Assess factors influencing adoption of digital transformation among manufacturing sector firms in Nairobi region
Date
2024
Authors
Kipkirui, F. M.
Journal Title
Journal ISSN
Volume Title
Publisher
Strathmore University
Abstract
The rapid changes in technological advancement implications are for companies to keep up with the trends and exploit them to their advantage. The manufacturing sector has been signaled as one of the industries that have been slow in its digital transformation. Kenya’s manufacturing sector has not been able to leverage digital transformation to enhance its performance and is behind in meeting its Vision 2030 goals. Therefore, this study assessed the influence of technological, organisational, and environmental factors on DT in Kenya’s manufacturing firms in the Nairobi region. The study was anchored on the technology organisation and environment (TOE) Framework and Diffusion of Innovation (DOI) theory. A positivist research philosophy fits with the study’s objective and is thus adopted. A descriptive correlational design is used as the study aims to describe the association between factors that may influence digital transformation. The target population was 725 firms from which a sample size of 176 was selected as the units of analysis. In each of the 176 firms, a senior manager involved in strategy implementation was purposively and conveniently sampled. The data was gathered using a Likert scale-based questionnaire that was checked for validity and reliability in a pilot study from which the internal consistency of items was assessed. The output indicated that technology, organisation, and environment factors together explained 47.5 % of the change in DT adoption in manufacturing firms and was significant at the 95 % confidence level. Independently, technological factors had a .577 positive and statistically significant effect on DT adoption. The study therefore concludes that increasing technological factors in manufacturing firms will contribute to an increase in DT adoption while organizational and environmental factors do not have any effects on DT adoption. the study recommends that manufacturing firms focus on using technology that has affords them a relative advantage over the existing technology.
Keywords: Digital transformation, Manufacturing, Technological, Organizational, Environmental factors.
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Full - text thesis
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Citation
Kipkirui, F. M. (2024). Assess factors influencing adoption of digital transformation among manufacturing sector firms in Nairobi region [Strathmore University]. http://hdl.handle.net/11071/15638