Determinants of Innovation Strategies Among Savings and Credit Co-operative Societies in Mombasa County, Kenya

Abstract

A crucial aspect in the success of firms is their capacity to innovate. This research intended to examine the topic of innovation, by examining the key determinants of innovation strategy in organization. Innovation as area of study has been covered a lot in in SACCOS in terms of innovation and performance, and types of innovation. The study focused on determinants of innovation strategy in the SACCOS industry which contributed in the literature of innovation study in SACCOS. The research objective was determinants of innovation Strategy among SACCOSs in Mombasa County. The research aim was to establish the Managerial, Organizational and environmental determinants factor of innovation SACCOs. The research was supported by literature review on theories of innovation search as Technology Push, institutional and Resource Base theory. The literature focused on Managerial, organizational and environmental determinants factors of innovation. The research used Questionnaire to collect the data. Results of the data were analyzed in descriptive and factor analysis where statistical package for social science 20 was used. The results of the factor analysis showed that Managerial Determinant had two factors that are. Top leader Factor where Board support for innovation and Manager Drive innovation, factor two was support by management investment project enhance innovation. Organization determinants of innovation had three factors that is organization structure and resource factor, organization process and recruitment of new employee‘s factor contribute innovation in the organization. Environmental determinant factors were grouped into industry level factors such as competition in the industry and customer requirement factor. The research concludes that; top leader influence, organization structure and resource, and industry competition factors as the main determinant of innovation strategies that influence innovation at managerial, organizational and environmental level respectively. The study recommends study on individual level of innovation search as Managerial determinants of innovation in organization like top leader character, age and size, intellectual factor, and human capital factor and further research on determinants of innovation strategies in the SACCO industry at National level, Coastal region, other counties, and other industry