The Effect of Career Management Practices on Organizational Performance Among Logistics Firms in Mombasa County, Kenya

Abstract

Developing the skills and abilities of employees can have a profound effect on a company's performance and employees’ fulfilment with work. The current business environment is coupled with ever-changing governmental policies, rapid technological changes and increased customer demands which greatly affects logistics industry in Kenya. The logistics industry has also been greatly influenced by severe competitive business environment which has led to some of the firms experience a challenge in operational efficiency when it comes to maintaining a talent pool and this results to performance gaps when the experienced employees leave the organization as the ones left behind cannot fit the vacant position. The purpose of the study was to determine the effect of career management practices on organizational performance in Mombasa County. The specific objectives were to investigate the effect of career planning, career training, career counselling and succession planning on organizational performance in the context of logistics firms in Mombasa County. The study was grounded on the motivation-hygiene theory, the resource-based perspective theory, and the institutional theory. This study used cross-sectional descriptive survey design. The study targeted all 425 logistics firms in Mombasa County. To accurately represent 425 logistics firms in Mombasa County, the researcher used a sample size of 30% which was 128. The study collected primary data through structured questionnaires which were administered through drop-and-pick later method. Data collected was analysed quantitatively by use of SPSS version 25 as the data analysis tool. Descriptive analysis and multiple regression analysis formed the data analysis techniques adopted. From the results, it was established that there was a positive and significant association between the career management practices and organizational performance. The multiple regression findings indicated that career management practices account for 46.7 percent of the variation on organizational performance. Further, the results of the regression weights showed that career management practices construct of career planning, career training, career counselling and succession planning returned a positive and significant effect on organizational performance. The study recommends that the management of logistics firms should develop programs aimed at assisting employees to articulate career goals while enhancing their capabilities and potential by frequently planning for training workshops and seminars on emerging work-related issues in the market. These initiatives would result into well-versed employees and would translate to improved organizational performance.