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CORPORATE CULTURE, INNOVATION PRACTICE, REGULATORY FRAMEWORK AND PERFORMANCE OF COMMERCIAL STATE CORPORATIONS IN KENYA
(2025-10) EDDAH CHEPKURUI CHERUIYOT
In Kenya, “commercial state corporations play a pivotal role in the country’s socio-economic development, with the government leveraging them to transform Kenya into a newly industrializing, middle-income country providing a high quality of life to all its citizens by 2030 in a clean and secure environment.” Even before the COVID-19 pandemic, these corporations were experiencing declining overall performance, evident in lower profitability indicators such as return on equity, return on assets, and net profit margins. This study aimed to examine, “the effects of corporate culture, innovation practice, and regulatory framework on the performance
of commercial state corporations in Kenya.” “The research was guided by four specific objectives: to assess the relationship between corporate culture and performance; to investigate the mediating role of innovation practice in the relationship between corporate culture and performance; to evaluate the moderating effect of the regulatory framework on the relationship between corporate culture and performance; and to determine the moderated mediation effect of regulatory framework and innovation practice on the relationship between corporate culture and performance.” The study was grounded in the Denison cultural model and supported by three theoretical frameworks; Diffusion of Innovation Theory, the New Public Management theory and Shareholders Theory. The study adopted positivism research philosophy. The target population for this study were all thirty two (32) commercial state corporations in Kenya as of 30th June 2023 (State Corporations Advisory Committee, 2023) which was the latest data published state corporations advisory committee then. The study adopted a census to meets its objectives. The unit of observation in this study was one hundred and ninety two (192) respondents where primary data was sourced through a questionnaire from six respondents who are top managers at the Kenya commercial state corporations. Quantitative data was analyzed using descriptive and inferential statistics which included correlation and multiple regressions. The study revealed that corporate culture significantly influenced the performance of commercial state corporations in Kenya, accounting for 45% of the variation in performance outcomes (R-squared = 0.450). Additionally, the combined effect of corporate culture and innovation practices was found to explain 65.2% of the variance in performance (R = 0.807, R-squared = 0.652). Innovation practices were identified as a partial mediator in the relationship between corporate culture and performance, as evidenced by a reduction in the coefficient from ß = 0.699 to ß =0.298 when innovation practices were introduced. Furthermore, the regulatory framework was shown to moderate this relationship, with an R-squared change of 0.020 and a significant F-change statistic (10.897, p = 0.001), enhancing the impact of corporate culture on performance. The study also confirmed a significant moderated mediation effect, where both the regulatory framework and innovation practices jointly influenced the relationship between corporate culture and organizational performance. The study recommends that commercial state corporations in Kenya incorporate corporate culture development into their strategic planning and performance management processes, emphasizing shared values, employee engagement, and alignment with organizational goals. Leveraging technology is also advised to help align corporate culture with regulatory requirements, promoting innovation, accountability, and enhanced performance. Additionally, policymakers are urged to design regulatory frameworks that balance oversight with flexibility, fostering innovation while maintaining accountability by reducing unnecessary bureaucratic constraints.
INNOVATIVE LEADERSHIP, ORGANISATIONAL CULTURE, REGULATORY FRAMEWORK AND PERFORMANCE OF PENTECOSTAL CHURCHES IN KENYA O
(2025-09) THOMAS NDETTO NDUNG
The centrality of the Church in influencing society cannot be overemphasised. In spite of the crucial role the church plays in positively influencing the Kenyan society, Kenyan Pentecostal churches face performance challenges. Church projects have stalled due to ineffectiveness, inefficient resource use and inadequate economic empowerment. For instance, full Gospel Churches of Kenya do not provide sufficient cash for church activities. Inefficiency of most Kenyan Pentecostal churches has further been associated with slow membership growth. In order to increase performance, church managers constantly strive to improve their leadership styles, whilst assuming that their followers accept them. The current study examined the relationships between innovative leadership, organisational culture, regulatory framework, and performance of Pentecostal churches in Kenya. Specifically, the study sought to determine the relationship between innovative leadership and performance of Pentecostal, the mediating effect of organisational culture, the moderating effect of regulatory framework, and the moderation-
mediator effect on relationship between innovative leadership and performance of Pentecostal churches in Kenya. The underpinning theories were; Path-Goal Theory, Balanced Score Card Framework, Schein’s Theory of Organisational Culture and Institutional theory. This study adopted positivism philosophy and a cross-sectional survey design. The target population comprised 4,279 Pentecostal churches in Kenya and a sample size of 331 Pentecostal churches. The study used structured questionnaires to collect primary data. The quantitative approach included descriptive and inferential analysis, with SPSS version 28 adopted as the tool for analysis.
