Description
The purpose of the study was to determine the relationship between coordination capability, operational capability and export performance of manufacturing firms in Kenya. The study was elicited by the low manufacturing productivity, stagnation in performance and the need for growth of export manufacturing in Kenya. The study adopted a mixed method approach in data collection where a triangulation research design was employed and both quantitative and qualitative data was collected and analyzed concurrently. A total population of 130 individuals from 26 export manufacturing firms located within Kiambu County were sampled. Both stratified random sampling and random sampling techniques were used to select a sample of 98 respondents from the target population. The researcher adopted a questionnaire as the primary data collection tool. Inferential data analysis was done using Pearson correlation coefficient. Hypothesis testing was done using Chi-square test where p-value and F-statistic were computed at 95% confidence level to test whether there were any significant relationships between dynamic capability elements and export performance of manufacturing firms in Kenya. The results revealed positive and significant influence of coordination capability on export performance of manufacturing firms in Kenya. The results also revealed that operational capabilities significantly moderate the relationship between coordination capability and export performance of manufacturing firms in Kenya. The study recommended that for manufacturing firms in Kenya to increase their export performance, management should take the responsibility for the articulacy of the coordination process, as improved firm coordination motivates employees and ensures that their actions are well aligned with one another so that the firm’s objectives can be achieved. The study results therefore provided a clearer understanding of the importance of coordination capabilities and the role of operational capabilities on firms operating in dynamic export environments.
