Factors Influencing The Performance Of Selected “Matatu” Sacco Societies Operating In Kitui County Kenya

Abstract

Success and sustainability of projects undertaken depends so much on several factors. These factors vary from one project to another. This study aimed at establishing the factors which influence the performance of Matatu Saccos, with reference to Matatu Saccos in Kitui 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 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 has adopted descriptive survey design since descriptive research support the development of precise measurements and reporting of characteristics of some population of phenomena. The study found that government policies on Matatu Sacco operations, the management skills and practices on the operations of Matatu Saccos, information communication technology, training of the Sacco owners and employees on the operations of Matatu Saccos and the spirit of competition among the Matatu Saccos all have greater contribution on the performance of Matatu saccos in Kitui county. The study asserts that, good favorable government policies would easily move the Saccos to a higher indifference curve of operation. Good management skills, promotes proper allocation of resources, monitoring and transparency. Regular training of employees helps in maintaining standards and effectiveness in operations and therefore focusing on customer satisfaction. Healthy competition has been found to be a motivating factor and help in keeping high standards of operations for possible comparative advantage in the market. Information Communication Technology is an emerging factor in Matatu operations and helps in attaining good levels of efficiency, good control, enhanced security and continued customer satisfaction. A few randomly selected Matatu Saccos serving in Kitui County were studied. There was 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 statistical package for social sciences (SPSS).