EFFECT OF SOCIAL PRESSURES ON STRATEGIC PERFORMANCE OF SERVICE STATE CORPORATION IN KENYA: A CASE STUDY OF BUKURA AGRICULTURAL COLLEGE
Abstract
Success on a market varies over time and place; hence organizations change over time and so do the rules of the game. Consequently, for organizations to exist, prosper and prevail there will always be a need to understand the requirements shaped by the market dynamics and respond to them. State corporations like other organizations in Kenya, operate in an environment full of pressures which originate from social, professional, normative and regulatory sources. It is therefore vital for establishments to comprehend the relationship between institutional pressures and their performance. Specific objective of the study include; Investigation of the relationship between social pressures and strategic performance of Bukura Agricultural College. The study embraced descriptive survey research design. The target population of the study included staff employed at the Bukura Agricultural College. Stratified random sampling was used to select staff across departments while purposive sampling was used to select top management staff. Data was collected using a structured questionnaire and an interview schedule. Pilot study was conducted on members of the college who were not part of the actual study. Data collected was processed and analyzed using descriptive and inferential statistics with aid of Statistical Package for Social Sciences (SPSS Version 24). Relationship between independent and dependent variables was determined using Pearson’s correlation coefficient, multiple linear regression analysis and cross tabulations.The study strived to establish whether social pressures significantly affected strategic performance of service State Corporation in Kenya. The findings of the study reflected Social Pressures had significant effect on Strategic Management of Bukura Agricultural College. The study recommended for the management to link institution pressures with Strategic Management practices for services improvement. More so the study recommended for further research using similar variables and different methods of analysis.
Key words: Social Pressures, Strategic ManagementCITATION: Wasike, V., Kadima, M. J., & Musiega, D. (2021). Effect of social pressures on strategic performance of service state corporation in Kenya: A case study of Bukura Agricultural College. The Strategic Journal of Business & Change Management, 8 (1), 813 – 825.
Full Text:
PDFReferences
Aharonson, B. S., & Bort, S. (2015). Institutional pressure and an organization’s strategic response in Corporate Social Action engagement: The role of ownership and media attention. Strategic Organization, 13(4), 307–339.
Ahmed-Gamgum, W.A. (2014). Nigeria at 100 Years: The Process and Challenges of Nation Building, Public Policy and Administration Research, 4(8), 114-139.
Al-Kalbani, A., Deng, H., Kam, B. & Zhang, X. (2016). 'Investigating the impact of institutional pressures on information security compliance in organizations', in Proceedings of the 2016 Australasian Conference on Information Systems, Wollongong, Australia, 5-7 December 2016, 1-12.
Ahrens, T., & Khalifa, R. (2015). The impact of regulation on management control. Compliance as a strategic response to institutional logics of university accreditation. Qualitative Research in Accounting & Management, 12(2), 106–126.
Alziady, A.A.D.J., Enayah, S.H. Studying the effect of institutional pressures on the intentions to continue green information technology usage. AJSSR 4, 4 (2019)
Aldington, T. J. & Wilson, F. A (1968). The Marketing of Beef in Kenya (Occasional Paper No. 3, September, 1968, Nairobi, Institute for Development Studies)
Armstrong, M. (2006). Strategic Human Resource Management, 3rd Edition, Kogan Page, London: 2006.
Ballmer, S. (2005). Relation between Organizational Culture and Performance, Harvard Business Review, 83, 65-72.
Buhrman, G. (2011). International pressures and strategic responses: The case of the BP Oil Spill. Master thesis, Vrije University, Amsterdam, Netherlands.
Child, J. (1972). Organizational structure, environment, and performance: The role of strategic choice. Sociology, 6: 1-22
Clemmer, J. (2007). Building a High Performance Culture. Retrieved October 1, 2007
Covaleski, M.A.& Dirsmith, M.W. (1988). An institutional perspective on the rise, social transformation and fall of a university budget category. Administrative Science Quarterly, 33(4), 562-587.
Caravella, K. D. (2011) Mimetic, Coercive, and Normative influences in Institutionalization of organizational practices: The case study of Distance Learning in Higher Education. Unpublished PhD thesis. Florida Atlantic University. Boca Raton, Florida, United State of America.
DiMaggio, P. J. & Powell, W. W. (1983). The iron cag collective cage revisted: Institutional Isomorphism and collective rationality in organizational fields. American Sociological Review, 147, 160.
Decramer, A., Smolders, C., Vanderstraeten, A. & Christiaens, J. (2012). The Impact of Institutional Pressures on Employee Performance Management Systems in Higher Education in the Low Countries. British Journal of Management. 23, S88 - S103.
Dowling, J.B. & Pfeffer, J. (1975). “Organizational legitimacy: Social values and organizational behaviour”. Pacific Sociological Review, 18, 122-136.
Dresang, L. & Sharkansky, I. (2018). Public Corporations in Single-Country and Regional Settings: Kenya and the East African Community, University of Wisconsin Press
Gustavson, M. (2012). Professional norms in African contexts: The forgotten dimension in developing theory. Goteborg: University of Gothenburg.
