scholarly journals Effect of Non-Monetary Programs on Financial Performance of Selected Firms in the Service Industry in Kenya.

2021 ◽  
Vol 6 (1) ◽  
pp. 56-70
Author(s):  
John Kiarie ◽  
Gabriel Kirori ◽  
David Wachira
Keyword(s):  
Financial Performance ◽  
Research Design ◽  
Service Industry ◽  
Target Population ◽  
Service Industries ◽  
Loyalty Programs ◽  
Survey Method ◽  
Financial Measures ◽  
Discounted Rewards ◽  
The Government

Introduction: Non-monetary rewards are non-financial measures that a merchant or a seller realigns with customer values to attract and retain more customers. This involves providing value to customers in other ways than discount and dollars rewards. Depending on the customer’s values, and on the industry, customers may find more value in non-monetary or discounted rewards. Purpose: The overall objective of the study was to investigate the effect of non-monetary programs in the financial performance of selected firms in the service industry in Kenya. Methodology: The research design adopted for the study was descriptive research design. The study explored major users of non-monetary programs in Kenya including: the telecommunication firms, supermarkets, 18 five-star hotels in Kenya, Kenya airport authority and fueling station in Kenya. The target population was three (3) telecommunication firms (Safaricom, Airtel and Telkom Kenya), 5 large supermarkets and 18 Five Star hotels in Nairobi.  Since the population of telecommunication firm is small the study used the census survey method and thus there was no sampling. The researcher used both descriptive and inferential statistics. Findings: The results show that non-monetary programs have a positive and significant relationship with financial performance. The study concludes that non-monetary programs have a positive and significant effect on financial performance of selected service industries in Kenya. Recommendation: Communication Authority of Kenya, Tourism Authority of Kenya and the ministry of trade should support the development and usage of monetary loyalty programs among service industries firms in Kenya. This can be done in friendly manner such as avoiding overly broad and strong regulation of the loyalty programs. In this regard, the government and the law makers should ensure that they involve a variety of loyalty programs stakeholders in the regulatory process, so that their vision and needs can be fairly balanced with government interests. The government should work closely with loyalty programs businesses, users, miners and advocates when creating and enforcing law.

scholarly journals Influence of Point-Based Program on Financial Performance of Selected Firms in the Service Industry in Kenya.

2021 ◽  
Vol 6 (1) ◽  
pp. 42-55
Author(s):  
John Kiarie ◽  
Gabriel Kirori ◽  
David Wachira
Keyword(s):  
Financial Performance ◽  
Service Industry ◽  
Descriptive Analysis ◽  
Secondary Data ◽  
Target Population ◽  
Service Industries ◽  
Survey Method ◽  
Policy Makers ◽  
Independent Variable ◽  
The Government

Introduction: Points based programs are programs offered by service industries to their customers when they make a purchase. In Points based system, frequent customers earn points, which translate into some type of reward: discount, gifts, or special customer treatment, customer purchases toward a certain amount of points to redeem their reward. Purpose: This study sought to establish the influence of point-based program on financial performance of selected firms in the service industry in Kenya. Methodology: The research design adopted descriptive method of the study. The target population was three (3) telecommunication firms (Safaricom, Airtel and Telkom Kenya), 5 supermarkets and 18 Five Star hotels. The study used census survey method for telecommunication firms and all the 18 five-star hotels in Nairobi offering loyalty points and thus there was no sampling. The study used secondary data extracted from financial statements. The researcher used both descriptive and inferential statistics. Descriptive analysis and trend analysis of the dependent and the independent variable were conducted. Findings: The results showed that point-based program has a positive and significant relationship with financial performance of selected supermarkets in Kenya. Recommendations: The study recommended that it’s imperative for the policy makers such as Communication Authority of Kenya, Tourism Authority of Kenya and the ministry of trade to support the development and usage of point based programs among supermarkets firms in Kenya. This can be done in friendly manner such as avoiding overly broad and strong regulation of the point based programs. In this regard, the government and the law makers should ensure that they involve a variety of point based programs stakeholders in the regulatory process, so that their vision and needs can be fairly balanced with government interests.

