaizen theory and the balance score card theory. The study used the descriptive research design and targeted 52 manufacturing firms in Nairobi, Kenya. Simple random sampling was used to select 175 respondents from the 52 manufacturing companies were conducted where the unit of observation was the operations manager, human resource managers, finance managers, strategic managers, marketing managers and the sales manager from each of the manufacturing companies. The researcher collected primary data using questionnaires while secondary data from the companies’ financial statements was collected. Content validity was established by subjecting the research instruments thorough scrutiny by the supervisors overseeing the study while Cronbach’s alpha coefficient was used to determine reliability. Descriptive analysis was conducted to establish percentages, means and standard deviation. Further, inferential data analysis techniques that include correlation (Pearson Correlation Momentum) and regression statistics (multiple regression analysis) was used to draw inferences on the relationship between kaizen implementation and operations performance of manufacturing firms in Kenya. The study concluded that quality circles aim to give individual members the opportunity to contribute to problem-solving and have an emphasis on teamwork and collaboration. Teamwork is one of the most important tools when it comes to organizational efficiency as it cultivates effective communication. Total productive maintenance system helps to frame maintenance as a business advantage. Implementing total productive maintenance system enables manufacturers to decrease planned and unplanned downtime from breakdowns, equipment and maintenance cost, defects, and risk of damage or accidents. Discipline ensures individuals maintain silence at workplace and work as a single unit with their team members to achieve organization goals and objectives. The study recommended that the firms should recruit volunteers from different departments as volunteers are more likely to take their role seriously and want to see the group succeed. The management of the firm should build diverse and inclusive teams for effective decision making. The management should aim at reducing worry and stress to allow employees to stay on track with personal and professional goals and prevent them from getting behind or submitting work after the deadline has passed.

Influence of Transformative Leadership on Quality of Vocational Training in Youth Polytechnics within Nakuru County

Catherine Mumbi Mugo, Joel Kiboss, Prof — Fri, 16 Jun 2023 06:54:14 +0000

With the devolved modes of governance in Kenya, administration departments have been established at the county levels with the intention of bringing services near the people. Education is an essential service that is key to the development of the country. Youth vocational training is one of the components of education that was devolved, the other being Early Childhood education. The transition from the national government to county governments is characterized with grappling with new roles and mandates, emergence of disruptive technologies and unstable financial support among others. These pose a threat to the quality of youth vocational training in the polytechnics. The study’s objective was to evaluate transformational leadership that comprises of four factors namely; idealized influence, inspirational motivation, intellectual stimulation and individualized consideration and their influence on the quality of vocational training in youth polytechnics in Nakuru County. The study was anchored on the Transformational Leadership Theory and Theory of Social Partnerships. The researcher embraced a mixed method research design that employed both quantitative and qualitative research approaches aimed at attaining the benefits of research triangulation. The target population for the study was 198 youth polytechnic staff and 11 sub-county education officers. The study used clustered sampling to select 33 youth polytechnics from all the 11 sub-counties in Nakuru County and purposive sampling for the education officers. A census was done for the 198 polytechnic staff members. Data was collected using questionnaires from the officers and interview schedules from the administrators. Data was analyzed with the help of Statistical Packages for Social Science (SPSS) using descriptive statistics to present results in summaries. For all the aspects of transformational leadership in the youth polytechnics, the resultant mean was more than 3 which implies that transformational leadership was practiced to a great extent. From the inferential statistics namely regression, correlation and Chi-square, all the coefficients were positive and the p-values less than 0.05. This informed the rejection of the null hypotheses thus accepting the alternative. This implies that transformational leadership has a strong positive influence on quality of vocational training that is significance at 5% levels of significance. Based on the study findings, the study advocate for support of youth polytechnics with adequate facilitation, stakeholder involvement as well as collaboration of different agencies to ensure that the youth polytechnics are able to offer quality vocational training. There is also a need for the policy makers to ensure that transformational leadership is implemented in institutions of similar nature based on its effectiveness.

