effect of manager's strategies in turning around organizations

Abstract

Thisstudy sought to investigate the process employed in implementing Turnaround strategy in theUchumi supermarket, an organisation that had positioned itself as a market leader since 1976 until2000 when it started experiencing difficulties. The problem is that when Uchumi got into declinein year 200<!'~!he former managers could not save it from its woes despite employing '1' variousstrategies, however with appointment of new managers there is a new lease of life. An organisation is said to be in decline when it experiences a resource loss sufficient to compromise its viability. Turnaround is said to have occurred when an organisation recovers adequately to " ,~ resume normal operations. The objectives were to determine the effect of shareholder repositioning in turning around uchumi supermarkets, to determine influence of top management re-organisation in the supermarket, to determine effects of cost reduction strategy in Uchumi supermarket and to establish whether asset reduction resulted to Uchumi's turnaround. The ., objectives are guided by independe'n. t -, and dependant variables. The study used acase study approach in order to get an in-depth insight of what happened in implementation of strategies. The target population is three hundred eleven staff members of uchumi supermarket comprising of top level and middle level managers. Stratified sampling was used to get the sample size out of the target population which comprised of ninety managers. Sample random was then used to get actual individuals. Data to be collected was primary and questionnaires were used. Data was analysed using descriptive statistics for quantitative data and content analysis for qualitative data. The study concludes that adjusted basic earnings per share decreased during decline. New management highly considered stakeholders interest in their strategic decisions and Process elimination was considered during decline. Company's productivity during turn around increased. This study concludes that human capital in the areas of specialisation during decline xiii was moderately skilled. The study recommends the management to engage employees during the turnaround. The organisation needs to hire skilled human capital in the areas of specialisation. Managers need to get advice from specialists about resource conservation decisions.