Impact of resource reconfiguration on total factor productivity of service industry

2020 ◽  
pp. 002072092094057
Author(s):  
Yanhui Hu ◽  
Mengmeng Wang
Keyword(s):  
Structural Changes ◽  
Optimal Allocation ◽  
Service Industry ◽  
Service Industries ◽  
Production Factor ◽  
Marginal Production ◽  
Monopoly Industry ◽  
The Government ◽  
Marginal Returns ◽  
Resource Reconfiguration

Using the Chenery-Syrquin model, this paper investigates the effect of resources reallocation on the TFP of China’s service industry from 2003 to 2016.The main findings are as follows: there are significant structural changes in the production factor configuration of various industries within the service industry. The growth of service industry is still driven mainly by factor input. The resource reconfiguration effect has not yet become the main force driving the growth of TFP of the service industry. However, the structural dividend has become more and more obvious after 2008. The marginal production of capital in most service industries has reached a stage of total reduction and rapid convergence, and there is a convergence of marginal returns of capital within the service industry. The marginal production of labor in most service industries is on the stage of decrease in growth rate and increase in the total amount. Although the marginal production of labor still exhibits divergent characteristics, it has begun to show signs of convergence at the end of the study period. There are phenomena of “mismatching resources”, and the state control or monopoly industry is more serious. The government should improve the property rights system, expand openness, and formulate supporting policies to different industries to promote the optimal allocation of resources.

scholarly journals Effect of Accounts Receivable Management on Financial Performance of Chartered Public Universities in Kenya

2021 ◽  
Vol 3 (1) ◽  
pp. 73-83
Author(s):  
George Okoth Owuor ◽  
Nickson Agusioma ◽  
Fredrick Wafula
Keyword(s):  
Financial Performance ◽  
Financial Management ◽  
Public Universities ◽  
Target Population ◽  
Substantial Effect ◽  
Annual Reports ◽  
Survey Method ◽  
Accounts Receivable ◽  
Cash Conversion Cycle ◽  
Specific Objective

Accounts receivable refer to the payments expected by an organization in the foreseeable future. Accounts receivable management plays an integral part in the financial performance of higher learning institutions. With several public universities experiencing no or delayed payments from the respective receivable accounts, such institutions have been characterized with financial constraints, struggling to meet their immediate obligations. From reduced government capitation, lack of the module two students (Self-Sponsored), and students' non-compliance on fee payment policy, public universities in Kenya continue to experience poor financial performance due to inefficiency of their accounts receivable management. This study sought to examine the effect of accounts receivable management on the financial performance of chartered public universities in Kenya. The general and specific objective was to determine the effect of accounts receivable management on the financial performance of chartered public universities in Kenya. The study used the Cash Conversion Cycle (CCC) theory. Descriptive and inferential research designs were applied to analyze data. The target population was all the 31 chartered public universities in Kenya, and as such, the census survey method was adopted to collect data. Secondary panel data was extracted from the respective institutions’ audited annual reports for 2017, 2018, and 2019. The SPSS Version 25 was applied to analyze descriptive and inferential statistics. The study found that accounts receivable management had an indirect and significant effect on the financial performance of chartered public universities in Kenya (p= 0.000, β= -0.875). The study concluded that accounts receivable management has a substantial effect on the financial performance of chartered public universities in Kenya. The study recommended that in line with the IFRS 5 and IAS 1, respective university managements should develop optimal debts management frameworks to guide their financial management operations to realize sustainable financial performance both in the short and long runs.

scholarly journals Effect of Budgeting on Financial Perfomance of Youth Groups Funded by Youth Entreprise Fund in Kapsaret Sub-County, Kenya

2020 ◽  
Vol 9 (3) ◽  
pp. 20-27
Author(s):  
Kevin Otieno Owembi ◽  
Keyword(s):  
Financial Performance ◽  
Research Design ◽  
Sampling Technique ◽  
Target Population ◽  
Test Method ◽  
Primary Data ◽  
P Value ◽  
Chi Square ◽  
Youth Groups ◽  
Ex Post