Study findings revealed a significant positive relationship between innovative leadership and the performance of Pentecostal churches in Kenya. Organisational culture was found to partially mediate this relationship, while the regulatory framework significantly moderated the relationship between innovative leadership and performance. The significant positive interaction term between organisational culture and regulatory framework (B = 0.196, p = 0.048) confirmed a moderated mediation effect on innovative leadership and performance of Pentecostal churches in Kenya. The study recommends that religious governing bodies develop policies promoting innovative leadership practices and supportive organisational cultures. It recommends that church leaders actively implement innovative leadership approaches and engage proactively with regulatory requirements while refining regulatory frameworks to balance oversight with flexibility for innovation. Future research should explore other leadership styles in various religious contexts, investigate specific cultural dimensions, and examine the long-term effects of innovative leadership on church sustainability and community impact.
INNOVATIVE LEADERSHIP PRACTICES, DIGITAL TRANSFORMATION, REGULATORY FRAMEWORK AND PERFORMANCE OF COMMERCIAL DOMESTIC AIRLINES IN KENYA
(2025-10) ONESMUS KIPNG’ETICH
The aviation industry plays a critical role in connecting markets, enabling trade, and supporting economic growth, yet domestic commercial airlines in Kenya continue to face persistent challenges such as inefficient regulations, high operational costs, and slow adoption of digital technologies. This study examined the influence of innovative leadership on the performance of domestic commercial airlines in Kenya, focusing on the mediating effect of digital transformation and the moderating influence of the regulatory framework. The research was grounded in the Resource-Based View, Technological Determinism, Institutional Theory, and Open Systems Theory. A positivist philosophy and cross-sectional survey design were adopted, targeting 170 senior managers from all 17 licensed domestic airlines. Data were collected through structured questionnaires and analyzed using descriptive statistics, correlation analysis, and multiple regression techniques, including Baron and Kenny’s mediation approach and Hayes’ moderated mediation model. The findings revealed a strong and statistically significant direct effect of innovative leadership practices on organizational performance (R² =0.640, F = 250.1, p < 0.001), implying that strategic visioning, adaptability, and employee empowerment are essential in driving satisfactory performance among domestic airlines. Regression analysis showed that innovative leadership was a strong predictor of performance (t = 15.818, p < 0.001). Digital transformation was significantly associated with innovative leadership (t = 12.589, p < 0.001) and showed a direct effect on performance (t = 9.555, p <0.001). However, its mediating effect weakened and became statistically insignificant (t =1.304, p = 0.194) when innovative leadership was controlled, indicating partial mediation. The regulatory framework significantly moderated the relationship between innovative leadership and organizational performance, with the interaction term being statistically significant (t =2.239, p = 0.027). The explanatory power of the model improved from R² = 0.640 to R² =0.726, with a significant R² change (p < 0.05), implying that supportive regulation strengthens the effect of innovative leadership on performance. The moderated mediation model, however, was not supported, as the interaction between regulatory framework and digital transformation was statistically insignificant (t = 1.495, p = 0.135)The study concludes that innovative leadership practices remain the most critical driver of performance among Kenya’s domestic airlines, while digital transformation provides complementary benefits and regulatory frameworks strengthen leadership’s effect when well-aligned with organizational strategies. The study recommends that airline leaders prioritize adaptive and inclusive leadership, invest
in advanced aviation technologies, and advocate for regulatory reforms that create an enabling environment for innovation-driven leadership to enhance overall organizational performance.
INTEGRATIVE LEADERSHIP STYLE, STRATEGY IMPLEMENTATION, GOVERNMENT REGULATION, AND ORGANISATIONAL PERFORMANCE OF COMMERCIAL STATE CORPORATIONS IN KENYA”
(2025-10) MUNGATANA DANSON BUYA
State businesses are essential to Kenya's Vision 2030“which seeks industrialisation and enhanced quality of life. Recent statistics from the Kenya National Treasury reveal subpar performance, characterised by substantial cumulative losses in the 2021/2022 financial year. This research aimed to examine the relationship between integrative leadership style, strategy implementation, government restrictions, and organisational performance within these corporations. The goals included evaluating direct linkages, investigating the mediating impacts of strategy implementation, identifying the moderating effects of government regulations, and analysing the
cumulative moderated mediation effect. Utilising the Full Range Leadership Model and additional theories, the research implemented a cross-sectional survey design, gathering data from top management teams of all 52 commercial state corporations in Kenya via purposive sampling, while adhering rigorously to ethical standards during data analysis. The quantitative data was analysed using SPSS version 28. The study results revealed that The Pearson correlation coefficient between integrative leadership style and organisational performance was R = 0.730, with a significance level (p-value) of 0.000. The R Square value was 0.533, indicating that about 53.3% of the variation in organisational performance is attributable to the integrative leadership style. Strategy implementation was identified as a partial mediator in the relationship between integrative leadership style and organisation performance, suggesting that integrative leadership style affects performance both directly and indirectly via successful strategy implementation. The regression analysis showed a strong relationship (R = 0.748), with 55.9% of organisational performance explained by integrative leadership and government regulations. The study confirmed a significant moderated mediation effect, demonstrating that the impact of integrative leadership on organizational performance, as mediated by strategy implementation, is further influenced by the level of government regulations in commercial state corporations in Kenya. The study recommends that commercial state corporations strategically enhance their strategy implementation processes and ensure compliance with government regulations to improve performance. Key actions include refining resource allocation, clearly communicating strategic goals, and fostering an organizational culture that supports effective implementation. Additionally, it emphasizes the importance of aligning internal ethical guidelines with external regulatory standards to create a cohesive framework that promotes both compliance and performance enhancement. By fostering a culture of compliance and ethical conduct in line with legal requirements, leaders can amplify the positive impact of their practices. Proactive engagement with regulatory bodies helps leaders stay informed about policy changes and integrates them into strategic decision-making. This responsiveness not only improves
performance but also strengthens accountability and legitimacy. Ultimately, aligning leadership approaches with government regulations enables sustained success and better navigation of complex operational landscapes.”
