INFLUENCE OF STRATEGIC PLANNING ON PERFORMANCE OF DEPOSIT TAKING SACCOS IN NYANZA REGION
Abstract
Deposit taking Savings and Credit Cooperative Societies contribute significantly to the economy, they face many strategic planning challenges that have affected their performance including weak asset base, poor management of conflicts, poor savings culture of members, loan default, loss of members' savings due to misappropriation of funds and poor membership status, due to these challenges, in the Nyanza region of Kenya. It can be presumed that these challenges are related to strategic planning at the SACCOs. Therefore, the current study examined how strategic planning influence the performance of Deposit Taking SACCOs operating in the Nyanza region. The study targeted 6 deposit Taking SACCOs operating in the four counties and they are: Taraji, Fortitude, Jumuika, Agro-Chem, Rachuonyo and Koru Sacco’s. The study was anchored on Resource Based view theory. The study adopted correlational research design and a census sampling method. Data was collected using self-administered questionnaires from all the 78 senior and middle level managers. The questionnaire was pre-tested to determine its validity and reliability for data collection, based on Confirmatory Factor Analysis, expert judgment, and Cronbach’s Alpha Coefficients. A pilot study was done at Keystone Deposit Taking SACCO. The hypotheses H01 on strategic planning was rejected, implying that it had positive and significant effect on Performance of Deposit Taking SACCOs in Nyanza Region. The multiple regression analysis also revealed a statistically significant relationship between strategic planning and performance of Deposit Taking SACCOs. The t-values for the individual predictor variables showed that strategy planning was statistically significant (β = 0.446, t-value = 2.587, P=0.012<0.05); It can be concluded from the findings that strategic planning positively affected the performance of Deposit Taking SACCOs operating in the Nyanza region.
Keywords: Strategic Planning, Deposit Taking Savings and Credit Cooperative Societies
CITATION: Oudia, C. A., & Mise, J. (2024). Influence of strategic planning on performance of deposit taking Saccos in Nyanza region. The Strategic Journal of Business & Change Management, 11 (3), 837 – 846. http://dx.doi.Org/10.61426/Sjbcm.v11i3.3064
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DOI: http://dx.doi.org/10.61426/sjbcm.v11i3.3064
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