The study examined the effect of budgeting on financial performance of the Youth Groups at Kapsaret Sub-County. The study sought to answer the following questions; extent of budgeting by the youth groups at Kapsaret sub-county, factors affecting budgeting implementation and financial performance by the Youth Groups at Kapsaret Sub-county and budgeting effects on financial performance by the youth groups at Kapsaret Sub-county. The research design adopted for this study was Ex post-facto research design, the target population was the 82 youth groups being funded by the various financial institutions and YEDF in Kapsaret Sub-County Stratified sampling technique targeting youth groups managers and treasurers of the youth groups was used, 5 stratums were drawn from Kapsaret sub-county and data collected through simple random sampling technique. questionnaires administered to the target population was the source of primary data, Validity of questionnaires was tested using a pilot study on 6 Youth Groups out of the sampled groups and reliability was tested using the test-re-test method, descriptive statistic was used to analyze quantitative data presented through frequency tables, percentages, mean scores and standard deviation, chi-square was used to test the hypothesis. The study finding on the effect of standardized budgeting on financial performance using chi-square with the computed X2 value of 0.610 and the P-Value of 0.435,the study established out that there was no evidence of a relationship between standardized budgeting and financial performance yet on the effect of budgeting on financial performance computed X2 value was16.970 and the P-Value was 0.000, the study established out that there was evidence of a relationship between budgeting and financial performance. The study recommends that there should be effective budget implementation within the various youth groups particularly those funded by the YEDF, more funding should be provided to the youth groups funded by YEDF, more training and seminars to be offered to the youth groups on preparation and implementation of budgets and there should be constant monitoring and evaluation of the youth groups budgets and budgeting system by fund managers over time within the youth groups. Keywords: Budgeting, Financial Perfomance, Youth Entreprise.

scholarly journals Factors Responsible for Cohabitation among Youth as Perceived by Students of the University of Ilorin, Nigeria

2021 ◽  
Vol 13 (2) ◽  
pp. 44-63
Author(s):  
Olushola A. Iyekolo
Keyword(s):  
Target Population ◽  
Survey Method ◽  
University Management ◽  
Significant Difference ◽  
The Common ◽  
The Government ◽  
The University ◽  
Descriptive Survey ◽  
Reading Study ◽  
Structured Questionnaire

Cohabitation is an intimate sexual union between two unmarried partners who share the same living quarter for a sustained period of time. This study investigated factors responsible for cohabitation among youths as perceived by students of University of Ilorin. The research design that was adopted for the study is the descriptive survey method. The population for this study comprises all of the 44,566 undergraduates at the University of Ilorin, while the target population for the study comprises 24,935 students of the Faculties of Arts; a total of two hundred (200) students constitutes the sample of this study. The instrument used for collection of the relevant data for this study was a 20-item structured questionnaire entitled “Factors Responsible for Cohabitation among Youths”. The instrument was validated with a reliability coefficient of 0.85 after a test re-test using PPMC at 0.05 alpha level. The findings of this study revealed that: reducing the occurrence of loneliness, improving the academic performance of the cohabitants, it is morally acceptable, it encourages peer reading/study, and it goes against the spiritual principle of purity, among others, are the common factors responsible for cohabitation. Also, there is a significant difference in the factors responsible for cohabitation among youths as perceived by the students of the University of Ilorin on the basis of their faculty, gender, and level. There is no significant difference in the factors responsible for cohabitation among youths as perceived by the students of the University of Ilorin on the basis of their age bracket. Based on the findings of this study, it was recommended that there should be a regular campaign regarding the benefits and dangers associated with students’ cohabitation, the Government should support the university management in providing sufficient accommodations for students, students should switch to cohabitation when they don’t have any other option and they should not abuse it, and parents should make sure that they are monitoring the activities of their children to avoid the danger of cohabitation.

scholarly journals Competitive Intelligence Practices And Performance Of Firms Listed On The Nairobi Securities Exchange, Kenya

2016 ◽  
Vol 12 (19) ◽  
pp. 107
Author(s):  
Paul Waithaka
Keyword(s):  
Financial Performance ◽  
Secondary Data ◽  
Target Population ◽  
Business Environment ◽  
Competitive Intelligence ◽  
Annual Reports ◽  
Primary Data ◽  
Financial Measures ◽  
Listed Firms ◽  
And Performance

