EFFECT OF CAPACITY-BUILDING PRACTICES ON ORGANIZATIONAL PERFORMANCE OF KTDA MANAGED TEA FACTORIES IN NYAMIRA AND KISII
EFFECT OF CAPACITY-BUILDING PRACTICES ON ORGANIZATIONAL PERFORMANCE OF KTDA MANAGED TEA FACTORIES IN NYAMIRA AND KISII
Joash Mokamba Keraita - PhD candidate, School of Business and Economics, Kisii University, Kenya
Dr. Charles Momanyi - Senior Lecturer, School of Business and Economics, Kisii University, Kenya
Dr. Peter Kingoina - Senior Lecturer, School of Business and Economics, Kisii University, Kenya
ABSTRACT
The performance of Kenya Tea Development Agency (KTDA)-managed factories has increasingly come under scrutiny due to operational inefficiencies, workforce heterogeneity, and evolving market dynamics. These challenges call for strategic approaches that leverage cognitive diversity to drive innovation and sustainable competitiveness. This study's main objective was to establish the effect of capacity-building practices on organizational performance of KTDA tea factories. The study was anchored on Dynamic Capabilities Theory. The study was guided by the positivist research philosophy. A descriptive research design was employed, targeting 858 employees (managers, supervisors, and operational staff) across KTDA factories in Nyamira and Kisii Counties. Using Taro Yamane’s (1967) formula, a sample size of 390 respondents was selected. Primary data was collected using structured questionnaires. Content validity was assessed using the Content Validity Index, while construct validity was confirmed through pilot testing at Mogogosiek Tea Factory in Bomet County and through exploratory factor analysis. Reliability was established using Cronbach’s alpha coefficient. Data analysis was conducted by help of SPSS, applying descriptive statistics (means and standard deviations). Correlation analysis was conducted using Pearson’s product-moment coefficient. The study used simple linear regression to test the direct effects. The findings indicated that capacity building practices had a positive and significant relationship with organizational performance in KTDA-managed tea factories. The study concludes that capacity-building practices have a significant positive effect on organizational performance in tea factories. The study recommends that Organizations should invest more in capacity building practices, including continuous training, mentorship, job rotation, benchmarking, and knowledge-sharing systems. Such investments are likely to improve teamwork, innovation, operational efficiency, and product quality, especially when managers actively support learning transfer and staff development.
