The Impact Of Digital Transformation On Organization Performance At The Federal Housing Corporation.
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Date
2025
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Addis Ababa University
Abstract
This thesis investigates the impact of digital transformation capabilities on organizational performance at the Federal Housing Corporation (FHC) in Ethiopia. In the context of globalization and heightened competitive pressures, organizations must expertly integrate digital technologies to succeed. This study aims to address the challenges FHC faces in leveraging digital transformation to enhance operational efficiency and service delivery. Employing a mixed methods approach, the research combines quantitative surveys and qualitative interviews to gather insights from FHC employees and management. The quantitative component utilizes structured surveys distributed to a sample of 320 employees, with 235 completed responses returned. The collected data was analyzed using descriptive and inferential statistics, utilizing the Statistical Package for Social Sciences (SPSS) version 25 software. The qualitative aspect involves interviews with 5 selected respondents, enriching the findings by capturing the experiences and perceptions of key stakeholders regarding digital initiatives. The study findings revealed that dynamic capabilities (r=0.591, P< 0.01), adaptive capabilities (r=0.586, p < 0.01), and managerial capabilities (r=0.677, P< 0.01) exhibited a statistically significant relationship and positive influence on organizational performance, with a significance level of 0.01 in the correlation output. The status of organizational performance within the Corporation was
determined to be relatively good, with a descriptive statistical mean value of 4.02 and a standard deviation value of 0.85, as supported by the findings of the interviews. Additionally, the regression analysis coefficients demonstrated a positive and statistically significant relationship between managerial capabilities and organizational performance at the Federal Housing Corporation, specifically at the 1% significance level (P< 0.01).This study utilizes a sequential mixed methods approach,where quantitative findings inform and enrich the qualitative insights. In order to increase overall performance, it is advised that the Federal Housing Corporation
develop desirable managerial skills and incorporate them into the dynamic and adaptive capacities ; However, several limitations must be acknowledged, including participants' delayed response times and the difficulty in obtaining relevant reference materials, which may affect the generalizability of the findings.
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Keywords
Federal Housing Corporation, Digital Transformation, Dynamic capabilities, Adaptive capabilities, Managerial capabilities, organizational performance