RP-Department of Econometrics and statistics

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Impact of GDP and Exchange Rates on Foreign Direct Investment in East African Community
(International Journal of Science and Research (IJSR), 2022) Mwalya, Wambua; Gitahi, Njuru Stephen
This study investigates the impact of macroeconomic factors, specifically Gross Domestic Product GDP and exchange rates, on Foreign Direct Investment FDI in the East African Community EAC. The research aims to determine the effect of these factors on FDI and to establish if there is an endogeneity of exchange rate and GDP with respect to FDI in the EAC. The study uses nonexperimental research design and various statistical methods to analyze published annual data from 2000 to 2021. The results reveal that GDP, infrastructural development, trade openness, and ease of doing business significantly influence FDI in the EAC, while exchange rate negatively affects FDI. The study also finds an endogeneity of exchange rate and GDP with respect to FDI in the EAC. These findings suggest that policymakers in the EAC need to prioritize improving economic growth and stabilizing exchange rates to attract more FDI. Further research is recommended in other regions for comparative analysis.
Enhancing Growth and Productivity Through Mobile Money Financial Technology Services: The Case of M-Pesa in Kenya
(Canadian Center of Science and Education, 2023-11-20) Wachira, Gladys; Njuguna, Angelica
Kenya’s financial industry has been revolutionized and progressing to digital transformation since M-pesa, a mobile money financial technology service, was introduced in 2007. An M-pesa account allows subscribers to send and receive payments as well as store money. As the digital system grew rapidly, a high percentage of Kenyan households gained access to this service, subsequently helping the unbanked and underbanked populations toward broader financial inclusion. As an efficient and highly adaptable payments system communicating across all markets in the economy, M-pesa has contributed to financial deepening, hence promoting economic development. This study analyzed the effects of mobile money financial technology services on Kenya’s output growth and productivity. The findings suggest evidence of a structural change in the growth of output and total factor productivity when M-Pesa was introduced. Mobile Money was established to have had a significant positive effect on enhancing output productivity and output growth.
Nexus between Participation in Agriculture and Youth Welfare in Bomet County, Kenya
(Journal of Economics, 2023-09) Kiprono, Kevin; Njaramba, Jennifer
Kenya’s youth unemployment rate stands at 39 percent, forming the largest group of the unemployed in the country. The cohort possesses innovative behavior, minimal risk aversion, less fear of failure, less conservativeness, greater physical strength and greater knowledge acquisition propensity. The agriculture sector offers a huge opportunity for the creation of employment for the youth in the country. Despite the vital role the agricultural sector plays in the economy of Kenya, youth are yet to fully exploit its potential. Like in other countries, literature posits that youth participation in agriculture is low and major determinants of participation in agriculture are; education level, access to land, access to finance, household size and access to market. Youth perceive agriculture as a career of last resort that has low monetary benefits. The study sought to establish participation in agriculture and its effects on the welfare of the youth in Bomet County. A sample of 399 youths were picked as a representative sample. The study employed frequencies and percentages in analyzing the descriptive statistics of the study. Logistic regression was adopted in estimating the model. The study undertook various diagnostic tests before estimating the models to ensure that the model is fit in determining the relationship of study variables. The predicted probabilities for youth to participate in agricultural activities was 32.0 percent. The results from the study also showed that participating in agriculture improved welfare majorly through increased income and food. Model results established that marital status, university education, land size, financial access, access to ICT infrastructure, market distance, household size and agricultural training significantly influenced welfare of youth practicing agriculture. The study recommends that the government creates financial credit specifically tailored for majority of the youth who do not have the required collateral. There is also a need for the government to build more agricultural training institutes so that youth can learn diverse agricultural productions.
Impact of Firm-Level Innovation on Productivity of manufacturing and Service firms in Sub-Saharan Africa
(Taylor \& Francis, 2023) Ndicu, Simon; Barasa, Laura; Ngui, Dianah
This study investigates the impact offirm-level research andinnovation on the productivity of Sub-Saharan Africanfirms in2014–2018. This study utilizes World Bank Enterprise Surveys on2,867 manufacturing and servicefirms conducted in SSA in 2018/19. Endogenous Switching Regression (ESR) was used as theprimary estimation methodology. The results indicated thatResearch and Development spending positively and significantlyimpacts manufacturingfirms’productivity. In addition, serviceinnovation has a positive and significant effect on theproductivity of servicefirms. In contrast, product innovation isinsignificant to manufacturingfirms’productivity. Lastly, processinnovation is significant only to the manufacturingfirms and notthe servicefirms. These results suggest that Sub-Saharan Africanfirms did not realize maximum innovation productivity gainsduring the study period. Nonetheless, the results imply that otherthan the conventional factor-driven production, Sub-SaharanAfricanfirms have the potential to drive their productivitythrough semi-endogenousfirm-level innovation
The Nexus between Poverty, Inequality and Growth, a Case Study of Cameroon and Kenya
(Oxford Academic, 2023) Epo, Boniface Ngah; Baye, Francis Menjo; Mwabu, Germano; Etyang, Martin N.; Gachanja, Paul M.