Influence of Operational Factors on Implementation of Road Projects in Kenya: A Case of Nyanza Sugar-Belt Road

Winfred Wamuyu Gachohi, Nickson Lumwangi Agusioma — Thu, 29 Jun 2023 15:48:28 +0000

In Kenya, numerous complaints, delays in planned output deliverables and subpar cost effectiveness continue to be re-emerging issues among road projects. For instance, KeNHA had to postpone the beginning of the construction of the 63-kilometer sugar belt road in the Nyanza project due to a delay in approvals. Despite numerous research examining the success elements for road project management, there is no consensus on which exact operational factors affect the implementation process. In addition, though prior research has been undertaken concentrating on roads funded by KeRRA (Kenya Rural Roads Authority), KURA, and KeNHA under the Ministry of Transport, Roads, and Infrastructure, none has concentrated on the variables affecting the implementation of Nyanza Sugar-Belt Road project. The main objective of the study was to determine the influence of operational factors on implementation of road projects in Kenya: a case of Nyanza Sugar-Belt Road project. The specific objectives of this study were to determine the influence of regulatory compliance, financing, social political factors and project design on implementation of the Mamboleo – Miwani – Chemilil – Muhoroni – Kipsitet road project referred to as the Nyanza Sugar-Belt Road. The study was guided by four theories including Resource-Based View theory, Theory of Project Implementation, Agency Theory and Systems Theory. The study followed a descriptive research design approach with the study site being the Nyanza Sugar-Belt Road. The target respondents were drawn from construction stakeholders, contractors and local community representatives involved in the Nyanza Sugar-Belt Road project. This entailed a total of 73 respondents who were selected using census sampling. Data was collected using questionnaires and analysed using descriptive and inferential analysis. Tables and figures were used in presentation of the research findings. From the correlation analysis, the study found out that all the variables including project design, regulatory compliance, financing, social political factors had a positive significant effect on the implementation of Nyanza Sugar-Belt road project (p<0.01). The regression analysis also found out that the operational factors studied explained 67.3% of the variations in the implementation of Nyanza Sugar-Belt road project (R2=0.673). This implies a strong positive relationship between operational factors and the implementation of the Nyanza Sugar-Belt road project. The study concludes that the success of road projects in Kenya depends not only on the technical aspects of the project design but also on the wider contextual factors that affect the implementation process. This highlights the importance of a holistic approach to road project implementation that takes into account both technical and operational factors. The study recommends that road projects in Kenya should have well-thought-out designs that take into consideration factors such as terrain, traffic volume, and environmental impact, among others. The study recommends increased regulatory oversight and compliance monitoring to ensure that road projects are implemented according to established standards and regulations. To strengthen financing mechanisms, the study recommends that the Kenyan government to explore innovative financing mechanisms such as public-private partnerships, crowdfunding, and other sources of funding. The Kenyan government is recommended to invest in effective stakeholder engagement strategies to ensure that community concerns are addressed. Additionally, given that all the operational factors studied had a significant positive effect on the implementation of the Nyanza Sugar-Belt Road project, it is recommended that project management practices be strengthened to ensure that road projects are effectively planned, implemented, and monitored.

Influence Of Strategic Orientation on Performance of Commercial Banks in Kenya: Case of Study Family Bank Limited

Justinah Wambui Mwangi, Dorcas Kerre, Dr, Mary Mugo, Dr — Wed, 19 Jul 2023 10:50:33 +0000

