Call for Paper - September 2022 Edition
IJCA solicits original research papers for the September 2022 Edition. Last date of manuscript submission is August 22, 2022. Read More

Using Technology, Organization and Environment Framework to find out the Technology Adoption Determinants among SACCOs in Nairobi County, Kenya

International Journal of Computer Applications
Foundation of Computer Science (FCS), NY, USA
Year of Publication: 2018
Glad M. Nkonge, Andrew M. Kahonge

Glad M Nkonge and Andrew M Kahonge. Using Technology, Organization and Environment Framework to find out the Technology Adoption Determinants among SACCOs in Nairobi County, Kenya. International Journal of Computer Applications 181(31):31-38, December 2018. BibTeX

	author = {Glad M. Nkonge and Andrew M. Kahonge},
	title = {Using Technology, Organization and Environment Framework to find out the Technology Adoption Determinants among SACCOs in Nairobi County, Kenya},
	journal = {International Journal of Computer Applications},
	issue_date = {December 2018},
	volume = {181},
	number = {31},
	month = {Dec},
	year = {2018},
	issn = {0975-8887},
	pages = {31-38},
	numpages = {8},
	url = {},
	doi = {10.5120/ijca2018918194},
	publisher = {Foundation of Computer Science (FCS), NY, USA},
	address = {New York, USA}


Electronic banking is replacing traditional banking due to technological innovations. In Kenya, SACCOs have not adopted technology at a high rate as compared to commercial banks, leading to a technological lag. The study aimed to establish how technology, organization and environment affect technology adoption in SACCOs.

The study was a descriptive survey, conducting a census in all the 39 SACCOs of Nairobi County. Data collection was through questionnaires and analyzed using descriptive and inferential statistics. Findings, presented in tables and charts, were that technology enables customers transact business with ease, reduces operation costs, leads to growth of organizations’ revenue and market share, and organization’s size influences technology. Top management does not fully support technological innovation decision making. SACCOs do not allocate resource slack on technological acquisitions. There are no effective laws to fight cybercrime. Tech-savvy SACCOs are more favorable to customers.

The study recommends that SACCOs commit themselves to adopting technology to improve their business activities, increase revenue and market share. Top management should fully support technology adoption processes, and implement them according to the organization’s strategy. SACCOs should allocate slack resources to technology acquisitions. The government should come up with effective laws to battle cybercrime.


  1. Salehi, M., & Alipour, M. (2010). E-banking in emerging economy: empirical evidence of Iran. International Journal of Economics and Finance, 2(1), 201.
  2. Communications Authority of Kenya, (2016). Retrieved from [Accessed: 22nd March 2017]
  3. UNCTAD (2015). Information Economy Report: Unlocking the potential of E-Commerce for Developing Countries. United Nation Publication, New York and Geneva. Sales No.E.15.11.D.1
  4. Sacco societies Regulatory Authority (2015) Retrieved from: [Accessed: 17th February 2017]
  5. Wunderlich, P., Grobler, A., Zimmermann, N. and Vennix, J. M. (2014). Managerial influence onthe diffusion of innovations within intra-organizational networks. System Dynamics Review (Wiley), 30(3), pp. 161-185.
  6. Gouws, T., and Oudtshoorn, G. P. (2011). Correlation between brand longevity and the diffusionof innovations theory. Journal of Public Affairs (14723891), 11(4), pp. 236-242.
  7. Okiro, K., & Ndungu, J. (2013). The impact of mobile and internet banking on performance of financial institutions in Kenya. European Scientific Journal, ESJ, 9(13).
  8. Momanyi, M. P., Osoro K., Nyagol, M., & Odoyo, F., (2016) Influence Of Information Technology In Enhancement of Sustainable Competitive Advantage Of Saccos In Kisii County IOSR Journal Of Humanities And Social Science (IOSR-JHSS) Volume 21, Issue 3, Ver. I PP 103-117
  9. Alwan, H. A., & Al-Zubi, A. I. (2016). Determinants of Internet Banking Adoption among Customers of Commercial Banks: An Empirical Study in the Jordanian Banking Sector. International Journal of Business and Management, 11(3), 95.
  10. Sharma, M. A., Joseph, J., & Kumar, D. S. (2017). The Impact of Mobile Banking on Financial Performance of Banks in India.
  11. Akotch, W. F., & Munyoki, J. M. (2016). Determinants of growth in the banking industry in Kenya. African Journal of Marketing Management, 8(1), 1-11.
  12. Kurnia, S., Choudrie, J., Mahbubur, R. M., & Alzougool, B. (2015). E-commerce technology adoption: A Malaysian grocery SME retail sector study. Journal of Business Research, 68(9), 1906-1918.
  13. Njogu, N. (2015). Factors Influencing the Adoption of Technology and Innovation as a Strategic Competitive Tool in a Kenyan Shoe Retail Firm (Doctoral dissertation, United States International University-Africa).
  14. Tornatzky, L. G., Fleischer, M., & Chakrabarti, A. K. (1990). Processes of technological innovation. Lexington Books.
  15. Bland, J. M., & Altman, D. G. (1997). Statistics notes: Cronbach's alpha. Bmj, 314(7080), 572.
  16. Mugenda, O. M., &Mugenda, A.G. (2003). Research Methods: Quantitative and Qualitative Approaches (2nd ed.). Nairobi: Acts.
  17. Righa, S. S. (2014). Information technology and competitive advantage in internet service providers in Kenya. Unpublished MBA Research Project, School of Business, University of Nairobi, Kenya.


SACCOs, Technology, Adoption, ICT