Effect of Information Technology on Employee Productivity in Selected Banks in Kenya

Abstract

This study sought to offer a better, clearly understood perspective on the effect of Information Technology (IT) on the employee productivity in the selected banks in Nairobi, Kenya. Descriptive research design was preferred as it permits gathering of data from the respondents in natural settings. The target population of interest was 540 employees in the three selected banks in Nairobi Kenya. A Probability sampling technique was employed using stratified random sampling to sample 150 employees to participate in the study. The data which was obtained by use of questionnaires was collated to determine the quality and robustness in analysis and then analyzed using SPSS. Regression analysis was employed in assessing the association existing between predictor variables and the employee productivity the dependent variable. The study established that IT has a positive as well as statistically significant influence on employee productivity of the banks. From these findings, it is evident that an increase in the application of IT results to increased employee productivity. The study recommends that the commercial banks in Kenya should increase their innovative capability due to the business dynamics. Therefore, in order to support and to uphold an enhanced capability, innovation ought to be among the main priority areas of top management level executives of the commercial banks in order to enhance employee productivity.