In Kenya, fierce competition from both the banking industry and mobile telephony carriers which offer creative alternative offerings to traditional banking products, emphasizes the need for strategic orientation. Particularly, though Family bank continues to deploy new products and services while leveraging technology and building relationships with customers, it is yet to upgrade towards the intended tier 1 status. The bank continues to experience slow growth rate despite numerous strategies being formulated by the firm. In 2018, non-performing loans went up to Ksh 4.7 billion and interest income reduced by 50% in the first half to June as lending went down. Family bank’s low market share raises the question on the effects of strategic orientation practices on the performance of the firm. The objective of the study was to establish the influence of strategic orientation on performance of commercial banks in Kenya, a case study of Family Bank Ltd. The specific objectives of the study were to; assess the effect of technological orientation on the performance of commercial banks in Kenya, assess the effect of entrepreneurial orientation on the performance of commercial banks in Kenya and examine the effect of customer orientation on the performance of commercial banks in Kenya. This study was anchored on three main theories; Resource Based View Theory, Contingency Theory and Mckinsey 7S Model. The study was based on descriptive research design. The target population of the study was all the 31 Family bank branches based in Nairobi County. Census sampling technique was adopted and hence all the 31 targeted branches participated in the study with 171 managerial employees as the respondents. Data was collected using questionnaires. The collected data was analyzed using descriptive and inferential analysis. SPSS version 26.0 aided in the analysis of the data. Tables and figures were used to present the collected data. The study found that technological orientation has a positive and significant effect on the performance of commercial banks in Kenya (β=0.480, P-value=0.000). The study also found that entrepreneurial orientation has a positive and significant effect on the performance of commercial banks in Kenya (β=0.223, P-value=0.000). Further, the study found that customer orientation has a positive and significant effect on the performance of commercial banks in Kenya (β=0.480, P-value=0.000). The overall regression model of the study revealed that strategic orientation was a good predictor of organizational performance. The study concluded that strategic orientation has a significant effect on the level of organizational performance (adjusted R-square= 0.666). The study recommended that commercial banks in Kenya should enhance the adoption of strategic orientation in order to improve their performance and more so in new product development to enable them carve out new market niche for their goods and services, making them more competitive in the sector.

Effect of Credit Terms on Financial Inclusion Among Self-help Group Financing in Informal Settlements in Kenya: A Case Study of Kibera Slum

Sylvy Akinyi Ochieng, Gilbert Nyaga Njagi, Mary Kiveu — Mon, 31 Jul 2023 06:00:28 +0000

Financial inclusion is a vital element of growth in any economy. It has led to the economic growth of 15 OECD and 50 non-OECD countries. Despite its relevance, the optimal rates of financial inclusion in Kenya have not been achieved. The wide gap between financial inclusion among the lowest wealth quintile at 12.67% in comparison to the rates of financial inclusion of the highest wealth quintile at 76.4% in 2021 is a huge cause of concern. Lower rates of financial inclusion among the less privileged have translated to high poverty rates, lower living standards and hampered economic growth. The main objective of this study was to determine the effect of credit terms on financial inclusion among self-help group financing in informal settlements in Kenya, a case study of Kibera slum. The study was founded on the demand theory and the rational choice theory, to bring to light the relationship between credit terms and financial inclusion in informal settlements in Kenya. A descriptive research design was used and the 237 registered self-help groups in Kibera slum formed the population of the study and were studied in their entirety. The data was collected using a questionnaire and analysed using SPSSv25 then presented in form of tables and figures. Descriptive statistics was performed using frequencies, percentages, means and standard deviations. Inferential statistics was conducted using the regression model to test the hypotheses of the study. The study established that credit terms had a positive significant effect on financial inclusion among self-help group financing in informal settlements in Kenya. According to the leaders of the self-help groups, the more favourable the credit terms offered in self-help groups, the wider the adoption of financial services by the members of the self-help groups. This study therefore recommends that financial service providers should offer financial services with credit terms tailored to suit the needs of their target market to increase affordability of financial services, thereby increasing financial inclusion.

