Organizational Practices And Revenue Collection In Garissa County, Kenya

ABSTRACT

Garissa County is among the county governments in Kenya experiencing dismal performance in revenue collection as depicted by the small percentage of their own source revenue and failure to achieve its revenue targets. This had affected the county’s operations in terms of meeting its financial obligations to service providers and contractors as well as service delivery. This therefore called for a study to assess the issues affecting the performance in revenue collection of these counties whereby the study assessed how a number of practices within the counties, particularly Garissa County influenced revenue collection in the county. The purpose of the study was to assess the effect of organizational practices on revenue collection in Garissa County, Kenya. The study sought to determine the effect of personnel training and motivation, tax payer education, revenue monitoring, as well as technology and automation on revenue collection in Garissa County. The study was guided by the optimal tax theory, the agency theory, the budget theory and the technology acceptance theory. The study adopted a descriptive research design. The study targeted all the 237 senior and middle level management employees in the various county ministries and departments. The study used stratified sampling method in selecting the sample. The study used both primary and secondary data. Primary data was gathered using semi-structured questionnaires. Secondary data was gathered using secondary data collection template for complementary purposes. Qualitative data analysis based on the responses from open ended questions was conducted using thematic analysis. The quantitative data analysis was aided by use of the Statistical Package for Social Sciences Version 20. Both descriptive and inferential statistics were produced. Frequencies, percentages, means and standard deviation were used in describing the data collected while Pearson correlation coefficients and regression coefficients formed the inferential statistics. The study used a multiple linear regression model to show the relationship between organizational practices and revenue collection in Garissa County. The study found that personnel training and motivation, tax payer education, revenue monitoring and technology and automation had a positive and significant effect on revenue collection in Garissa County. Technology and automation was found to have the largest effect on revenue collection in the county. The study’s conclusions were presented using frequency tables, pie charts, diagrams. The study concluded that revenue collection in Garissa County was significantly affected by organizational practices adopted within the county government. The study concluded that enhanced revenue collection in the county would be attained when the county adopted or enhanced the implementation of favourable practices within the county government. Several recommendations were made among them that the county government through the departments of finance and accounts should increase budgetary allocations towards programs for developing the capacity of revenue clerks and other revenue administration teams in order to enhance their efficiency in undertaking their duties. The study also recommended that the HR department should develop clear and reasonable reward systems and incentive plans for motivating revenue clerks to deliver in their duties. The study recommended that the county government should set aside adequate budgetary allocations towards developing the ICT infrastructure and other ICT support services required in setting up integrated information management systems touching on revenue collection and management in the county. The study also recommended that there should adequate facilitation and support by the county government that is accorded to revenue monitoring committees in order to ensure that they independently carry out their work. The study further recommended that the relevant departments involved in monitoring revenues at the county should have adequate budgetary allocations so that the necessary structures and resources needed to facilitate the revenue monitoring exercises are availed.