Computer Applications in Business Management Survey of Private Firms Nairobi,kenya

Abstract

This study has been conducted to find out the extent to which computers are applied in Business Management practices in private se9tor firms in Nairobi, Kenya.

The literature review discusses the utilisation of computer- based information systems in management. The management task has been looked at from the decision-making point of view. The specific areas of and scope for decision making using computer-based information systems at the managerial hierarchical levels and functional areas has been the main focus of the literature review. In essence, the literature review develops the case and justification for the utilisation of computer-based information systems in the Management process.

A questionnaire was employed as the major data collection instrument, and was administered to 60 companies, out of which 42 responded positively. Computer usage was prevalent in all the firms sampled, and these varied in ownership from local to foreign, to joint venture companies. A majority of the companies acquired their computer facilities over the last 10 years, and own in-house computer systems.

(ii)

- -

The findings of the study revealed that the widest area of

computer application

middle and lower

in business management was at

management levels for tactical

the

and

operational control purposes. Computer applications strategic control purposes were encouraging although figures were low.

for the

In the functional field, computer usage was dominated by Finance and Accounting applications, with Marketing, Production and Personnel Management-lagging behind.

The m~jor

attributed

reasons for undertaking computerisation were

to the accuracy, speed and efficieny in

information processing as a result of innovations in

computer technology_ More important

management-related

reasons for computerisation

included

the need to free

management for more analytical tasks, and provide a system for easy and speedy decision making.

Inspite of a few limitations, the findings of this study provide an interesting synopsis of the management areas in which computer-based information systems are actually applied. The~e findings can provide an indication to managers of where exactly they are falling short of utilising their computer facilities optimally.

(iii)

The findings also act as indicators of the actual potential demand for computer products, and producers computer products would ,be wise to keep pace with studies.

and of such

Recommendations for increasing computer usage in business management have been discussed, and include an impetus in user-training and promotibnal efforts. Suggestions for further in-depth research have also been made.