Identifying Barriers to Digital Transformation in Kenya's IT Firms

Digital transformation has become a key strategic priority for organizations seeking to remain competitive in an increasingly technology-driven economy. Despite its importance, digital transformation often falters because of internal organizational challenges rather than technological limitations. Although Kenya is widely recognized as a leader in Africa's digital economy and is often described as the continent's "Silicon Savannah," its IT firms continue to experience internal barriers that hinder transformation. This study examined organizational barriers to digital transformation in Kenya's IT firms using Vial's (2019) theoretical framework. A sequential, two-stage mixed-methods design was employed. First, a scoping review conducted in accordance with PRISMA-ScR assessed 195 full-text articles and included 60 studies in the final synthesis. The review identified six broad barrier categories, which informed a survey of 201 IT professionals and semi-structured interviews with three key informants in the second stage. Qualitative data were analyzed using the Gioia methodology. Resource constraints received the highest reported severity rating (33.9%), followed by cultural resistance (33.1%), skills gaps (29.9%), insufficient strategic clarity (28.5%), weak leadership commitment (25.0%), and organizational structure barriers (21.1%). Operations was the business dimension most consistently affected. The qualitative analysis also identified three barriers that were particularly salient in the Kenyan context: post-training talent drain, dependence on externally developed software that did not always align with local needs, and informal recruitment practices that could overlook digitally skilled candidates. The findings indicate that effective digital transformation in Kenya's IT firms requires an integrated response involving leadership, operational change, skills development and retention, locally relevant technological solutions, and supportive policy measures.