Browsing by Author "Oyugi, Godfrey Ochola"

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    Digitalization and Total Factor Productivity of Selected Firms Listed at the Nairobi Securities Exchange in Kenya
    (African Journal ofEme rgingIssues(AJOEI), 2025-04) Oyugi, Godfrey Ochola; Kimunio, Isaac
    Purpose of the Study:The study’s main objective was to determine the effect of digitalizationon the Total Factor Productivity of Nairobi Security Exchange listed firms. Problem Statement:Despite significant firm investment in advance digital technology, the overall contribution of digitalization to the performance and total factor productivityof firms listed in the Nairobi Securities Exchange has been inconsistent.Method/methodology:To achieve the objective the study adopted the Growth Accounting Equation Approach and Generalized Method of Moments to analyze the effect of digitalization on Total Factor Productivity of selected listed firms in NSEResults of the study:The study reveals that digitalization as a key driver of productivity among NSE-listed firms. Conclusion and policy recommendation:The study concludes digitalization is a critical driver of Total Factor Productivity among firms listed in NSE and forward-oriented tech policies should be prioritized to build a tech savvy working environment
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    Digitalization and Total Factor Productivity of Selected Firms Listed at the Nairobi Securities Exchange in Kenya Godfrey
    (Kenyatta University, 2025-05) Oyugi, Godfrey Ochola
    As digital transformation reshapes global economies, firms listed in Nairobi Securities Exchange face both opportunities and challenges in leveraging advanced technologies to enhance productivity. While Kenya has gained significant recognition as a leading technology hub in Africa, with notable firm investments in digital technology, the correlation between firm digital tech investments and productivity remains inconsistent. The main objective of the study was to analyze the effect of digitalization on the total factor productivity of NSE-listed firms. The study derived a framework from Cobb-Douglas Production Theory by adopting Growth Accounting Equation Approach and Generalized Method of Moments to analyze the effect of digitalization on Total Factor Productivity NSE-listed firms. The study used annual panel data from seven top listed firms in the Nairobi Securities Exchange from 2018 to 2023. The data was sourced from annual financial reports of the selected NSE-listed firms, and historical data from the Nairobi Securities Exchange. The results showed that digitalization has a positive effect on the total factor productivity of NSE-listed firms. The results suggest continuous investment in digitalization is sustainable in maintaining productivity of NSE-listed firms. This underscores the importance of digital transformation as a strategic tool for enhancing firm-level efficiency. To complement digital investments, firms and policymakers should invest in up-to-date workforce upskilling programs to bridge the digital literacy gapAs digital transformation reshapes global economies, firms listed in Nairobi Securities Exchange face both opportunities and challenges in leveraging advanced technologies to enhance productivity. While Kenya has gained significant recognition as a leading technology hub in Africa, with notable firm investments in digital technology, the correlation between firm digital tech investments and productivity remains inconsistent. The main objective of the study was to analyze the effect of digitalization on the total factor productivity of NSE-listed firms. The study derived a framework from Cobb-Douglas Production Theory by adopting Growth Accounting Equation Approach and Generalized Method of Moments to analyze the effect of digitalization on Total Factor Productivity NSE-listed firms. The study used annual panel data from seven top listed firms in the Nairobi Securities Exchange from 2018 to 2023. The data was sourced from annual financial reports of the selected NSE-listed firms, and historical data from the Nairobi Securities Exchange. The results showed that digitalization has a positive effect on the total factor productivity of NSE-listed firms. The results suggest continuous investment in digitalization is sustainable in maintaining productivity of NSE-listed firms. This underscores the importance of digital transformation as a strategic tool for enhancing firm-level efficiency. To complement digital investments, firms and policymakers should invest in up-to-date workforce upskilling programs to bridge the digital literacy gap