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EFFECT OF ORGANIZATIONAL STRATEGY-CULTURE CO-ALIGNMENT ON PERFORMANCE OF LARGE PRIVATE HEALTH FACILITIES IN KENYA

Mati Alexander - University of Nairobi, Kenya


ABSTRACT

Past studies have demonstrated strategy implementation as a key factor in the achievement of organizational objectives. However, strategy alone may not significantly influence performance. It may need to be complemented with culture even as a given organization pays attention to external environment. Unfortunately, the assessment of these complementary effects has received limited attention in the empirical literature. The objective of this study was to ascertain the influence of organizational strategy-culture co-alignment on performance. Through a cross-sectional descriptive survey, data from 58 large private health facilities were gathered using a structured questionnaire and analyzed using canonical correlation and sensitivity analyses. The study result indicates that strategy-culture co-alignment has not statistically significant effects on the performance of the facilities. Conclusively, the facilities do not align their strategies and cultures for the achievement of better performance. The findings contribute to the general body of knowledge and establish an appropriate base for further advancement of theory and research on certain strategic and cultural orientations. The findings also imply that organizational managers have to scan and monitor environmental developments in order to inform their decision-making appropriately. The policy makers are informed by the study, on the need to put in place structures that support strategy and culture fit. The limitations of the study included a wide geographical spread of the facilities and limited generalizability. Areas for further research have been suggested based on the limitations of the study, to address other contexts, besides using different methodologies and conceptualizations.


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