The Effect of Product and Process Technological Innovation Strategies on Organization Performance in the Kenya Communication Industry. A Case of Safaricom Kenya

Effect of Product and Process Technological Innovation Strategies on Organization Performance in the Kenya Communication Industry. A Case of Safaricom Kenya

Abstract

The accelerating pace of technological innovations has affected many organizations’ performance today. Some firms respond defensively, seeing technology as a problem, while others through strategic use of technological innovation strategies gain permanent advantage. The study analysed the effect of product and process technological innovation strategies on organization performance in the Kenya communication industry. The study adopted ex post facto research design. It used secondary data obtained from company publications, journals, periodicals and internet information. Correlation analysis was also used to establish the relationships that exist between the variables of the study namely innovation and technology management practices and business survival. Analysis of data collected was compared with the theoretical approaches and documentations cited in the literature review. This study contributes to the existing body of scientific knowledge on information systems. Managers responsible for strategy may use the findings to formulate effective monitoring and control systems to metigate against the challenges while formulating and adopting business strategies. Academics and business researchers will borrow from the findings of this research to support literary citations do further research. First the regression results revealed that there was a positive and significant correlation between product innovation strategy and performance (b =0.701, p = 0.000<0.05). Multiple regression analysis confirmed an increase in product innovation led to an increase in performance and this was significant. Further results revealed insignificant relationship between process innovation and performance (b =0.217, p = 0.061>0.05).
The study concludes that among the technological innovation strategies included in the study, product innovation strategy had the most influence on performance of Safaricom (K) Limited. From the results the process innovation had no effect on performance of Safaricom (K) Limited.