Gabriel, J. (2019). Isomorphic Pressures and Sustainable Development for Nation Building in Nigeria. Conference: 13th Annual National Conference of The Academy of Management Nigeria (TANM) holding at Federal University, Otuoke, Bayelsa State.
Gichuke, R. K. & Okello, B. (2015). Relationship between Institutional Pressures and Strategic Responses of Public Universities in Nakuru County, Kenya. International Journal of Economics, Commerce and Management, 3, (11), 662 – 685.
Grossi, G., Dobija, D. & Strzelczyk W. (2020) The Impact of Competing Institutional Pressures and Logics on the Use of Performance Measurement in Hybrid Universities, Public Performance & Management Review, 43(4), 818-844
Gauci, G. & Grima, S. (2020). "The Impact of Regulatory Pressures on Governance on the Performance of Public Banks’ with a European Mediterranean Region Connection," European Research Studies Journal, (2), 360-387.
Grossi, G., & Thomasson, A. (2015). Bridging the accountability gap in hybrid organizations: The case of Copenhagen Malmö Port. International Review of Administrative Sciences, 81(3), 604–620.
Hall, M. (2007). The effect of comprehensive performance measurement system on role clarity, psychological empowerment and managerial performance. Accounting, Organization and Society 33,141-163.
Hannan, M.T. & Freeman, J. (1977). The Population ecology of organizations. American Journal of Sociology.
Huy, P & Phuc, V. (2020). Does Strategic Corporate Social Responsibility Drive Better Organizational Performance through Integration with a Public Sector Scorecard? Empirical Evidence in a Developing Country. Processes. (8) 596.
Hitt, M. A., & Tyler, B. B. (1991). Strategic decision models: integrating different perspectives. Strategic management Journal, 12,327-351.
Hoffman, A.J. (1999). Institutional evolution and change: Environmentalism and the U.S. chemical industry. Academy of Management Journal, 42(4), 351-371.
Han, L. & Yang, Z. (2016). Influences of Institutional Pressures on Corporate Social Performance: Empirical Analysis on the Panel Data of Chinese Power Generation Enterprises. Chinese Business Review, 8, 361-378.
Hrebiniak, L. & Joyce, W. F. (1985). Organizational adaptation: strategic choice and environmental determinism. Administrative Science Quarterly, 30,336-349
Ibua, M. P. (2014). The Influence of Institutional Factors and Job Related Attitudes on the Relationship between Employee Empowerment and Performance of Public Universities in Kenya. Unpublished PhD Thesis, University of Nairobi.
Jazairy, A. & Haartman, R. (2020). Analyzing the institutional pressures on shippers and logistics service providers to implement green supply chain management practices, International Journal of Logistics Research and Applications, 23 (1), 44-84.
Jayawarna, S. & Dissanayake, R. (2019). Strategic Planning and Organization Performance: A Review on Conceptual and Practice Perspectives. 171-180
Kimberlin, C.L. & Winterstein, A.G. (2008). Research fundamentals. Am J Health-SystPharm, 65.
Kothari, C. R. (2008). Research Methodology, Methods and Techniques (2nd ed., pp. 109-110). New Delhi New Age Inter- national (P) Limited.
Kam, H., Mattson, T. & Goel, S. (2020). A Cross Industry Study of Institutional Pressures on Organizational Effort to Raise Information Security Awareness. Inf Syst Front 22, 1241–1264
Kwasira, J. (2017). Assessment of strategic responses to institutional pressures on performance of commercial banks in Nakuru central business district, Kenya, JKUAT - Kenya.
Kabiru, F. C., Theuri, M. & Misiko, A. (2018). The influence of leading on the organizational performance of agricultural state owned corporations in Kenya. International Academic Journal of Innovation, Leadership and Entrepreneurship, 2(2), 1-16.
Koech, K., & Namusonge, G. S. (2015). Factors affecting procurement performance of the National Treasury in Kenya. International Journal of Social Sciences Management and Entrepreneurship, 2(2), 115-131.
Karimi, A. & Teimouri, H. & Shahin, A. & Shaemi B, A. (2019). Competency-based recruitment and managerial succession, Human Systems Management (37) 411-423,
Larson, M. S. (1977). The rise of Professionalism: A Sociological Analysis. Berkeley: University of California Press.
Lavrakas, P.J. (2008). Encyclopedia of Survey Research Methods. Sage Publications, Inc., Thousand Oaks.
Lounsbury, M. (2001). Cultural Entrepreneurship: Stories, Legitimacy and the Acquisition of Resources. Strategic Management Journal, Vol. 22, 101 – 132.
Mwangangi, P. & Owuoth, G.G. (2015) Effect of Public Procurement Regulations on Procurement Performance in Public Sector in Kenya: A Case of Rural Electrification Authority. International Journal of Social Sciences Management and Entrepreneurship, 2, 171-184.
Mate, M. F. & Kaluyu, V. (2018). Influence of Institutional Pressures on Strategy Implementation Success in Public Hospitals in Kenya: A Case of Ishiara Level IV Hospital. International Journal of Economics, Commerce and Management, 4 (5), 482-507.
