DETERMINANTS OF PERFOMANCE OF INTEGRATED FINANCIAL MANAGEMENT INFORMATION SYSTEM IN PUBLIC SECTOR IN KENYA: A CASE OF NATIONAL TREASURY

ALEX WAINAINA NJIHIA

Abstract


The Kenya Government has implemented the Integrated Financial Management Information System (IFMIS) since the year 2005 as its sole accounting system. The reason why the Kenya Government adopted the use of this system was as a result of the numerous benefits envisaged from its effective use. However, for now over five years of implementation, this system has still not been able to fully provide the expected benefits of integrated financial planning, implementation and control of public expenditure. The general objective of this study was to examine the determinants of performance of Integrated Financial Management Information System in public sector in Kenya with a case of National treasury. The study was built upon the Resource based view theory, E –Technology Perspective Theory, Last planner Theory and Weick’s model Theory of Organizing. The specific objectives of this study were to examine; ICT infrastructure; human resource capacity; implementation strategy and government policy influence effective implementation of Integrated Financial Management Information System in public sector. The study adopted descriptive survey for the target population of 800 government officers at National treasury. A sample size of 80 respondents and a stratified sampling technique was used and data collected through the use of questionnaires as a research instrument. On the other hand, secondary data was obtained from published documents such as journals, periodicals, magazines and reports to supplement the primary data. A pilot study was conducted to pretest the validity and reliability of instruments for data collection. The quantitative method of data analysis was employed to analyze data with help of SPSS version 21 and Excel. The study adopted correlation and regression analysis at 5% level of significance to determine strength and direction of the relationship of the variables under study. The analysis showed that ICT Infrastructure had the strongest positive (Pearson correlation coefficient =.801; p-value= .012< .05) influence on Performance of IFMIS in the organization. In addition, human resource capacity, implementation strategy and government policy are positively correlated to Performance of IFMIS in the organization (Pearson correlation coefficient =.777, .783 and .663; p- value= .031<.05; .036<.05; .045< .05) respectively. The study recommends for adequate technical staff in planning and implementation, proper leadership for the project team, enough computers and software for the staff and  proper systems approach of planning, scheduling of IFMIS. Additionally, study recommends for similar studies to be undertaken in other ministries for generalization of the findings of this study.

Key Words: Performance, Integrated Financial Management Information Systems

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