We conduct an in-depth analysis of the nexus between inequality of opportunity and inclusive growth in Cameroon and Kenya employing cross-sectional data collected over two time periods in each country. Empirical results show that changes in education, health and labour market endowments have large effects on household economic well-being, as proxied by total expenditures per adult equivalent. Employing the regression-based decomposition, we find that effort-based variables are associated with greater Gini inequality compared with circumstance-based variables—more so for Cameroon than Kenya. Among the effort-based variables, education in Cameroon and health in Kenya, are the main correlates of income inequality. The factual and counterfactual distribution analyses undertaken demonstrate that equalisation of human capital endowments is strongly inequality-reducing and further promotes pro-poor growth. Meanwhile, elimination of circumstance disparities in Cameroon reduces Gini inequality, enhances pro-poorness of the growth process, promotes shared-prosperity in urban areas and reduces inequality between the tails of the distribution of well-being. In Kenya, elimination of circumstance-based disparities is pro-poor improving, shared prosperity enhancing, but Gini inequality augmenting. In contrast to the Cameroonian case, equalisation of circumstances increases inequality between the tails of the distribution of well-being. The mechanisms behind these findings are probably the country-specific redistributive policies.
Energy efficiency in the Kenyan manufacturing sector
(Elsevier, 2021) Macharia, Kenneth Kigundu; Gathiaka, John Kamau; Ngui, Dianah
As one of the highest energy-consuming sectors, Kenya’s manufacturing sector share of electricity consumption in 2019 was 50.16%. That of fuel consumption was 12%, the second-highest after the transport sector. It is therefore important to analyze the sector’s energy efficiency and its determinants. A stochastic frontier analysis based on the assumption of a translog production function at the sub-sector level is estimated by employing a pooled model covering the years 2007, 2013 and 2018 in the analysis of electricity efficiency and 2007 and 2013 in the analysis of fuel and total energy efficiency. The sub-sectors of interest are: chemicals, pharmaceuticals and plastics, food, textile and garments and the other manufacturing sub-sector. The results show significant potential to enhance electricity, fuel and total energy efficiency across all the sub-sectors. The findings further reveal that exporting status, research and development, top managers’ experience and female ownership enhance energy efficiency. The effect of these variables is, however heterogeneous by sub-sector and energy form. Labor productivity negatively influences electricity, fuel and total energy efficiency while the effect of firm age and size is ambiguous. Finally, the study provides policy implications for the design of policies to improve energy efficiency.
