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Abstract: Sustainability of water utilities is
crucial in enhancing access to quality water and safe sanitation services
globally. This study evaluated transforming capability as a predictor of
sustainability of public water service providers in Kenya. The study used a
cross-sectional descriptive research design targeting 332 senior managers from
the 88 public water service providers. Primary data was collected using a
structured online questionnaire. The instrument was evaluated for stability
using Cronbach alpha coefficient and for construct validity using Kaiser-Meyer
Olkin Coefficient. The weighted data from 67 WSPs was tested for pairwise
linearity, outliers and autocorrelation. A Bivariate Linear Discriminant
Analysis was conducted for inferential analysis. This study found that this
Linear Discriminant Analysis function between transforming capability and firm
sustainability of public water service providers in Kenya achieved a hit ratio
of 80.6% for original classification and associated Jack-knife hit ratio of
79.1%. The test of equality of group
means has a Wilks’ Lambda (Λ) of 0.273, F-Statistic of 85.29 and a p-value of
0.000 at 95% degree of confidence. The
canonical correlation for this variable was 0.853. The study concluded that
transforming capability has a statistically significant discriminating power on
sustainability of WSPs in Kenya. The study recommends that WSPs should enhance
their ability to continuously reconfigure their capabilities to seize
identified opportunities in the dynamic business environment to guide choices
for competitive action as a key strategy towards driving firms’ sustainability. DOI: https://doi.org/10.51505/IJEBMR.2026.10909 |
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