A DISRUPTIVE ICT INNOVATION MODEL AND REFERENCE ARCHITECTURE FOR DEVELOPING ECONOMIES: A CASE STUDY OF KENYA

Abstract

Information Technology innovations are evolving very fast. Understanding the process by which innovations in this sector are taking place is of central importance for the future development and sustainability of the ICT sector and for businesses to position ICT as a critical element in their competitiveness. While several theories have been developed to explain the trajectory of disruptive innovations, there are concerns among the research community that the evolution of the mobile banking in Kenya has opened a lid on why theories of disruptive innovations developed for the developed economies may not well fit in the African and other developing nations scenario. This has partly been because of the different characteristics of ICT demands in these economies. This study therefore aimed at determining the factors that influence the success of an ICT innovation by; assessing the effects of disruptive ICTs in the Kenyan economy; determining through the lens of a theoretical model the factors that influence the success of disruptive ICT innovations and thereby develop a model for adoption of disruptive innovations in developing economies. To achieve these objectives, the study purposed to focus on the Kenya’s three main metropolitan cities; notably the capital city of Nairobi, Mombasa and Kisumu Cities. The research design for the study was a mixed method using both qualitative and quantitative data. Qualitatively, 20 ICT experts/leaders, drawn from the government and top telecommunications industry, were purposively identified. For quantitative design, the questionnaires were shared through snowballing effect to the key informants, which led to a sample of 81 respondents returning their feedback; drawn from the private sector specifically, firms that were considered to have developed ICTs that were considered to have some element of disruptiveness. Data analysis was done using R and the results presented descriptively and inferentially using both graphics and equations. The study makes an original contribution by developing a context specific model for disruptive ICT adoption and translating it into a reference architecture that guides policymakers and industry practitioners. The architecture provides a structured framework for facilitating sustainable ICT innovation in resource-constrained contexts. The study identified external factors, Market forces, implementation environment, social factors and technological features as key determinants of the success of ICT innovations. The constructs from the conceptual framework formed the basis of the developed disruptive ICT innovation model. The study findings are critical in assessing the disruptive potential/patterns of ICT innovations in the developing economies. Key recommendations include strengthening institutional policies to support digital transformation, improving interoperability among ICT platforms, and enhancing financial incentives for innovation adoption. The findings have theoretical, practical, and policy implications for the advancement of ICT innovation in developing economies. Keywords: Innovation, disruptive innovation, model, ICT innovation, competitiveness.