The Influence of Human Resource Information System effectiveness on employee performance in listed manufacturing companies in Kenya

Abstract

Employee performance remains a critical determinant of organizational productivity, competitiveness, and operational efficiency, particularly within manufacturing firms where workforce coordination and performance management are essential for achieving strategic objectives. Despite the increasing adoption of Human Resource Information Systems (HRIS) in Kenya, many listed manufacturing companies continue to experience challenges related to workforce productivity, employee engagement, and performance management. Furthermore, existing empirical evidence on the effectiveness of HRIS in enhancing employee performance remains limited and inconclusive, particularly within the Kenyan manufacturing sector. This study therefore examined the influence of HRIS effectiveness on employee performance among listed manufacturing companies in Kenya. Specifically, the study assessed the influence of system usability, system integration, and information quality on employee performance. The study was guided by the DeLone and McLean Information Systems Success Theory and Campbell’s Job Performance Theory. A descriptive cross-sectional research design was adopted. The target population comprised the ten manufacturing companies listed on the Nairobi Securities Exchange, with firms serving as the unit of analysis and HR practitioners serving as the unit of observation. A census approach was used to include all listed manufacturing firms, while purposive sampling was employed to select 371 HR practitioners. Primary data were collected using structured questionnaires and analyzed using descriptive and inferential statistical techniques. The findings revealed that system usability, system integration, and information quality each had a positive and statistically significant influence on employee performance. Information quality emerged as the strongest predictor of employee performance, followed by system integration and system usability. The results suggest that effective HRIS characteristics enhance employees’ ability to perform their duties, support organizational coordination, and improve access to reliable information required for decision-making and performance management. The study concludes that HRIS effectiveness is a significant driver of employee performance within listed manufacturing companies in Kenya. The study recommends investment in user-friendly HRIS platforms, enhanced integration between HRIS and other organizational systems, and stronger data governance practices to improve information quality. The study contributes to the HRM and information systems literature by providing context-specific empirical evidence on the relationship between HRIS effectiveness and employee performance in Kenya’s manufacturing sector and offers practical insights for managers and policymakers seeking to improve workforce performance through digital HR technologies