AN INVESTIGATION OF DIGITAL CAPABILITIES AND PERFORMANCE OF TELECOMMUNICATION COMPANIES IN KENYA

Abstract

This study established the influence of digital capabilities on the performance of telecommunication companies in Kenya. Specifically, the study sought to determine the influence of digital infrastructure, digital proficiency, information quality and data integrity on the performance of telecommunication companies in Kenya. The study utilized descriptive research design and targeted 137 technical personnel from ICT departments in the three major telecommunication companies in Kenya. Using a sampling formula, a sample size of 102 respondents was utilized. The study revealed that digital infrastructure (β=0.227; p=0.011) and digital proficiency (β=0.407; p=0.000) significantly influences Performance of Telecommunication Companies. Moreover, it was established that there exists statistically significant influence of information quality (β=0.189; p=0.016) and data integrity (β=0.173; p=0.021) on Performance of Telecommunication Companies. The study concludes that digital infrastructure is a vital component that allows businesses to execute significant innovations to support their goals. Furthermore, the availability of proper software is critical to the efficient operation of a company's digital operations. Furthermore, personnel in organizations must have the requisite skills and capabilities to exploit digital technologies. Data quality allows organizations to make more informed decisions and increase operational efficiency. Firms must invest in data quality if digital technology is to be useful. The study recommends that organizations ought to deploy digital infrastructure that satisfies the firms requirement in terms of hardware, software and network coverage for them to be competitive. Secondly, telecommunication companies need to prioritize digital competencies of their staff if they need to boost and maintain organizational efficiency. Thirdly, firms ought to invest heavily on data quality through implementation of current Digital Infrastructure. This promotes effective data transmission which is accurate and reliable. Finally, it can be recommended that companies must invest in quality of data if digital technology is to be useful. Keywords: Data Integrity, Digital Capabilities, Digital Infrastructure, Digital Proficiency, Firm Performance, Information Quality, Telecommunication Industry CITATION : Njoroge, G. W., & Kyalo, J. (2023). An investigation of digital capabilities and performance of telecommunication companies in Kenya. The Strategic Journal of Business & Change Management, 10 (4), 829 – 850. http://dx.doi.org/10.61426/sjbcm.v10i4.2789