Application of information and communication technology as a strategic tool in insurance companies in Kenya

Abstract

This research project examines application of Information and Communication Technology as a strategic tool in insurance companies in Kenya. Strategic Management is a broad activity that encompasses developing strategy, putting strategy into action and modifying strategy or its implementation to ensure that desired results are achieved. The insurance industry in Kenya is currently experiencing fast growth which has brought about unprecedented completion in the industry.

The objective of the study was to establish the extent to which insurance companies in Kenya use information as a strategic tool in carrying out their business and establish the extent to which ICT is used as a strategic tool. The design of this study was a cross-sectional survey. The population of this study was forty two senior managers in insurance companies. Data was collected using semi-structured questionnaires and was analyzed using descriptive statistics. The data was coded and entered into a spreadsheet and analyzed using Statistical Package and Social Sciences and excel packages.

From the findings, the study found that most of the companies operating in the industry were locally owned and their adoption and use of information and communication technology would be for reasons other than inter-company networking with other subsidiaries and offices as would be for companies which are subsidiaries of multinational companies. The researcher highly recommends studies on other dimensions of ICT be carried out among insurance companies, for instance, investigating the challenges of implementing the ICT strategy among insurance companies.