ABSTRACT

The study sought to determine the level of us or the role Information Technology plays on Business Performance in LEEFA cooperative. To achieve the objectives of this study, a descriptive survey was used. Primary data was collected using structured questionnaires. The population of this study comprised of the entire LEEFA staff in Mile 16 which was 50. The questionnaire was administered manually for data collection, out of which 39 respondents responded to the study resulting in a response of 71% which was considered sufficient to represent the organization. The study findings revealed that majority of the respondents had various IT company devices like laptops and flashes at their disposal to enable them perform their duties. The findings also revealed that there is a positive relationship between the level of use of Information Technology and business performance.

1.2 Statement of the Problem               

Despite the widespread of adoption of IT, there is a gap in understanding what role IT plays on employee performance. The effective utilization of IT resources can potentially enhance employee productivity, efficiency, and job satisfaction, all of which plays a vital role on organizations competitiveness. Inadequate use of IT Infrastructure, and lack of provision of IT Innovation and security can negatively affect the performance of employees.

The concept of Performance has always been present in management literature covering various aspects such as efficiency, effectiveness, competitiveness amongst others. Mammouse highlighted that organizations performance represents the manner in which the company is organized to reach its objectives and the way it reaches them. Over the years, LEEFA has continued to grow as an organization and this involved change in its operations and processes. There was tremendous growth in the number of technological devices used by their staff and a need to find out if this was contributing positively to the business performance in terms of efficiency and effectiveness, hence the essence of this research. Anticipated changes in the business performance involves reduction of time taken for recording manually, as information that was previously hand recorded was now recorded in excel, minimization of mistakes, elimination of repetitive tasks resulting in higher productivity and efficiency as well as better quality services.

Information Technology researchers have empirically demonstrated that IT Investments enhances firms’ productivity, management capabilities and comparative advantage (Griffith, 1999). Studies in the developed world attested that given proper infrastructure, IT can be an enabler for socio economic development. Examples given from the developed world where significant IT Investments have had major impacts in increasing the United States gross product by 7.8%, UK by 8.0% and Australia by 8.4%.

Illustrations of studies done on Its impact on performance included; a study of an information services firm by Pully and Braunstein (1984), which found an association with increased economies of scope; another was by Diewert and Smith (1994), which provided an interesting case study for a large Canadian retail firm. According to their accounting framework, the distribution firm experienced an astounding 9.4% quarterly multi 

factor productivity growth, for six consecutive quarters starting at the second quarter of 1988.

1.3 Objectives of the study

1.3.1 Main Objective:

To evaluate the extent to which Information Technology(IT) Influences Business Performance.

1.3.2 Specific Objective:

To determine how IT security can affect Organizational Performance.

To assess the effects of IT innovation on Organizational Performance.

To evaluate how IT infrastructure influences the performance of an Organization.

1.4 Research Questions:

1.4.1 Main Question:

To what extent does Information Technology Influence Organizational Performance in LEEFA Cooperative?

1.4.2 Specific Questions:

How is Organizational Performance affected by IT Security in LEEFA Cooperative?

To what extent does IT Innovation Influence Organizational Performance in LEEFA Cooperative?

What are the implications of IT Infrastructure on Organizational Performance in LEEFA Cooperative?