Odhiambo, Christine.2025-01-172025-01-172024Odhiambo, C. (2024). Innovation Strategies and Performance of Pension Funds in Kenya: A Case of County Pension Fund. Daystar University, School of Business and Economics.https://repository.daystar.ac.ke/handle/123456789/5923MASTER OF BUSINESS ADMINISTRATION in Strategic ManagementThe Kenyan pension industry has been undergoing a transformative period, characterized by intense competition and a rapid adoption of emerging technologies. The landscape has become increasingly dynamic as pension funds strive to attract and retain members, provide exceptional service, and offer innovative products. The integration of new technologies, such as mobile banking, blockchain, and online portals, has been a key differentiator for Kenyan pension funds, as they seek to meet the evolving needs and expectations of their members. There is still a scarcity of academic research into how innovation strategies affect the performance of pension funds, and in this case, the County Pension Fund (CPF), a pension scheme administrator in Kenya. The County Pension Fund faces a decline in its value due to underfunding by employers, high operational costs, and low pension uptake. These issues have been exacerbated by shifting economic conditions and increased competition across industries, leading to fluctuations in fund profits. Despite the fund's success in encouraging consumer savings, these challenges posed a significant threat to its long-term viability. This study explores the innovation strategies on the performance of the County Pension Fund (CPF). The purpose of the study was to establish the innovation strategies adopted by the County Pension Fund in Kenya. Additionally, the research objectives included assessing whether these strategies helped improve the performance of the fund and determining the influence of product, process, and organizational innovation on the County Pension Fund. The theories in this study included the Diffusion of Innovation Theory, Dynamic Capability Theory, and the Schumpeter Innovation Theory. The study used descriptive-correlational as the research design. A census approach was adopted to select participants from the target population, which comprised 108 CPF employees and 12 NSSF staff bringing to a total of 120. Data collection utilized semi-structured questionnaires, with rigorous pretesting to ensure the validity and reliability of the research instruments. In this research, internal validity and retest reliability were used for accuracy and unbiased data collection. Analysis of the statistical data was done using SPSS 23 software, with pretesting involving 20 questionnaires, representing 10% of the total sample. This study's significance lies in bridging existing knowledge gaps regarding the role of innovation strategies in pension fund performance, thereby advancing theoretical understanding and offering practical insights to CPF and similar entities. Ultimately, the findings aimed at contributing to enhancing performance efficiency and fostering the growth of pension funds. The study findings indicate that innovation strategies significantly enhance the performance of the County Pension Fund (CPF) by improving operational efficiency, member contributions, and fund size. The results indicated a significant positive correlation between the types of innovation strategies and the effectiveness of these strategies, with a Pearson correlation coefficient of 0.440 (p < 0.01). Conclusions drawn from the research suggest that adopting innovative strategies is critical to enhancing pension performance. The study recommends that CPF continue to invest in technological innovations, streamline processes, and develop new products to meet the evolving needs of its members as well as adopt alternative investment strategies to ensure long-term sustainability.enKenyan pension industryTransformative periodEmerging technologiesThesis