Analysis of ICT Adoption on the Financial Performance of Kitui Teachers Sacco

Abstract

ICT adoption refers to the utilization of technology in gathering, processing and using knowledge within the organization. The financial performance of SACCOs largely depends on the strategic actions undertaken by the management. Despite this, the performance of SACCOs has always been fraught with numerous management challenges as evidenced by the chaotic scenes at most annual general meetings. Maintaining a sustainable growth of earnings for SACCOs has become a universal challenge. This study seeks to analyze how ICT adoption affects the financial performance of KTS. The study employed a mixed methodology combining quantitative and qualitative approach. The target population comprised 12 Board of directors, 5 chief managers, 9 departmental heads, 8 branch managers and 12 assistant managers. Primary data was collected using questionnaires. Their validity and reliability was achieved through the use of pilot test. The data of the pilot test were not incorporated in the analyses. The quantitative data was analyzed using descriptive statistics and presented through the use frequencies and percentages. SPPS version 24 was used to carry out inferential statistics through the Pearson‘s Correlation analysis. The results of the descriptive statistics have been presented using frequency tables. The results of the analysis indicate ICT adoption had a positive and statistically significant influence on the financial performance of KTS (β=.0.287, P=<0.05). The descriptive statistics had an overall average mean and SD of 3.72 and 0.495 respectively. The finding indicated that ICT adoption had a significant influence on the financial performance of KTS. The study concluded that ICT adoption play a vital role in the financial performance of organizations