Information Technology Skills and Firm Performance of Kenya Tea Producers Companies

Abstract

The study sought to examine the influence of information technology skills on performance of Tea Producers companies in Kenya. The study reviewed theoretical and empirical literature relevant to the role of Information Technology skills on performance of Tea Producers companies in Kenya. The conceptual framework was discussed to show the relationship between Information Technology skills and firm performance (dependent variable). Positivism philosophy guided this study. Positivism philosophy emphasizes the importance of empirical evidence and scientific methods in understanding the world and acquiring knowledge. The study used cross-sectional survey design to establish the role of Information Technology strategic alignment on performance of Tea Producers companies in Kenya. In this study, the target population was identified as tea producer companies that are members of the East Africa Tea Trade Association (EATTA) in Kenya. This choice was made on the premise that these entities are likely to possess pertinent and accurate information relevant to the research. Specifically, the population encompassed all 29 tea producer members of EATTA. Respondents’ population comprised of six top managers from each organization translating to 174 top managers. The sample size was 121 top managers. They were targeted because top managers of organizations mostly handle strategic management issues. The research employed purposive sampling to select respondents and primarily relied on gathering primary data. A questionnaire with a diverse set of questions was utilized to collect responses from participants. Prior to the main study, a pilot study was conducted to ensure the validity and reliability of the questionnaire. The findings of the study indicate that information technology skills exert a positive and statistically significant influence on the performance of tea producer companies in Kenya. Findings revealed that cross-training, encouraging innovation and providing employment opportunities influences performance of Tea Producers companies in Kenya. This implies that a unit improvement in information technology skills would lead to improvement in performance of Tea Producers companies in Kenya. Based on the findings, this study recommends that the management of tea Producer companies should formulate and implement effect employee training programs to improve their IT skills.