“Relationship between organizational agility and firm performance amongst tours and travel companies in Nairobi, Kenya”

Abstract

All companies exist in an evolving environment that affects their performance. As a result, an adaptive strategy is necessary for the execution of result-oriented excellence. Previous studies have been anchored in financial indicators to measure the performance of firms. Also, mixed results have been identified on the effect of firms’ agility indicators and firm performance. The research’s aim was focused on assessing the association among ogranizational agility and corporate performance of tours and travel firms in Kenya. Objective one was the examination of the impact of resource fluidity on firm performance of tours and travel companies in Kenya. Objective two was to examine the association among cultural contours and firm performance of tours and travel companies in Kenya. Thirdly, the research sought after the assessment of the upshot of leadership on performance of tours and travel companies in Kenya. Objective four was to analyse the effect of information technology on firm performance of tours and travel companies in Kenya. The literature review established conflicting findings on the effect of resource fluidity, which is an indicator of organizational agility, on firm performance. The research findings are valuable to the administration of tours and travel companies in Kenya, policymakers, and researchers and academicians. The theoretical review focused on three major theories that include; Resource-based theory, Dynamic Capabilities theory, and organizational culture model. Descriptive research design was utilised in the study. The target populace for the study was the management staff of the four management levels of tours and travel companies in Kenya which included; senior management, middle level, functional level, and technical level. A proportionate stratified sampling method was employed to come up with a sample size of 176 from a population of 586 units. A questionnaire was utilized to gather the required data. And analysis of the data was done with the use of Least Squares Method. The results did not find a significant association amongst reasource fluidity and performance of tours and travel firms in Kenya. Also, a statistically significant association between cultural contours and perforamance of turs and travel firms in Kenya was not established by the study. From the findings, leadership and performance of tours and travel firms in Kenya did not have a significant relationship. The findings of the research was that technology and firm performance of tours and travel firms in Kenya had a statistically significant association. This study made recommendations for policy, practice, and further study. Tours and travel firms should encourage creativity, emotional intelligence, shift focus and embrace ambiguity to develop change acceptance. The management of tours and travel companies need to encourage integration by rotating IT managers and provide IT oversite to the managers who oversee other functions. The scope of the study considered firms within Nairobi City County, hence the generalizations of the findings cluld be a limiting factor. A wider scope can be considered in future studies, with a comparative approach to focus on firm’s agility of other industries.