Organizational Resources and Competitive Advantage of Airline Companies Operating in Kenya
Abstract
Competition globally is progressively making carriers working at JKIA increasingly competitive to the degree that Airline organizations are hauling out from working at JKIA, given a case of Virgin Atlantic Airlines exit in 2012. Furthermore, in the competitive global economy, there is need to strengthen Financial resources, ICT resources and Human resources to ensure stable, reliable and efficient operations of the airline companies operating in Kenya. The general objective of this research was to evaluate organizational resources and competitive advantage of airline companies operating in Kenya. This study was guided by the following specific objectives: to determine the influence of financial resources, to establish the effect of ICT resources and to investigate how human resources influence competitive advantage in airline companies operating in Kenya. The study used descriptive design while focusing 40 Airline companies operating in Kenya. Results indicated that financial resources significantly and positively influence competitive advantage of airline companies operating in Kenya (B= 0.870; p < 0.05). Further, ICT resources have a significant and a positive effect on the competitive advantage of airline companies operating in Kenya (B= 0.675; p < 0.05). Human resources had significant and a positive effect on the competitive advantage of airline companies operating in Kenya (B = 0.575; p < 0.05). The study concluded that financial resources improve competitive advantage of airline companies operating in Kenya. It was also concluded that ICT resources is effective enough to enable the improvement in competitive advantage of airline companies. The study concluded that human resources are essential right from customer service at the airline industry, management, and in the operation of the actual plane by crew members. The study concluded that financial resources, ICT resources and human resources significantly and positively influenced competitive advantage of airline companies operating in Kenya. Since a lot financial resources are required in operating an airline firm, the study recommends for the need to prudently use the available resources and allocation should be based on business objectives. Airline may need to invest in relevant information technologies that support the needs of the airline firm. The study recommends for periodic refresher training, workshop and seminars for employees at the airport with aim of enhancing their skills in their respective fields.
Keywords: financial resources, ICT resources, human resources, competitive advantage, airline companies
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