Organizational Characteristics and Strategy Implementation in Mhasibu Savings and Credit Co-operative Society Limited, Kenya
Kiugu, Joseph Ngigi
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The general objective of this study was to investigate the influence of organizational characteristics on strategy implementation in Mhasibu saving and credit co-operative society Limited. The specific objectives of the study was to examine the influence of organizational culture, organizational structure, leadership styles and communication on strategy implementation in Mhasibu saving and credit co-operative Society Limited. The study was anchored by the following theories namely; resource based view theory, modern organizational theory and classical organizational theory. This study utilized descriptive survey research design. The study targeted Mhasibu saving and credit co-operative ociety Limited and the target population was 60 respondents comprising of 15 top managers, 25 middle level managers, 10 customer service and 10 junior support staff. A census of 60 respondents was taken. A pilot study was carried out involving 10 respondents from the same saving and credit co-operative society limited who were not involved in the final study in order to assess the validity and reliability of research instrument. Quantitative data was analyzed using descriptive statistics such as mean and standard deviation and presented in form of tables, pie-charts and bar-graphs. Content analysis technique was used to analyze information obtained from the open ended questions and reported in narrative form. Inferential statistics such as correlation analysis and multiple regressions was used to determine the relationship between variables. The findings indicates that leadership in the saving and credit co-operative society limited supports strategy implementation, strategic objectives are clearly communicated in an understandable manner and organization culture supports strategy implementation. The findings indicates that there is high importance placed on saving and credit co-operative society limited rules, values, obligations and regulations, employees deal with each other fairly guided by rules, regulations and values and the rules of the saving and credit co-operative society limited provide clear instructions, processes and procedures for employees. The results indicates that managers take time to build relationships with other employees in decision making, employees are given personal freedom and expression in the saving and credit co-operative society limited and employees value team work to individualism decision making. The results indicates that weekly meetings consider employee’s views and the views raised in the meetings are clearly addressed by the management. The results presents that majority of the respondents strongly agreed that communication on Sacco internal issues are done on timely manner and the information communicated are always accurate and complete. The study concluded that there is a strong and positive correlation between organizational culture and strategy implementation. The correlation between organizational structure and strategy implementation was strong and positive. There was a very strong and positive relationship between leadership style and strategy implementation. There was a very strong and positive relationship between communication and strategy implementation. There was evident strong and significant relationship between independent variables. The recommendations were that Sacco managers should consider organization values as the guide to the success and employees should be directed on the Sacco culture. The study recommended that the management structure should be able to embrace strategy implementations which will involve support from all departments in the Sacco. The study recommended that the leadership should be participatory and all employees should be encourage to participate and be part of goal settings. The communication variable had the greatest impact on strategy implementation and therefore the study recommends that communication in all department should be core to the implementation of all decisions in the Sacco.