Influence of Outsourcing Strategies on Performance of Selected Media Houses In Kenya
DOI:
https://doi.org/10.47941/jbsm.3557Keywords:
Information Technology Outsourcing, Customer Care Management Outsourcing, Human Resource Outsourcing, Logistic Outsourcing and PerformanceAbstract
Purpose: This study sought to establish the influence of outsourcing strategies on the performance of selected media houses in Kenya. The study specifically sought to establish the influence of information technology outsourcing, customer care management outsourcing, human resource outsourcing, and logistics outsourcing on the performance of selected media houses in Kenya.
Methodology: The study was guided by the following theories: Transaction Cost Theory, Resource-Based View Theory, Core Competency Theory, and Human Resource Theory. A descriptive research design was used in this study. The target population comprised 3 media houses in Kenya, with the unit of observation being employees in managerial positions in the IT department, Customer Care Department, Human Resource Department, and transport and logistics department. The study adopted Yamane’s sampling formula to acquire a sample of 165 respondents from the target population. The instrument for primary data collection in this research was a numerical 5-point Likert scale questionnaire. The data collected was analyzed by employing descriptive statistics and inferential analysis using the Statistical Package for the Social Sciences (SPSS) version 21 and MS Excel Software.
Findings: The results of the study revealed that information technology outsourcing, customer care management outsourcing, human resource outsourcing, and logistics outsourcing positively and significantly influence the performance of the selected media houses in Kenya. The findings indicate that these outsourcing practices positively and significantly influence the performance of media houses, underscoring their strategic value in enhancing organizational effectiveness and competitiveness.
Unique Contribution to Theory, Practice and Policy: The study recommended that selected media houses strengthen their performance by enhancing strategic outsourcing practices across key functional areas. Specifically, the study advocates for increased information technology outsourcing, including system development, network management, call center operations, and maintenance of applications and operating systems. It further recommends outsourcing customer care management through collaborative customer engagement, support services, and innovative retention strategies implemented by external vendors. In addition, the study emphasizes outsourcing human resource functions such as recruitment, training, performance appraisal, restructuring, and downsizing processes to competent firms. Finally, it highlights the importance of logistics outsourcing, including inventory, procurement, order management, transport, and information management functions.
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