The main goal of every microfinance institutions is to maximize profits in order to maintain their financial stability, improve growth and sustainability. However, high levels of loan delinquency create credit volatility which constrains the ability or capacity to offer credit to borrowers because microfinance institutions have to compensate loan delinquency losses. Microfinance institutions lend money to lower tier people in the society who are prone to credit risk due to their nature o...
In keeping with the advancement in technology, savings and credit cooperative societies have in the recent past undergone major technological leaps in the provision of banking services by adoption of mobile banking technology. This model of banking was particularly useful in providing efficiency and accessibility of banking services without the barriers of location and time. Many studies have been done to assess the effect of mobile banking on financial inclusion but not many studies hav...
The promulgation of a new constitution of Kenyan on 31st August 2010 effectively created two levels of government; the national and county governments. Provision of health services is one of the functions that were devolved to the county government amid resistance from the health care workers’ unions. Devolution of health functions was aimed at improving access to more equitable and high quality health services to the Kenyan citizens. The health sector, therefore, embarked on review o...
This study analyses the relationship between corporate social responsibility and brand equity of Universities in Kenya. Many corporations seem to engage in socially responsible behavior as part of their normal business operations. The socially responsible activities include positive actions towards economic, social and environmental concerns of the society in which the firm operates. Corporate social responsibility (CSR) integrates these concerns into the corporate strategy and operation...
This study aimedtoexamine theeffect of corporate governance on financial performance of Energy sector state corporations in Kenya. Specifically, the study sought to examine the role of internal controls, stakeholder management, organizational culture and leadership on the financial performance of Energy sector state corporations in Kenya. Since the study sought to obtain its data from senior management team in charge of the various activities and departments in energy sector state corpor...
Induction training is absolutely vital for new starters in an organization. Good induction training ensures new recruits are settled down quickly, comfortably and happily to a productive role. Poorinduction training for new recruits may increase the risk of the problems like poor performance, low job satisfaction, absenteeism and resignations or dismissals. However, the aspect of induction training and its effect on employee retention among university staff in Kenya has not received consi...
Internal credit rating (ICR) was used in evaluating the level of risk associated with a loan applicant and assign probabilities that an applicant with a given credit score would be good or bad. It could also be used as abasis for loan approval, pricing, monitoring and capital allocation. Lending difficulties may arise due to Internal Credit Rating (ICR) systems failure to consider and analyze potential borrower’s information before loans are approved and released to them, making loan m...
Outsourcing has become an important business strategy because it enables businesses to reduce and control operating costs, to improve company focus, to gain access to world class capability and to free internal resources for other purposes. Outsourcing has been used as part of the new public management agenda with the aim of increasing efficiency and decreasing costs. Consequently, its effects on productivity remains a factor to be considered by managment in decision making. The purpose ...
The rationale of this study was to examine the factors that influence the adoption of Information Technology outsourcing by insurance companies in Kenya, with specific interest in four key factors; Establish how Financial drivers, Focus on core competencies, Technological advancements and Government policy influence adoption of Information Technology outsourcing by the insurance companies in Kenya. The study was guided by a theory propagated by Glassman which supported these factors as ke...
Audit reports by the office of the controller of budget for three consecutive years from 2013 – 2015 revealed gross financial mismanagement and a fall in revenue collection even after County Governments have put in place the Integrated Financial Management Systems (IFMIS) and e-pay systems in accordance with the requirements of the Public Finance Management Act 2012. It has been established that over 50% of county revenueswere collected using the manual receipt system. As a result, ther...
Commercial banking sector in Kenya is one of the most important facilitators of economic growth, driven by competition and government regulations which have led to innovations of various channels of bank service delivery; agency banking and mobile banking with the help of support infrastructure; credit reference bureaus and deposit protection as regulated by Central Bank of Kenya. Banks have got the capacity of reaching a higher number of unbanked customers to mobilize savings and thus m...
Firms across all industries continue to face the most disruptive market conditions in decades. Increased competition has only accelerated and the battle for market share is now more aggressive in the telecommunication industry. The objective of the study was to determine how competitive advantage strategies applied by firms in the telecommunication industry in Kenya influences the market share in the industry. Market share is one of the indicators used to measure the performance of a fir...
Over the past five years, development in Non-Bank Financial Institutions (NBFIs) has assumed high preposition in Kenya. The trend could be attributed to: their renewed provision of products and services that banks either cannot or may not offer, also their potential to deliver other savings, investments and risk management tools. However, a number of empirical studies paid attention to the commercial banks development on economic growth and minimal studies had been carried out on the eff...
The purpose of this research study was to investigate the effect of M-Pesa utilization on the performance of Small and Medium Scale Enterprises (SMEs) in Nakuru town. M Pesa is an SMS‐based money transfer system that allows individuals to deposit, withdraw and send funds using their cell phones. The introduction of M-Pesa has revolutionized the money transfer sector in Kenya and has been adopted by the SMEs in their businesses. SMEs form a dynamic force for sustained economic growth and...
Firms have always sought ways to gain a competitive advantage over their competitors; one avenue that firms have pursued to improve their competitive position in this new business environment is to increase the role of outsourcing in their operations, which has been found to provide a competitive advantage and heightened performance to these firms. The study therefore sought to establish the relationship between BPO and financial performance. The study drew objectives to test the nature ...