Factors Influencing Performance Of Matatu Saccos, A Case Of Forward Travellers Sacco Eastlands Route, Nairobi City

Abstract

Performance and sustainability of projects undertaken depend so much on several factors. These factors vary from one project to another. This study aimed at establishing factors influencing the performance of Matatu Sacco: a case of Forward Travellers SACCO Eastlands route, Nairobi County. It is the aim of the Kenyan government today to see that cooperatives spread out in all the sectors. These cooperatives (SACCOs) focuses more on the welfare of the members, encouraging savings habits, enhanced credits at the low-interest level, education on investment programmes, and again it also becomes easier for the government to reach the people through the SACCOs compared to individuals, in the attempt to empower them. The study sort to investigate the following objectives; to examine how training of employees/owners influence the performance of Forward Travellers SACCO in Nairobi County ;to determine how competitors influence the performance of Forward Travellers SACCO in Nairobi County; to assess how management skills influence the performance of Forward Travellers SACCO in Nairobi County; to determine the extent to which Information Communication and Technology (ICT) is influencing the performance of Forward Travellers SACCO in Nairobi County. The study adopted a descriptive survey design since descriptive research supports the development of precise measurements and reporting of characteristics of some population of phenomena. The target population of the study was 754 drawn from the employees of the SACCO and owners. A sample size of 250 participants were randomly sampled giving an equal chance for both employees and owners to be selected. There was the use of valid and reliable instruments for data collection (questionnaires). Quantitative methods for questionnaires, using descriptive statistic and tabulation techniques were used to analyze the data; aided by the statistical package for social sciences (SPSS). Descriptive statistics in form of frequencies and percentages was used to analyse quantitative data. The analysed data was presented in form of tables. The study revealed inclusion of effective training improves employee’s performance and enlightens the owners. It also revealed, at 65.02%, that there was stiff competition which contributed to improved services and fair fare pricing. Integration of ICT, at 123 (51.16%), was attributed to SACCO efficiency, quicker management information processing and improved managerial decision making. The study demonstrates that for good performance, growth and development of any given SACCO; management skills are always the core driving cog. The study concluded continued improved training, healthy competition, good management skills and integration of ICT in SACCO operations leads to improved and effective performance. The study recommends continued improvement on training, hiring of experienced management employees, and adoption of modern ICT solutions to realise continued growth and development of the SACCO. The study further suggest that a similar study to be carried out in other towns and counties in Kenya in order to draw an informed decision for policy making as well as for comparison reason.