Strategic Practices and Organizational Performance of Flamingo Flower Firm in Nakuru County, Kenya

Abstract

The environment in which the Kenyan flower firms operate has been subject to great turbulence. The has been a challenge of organizational performance of flower firms in terms of efficiency, customer satisfaction, market share, compliance to policies acquisition of skills and profits. Production technology keeps changing and competition continues to become stiff hence flower firms in Kenya should improve on organizational performance. Therefore, current study sought to investigate the effect of strategic practices on organizational performance of flamingo flower firm in Nakuru County, Kenya. The specific objectives guiding the study were to establish the effect of strategic leader’s direction, strategic plans, strategic control and human capital development on organizational performance. The study was guided by balance scorecard model, leadership theory, systems theory and transactional theory. A descriptive research design was adopted in the study. The target population was flamingo flower firm in Nakuru County, Kenya and the respondents included 15 organization’s senior managers and 125 support staff. Stratified random sampling method was used to select 94 respondents. The study used both a closed and an open-ended questionnaire to collect primary data. The pilot study involved 10 respondents who were selected randomly from the organizations department to test validity of research instrument and its reliability was determined by Cronbach alpha method. Using descriptive statistics such as mean and standard deviation, quantitative data was analyzed and presented in terms of tables, charts and graphs. In order to test the relationship between variables and the extent to which they influence each other inferential statistics were used which involved correlation analysis and multiple regression analysis. The study established there was a significant effect of strategic leader’s direction, strategic control, strategic plans and human capital development on organizational performance. The findings indicated that strategic leader’s direction enables managers to craft a strategic vision for the whole organization, or some sections of the organization and to motivate and persuade others to acquire that vision. Strategic control is concerned with tracking the strategy as it is being implemented, detecting problems or changes in the premises and making necessary adjustments. When an organization management creates and shares a clear strategic plan it is able to align every employee around a shared purpose, proactively set objectives to help in getting where it wants to be and define long-term goals. Human capital development creates a strong organizational culture that promotes employee development, honest feedback and commitment to company goals. The study recommended that strategic leaders must have a zeal for work that goes beyond money and power and also they should have an inclination to achieve goals with energy and determination. The organization should set performance standards by identifying clearly and precisely the results which are desired. The organization should first determine its position by defining where it wants to be. Develop strategy by taking inspiration from important company documents to ensure the strategic plan is moving the organization company in the right direction. The study would be useful to the management and staff of flamingo flower firm in Nakuru County, other flower firms in Kenya, National government and policy makers. It would also add insights to the body of knowledge on strategic practices and organizational performance for scholars and provoke research. The study suggested that more studies ought to be carried out on various strategic practices and a contextual gap may be addressed by carrying out a study that focuses on other flower firms in other County governments in Kenya.