Entrepreneurial Opportunity Discovery Dimensions and Growth of Nongovernmental Organizations in Kenya
(International Journal of Research in Business and Social Science, 2019-08-19) Tindika, Olive Kamene Ndeveni; Wanjau, Kenneth Lawrence; Kariuki, George Mbugua; Muchiri, Joseph
Non-Governmental Organizations (NGOs) play a critical role in addressing social ills like poverty, employment, and food insecurity; therefore, their growth prospects enhance their ability to address these social ills. Discovery of entrepreneurial opportunities amongst the agro-based NGOs has not got the desired attention, and it is the least researched area in social entrepreneurship. This study investigated the relationship between Entrepreneurial Opportunity Discovery Dimensions and Growth of Non-Governmental Organizations in Kenya. It employed correlation design and was anchored on the Kirznerian Entrepreneurship Theory. The target population was 135 agro-based NGOs in Kenya. A mixed-method approach was used, combined qualitative and quantitative techniques. Statistical Package for Social Sciences (SPSS) version 21 and Analysis of Moment Structures (AMOS graphic- 25) aided in the analysis. Structural Equation Modeling (SEM) using AMOS and Simple linear regression analysis were the primary analysis techniques used to evaluate the relationship between entrepreneurial opportunity discovery dimensions and the growth of NGOs. The results indicated that alertness0.372, p=0.033)and prior knowledge (0.163, p=0.031) have a significant favorable influence on growth, while social networks 0.047, p=0.713) showed an insignificant effect on the growth of NGOs. Investing in acquiring alert individuals and helping them gain relevant knowledge in the 21sttechnologies and emerging issues can lead to increased NGO ability to continue serving the community effectively and be engines of development for the general good of Kenya
Effects of Energy Efficiency on Firm Productivity in Kenya’s Manufacturing Sector
(Canadian Center of Science and Education, 2022-03-22) Macharia, Kenneth Kigundu; Ngui, Dianah; Gathiaka, John Kamau
There is concern about probable energy efficiency and economic performance trade-off, particularly in developing countries which often require more energy consumption to spur their economies. This study assesses the relation between energy efficiency and total factor productivity in Kenya’s manufacturing sector by applying a sample of firms in the World Bank Enterprise Survey. Energy intensity is used as a proxy for energy efficiency while total factor productivity is estimated using the Levinsohn-Petrin Algorithm. A dynamic panel data model is applied in the analysis of the energy efficiency and total factor productivity relationship which is at the sub-sector and firm size levels. The sub-sectors of concern are: chemicals, pharmaceuticals and plastics, food, textile and garments and paper and other manufacturing sub-sectors. Firm sizes of interest are: small, medium and large. The findings show heterogeneity in energy intensity across sub-sectors. Total factor productivity is also found to be heterogeneous across sub-sectors and firms of different sizes. The estimates show that in general, energy efficiency significantly promotes total factor productivity. Other factors that promote total factor productivity include capital intensity, age, size, top manager’s years of experience, foreign ownership and exporting status. However, the effect of these variables varies across the sub-sectors and firm sizes. The study findings suggest that policies to improve energy efficiency should be accorded additional emphasis jointly with improvements in total factor productivity.
Determinants of Choice of Mobile Money Transfer Service Providers in Nairobi County, Kenya
(International Journal of Development and Sustainability, 2018) Mbugua, John; Gachanja, Paul Mwangi; Muli, James Mulinge; Muthoga, Samuel Karagu
In the developing world telecommunication sector has developed widely. Such development includes Mobile Money Transfer Service (MMTS), transfer of money using Information and Communications Technology (ICT) framework and Mobile Network Operators (MNO). Policy makers and cell phone organizations have all touted the capability of cell phones to eradicate poverty. Mobile innovation has kept on reforming banking and payment frameworks in Kenya, with arrangement of utilizations that empowers assorted mobile money transfer services (MMTS). In Kenya there are several mobile money transfer service provider. Various studies done reveals that users choose different mobile money transfer service provider. The objective of this study was to determine the factors that determine the choice of mobile money transfer service provider. The study adopted Multinomial Logit regression. The marginal effects results revealed that variables; ease of access, cost of transaction and convenience were significant in all the three models estimated representing the three service providers with one dominant service provider being the reference category. However, variables age, number of mobile phones and gender were not significant all along in determining the choice of MMTS service provider across the different service providers. Based on key findings, this study recommends increase in the number of money agents outlets by each service provider with smaller market shares to ease access, aggressive advertising to raise awareness of the existence of specific providers and to take high consideration before making any transaction costs reviews as households were found to be highly responsive to transaction costs.
The Effect of Education on Business Skills Cognition: The Case of Indigenous Microscale Enterprise Owners in Kenya
(Taylor & Francis, 2003) Bosire, Joseph; Etyang, Martin
One of the expected utilitarian values of education is the development of competencies for effective business practice after school. This article presents findings of a study on the effect of education on Business Skills Cognition among indigenous microscale business owners in Kenya. Data were collected from 208 respondents using an interview schedule, observation schedule and checklist. Business Skills Cognition as the dependent quantitative variable was measured using five broad dimensions of business practice to yield a continuum of scores ranging from a minimum of 45 to a maximum of 265 points. Results from chi-square, and One Way Analysis of Variance showed that the association between education levels, and Business Skills Cognition was positive and significant. The article discusses the implication of these findings for education delivery and training for enterprise development in Kenya and any other society that is keen on the utilitarian values of education.
