EFFECT OF ORGANIZATION STRUCTURE ON THE RELATIONSHIP BETWEEN STRATEGIC LEADERSHIP AND PERFORMANCE OF INTERNATIONAL NON-GOVERNMENTAL ORGANIZATIONS IN KENYA
Abstract
Background of the Study: Structure is the relationship between the components of an organized whole. Organization structure is a representation of the way organizational activities are divided, organized and coordinated. Structures are created so that organizations can coordinate activities, control work process and control members performance.
Objective of the Study: The study objective was to determine the moderating influence of organization structure on the relationship between strategic leadership and organizational performance. The study was anchored on strategic leadership theory, upper echelons and industrial organization economics theory.
Research Methodology: Primary data was collected from 227 respondents using a semi structured questionnaire. Both descriptive and inferential statistics were used to analyze the collected data.
Results and Findings: The results revealed that organization structure significantly moderates the relationship between strategic leadership and performance of International Non-Governmental Organizations. Thus, the hypothesis that organization structure does not moderate the relationship between strategic leadership and performance of International Non-Governmental Organizations was rejected.
Conclusion and Recommendations: Based on the results it was recommended that managers should periodically evaluate organization structure to establish whether it is responsive to the changes in the organization and whether it serves the needs of the organization. It also recommended that reviews must ensure that structure is synchronic to leadership style and if any of the two become an impediment, then necessary action aimed at aligning leadership and structure should be considered.
Keywords: Strategic Leadership, Organization Structure, Performance & Non-Governmental Organization
References
Ansoff, H.I. & McDonnell, E. J. (1990). Implanting Strategic Management, New York: Prentice Hall.
Burns, T. & Stalker, G.M. (1996). The management of Innovation, Taristock, London.
Chandler, A.D (1962). Strategy and Structure. Chapters in the History of the Industrial Enterprise. Cambridge, MIT Press.
Daft, R. L. & Marcic, D. (2013). Management: The new workplace. South-Western; Cengage Learning: Australia.
Daft, R.L. (2011). The leadership experience (5th Ed). Mason, OH: South-Western Cengage Learning.
David R.F. (2009). Strategic Management: Concepts and Cases. 12th Edition. London: Pearson Prentice Hall.
Deeboonmee, W. & Ariratana, W. (2014). Relationship between strategic leadership and school effectiveness, Procedia-Social and Behavioural Sciences, 112(Supplement C), 982-985
Donaldson, L. (2001). The Contingency Theory of Organizations, Thousand Oaks. Sage Publications, Inc., New York.
Gomes, A. F., Jabbour, A., Adriana, B. N., & Charbel, J.C. (2011). Measuring supply chain management practices. Measuring Business Excellence, 15(2), 1-20.
Hall, K. (1997). A framework Linking Intangible Resources and Capabilities to Sustainable Competitive Advantage. Strategic Management Journal, 14(8), 607-618.
Hitt, M.A., Ireland, R.D. & Hoskisson, R.E. (2012). Strategic Management Cases: Competitiveness and Globalization. Cengage Learning
Hunt, J.G. (2004). What is leadership? in Antonakis, J., Cianciolo, A.T. and Sternberg, J. (Eds), The Nature of Leadership, Sage Publications, Newport Beach, CA, 19-47
Kitonga, M.D., Bichanga, O.W. & Muema, K.B. (2016). Strategic leadership and organizational performance in Not-for-profit organizations in Nairobi County in Kenya, International Journal of Scientific & Technology Research, 5(5)
Lekorwe, M., & Mpabanga, D. (2007). Managing non-governmental organizations in Botswana. The Public Sector Innovation Journal, 12(3), 1-18.
Mabey, C., Salaman, G & Storey, J. (2001). Organizational Structuring and Restructuring in business organizations. Routledge, London.
Macharia, W. N. (2014). Competitive Strategy, Organizational Competencies, Co alignment, Microenvironment and Performance of Private Middle Level Colleges in Nairobi. Unpublished Phd. Thesis. University of Nairobi.
Miles, R.E. & Snow, C.C. (1986). Organizational Strategy, Structure and Process. New York, McGraw- Hill.
Mintzberg, H. (1983). Structures in Firms: Designing Effective Organizations. Englewood Cliffs, NJ. Prentice Hall.
Mugenda, O.M., & Mugenda, A.G. (2003). Research Methods. Qualitative and Quantitative Approaches, Nairobi: Act Press.
Nahma, A, Vonderembse, M, & Koufteros, X. (2003). The impact of organization structure on time-based manufacturing and plant performance, Journal of Operations Management, 21, 281–306
Newbert, S.L. (2008). Value, rareness, competitive advantage and performance: a conceptual level empirical investigation of the resource-based view of the firm, Strategic Management Journal, 29(7), 745-68
Ogot, M.O. (2014). Generic Competitive Business Strategies and Performance of Micro and Small Enterprises in Nairobi. An Empirical Validation of MSE Typology. Unpublished PhD Thesis. University of Nairobi.
Okorley, E. L., & Nkrumah, E. E. (2012). Organizational factors influencing sustainability of local non-governmental organizations: Lessons from a Ghanaian context. International Journal of Social Economics, 39(5), 330-341.
Pertusa-Ortega, M.E., Molina-Azorin, F.J. & Claver-Vortes, E. (2010). Competitive strategy, structure and firm performance. A comparison of the resource-based view and the contingency approach, Management Decision, 48(8), 1282-1303
Polonsky, M., and Grau, S. L. (2011). Assessing the social impact of charitable organizations - four alternative approaches. International journal of nonprofit and voluntary sector marketing, 16(2), 195-211.
Robbins, S.P. and Coulter, M. (2007). Management. 9th Edition, Prentice-Hall, London.
Slovin, E. (1960). Slovin's formula for sampling technique. Retrieved on February 13, 2013.
Wright, E.B. and Pandey, K.S. (2010). Transformational Leadership in the Public Sector: Does Structure Matter? Journal of Public Administration Research and Theory, 20 (1), 75-89.