DETERMINANTS OF EFFECTIVE IMPLEMENTATION OF LEARNING AGILITY STRATEGY IN KENYA ELECTRICITY GENERATING COMPANY (OLKARIA), KENYA

Abstract

Organizations operate in a constantly changing and unpredictable competitive environment. This necessitates a concentrated effort on sustaining and enhancing their competitive edge. Successful strategy execution plays a pivotal role in efficiently utilizing resources to attain long-term performance. KenGen is one of the companies that has implemented various strategies to maintain competitiveness. These include annual seminars and workshops focused on innovation, subscribing to industry best practices websites, and acquiring multiple software programs. Despite these efforts, the intended results have not been realized, and the barriers to effective strategy implementation remains unexplored. The present study delved into assessing the determinants of implementation of the learning agility strategy within KenGen. Specific objectives involved examining the effect of resource adequacy, information technology adoption, and the employees’ skills and competencies on the learning agility strategy implementation. The study was anchored on IT complementarities, dynamic capability, resource based view, and experiential learning theories. The study utilized a descriptive research design and targeted a population of 467 employees across senior, middle, and technical staff levels. Using a stratified sampling method, a sample of 171 individuals from diverse staff tiers was selected. Primary data was collected through a self-administered questionnaire, validated via a pilot study conducted at Geothermal Development Company Nakuru. Data analysis encompassed both descriptive and inferential statistical methodologies, using Statistical Packages for Social Sciences (SPSS) version 24. Descriptive findings ascertained that resource adequacy, information technology adoption, and employee skills significantly influence the implementation of learning agility at KenGen. Correlational analysis results indicated a significant relationship between resource sufficiency, IT adoption, employee skills, and the learning agility strategy’s implementation. Additionally, the results of regression analysis indicated R2 value of 0.553, implying that 55.3% of the variation in implementing the learning agility strategy was accounted for by resource adequacy, IT adoption, and employee skills. Further analysis indicated that resource sufficiency (β=0.189; p=0.034), IT adoption (β=0.168; p=0.001), and employee skills (β=0.324; p=0.000) significantly contributed to the results, leading to the rejection of the first, second, and third hypotheses. Consequently, the implementation of the learning agility strategy within KenGen relies significantly on resource adequacy, IT adoption, and employee skills. The study concludes that resource sufficiency aids in planning activities related to implementing the learning agility strategy, while IT adoption drives efficiency, effectiveness, and productivity at KenGen. A direct link was observed between IT adoption and the implementation of the learning agility strategy. Employee skills and competencies emerged as pivotal in determining the effectiveness of implementing the learning agility strategy, facilitating quick adaptation to new knowledge and situations. Drawing from the findings, the study recommends that KenGen establishes policies guiding the integration of learning agility into performance management, provides robust support for learning and development initiatives, and recognizes and rewards innovation. These measures are expected to enhance adaptability within the organization.