INNOVATION PROCESSES AND ORGANIZATIONAL PERFORMANCE IN KENYAN MANUFACTURING FIRMS: A CASE STUDY OF KAPA OIL REFINERIES LIMITED

This research study was aimed at investigating innovation processes and organizational performance in Kenyan manufacturing firms with reference to Kapa Oil Refineries Limited. The specific objectives of the study was to determine how; employee training, level of information technology, communication and organizational policy for innovation affect organizational performance in Kenyan manufacturing firms. This study was significant to the organization management and other researchers. The target population size of 300 employees was targeted from which sample sizes were drawn and use stratified random sampling where fifty percent of the entire target population was form the sample size of the study of which 150 were chosen. Data was collected from both primary and secondary sources whereby questionnaires and literature reviewing was done respectively so as to get detailed information. The questionnaires were presented for validity and reliability before distribution to the respondents. From the analysis it was indicated that employee training has an effect on organizational performance with 68% while 32% disagreed that it does not affect organizational performance. It was also indicated that the effects of communication on employee innovation where 79% agreed it affects while 21% disagreed that it does not affect organizational performance. The analysis indicates that the effects of information technology on employee innovation where 69% agreed it affects while 31% had the opinion that it does not affect organizational performance. Finally, the analaysis on the effects of organization policy showed that 79% agreed it affects while 21% indicated it does not affect the organization. It was recommended that to generate radical ideas in training people have to be taught to look beyond the conventional, that is, they have to be given the skills to innovate. It was recommended that communication is the life source of organizations, in the absence of communication; everything would grind to a halt. It was recommended that a successful business technology means developing and sustaining a symbiotic relationship between technology and business a relationship that benefits both the parties. Finally, it was recommended that the management should source daily the new regulations that are required on employee innovation