Mankins, M. and Steele, R. (2005). Turning Great Strategy into Great Performance. Harvard Business Review, 83, 65-72.
Meyer, J.W. & Rowan, B. (1977). Institutionalized organizations: formal structure as myth and ceremony. American Journal of Sociology, 83(2): 340-363.
Mugenda, O. M. & Mugenda, A. G. (2003). Research methods: Quantitative and qualitative Approaches. Nairobi: African Centre for Technology Studies.
Mulei, J. M. (2009). Strategic Responses to challenges of Liberalization by DT Dobie Kenya Ltd. Nairobi: University of Nairobi.
Munir, R. & Baird, K. (2016). Influence of institutional pressures on performance measurement systems. Journal of Accounting & Organizational Change. 12. 106-128.
Morosan-Danila, L. & Nastase, C. & Bordeianu, O. (2013). Work Safety – Concern of Human Resources Management?
Njiru, E. (2008). The role of state corporations in a developmental state. The Kenyan experience. Kenya Institute of Administration.
Nthini K. (2013). Effect of strategic leadership on the performance of commercial and financial state corporations in Kenya, UON.
Oliver, C. (1991). Strategic responses to institutional processes. Academy view, 16, 145-179.
Obudo, D., & Wario, G. (2015). Factors Influencing Management of Change in Public Sector in Kenya. The Strategic Journal of Business & Change Management, 2(28), 546-560.
Pfeffer, J. (1982). Organizations and organization theory. Boston: Pitman.
Pfeffer, J. & Salancik, G.R. (1978). The external control of organizations: a resource dependence perspective. New York: Harper and Row.
Powell, W. W. & DiMaggio, P. J. (1991). The new Institutionalism in organizational analysis. Chicago: University of Chicago Press.
Powell, W.W. (1991). Expanding the scope of institutional analysis. In P.J. DiMaggio (Ed.), The new institutionalism in organizational analysis: 183-203. Chicago: University of Chicago Press.
Republic of Kenya (2008). Strategy for reform in the state corporations sector 2008-2012. State Corporations Advisory Committee, The Presidency and Cabinet Affairs Office.
Republic of Kenya (2009). Report of proceedings and recommendations of the induction programme for directors of state corporations held between January 16 and June 26, 2009. Nairobi: Government Printers Ltd
Robken H. (2004). Inside the Knowledge factory. Deutscher Universitas – Verlag, Oldenburg, p.20
Samairat, M. (2008). Organizational Response to Institutional Pressures: Examples from Latin America and the Caribbean. Bachelor’s thesis, UMEA University, Sweden.
Serfontein, J. J. (2010). The impact of strategic leadership on the operational strategy and performance of business organizations in South Africa. Unpublished Dissertation, University of Stellenbosch, South Africa.
Sharkansky, I & Dresang, D. L. (1972). Politics in Public Corporations: Kenya and the East African Community, (Staff Evening Seminar Paper, Department of Government, University of Nairobi, July, 2018).
Sminia H. (2014). Strategic Manager. London: Routledge Taylor & Francis Group
Smith, K. W., & Wengland, E. J. (1993). Survey responses: An evaluation of their validity. Academic.
Starbuck, W.H. (1976). Organizations and their environments. In M. Dunnette (Ed.), Handbook of industrial and organizational psychology, 1069-1124. Chicago: Rand McNally
Suchman, M. C. (1995). Managing legitimacy: strategic and institutional approaches. Academy of Management Review, 20(3), 571-610.
Sull, D.N. (2005). Why Good Companies go bad and how Great Managers remake them? Harvard Business Review, 83, 115-122.
Tolbert P, Zucker L. 1983. Institutional sources of change in the formal structure of organizations: the diffusion of civil service reform, 1880-1935. Administrative Science Quarterly 28: 22-39.
Tolbert, P. S. (1985).Institutional environments and resource dependence: sources of administrative structure in institutions of higher education. Administrative Science Quarterly, 30: 1-13.
Thuku, Lawrence & Karanja, Mwangi. (2015). Towards Efficient Service Delivery: The Role of Workflow Systems in Public Sector in Kenya.
Weaver, G. R., Trevino, L. K., & Cochran, P. L. (1999). Integrated and decoupled corporate social performance: Management commitments, external pressures, and corporate ethics practices. Academy of Management Journal, 42(5), 539-552.
Yamane, T. (1967). Statistics: An Introductory Analysis, 2nd Edition. New York: Harper and Row.
Yu, W., Ramanathan, R., & Nath, P. (2017). Environmental pressures and performance: An analysis of the roles of environmental innovation strategy and marketing capability. Technological Forecasting and Social Change, 117, 160-169.
Wongthongchai, J., & Saenchaiyathon, K. (2019). The Key Role of Institution Pressure on Green Supply Chain Practice and the Firm’s Performance. Journal of Industrial Engineering and Management, 12(3), 432-446.
DOI: http://dx.doi.org/10.61426/sjbcm.v8i1.1951
Refbacks
- There are currently no refbacks.
This work is licensed under a Creative Commons Attribution 3.0 License.
PAST ISSUES:
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.