Institutional Capabilities Influencing Hotel Performance In Kitale Municipality Trans Nzoia County, Kenya

Abstract

Many large and successful hotels in Trans Nzoia County are drastically declining in performance and so are at the verge of closing down. The study aimed at investigating institutional capabilities influencing hotel performance in Trans Nzoia County Kenya. The study was anchored on four objectives namely: To determine the influence of human resources, technological capabilities, strategic marketing and shared values on hotel performance in Kitale Municipality Trans Nzoia County. The study was significant to private and public hotel institution in realigning their overall performance in various aspects. Literature was reviewed basing on the study objectives. The project adopted a descriptive survey design. Target population of 240 employees constituted the respondents. A sample of 150 respondents was selected using appropriate techniques to represent the study population in data collection. Instrument reliability was determined using test retest technique. The questionnaires and interview schedules were used as primary tools for data collection. At the end of research process, questionnaires were checked for inaccuracies and incompleteness and cleaned accordingly. Data analyzed was entered using Statistical Package for Social Science (SPSS) where checks were conducted and inconsistent data was cleared. Descriptive tools of analysis such as frequency tables and percentages were used to show the result of the data. From the study findings, it was observed that human resource competency was low. The hotels do not have a staff training policy and that the hotels have employed competent staff though the ratio of incompetent staff is still high this was attributed to no low remuneration and job insecurity and high turnover. It came out very strongly that many hotels lacks teamwork across all departments. The study recommends that the hotels in Trans Nzoia develop a training policy framework which can guarantee capacity development leading to upward mobility in the service. It is also recommended that the hotels pay the workers competitively especially taking into account the labor laws on minimal wage pay for its workers.