The Demand for Energy in the Kenyan Manufacturing Sector
(ICEED, 2009) Onuonga, Susan Moraa; Etyang, Martin; Mwabu, Germano
The manufacturing sector accounts for approximately 10 percent of Kenya's gross domestic product (GDP). The sector's output grew at an average rate of 8 percent per annum between 1970 and 2005. The growth of manufacturing was associated with the greater use of inputs, including all forms of energy. In the government's planning document, Kenya Vision 2030, the manufacturing sector is expected to continue contributing 10 percent annually to Kenya's GDP.1 The manufacturing sector mainly uses electricity and oil as sources of energy in its production processes, distribution, and transport services. The utilization of these two forms of energy, on average, has been rising, resulting in terms of energy and total
Restructured Citizen–Government Relationship in Kenya's 2010 Constitution and the Right of Hawkers to the City in Nairobi
(Council for the Development of Social Science Research in Africa, 2021) Kimani, Esther Wangui; Gachigua, Sammy Gakero; Kariuki, George Mbugua
This article interrogates how various actors in the Nairobi Central Business District (CBD) space have made sense of the 2010 Constitution’s expansive provisions on socio-political and economic rights to advance hawkers’ claims to the right to the city. Using Lefebvre’s and human rights notions of the ‘right to the city’, the study finds that the Constitution has immense potential to secure the hawkers’ right to the city. However, various challenges impede efforts towards its realisation. Firstly, the 2007 no-hawking-in-the-CBD bylaw exerts inordinate influence, in practice suppressing the Constitution’s aspirations. Secondly, the City authorities’ efforts to facilitate the hawkers’ right to the city remain ambivalent or dependent on the whims of the serving governor. Thirdly, initiatives by other actors remain elitist, topdown and opaque with only the superficial involvement of hawkers. On their part, hawkers’ initiatives to claim their right to the city have suffered from fragmented leadership and individualistic self-help micro-strategies. Furthermore, hawkers have underutilised judicial activism as an avenue for challenging the constitutionality of the city bylaws banning hawking in the CBD. This strategy would potentially have provided a discursive platform to make their claim to the city the moral-legal claim envisaged by the Constitution
Tea Production Response to Climate Change in Kenya: An Autoregressive Distributed Lag Approach.
(African Journal of Economic Review, 2022-01) Kariuki, George Mbugua; Njaramba, Jennifer; Ombuki, Charles
Tea sector plays a critical role in socio economic development in Kenya. It is a leading foreign exchange earner, a major source of livelihood for most rural communities and significantly contributes to poverty reduction. However, in the last three decades there has been , unstable trends in tea production that has been linked to climate driven stresses. Over the last two decades, tea producing areas in Kenya have been exposed to extreme climate events that include temperature rise, eractic rainfall and growing incidence of extreme weather events such as hail storms, drought and frost. These events are expected to have adverse effects on the largely rainfed tea production with potentially irreversible socio economic effects. This study sought to ascertain the effects of climate change on tea production in Kenya while controlling for economic incentives. The study adopted the Autoregressive distributed lag econometric modeling approach using data for the period between 1979 and 2019. The findings indicate that rainfall being experienced in the usual dry period of January and February, price of tea, and area under tea crop, have a positive and significant effect on tea production. However, rainfall variability, rainfall amount in extended long rain periods, maximum temperature, spending on agricultural development, real effective exchange rate, and price of fertilizer have a negative effect on tea production. Given the negative effects of climate change on tea production, there is a need for collaborative efforts towards developing definite, viable and sustainable adaptation options targeting tea farming.
Technical Efficiency Analysis of the Kenya Agro-Processing Industry
(The International Journal Of Business & Management, 2016-05) Ndicu, N. Simon; Ngui, D. Muchai; Gachanja, P. Mwangi
This study sought to provide empirical evidence on technical efficiency levels and trend of the Kenya Agro-processing industry. The major problem of the industry is that it has been under performing in terms of value addition and Kenya is known to be a net exporter of primary agricultural produce instead of high-quality value-added products. This study sought to determine the efficiency estimates of the industry and analyzed the trend in efficiency changes. Panel data covering three years (2011, 2012, and 2013) for 41 firms in this industry was collected from the Kenya National Bureau of Statistics (KNBS). Econometric production frontiers were estimated in each period. The findings showed that the industry had an overall efficiency score of 44 percent. The efficiency score was distributed as 53 percent, 60 percent and 57 percent for the food, beverage, and non-food subsectors. This study concluded that an average 56 percent technical potentiality was not achieved by the industry in the period 2011, 2012 and 2013. This study recommends that the policy export promotion of locally processed products of the Kenyan government should be complemented with an industrial policy that enhances the technical efficiency of local exporting firms to increase international competition of Kenyan manufacturers.
