Njenga, Dennis Kimani2026-02-122026-02-122025-12https://ir-library.ku.ac.ke/handle/123456789/32392A Research Project Submitted to the School of Business, Economics and Tourism in Partial Fulfillment of the Requirements of the Award of Master of Business Administration (Strategic Management Option), Kenyatta University, December, 2025 supervisor: 1.Mary RaguiMicrofinance banks complement commercial banks by serving a substantial part of the Kenyan population that was previously unbanked. The Central Bank of Kenya reported that the overall performance of licensed Microfinance banks has been on a downward trend in recent years, this is reflected by the net loss, fall in customer deposits, loan write-offs and losing potential clients to digital lenders. This research study set out to examine the influence of strategic change management on the organizational performance of Microfinance banks in Kenya. Precisely, the study aimed to examine the impact of organizational structure, organizational culture and leadership on the organizational performance of Microfinance banks. Lewin’s theory of change provided the primary anchor for this study, supplemented by dynamic capabilities theory, contingency theory and balanced scorecard model. A descriptive research design was utilized whereby, a target population of 201 managers from the 14 Microfinance banks licensed by CBK were selected. To ensure that both the Microfinance banks and their managers were proportionally represented, the study employed stratified random sampling method. Data collection relied on Likert-scale questionnaires, which were administered to a sample of 134 participants. To evaluate the research instrument, a pilot study was conducted in which validity was examined through expert review and reliability was tested using Cronbach’s alpha. The analysis was carried out in SPSS, where both descriptive and inferential tests were conducted. To explore the relationships among the variables, correlation alongside linear regression were applied. Results were summarized using tables and charts, each followed by an explanation. Overall, the study indicates that organizational structure, organizational culture and leadership positively and significantly contribute to the performance of Microfinance banks in Kenya. The findings underscore that streamlined structures, strong cultural values and effective leadership are vital for creating resilient organizations that can adjust to shifting market conditions. The study recommends that management communicate a clear and compelling vision and reinforce it through consistent engagement with employees at all levels. It also emphasizes the importance of fostering interdepartmental collaboration, as this builds confidence and trust between departments. The study provides significant value to managers of Microfinance banks in Kenya, as the insights generated can guide decision-making and ultimately benefit a wide range of stakeholders and by implementing the strategies highlighted, managers will also be better positioned to meet regulatory requirements while enhancing organizational performance.enThesis