Effect of Integrated Supply Chain Practices on the Performance of Fast-Moving Consumer Goods Firms in Kenya: A Case Study of Unga Limited

Esther Wambua, Wycliffe Arani, Fred Ongisa — Sat, 26 Aug 2023 06:06:28 +0000

The most successful manufacturers have strategically linked their internal processes to external suppliers and customers in unique supply chains. Manufacturers now recognize the potential of supply chain integration to improve their performance but the lack of deep understanding of supply chain integration to achieve strategic importance is a major challenge to supply chain managers making it hard to be implemented with most confusing supply chain integration with partnerships and collaborations of business partners. Studies on integrated supply chain and its impact on an organization’s overall performance are still unsettled and the area has not been extensively examined. To bridge this research gap, this study examined the effect of integrated supply chain practices on the performance of Fast-Moving Consumer Goods firms in Kenya. The study was guided by the following objectives: to establish the effect of customer integration on the performance of fast-moving consumer goods firms in Kenya, to determine the effect of internal integration on the performance of fast-moving consumer goods firms in Kenya and to examine the effect of supplier integration on the performance of fast-moving consumer goods firms in Kenya. The study was anchored on the following theories: transaction cost economies theory, contingency theory, and the resource-based view theory. The study adopted a descriptive research design, and the target population was 261 employees from 8 departments. The sample size was 158 respondents who were selected through stratified and simple random sampling technique. The study used questionnaires to collect primary data. Data analysis was done using the SPSS software v.25. A multivariate regression model was used to determine the relative importance of each variable of the study and correlation analysis was carried out to find the relationships between the variables under the study. The study concluded that integrated supply chain practices had a positive and significant effect on the performance of fast-moving consumer goods firms in Kenya at Unga limited. The study recommended that FMCG firms enhance the utilization of supplier integration practices to improve organizational performance. Further, the study recommends that internal integration and customer integration be strategically used as policy tools for coordination, production planning and scheduling, customer order management, and demand planning as this will enhance the overall organizational performance.

Strategy Implementation Drivers and Performance of Kenya Airport Authority: A Case of Moi International Airport Mombasa County, Kenya

Nahashon Mwaura Mwangi, Njeri Njuguna — Fri, 08 Sep 2023 04:29:26 +0000

Amidst ever-emerging airports dynamics that make competition stiffer day-by-day, airports can use variety of strategy implementation drivers to maximize their performance. Kenya Airport Authority developed a five-year tactical plan to improve the overall performance for the company. However, the expected outcomes have not been obtained. Many researchers have pointed out on strategic management process but very few have attempted to prove that strategy implementation can yield better results owning to the fact that Kenya Airports Authority largely contribute to the country’s economy. This prompted this research on strategy implementation drivers on performance of Kenya Airports Authority: A case of Moi International Airport, in Kenya’s Mombasa County. The following specific goals steered the study; strategic communication, strategic structures, strategic leadership, and strategic resources on performance of Kenya Airports Authority: A case of Moi International Airport, Mombasa County in Kenya. The balance scorecard model, open system theory, transformational leadership theory, and resource-based philosophy served as the study's guiding theories. Descriptive research methodology was employed in the study. 66 respondents from Moi International Airport made up the sample population. Due of the limited population, the researcher utilized a census research design. The information was gathered via a semi-structured questionnaire. A pilot study was undertaken to test and assess the data collection tool's accuracy. Descriptive and inferential statistics were used to analyze the data. The research results were presented using pie charts, tables, and graphs. The majority of respondents agreed with numerous performance indicators, including those for strategic communication, strategic structure, strategic leadership, and strategic resources. Correlation analysis found a statistically significant association between performance and strategic communication, strategic structure, strategic leadership and strategic resources. Further, the model summary revealed that 83.1% of disparity in the performance was due to changes in strategic communication, strategic structure, strategic leadership and strategic resources. A conclusion was made that adopting an excellent implementation driver’s yield better organizational performance. The researcher recommended that engaging employees in communication, adoption of a collaborative structure, deployment of strategic leaders, mobilizing and building networks of resources, could do this. The study outcomes will help airports’ management in improving their performance and gaining an advantage over competitors. The study's findings will be used as guidance for those who make policies as they come up with rules and regulations governing airports.