Influence of Organization Learning on Innovation Output in Manufacturing Firms in Kenya

Knowledge entrepreneurship is increasingly becoming important in driving innovation forhigh levels of competitiveness. The purpose of this study was to investigate the relation-ship between Organization Learning (OL) and Innovation Output (IO) for improved per-formance in manufacturingfirms in Kenya. The theoretical underpinnings on this study arethe Schumpeter’s (1934) innovation theory of and the Gleick (1987) complexity theory. Themethodology used was mixed method research because it provides a more holistic un-derstanding of a thematic area. The research design that was used is cross-sectional designbecause it allows for making observations on different characteristics that exist within agroup at a particular time. The target population was manufacturingfirms across thecountry. Multi-stage sampling strategy was used to sample 303 respondents from 101firms. Primary and secondary data were used to collect both qualitative and quantitativedata. The questionnaire, interview schedule and a checklist of key informants were used tocollect data. Content validity was used to ascertain the credibility of the research pro-cedure and internal consistency technique was used to test for reliability. Correlation andlinear regression were used to determine the relationship between OL and IO. Work dis-ruptions were avoided by making prior arrangements and appointments. Thefindingsindicate that OL has a significant influence on IO. It is recommended that lifelong learning,management support and risk tolerance should be encouraged to improve creativity. Highcreativity is important in raising the capacity to integrate internal and external knowledgefor greater levels of IO. Further research should be carried out tofind how customers andsuppliers information can be utilized to enriched OL.