Determinants Of Effectiveness Of Intergrated Financial Management Information System Of Selected County Governments In Mount Kenya Region

Abstract

Integrated Financial Management Information System (IFMIS) is anchored on Chapter 12 of the constitution as well as PFMA (2012). The Kenyan government implemented the Integrated Financial Management Information System (IFMIS) in 2013 as the primary public financial management system. Previously, the Kenyan government was marred by many instances of financial mismanagement, which saw the government losings billions of shillings. This means that service delivery was poor given that money set aside for funding the services ended up in people's bank accounts. The focus of this study is to determine the factors determining the effectiveness of integrated financial management information systems in county governments of Kenya. The study was guided by the following specific objectives: the influence of technical factors on the effectiveness of integrated financial management information systems, the influence of Human resource factors on the effectiveness of integrated financial management information systems, the influence of political factors on the effectiveness of integrated financial management information systems and the influence of top management commitment on the effectiveness of integrated financial management information systems. The researchers' analyses were guided by both the Actor-Network Theory and the Technology Acceptance Model. A descriptive research design was used in the study. Purposive sampling technique was used in selecting participants from 3 selected counties in Mount Kenya region namely; Nyeri, Nyandarua and Kirinyaga. A total population of 60 employees in selected region and a sample size of 36 respondents were used in the study. Primary data was gathered from the respondents in using a questionnaire. Quantitative data was analyzed using SPSS version 22.0 software. Inferential statistics in the form of multiple regression and paired t-tests and descriptive statistics was used to analyze the data. The results were presented in the form of tables, pie charts, and graphs. Findings indicated that human resource skills, technical skills, political factors and management commitment had a significant and positive relationship with the effectiveness of the Integrated Financial Management Information Systems in the county governments in Kenya. The study concluded that human resource skills, technical factors, political factors and management commitment were determinants of the effectiveness of integrated financial management information systems in county governments of Kenya. The study recommended that County governments in Kenya should invest in research and development on the effectiveness of IFMIS so as to deal with challenges and ensure that the presumed benefits of investing in the IFMIS system are realized.