Influence Of Heuristic Decision Making On Organizational Performance Of Vocational Training Centers In Vihiga County, Kenya.
Volume 5 - Issue 11, November 2022 Edition
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Author(s)
Oketch Margaret, Dr. Okwemba Emily, Dr. Otsyulah Joseph
Keywords
Heuristic decision making, Organizational performance, Vocational Training Centers
Abstract
Strategic decisions are vital in the performance of any organization. They help to chart a course based on long-term goals and vision hence, there is a need for managers to be profound in the making of strategic decisions to achieve positive results in their institutions. However, the organizational performance of VTCs institutions has been an ongoing trial in an atmosphere of resource shortage, lack of quality infrastructure to support technical training, poor governance leading to embezzling of funds, weak management resulting to poor strategic decision making thus lack of strategic direction. The focal purpose of this study was to establish influence of heuristic decision making on the organizational performance of VTCs in Vihiga County. of random choice decision making on organizational performance of VTCs in Vihiga County. The study was guided by subjective expected utility (SEU) theory, prospect theory, and satisficing theory. The study was guided by pragmatism and adopted mixed method research design where both quantitative and qualitative data were collected. The target population of the study was 120 respondents where simple random sampling was used to get a sample of 60 respondents. Primary data was collected through self-administered questionnaires measured over a 5-point Likert scale. Reliability of the research instruments was tested through Cronbach’s Alpha and Construct validity was assessed through factor analysis. Data was analyzed using descriptive analysis inform of mean and standard deviation. Diagnostic Tests was done to test the model by testing for normality, autocorrelation, multicollinearity and heteroscedasticity while inferential statistics used Correlation analysis, ANOVA and regression analysis. The results of multi- regression analysis showed that heuristic decision making had a positive association on organizational performance with a coefficient of r = 0.170 and p- value of 0.015which was less than 0.05. The study concluded that an improvement in heuristic decision making influences organizational performance of VTCs by increasing the student enrolment. Top managers in VTCs need to embrace these decision making strategies to improve organizational performance in their institutions.
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