Effect of Perceived ICT Payment System on Customer Satisfaction at the Kenya Power and Lighting Company

By Otiso, Kennedy Ntabo | Journal of Emerging Trends in Economics and Management Sciences, August 2012 | Go to article overview

Effect of Perceived ICT Payment System on Customer Satisfaction at the Kenya Power and Lighting Company


Otiso, Kennedy Ntabo, Journal of Emerging Trends in Economics and Management Sciences


Abstract

The study sought to investigate the effects of perceived ICT payment system on customer satisfaction at the Kenya Power and Lighting Company (KPLC), Eldoret based on Kano customer satisfaction model. The study adopted descriptive survey design involving quantitative research and targeted KPLC customers in Eldoret Central Business District. These customers were classified into three segments: large power (20), corporate (500) and domestic (300), all totalling 820. Probability random and stratified random sampling techniques were used to sample out 10 large power customers, 250 corporate customers and 150 domestic customers. The study used both primary and secondary sources of data. Questionnaires and interview schedules were the research instruments used. Data obtained from the field was analyzed using descriptive and inferential statistics (multiple regression analysis and Pearson correlation). The correlation results of the findings indicated that payment service quality (X1) is positively and statistically significant (r = 0.618, P=.000 (2 - tailed) at 1% level of significance). This implies there is no relationship between perceived payment system through ICT and customer satisfaction. The author recommended that KPLC should put more emphasis on perceived payment system quality in order to enhance customer satisfaction, to other scholars, this study forms a basis of further study since it dwelled on small area and specific region. The study clarifies the role played by ICT in enhancement of customer satisfaction hence indicating that to full satisfy customers one needs to embrace IC T services. This study would be of significance to service industries as it will point how customer service delivery can impact on their organization performance. The study will help KPLC management understand the challenges facing their customers and their expectations. The findings will also help improve the quality of services offered to customers.

Keywords: effect, perceived payment system, ICT, customer satisfaction, Kenya power, lighting company

INTRODUCTION

Information and Communication Technology (ICT) may be defined as computer hardware and software and telecommunications technology. ICT is the World's fastest growing economic activity; the sector has turned the globe into an increasingly interconnected network of individuals, firms, schools and governments communicating and interacting with each other through a variety of channels and providing economic opportunities transcending borders, languages and cultures. ICT has opened new channels for service delivery in areas such as e- government, education, e-health, and information dissemination. Rapid development of ICT accompanied by the convergence of telecommunications, broadcasting and computer technologies is creating new products and services, as well as new ways of learning, entertainment and doing business (Wirtz & Lihotzky, 2003). At the same time, more commercial, social and professional opportunities are being created through the unique opportunity provided by ICT. As a result, the world is undergoing a fundamental transformation as the industrial society that marked the 20th century rapidly gives way to the information society of the 21st century. The new society promises a fundamental change in all aspects of human lives, including knowledge dissemination, social interaction, economic and business practices and political engagement.

The rapid development within society of the use of information and communication technologies has meant a revolution in the way businesses work, as indeed it has changed the way in which very many people work. Information technology generally means the convergence of computers, hardware, software, telecommunications, Internet, electronics and the resulting technologies and it can be measured through the inventory of applications that organizations have. Information and communication technology includes networks, computers, other data processing and transmitting equipment, and software. …

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