Factorial, a global human resources (HR) and business management software provider, has launched a partnership with the Kenya Private Sector Alliance (KEPSA) to accelerate digital transformation in the country.
The alliance was unveiled during a KEPSA members’ breakfast meeting in Nairobi, where the partners announced that the venture will be backed by Factorial’s $10 million artificial intelligence (AI) Acceleration Fund.
The fund is designed as a direct subsidy, covering up to 50% of implementation costs for organisations adopting the firm's AI-driven HR tools.
Participating businesses will also gain access to a dedicated transformation support programme, including webinars and leadership reports.
The move comes as the World Bank highlights Kenya’s reliance on the small and medium-sized enterprise sector, which employs over 80% of the national workforce and contributes nearly 40% to the country's gross domestic product.
Factorial’s cloud-based platform targets these organisations, providing tools to minimise operational costs, enhance staff engagement and maintain strict compliance with local labour laws.
The software is built to integrate with existing business ecosystems, including Microsoft and Google products, as well as various enterprise resource planning and payroll solutions.
"Our private sector is currently under pressure to manage short-term costs amidst executing long-term growth strategies," said Mary Ngechu, MD of Lineplast Group and KEPSA director.
"We must utilise technology to move from manual processes and disjointed systems to build efficient, data-driven and globally competitive organisations."
Francesc Rul·lan, director of expansion strategy and partnerships at Factorial, said many organisations in Kenya continue to struggle in terms of productivity, efficiency and competitiveness due to fragmented processes.
“In order to accelerate the digital transformation and unlock productivity gains, adoption of modern technology in HR is essential,” said Rul·lan.
With a new local office established in Nairobi, Factorial intends to use Kenya as its primary regional hub for a wider expansion throughout East Africa.
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