PUBLIC FINANCIAL MANAGEMENT PRACTICES, GOVERNANCE FRAMEWORK, TECHNOLOGICAL INFRASTRUCTURE AND OWN SOURCE REVENUE BY SELECTED COUNTY GOVERNMENTS IN KENYA
(2025-11) BIWOTT NICHOLAS KIRWA
In Kenya, only 11 out of 47 counties can finance over 10% of their budgets, indicating a heavy reliance on National Government transfers for nearly 90% of their funding. “This study aimed to examine the impact of public finance management practices, governance frameworks, and technological infrastructure on the own-source revenue collection by county governments. “The study focused on the effects of public finance management practices on revenue collection, the mediating role of governance frameworks, and the moderating influence of technology. The New Public Management theory served as the anchor theory. Utilizing a positivism research paradigm and a descriptive design, the study analyzed the 11 best-performing counties for revenue generation in the 2022/2023 financial year. A sample of 284 county officials was selected through stratified random sampling, with data collected via structured questionnaires. The findings revealed a strong positive correlation between public finance management practices and increased own-source revenue, emphasizing the role of
automated revenue collection in enhancing efficiency and transparency. The governance framework was found to mediate this relationship, while technological advancements improved compliance and revenue generation capabilities. Statistical analysis indicated a moderate positive correlation between public finance management practices and own-source revenue, with project planning accounting for 30.6% of revenue variations. The study
confirmed a direct relationship between public finance management practices and revenue generation, underscoring the importance of robust public financial management. Recommendations include developing advanced automated revenue collection systems, such as mobile payment platforms and Integrated Financial Management Systems, to enhance accuracy and transparency. Additionally, comprehensive training programs for financial
management officials and strengthening governance frameworks through clear legal regulations are essential for optimizing revenue generation in Kenyan counties.””
STRATEGIC LEADERSHIP, DIGITAL TRANSFORMATION, GOVERNMENT REGULATIONS AND INSURANCE PENETRATION BY LICENSED INSURANCE COMPANIES IN KENYA
(2025-10) ABDULLAHI MOHAMED ABDI
The insurance system is essential for economic stability and growth by offering financial protection, yet Kenya's low insurance penetration rate of 2.3% as of FY 2022 poses significant challenges for individuals, businesses, and the broader economy. The main objective of this study was to, “examine the effects of strategic leadership, digital transformation, and government regulations on insurance penetration, specifically focusing on the relationships between these factors and their moderated and mediated interactions.” The study will be guided by four theories: Strategic Leadership Theory, Resource-Based Theory, New Public Management (NPM), and
Diffusion of Innovations (DOI), with a primary focus on Strategic Leadership Theory. Utilizing a positivist research philosophy and a cross-sectional survey design, the research will target 58 licensed insurance companies in Kenya, employing a census sampling method to survey 275 participants, and will analyse data through descriptive and inferential statistics following a pilot study to refine the questionnaire. The analysis indicates that approximately 40.8% of the variance in insurance penetration is attributed to strategic leadership, highlighting its moderate explanatory power while suggesting that other factors also influence penetration. Additionally, the combined effect of strategic leadership and digital transformation accounts for approximately 43.2% of the variance, and digital transformation significantly mediates the relationship between strategic leadership and insurance penetration in Kenya. Change statistics confirmed that, “government regulations significantly moderate the relationship between strategic leadership and insurance penetration (R² change = 0.531, p<0.001), and the significant moderated mediation index (0.020, CI [0.010, 0.090]) indicating that regulations also influence the indirect effect of strategic leadership on insurance penetration via digital transformation.” Practitioners in the Kenyan insurance sector should prioritize the continuous development of their organizational missions and visions as part of their strategic leadership initiatives, while also investing in comprehensive leadership development programs to cultivate effective leadership skills. Additionally, organizations must address concerns related to data privacy and cybersecurity to enhance the use of digital tools, adopt innovative technologies for digital transformation, and policymakers should focus on creating an inclusive consultation process and improving the clarity of regulations regarding digital insurance products and services.
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