Government Expenditure and School Efficiency and Productivity Change: A Case of Public Primary Schools in Kenya
(Science Publishers, 2019-04-16) Mutuku, Mutinda; Korir, Julius; Ngui-Muchai, Dianah
Education management is a more labor intensive process previously measured by level of school enrolment and education quality with low or no concern on productivity and efficient resource utilization. Trends in increasing government allocation to education sector demonstrate a positive impact on enrolment, education quality and efficiency levels determined in the study. However, there was a gap on how government expenditures impacted school technical efficiency in public primary schools. To determine schools’ technical efficiency and relative determinants; this study used data from the Southern and Eastern Africa Consortium for Monitoring Educational Quality (SACMEQ) data which evaluated class six performance for 3 times periods (2000, 2004, 2012). In the analysis, Data Envelopment Analysis (DEA) and Two Stage Least Squares are applied. Results revealed that technical efficiency scores in 8 provinces were lower in 2004 compared to 1997 but increased in 2007 with productivity change exhibiting same trends. Input change for enrolment and school amenities affected overall output. Class-pupil and pupil–toilet ratio, distance from small town, dispensary, bookshop and secondary school as well as class type contributed negatively to efficiency scores. Class-book ratio, government expenditure, playfield availability and class numbers contributed positively to efficiency. The results showed that schools located near main road and library had positive relationship to level of efficiency. On policy, expenditures should be increased towards quality classes and more qualified teachers who are high determinants efficiency.
Maize Output Supply Response to Climate Change in Kenya: An Econometric Analysis
(European Scientific Institute, 2020) Kariuki, George Mbugua; Njaramba, Jennifer; Ombuki, Charles
Sufficient production of maize in Kenya is synonymous to food security and a source of income. Majority of the households in the country grow maize as the main staple food and forms the diet of over 85 percent of the population. Climate change potentially compromises maize production as 98 percent of agriculture is rainfed, threatening food security and rural livelihoods. This study sought to understand the effects of the changing temperature and rainfall patterns in Kenya on maize output. The study adopted Autoregressive distributed lag econometric modeling approach using data for the period between 1970 and 2014. The findings shows mixed response of maize output to rainfall and temperature changes depending on the period, with temperature variability having negative effects. In absence of climate change adaptation and mitigation, Kenya will become more food insecure. There is need to formulate all-inclusive policies paramount in building adaptation and mitigation mechanisms.
Institutions’ effect on households’ choice of saving options in Kenya
(The International Journal of Business & Management, 2018-04) Njenga, Githinji; Onuonga, Susan M.; Sichei, Moses Muse
The study uses a multinomial/conditional probit model to analyze the effect of institutions on households’ saving behavior in Kenya. Data from the Financial Access National surveys is used in the analysis. The key finding in the study is that institutional factors including access to a saving option, incentives in a saving option, information and saving expectations influence the choice of saving options in Kenya. This result suggests that institutional factors influence households’ saving behavior particularly their participation in the savings options. Hence, easing access of savings options, motivating households through incentives, making households more informed of their saving choices and opportunities, and offering financial literacy to households on saving goals and targets are all critical in enhancing households saving participation in Kenya.
An econometric analysis of effect of poverty on health status in Kenya
(Scientific & Academic Publishing, 2018) Musyoka, Peter K.; Omolo, Jacob; Korir, Julius; Nzai, Charles
One of the most important social-goal world-over is the achievement of good health. This is because, apart from been a fundamental right, it is also an invaluable asset and a prerequisite for improved productivity. However, the benefits associated with good health status may not be enjoyed in the presence of high poverty rates. Thus, poverty reduction is important in ensuring enjoyment of good health. In Kenya, despite the government’s effort to reduce poverty and improve health status of her citizens, poverty has remained high and health indicators have not been impressive either. This paper,therefore, sought to establish the effect of poverty on health status in Kenya. The study used Ordered Probit and the 2013 Kenya Household Expenditure and Utilization Survey dataset to achieve its objective. Estimation results indicate poverty reduction increased the probability of reporting own health as being very good and reduced that of reporting poor health,ceteris paribus. Increase in household size by one member increased the likelihood of reporting own health as being poor other factors held constant. A one year increase in age increased the probability of reporting poor health and reduced that of reporting very good health holding other factors constant. The probability of urban residents reporting own health as being poor was higher than their rural counterparts ceteris paribus. Being employed increased the probability of reporting own health as being very good compared to being unemployed other factors held constant. The study based on the findings concludes that poverty decreases the probability of reporting good health and, therefore, it is important for the government to formulate and implement policies that reduce or eradicate poverty.