Performance is critical for every listed firm, as it enhances shareholder’s value and capability to generate earnings from invested capital. Some of the firms listed on the Nairobi Securities Exchange (NSE) have been performing poorly as indicated by the rising number of firms issuing profit warnings. The competitive business environment is continuously working to drive down the rate of return on invested capital. To counter these competitive forces, firms have resorted to gathering information at their disposal and converting it into competitive intelligence through analysis and human judgment. This study sought to determine the effect of competitive intelligence practices on performance of firms listed on the NSE. Firm performance was evaluated using both financial and non-financial measures. The non-financial measures used in the study were goal achievement and customer satisfaction, while Return on Assets (ROA) and Return on Equity (ROE) were the financial measures used. The target population was the sixty firms listed on the Nairobi securities exchange. Primary data was collected using a semi-structured questionnaire; while secondary data was obtained from the firm’s published annual reports available at the NSE using a document review guide. Quantitative data was analyzed using both descriptive and inferential statistics. The findings indicate that competitive intelligence practices have a positive and a statistically significant effect on the non-financial performance of firms listed on the Nairobi Securities Exchange. The intelligence practices were found to have a positive but statistically insignificant effect on the financial performance of listed firms. Managers of listed firms should raise the utilization level of competitive intelligence practices to enable the firms to make accurate predictions on changes in the business environment, compete better in the marketplace against rivals, improve on innovation and automation, track competitors’ activities and improve the competitiveness of their firms by identifying threats and opportunities before they become obvious. The study suggests that future researches should focus on extending knowledge on competitive intelligence practices to non-listed corporate sector firms to support the generalization of the findings to all sectors in the economy.

scholarly journals Effect of Earnings Ability on Financial Performance of Savings and Credit Societies in Kenya

2017 ◽  
Vol 2 (5) ◽  
pp. 56
Author(s):  
Prof. Willy Muturi ◽  
Jane J. Barus ◽  
Dr. Patrick Kibati ◽  
Dr. Joel Koima
Keyword(s):  
Financial Performance ◽  
Reliability And Validity ◽  
Target Population ◽  
Legal Framework ◽  
Unique Contribution ◽  
Linear Regression Models ◽  
Secondary Sources ◽  
The Social ◽  
Institutional Capital ◽  
The Government

Purpose: The purpose of this study was to establish the effect of earnings ability on financial performance of savings and credit societies in Kenya. Methodology: The study employed an explanatory research design. The target population was 83 registered deposit taking SACCO’s in Kenya that have been in operation for the last five years. The sample size for the study was all 83 SACCOs that have remained in existence since 2011-2015. Census methodology was used in the study.  Both primary and secondary sources of data were employed.  Multiple linear regression models were used to analyze the data using statistical package for the social sciences (SPSS) and STATA. A pilot study was conducted to measure the research instruments reliability and validity. Descriptive and inferential analysis was conducted to analyze the data. The data was presented using tables and graphs. Results: Based on the findings the study concluded that earnings ability influenced the financial performance of savings and credit societies in Kenya. This can be explained by the regression results which showed that the influence was positive and also showed the magnitude by which earnings ability influenced the financial performance of savings and credit societies. The univariate regression results showed that earnings ability influenced the financial performance of savings and credit societies by 6.438units. Unique contribution to theory, practice and policy: The study recommended for continuous review of credit policies, establishment of irrecoverable loan provision policies, development of sound staff recruitment policies and the use of appropriate financing mix. Further, the Government should review legal framework to ensure that institutional capital is used to grow SACCO’s’ wealth.

scholarly journals Influence of VAT Incentives on Financial Performance of Manufacturing Companies in Kenya

2021 ◽  
Vol 7 (3) ◽  
pp. 1-6
Author(s):  
Gideon Mwangi ◽  
Robert Gitau ◽  
James Kung’u
Keyword(s):  
Financial Performance ◽  
Null Hypothesis ◽  
Sampling Technique ◽  
Target Population ◽  
Manufacturing Firms ◽  
Manufacturing Companies ◽  
The Government ◽  
Level Of Significance ◽  
Descriptive Survey

