Organizational Culture and Strategy Implementation at Private Hospitals in Nairobi City County, Kenya
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Date
2023
Authors
Munyi, Daniel Wambugu
Journal Title
Journal ISSN
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Publisher
Kenyatta University
Abstract
Private hospitals in Nairobi City County are faced by constantly changing business environment besides growing competition from government and mission hospitals. As such, these organizations are compelled to formulate strategic goals aimed at acquiring competitive edge and attainment of organizational mission and vision. In this light, these organizations are duty-bound to implement the strategic goals set despite the challenging circumstances. However, strategic implementation has been faced by limited organizational values, beliefs and attitudes to enhance the process of implementation. Aspects of organizational culture such as goal orientation, risk-taking, people orientation and team culture have been established as potential influencers of strategy implementation. However, there exists an information gap that links organizational culture to influencing strategic implementation among private hospitals in Nairobi City County, Kenya. Accordingly, this study investigated organizational culture's impact on strategy implementation in private hospitals in Nairobi City County, Kenya. The study looked at how teamwork, risk-taking, people-oriented, and goal-oriented cultures influence how well private hospitals in Nairobi City County implement their strategies. The study was anchored by Resource-Based View and Concept of Open Systems. The population under study consisted of 2000 participants from 6 out of 53 private hospitals in Nairobi City County. The population sample was chosen using stratified sampling. From a total of 53 hospitals, 6 private hospitals were chosen.This is a 10% of the total private hospitals in the Nairobi City County. One private hospital was chosen using a purposeful sampling technique from among the Nairobi City County's six main zones: the Nairobi central, Northern, Northern East, Eastern, Western and Southern zones. 200 participants were randomly chosen as a sample from the general population. This population sample satisfied the 10% research recommendation. Managers at the top, middle and junior employees from the represented organizations consisted the sample. Semi-structured questionnaires that were distributed were utilized to collect data.The reliability of research instruments was validated by use of random sampling. To ensure that the questionnaire adequately covers the subject it was intended to cover, face validity was employed. The questionnaire's scale reliability was measured using Cronbach's Alpha. A descriptive data analysis was used which was essential for understanding and making sense of the vast amounts of data that was collected from the sampled population. The ANOVA test was used to compare the means of the groups. Correlation in the four independent variables, namely goal-oriented culture, risk-taking culture, people-oriented culture and team-oriented culture, were compared to the three dependent variables, namely mission and vision achievement, competitive advantage achievement, and customer satisfaction attainment. Multiple regression analysis was performed to take a glance into the effect of independent variables on the dependent variable. Graphs, tables, charts and analytical discussion were used to present the data findings and relationships. The findings indicated that although private hospitals in Nairobi City County have an organization culture, the element of goals clarity remains unaddressed in most organizations. Existence of strong organizational culture was found to have a massive impact on strategy execution. Adoption of risk-taking culture, people oriented culture, goal-oriented culture and team culture were found to influence strategy implementation positively leading to higher profits, greater customer satisfaction and competitive advantage. These findings were projected to add value to the knowledge base in the field, serve as a reference point for private hospitals in Nairobi City County and beyond, and inform Kenyan policymaking and other developing countries.
Description
A Research Project Submitted to the School of Business, Economics & Tourism in Partial Fulfilment for the Award of Degree in Master of Business Administration (Strategic Management Option), Kenyatta University, April 2023.
Keywords
Organizational Culture, Strategy Implementation, Private Hospitals, Nairobi City County, Kenya