Influence of Digital Performance Management Systems on Employee Retention in County Government Health Departments in Upper Eastern Kenya

Abstract

This study examined the influence of digital performance management systems on employee retention in county government health departments in Upper Eastern Kenya. The study was anchored on the Technology Acceptance Model (TAM), which explains how perceived usefulness and perceived ease of use influence the acceptance and use of digital systems. A mixed-methods cross-sectional survey design was adopted. The target population comprised 2,480 health workers in Meru, Tharaka-Nithi, Marsabit, Samburu and Isiolo counties, from which a sample of 344 respondents was determined using Yamane’s formula. Data were obtained through structured closed-ended questionnaires and interview schedules. Quantitative data were examined using descriptive statistics, Pearson’s correlation analysis, and simple linear regression, whereas qualitative information obtained from human resource managers was subjected to thematic analysis. Of the 344 questionnaires administered, 331 were successfully returned and considered valid for analysis, yielding a response rate of 96.22 per cent. Results showed that digital performance management systems were strongly and positively correlated with employee retention (r = .758, p < .001). The regression model was statistically significant, with digital performance management systems explaining 57.4 per cent of the variation in employee retention. The findings indicate that digital goal setting and appraisal, real-time feedback, and data analytics and reporting can strengthen transparency, recognition and career development processes relevant to retention. The study provides evidence from Kenya’s devolved health sector and a basis for strengthening technology-supported performance management while addressing digital skills, infrastructure and implementation challenges.