The purpose of the study was to determine the influence of VAT incentives on financial performance of manufacturing firms in Kenya. The study focused on all manufacturing companies registered under Kenya Association of Manufacturers. The null hypothesis of the study was that there is no statistically significance association between VAT incentives and financial performance of manufacturing companies in Kenya. Descriptive survey research design was adopted where a sample of 211 respondents was selected from a target population of 447 manufacturing firms using stratified random sampling technique. The study collected data for a period covering 10 years, which was from 2009 to 2018. The targeted respondents were the accountants and officers in senior management. The response rate on the questionnaires issued was 73.5%. Both descriptive and inferential data analysis was carried out. The data failed in the test of normality and so the study applied ordinal regression analysis for the determination of the model. The findings of the study revealed that VAT incentives had statistically significant influence on financial performance of manufacturing companies in Kenya; hence, null hypothesis was rejected at 0.05 level of significance. The study concluded that influence of VAT incentives leads to improvement in financial performance of manufacturing firms in Kenya. Hence, VAT incentives are key to financial performance of manufacturing companies. The study therefore recommended that the management of manufacturing companies should utilize VAT incentives that are offered by the government, and the government should review the VAT policy so as to widen the gap on VAT incentives.

scholarly journals Information and Communication Technology Service Industry Development in Indonesia

2017 ◽  
Vol 5 (3) ◽  
pp. 50
Author(s):  
Kautsarina Kautsarina ◽  
Onny Rafizan ◽  
Ahmad Budi Setiawan ◽  
Ashwin Sasongko Sastrosubroto
Keyword(s):  
Information And Communication Technology ◽  
Communication Technology ◽  
Service Industry ◽  
Service Industries ◽  
Telecommunication Sector ◽  
Technology Service ◽  
Information And Communication ◽  
Ict Service ◽  
Ict Infrastructure ◽  
The Government

With the Indonesian Commitment to fulfill the Millennium Development goals which are mainly aimed to improve quality of life, followed by similar commitments to empower Information and Communication Technology (ICT) to achieve those goals, ICT developments in Indonesia has been growing very fast.Basically, the developments of ICT Infrastructure are based on several basic methods. Firstly, the ICT backbones were developed with the support of the Government, then liberalization of the ICT Service Industries was caried out so that private companies are encouraged to develop ICT business, followed by subsidized ICT services for selected areas where ICT services cannot be carried out feasibly. In addition, with the growing democracy in Indonesia, application and content are also liberalized, resulting fast growth of application and content provider, and this has pushed also the development of ICT Infrastructures by private companies.This paper will review the development of ICT service Industries in Indonesia, the history of how the industries was developed, both the policy as well as the development itself. This is followed by the description of the current situation. The future plan of ICT development will be also included. A more in depth explanation is given for the Telecommunication sector. 

Developing the framework of sustainable service supply chain balanced scorecard (SSSC BSC)

2019 ◽  
Vol 68 (1) ◽  
pp. 148-170 ◽  
Author(s):  
Fahimeh Aliakbari Nouri ◽  
Mohsen Shafiei Nikabadi ◽  
Laya Olfat
Keyword(s):  
Balanced Scorecard ◽  
Service Sector ◽  
Service Industry ◽  
Service Industries ◽  
Three Dimensions ◽  
Content Type ◽  
Financial Measures ◽  
The Balanced Scorecard ◽  
Fuzzy Delphi ◽  
Social And Environmental Performance

PurposeThe purpose of this paper is to provide a framework to assess the sustainability of service supply chains (SC) based on the concept of the balanced scorecard and three dimensions of sustainability, namely economic, social, and environmental performance.Design/methodology/approachAfter reviewing the literature and interviewing the experts, the preliminary list of identified general criteria is categorized in the four perspectives. Then, to select the most important factors in hospital SC, 15 experts evaluated the identified criteria by questionnaires of Fuzzy Delphi Method. Then, interpretative structural modeling was applied to identify the interrelations between the perspectives and between the criteria.FindingsThe framework includes four perspectives, financial; service SC operations; stakeholders’ satisfaction in the direction of sustainability; and learning, growth, and innovation, to improve the SC for sustainability in the service industry. According to the results, the identified criteria are interrelated.Practical implicationsThe paper provides an important reference to assess the sustainability of service SCs. It will be beneficial in strategic and operational decision-making in service industries.Originality/valueReviewing the literature shows that the concept of sustainability of service SCs is still immature. The paper is a preliminary effort to identify the general criteria of sustainability and their interrelations in the service sector. The presented general framework links the financial measures with the environmental and social measures. It helps to maintain the balance between the sustainability goals for the service SC managers. It can be modified and applied in different service sectors.

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