The Effects of Availability of Resources on the Implementation of Turnaround Strategy at New Kenya Co-operative Creameries Limited

Authors

  • Musango Sabina M. Africa Nazarene University, Kenya/ Safaricom Limited

DOI:

https://doi.org/10.51867/10.51867/scimundi.1.1.2021.39

Keywords:

Availability of Resources, Strategy Implementation, Turnaround Strategy, New Kenya Co-operative Creameries Ltd.

Abstract

This study investigates the effect of resources on the implementation of turnaround strategy at New Kenya Co-operative Creameries Ltd (NKCC). This study was guided by the stage and action theory with more emphasizes being given to stage theory. The study adopted a case study research strategy. Data was collected using questionnaires from 43 managers and management employees of New KCC selected from three branches (Nairobi, Limuru and Thika). The data was analysed quantitatively and the findings presented in frequency distribution tables and bar graphs. From the findings, the researcher found out that resources affected the implementation of turnaround strategies. The most important factors related to resources were inadequate training and instruction given to lower level employees; ineffective coordination of implementation activities; low competence, coordination, and commitment among human resources; inadequate leadership and direction provided by departmental manager; delays due to additional costs and instabilities during the process of change and; lack of enough raw material (resources). Interestingly, this study found out that lack of physical resources may not translate to effective implementation of turnaround strategies. There may be sufficient machinery and human resources in the various departments, however, there has to be competent managers to ensure efficient utilize of such resources. In light, it was deduced that there is need to align the physical resources that an organization has with competent human resources so as to effectively realize effective implementation of turnaround strategies. This study recommends that the most important resources to be acquired are competent personnel. This is particularly so since, the various aspects of the implementation of turnaround strategies need such personnel. As such, they should be well trained and suitable to carry out the various tasks needed to ensure that the strategies under their docket are well implemented. NKCC should also ensure that there is modern equipment and funds to facilitate the change management. Budgets should be reviewed regularly so as to ensure presence of adequate resources to sustain the implementation of turnaround strategies.

References

Burnes, B. (2000). Managing change: A Strategic approval to organizational dynamics, London. Pitman 2nd edition Business strategy, 5, 3–20. Stamford, CT: JAI Press.

Cater, J. J. (2006), Stepping out of the shadow: The leadership qualities of successors in the family business.

Unpublished doctoral dissertation, Louisiana State University.

Cooper, D.R. & Schindler, P.S (2008).Business research Methods (10 ed).Boston: McGraw Hill.

Coulision, T. C (2004). Transforming the company the company, manage change, compete and win (Second Edition).

Kogan Page Ltd, London.

Furman, J. & McGahan, A. (2002).Turnarounds Managerial and Decision Economics, 23(1), 283–300.

Gichuki, A. W. (2009) Turnaround Strategy At The Cooperative Bank Of Kenya Limited.Unpublished MBA project UON

Hamel, K. (2002). Leading the revolution, revised edition. Penguin Pitman Inc, Newyork)

Hill, C.W.L. & Jones, G.R. (2001), Strategic Management Theory, An integrated approach Boston: Houghton Mifflin.

Kiarie, W. C. (2010).Turnaround Strategies Adopted By Uchumi Supermarket Ltd: Under Receivership. Unpublished master’s thesis submitted to the University of Nairobi. Accessed on May 19, 2014 from http://erepository.uonbi.ac.ke:8080/xmlui/handle/123456789/23192

Miller, I. (2005). Managing for the long-run: Lessons in competitive advantage from great family businesses. Boston, MA: Harvard Business School Press.

Njiraini, M. (2012).Why New KCC has gone silent on privatization plan. Standard Newspaper.

Obae, E. P. (2009). A Study of The Turnaround Strategy Adopted By The Kenya Revenue Authority (KRA), Unpublished MBA project UON

Orodho, J. A. (2005). Techniques of writing research proposals and reports in education and social sciences, 2nded.Nairobi: Kenezja Hp Enterprises.

Pearce, J. A. II, & Robbins, D. K. (1997). Strategy Formulation implementation and Control, 6th Edition, Mac Graw Hill, Irwin Inc Formulation, Implementation and control

Porter, M. E. (1996), Competitive Strategy: Techniques for Analyzing Industries and Competitors. Free Press, New York, NY

Robbins, K.D. & Pearce, J.A. (2002). “Turn around: Retrenchment and Recovery”. Strategic Management Journal,

(4), 287.

Scherrer, H. (2003), Management turnaround; Diagnosing Business Ailments, Corporate Governance Journal, 3(4), 52- 62

Thornhill, S. & Amit, R. (2003). “Learning about failure: bankruptcy, firm age, and the resource-based view”.

Organization Science, 497–509.

Tripsas, M. & Gavetti, G. (2000). Capabilities, cognition, and inertia: evidence from digital imaging. Strategic Management Journal, 21(1), 1147–1161.

Trochim, W. (2000). The research methods knowledge base, 2nd edition. Cincinnati, OH: Atomic Dog Publishing. Turner, D., Skelcher, C., Whiteman, P., Hughes, M. & Jas, P., (2004). “Intervention or Persuasion? Strategies for

Turnaround of Poorly-Performing Councils”. Public Money and Management, 24 (4), 217.

Yoo, J. W., Lemak, D.J., & Choi, Y. (2006). “Principles of management and competitive strategies: using Fayol to implement Porter”. Journal of Management History, 12 (4), 352.

Downloads

Published

2022-07-26

How to Cite

Sabina M., M. (2022). The Effects of Availability of Resources on the Implementation of Turnaround Strategy at New Kenya Co-operative Creameries Limited. SCIENCE MUNDI, 1(1), 110–118. https://doi.org/10.51867/10.51867/scimundi.1.1.2021.39