Research Key

The effects of technological advancement and innovation on organizational performance, the case of BAMCCUL branches in Bamenda

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International: $20
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Analytical tool
Descriptive statistics
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This study examines the effects of technological advancement and innovation on organizational performance, taking the case of BAMCCUL branches in Bamenda city.

The study specifically seeks to determine how internet usage, incremental innovation and radical innovation affect the productivity of BAMCCUL branches in Bamenda city. The study made use of primary data collected through questionnaire.

The study employed a survey research design through the used purposive sampling technique to obtain the respondents of this study. A total of 30 participantsmade up of managers and employees were sampled for the study.

To analyze the study data, statistical tools were used such as frequencies and tables, weighted mean, mode, ordinary least square, Pearson’s correlation and regression analysis. . However by utilizing a correlational and an experimental research design, the study came out with a number of findings from the regression analysis.

The findings revealed that: Internet usage, incremental innovation and radical innovation all have a positive significant effect on organisational performance of BAMCCUL The adjusted coefficient of determination for the model use to capture the effect of technological advancement and innovation on the performance of BAMCCUL’s branches in Bamenda city was 0.307 which indicated that technological advancement and innovation account for 30.7% of changes in the BAMCCUL’s performance in its two branches in Bamenda city.



1.1 Background to the Study

The success or otherwise of any discerning organization in this World of deregulated economies and competitive market depend largely on its ability to strategically outwit her competitors.

Outwitting competitors is informed by ability to deliver offering better than competitors in the market and this also depend on the ability to continually improve on the quality of goods and services being offered.

Many companies in most developing countries find it difficult to compete with their foreign counterparts, partly because of their inability to innovate. While the multinationals enjoy necessary incentives that would encourage all round business growth, most local industries lack necessary ingredients such as size of firm, resources (financial, human), legal protection, innovation efficiency in the area of diversification, flexibility to respond to market changes and incentives to use existing and new technology.

Most importantly, developing country’s organizations lack innovation capability. Innovation capability is the skill and knowledge needed to effectively absorb, master and improve existing technologies and create new ones (Guan and Ma 2003).

The evolution of technological advancement and innovation had been observed since the 20th century when the use of information and communication technology experienced worldwide recognition. A number of organizations realized its dynamic development in the mid-18th century which was also the advent of industrial revolution (Tom, 1991). Technology advancement and innovation influences various aspects of our daily lives especially in our homes, workplaces, companies and establishments, in schools and universities and the country at large.

Recently, the increasing advancement of technology and innovation has been experienced in global scenario and has become a global village where the utilization of computers and communications are widely available. Today, mobile phones, internet, satellite networks, and others that provide the latest trends in communication are widely used to boost up business performance and are applicable in processing, storing and distributing wide array of reliable information (UNDP, 2001).

According to Evans and Wurster (1997), the changes that are happening in the business environment of most business organizations are the important consideration for technology advancement and innovation. The emergence of technology innovation is the product of the continuous advancement in technology that is growing in response to the dynamic changes brought about by highly competitive business environment.

The technology advancement is an effective operation used in achieving cost-effectiveness, improving efficiency and the quality delivery of products and services to its clientele (Allen & Morton, 2004).  The utilization of technology advancement has been instrumental in developing solutions to business problems and challenges as well as trouble shooting technology advancement related problems, developing and maintaining an effective and efficient decision-making processes, meeting the requirements for quality of services and enhanced productivity, be competitive in the marketplace, and become dynamically stable organization (Attewell& Rule, 1984; Molloy &Schwenk, 1995; Boynton, 1993).

Accordingly, the study of Cerere (1993) posits that, organizations necessitate adoption of technology advancement in order to improve their operations mainly the manpower management and operations. He further stated that even though technology advancement has to evolve over period of time, its importance should be recognized in the early stages of operation considering that organizations who would want to have organized, fast and timely decisions can be addressed with technology advancement in operational aspects of the organization’s existence.

1.2 Problem Statement

The part played by technological advancement and innovation on the performance of organisation has recently taken the fore front in local, national and international debates, and as such drawing the attention of many researchers for either business or academic purposes.  In a competitive environment that is constantly changing, there is need for every organisation to adapt to changes in its environment.

This involves being both reactive and proactive to some of these changes. This adaptation cannot be done without adhering to technological advancement and innovations that are require in order to be operating in the constantly changing environment.  Attaining a higher level of organizational performance has always been the focal point of organization’s operations.

It has always been a significant discussion in management and often comprises topics related to competitiveness, effectiveness, efficiency, efficacy, financial stability and financial relevance. According to Marmouse (1997), organizations build or developed their goals primarily to achieve the best organizational performance and direct its operational processes to meet these organizational goals.

However, continuous changes in business environment contributes enormously to the way companies manage their workplaces with regards to challenges brought by rapid changes in utilization of internet, globalization, workforce diversity, as well as changing work and family roles, and the operational processes of the service sector.

Technological advancement also extend is usefulness in the area of human resource management where Drucker (2006) asserted that, in every organization, people are considered the main source of income generation.

The operational aspect of human resource has been manually done for decades until now that the concept of electronic human resource management is observed. This includes the strategic human resource management that has been cited in the study of Jalagat (2016) where effective use of human resource management significantly impacts organizational performance.

Given that change is inevitable in an organisations environment and considering the fact that the success of every organisation depends on its ability to manage change, the effects of technological advancement and innovation on organisations performance cannot be underestimated. 

For any organisation to succeed, it should be able to compete within its market, and attempt to rub shoulders with other competitors in the international frontiers. The organization must imbibe the culture of innovation because of its importance as confirmed in many studies (Bougrain&Haudeville (2002), Daniels (2002), Gelende&Fuente (2003). 

Bearing in mind the importance of technological advancement and innovation on the performance of every organisation as already indicated by many researchers, this study aim at finding amongst other issues how internet usage, how incremental innovation and radical innovation affect the productivity of BAMCCUL branches in Bamenda city

1.3 Research Questions

   1.3 .1 Main Research Question

What is the effect of technological advancement and innovation on the performance of BamCCUL?

1.3.2 Specific Research Questions

 To answer the above main research question, the researcher formulated the following specific research questions:

  • How does internet usage, affects the productivity of BAMCCUL branches in Bamenda City?
  • What effect does incremental innovation has on the productivity of BAMCCUL Branches in Bamenda city?
  • What effect does radical innovation has on the productivity of BAMCCUL Branches in Bamenda City?

1.4 Objectives of the Study

1.4.1 Main Objective of the Study

This study has as main objective to examine the impact of technological advancement and innovation on the performance of BAMCCUL Branches in Bamenda city

1.4.2 Specific Objectives of the Study

To achieve the above stated main objective, the following specific objectives were formulated: 

  • To determine how internet usage affects the productivity of BAMCCUL Branches in Bamenda City .
  • To examine the effect of incremental innovation on the productivity of BAMCCUL Branches in Bamenda city
  • To examine the effects of radical innovation on the productivity of BAMCCUL Branches in Bamenda city

1.5 Research Hypotheses

These study hypotheses are formulated in the null form as follows

H11: Internet usage has a significant effects on the and productivity of BAMCCUL Branches in Bamenda city

H12: The productivity of BAMCCUL is significantly affected by Incremental innovation.

H13: Radical innovation has significant effects on the productivity of BAMCCUL Branches in Bamenda city

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