Technology Context and Firm Performance among State Corporations in Kenya

Abstract

Purpose: The main aim of the study was to determine effect of technology context, leader personality on firm performance among state corporations in Kenya. This study used a positivism research philosophy.

Material/methods: The research study employed explanatory research designs. The target respondents included top management from 187 state corporations. Simple random sampling was used to select 65 state corporations. Primary data was collected through questionnaires using a nominal scale. Cronbach alpha and factor analysis was used to test reliability and validity of research instrument, respectively. Descriptive and inferential statistical methods of Pearson correlation and Hierarchical regression models were used to analyze the data obtained and to test the hypotheses with the aid of SPSS version 23.

Findings: The study indicated that technology relative advantage (β = 0.339, p<0.05), technology compatibility (β = 0.167, p<0.05) and technology complexity (β = 0.392, p<0.05), are key to enhancing firm performance.

Conclusions: The study recommended that state corporations adopt technology that holds prominence over previous technologies and enhance overall employee productivity and firm performance. Besides, state corporations should ensure any technology adopted is compatible with the existing IT infrastructure. Finally, training should be enhanced for better utilization of online services.