Effect of Employees’ Leadership Skills on Project Performance in the Energy Sector in Kenya
(International Academic Journals, 2018) Musembi, Annastacia Katumbi Kavita; Guyo, Wario; Kyalo, Dorothy Ndunge; Mbuthia, Aflonia
The purpose for this study was to investigate the effect of employees’ soft skills on project performance in the Kenyan energy sector. The objective of the study was to establish the effect of employees’ leadership skills on project performance in the Kenyan public energy sector. The study employed both cross-sectional and correlation design. Purposive sampling technique was employed to select the projects that were studied. The population comprised all the project supervisors who led the project teams in the ongoing projects in the energy sector ending between January2016 to December 2018. In particular the study focused on the transmission projects, the generation projects, nuclear projects and the distribution projects. A total of 85 ongoing projects were selected. Out of these 9 were used in the pilot study. Therefore 76 projects were chosen for the study. A Questionnaire comprised of closed and open-ended research questions taking the format of five-point Likert-type interval scale was used to assemble primary data from project supervisors. The study established that employees’ leadership skills positively affect project performance in the energy sector in Kenya (R²=0.668, P=0.00). The study highlights the essential components of employees’ soft skills that would inform effective project performance. The study differed from other studies by empirically showing how comprehensive integration of leadership skills can affect project performance and also offers the possibility of contributing to change the way projects are planned, designed and implemented. On the basis of findings, the study recommends that both transactional and transformational leadership styles should be used in the management of projects with a greater emphasis on transformational leadership style. The study also suggests that further studies should be carried out in other sectors and countries and they should involve more soft skills.
Effect of Employees’ Soft Skills on Performance of Public Energy Sector Projects in Kenya
(International Academic Journals, 2018) Musembi, Annastacia Katumbi Kavita; Guyo, Wario; Kyalo, Dorothy Ndunge; Mbuthia, Aflonia
The purpose for this study was to establish the effect of employees’ soft skills on project performance in the sector. In line with these objectives, one hypothesis was developed and pragmatic paradigm adopted to support a mixed method research design. In particular the study employed both cross-sectional and correlation design. Purposive sampling technique was employed to select the projects that were studied. The population comprised all the project supervisors who led the project teams in the ongoing projects in the energy sector ending between January2016 to December 2018. In particular the study focused on the transmission projects, the generation projects, nuclear projects and the distribution projects. A total of 85 ongoing projects were selected. Out of these 9 were used in the pilot study. Therefore 76 projects were chosen for the study. A Questionnaire comprised of closed and open-ended research questions taking the format of five-point Likert-type interval scale was used to assemble primary data from project supervisors. The Statistical Package for Social Sciences (SPSS) program version 23 was utilized to conduct regression analysis, its results used to determine coefficients of multiple regression models, test hypotheses, evaluate reliability of estimated relationship and establish sample regression model. The investigation also found out that the combined employees soft skills positively affect project performance in the energy sector in Kenya (R²=0.633, P=0.00). The study highlights the essential components of employees’ soft skills that would inform effective project performance. The study differed from other studies by empirically showing how comprehensive integration of soft skills can affect project performance and also offers the possibility of contributing to change the way projects are planned, designed and implemented. On the basis of findings, the study recommends that both transactional and transformational leadership styles should be used in the management of projects with a greater emphasis on transformational leadership style. It also advocates for the establishment of clear communication plans with simple and collaborative channels for effective communication. In addition, there should be proper feedback systems, regular communication and free access to information. Communication channels should be chosen depending on the target audience. The research also proposes good stakeholder management in projects. It recommends stakeholder involvement at every stage of the project life cycle. Furthermore, it suggests prompt and adequate compensation of stakeholders, timely completion of projects, innovativeness and proper redress of stakeholder concerns. On the organizational environment, the study advises on the need for improvement on management practices, provision of the appropriate materials and equipment, provision of adequate and timely funding. It also proposes that the challenges in the physical environment should be dealt with besides providing adequate staff with the right skills. The study also suggests that further studies should be carried out in other sectors and countries and that they should involve more soft skills.

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