Effects of Strategy Evaluation on Organizational Performance: A Case of Centre Star Company Limited

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dc.contributor.author Abdalla, Yusuf Ibrahim
dc.date.accessioned 2015-07-28T09:23:15Z
dc.date.available 2015-07-28T09:23:15Z
dc.date.issued 2015
dc.identifier.uri http://erepo.usiu.ac.ke/11732/569
dc.description A Research Project Report by Abdalla Yusuf Ibrahim, Submitted to Chandaria School of Business in Partial Fulfillment of the Requirement for the Degree of Masters of Business Administration (MBA) en_US
dc.description.abstract The purpose of the study was to determine the effects of strategy evaluation on organizational performance. The study was guided by the following research questions; What are the approaches to strategy evaluation at Centre Star Company Limited? What are the effects of strategy evaluation on performance at Centre Star Company Limited? How can strategy evaluation be enhanced at Centre Star Company Limited? The study employed a descriptive research approach. The population for this study comprised of all the 200 staff members at Centre Star Company stratified in departments; administration, logistics, operations and sales & marketing. The study used a stratified random sampling approach to select 30% (60) of the 200 employees to participate in the survey. The data collection was carried in March 2015. The first research objective sought to identify the approaches adopted at CSC in strategy evaluation. The study identified four approaches to Strategy evaluation at CSC to enhance performance of the organization. First, the strategy objectives must be consistent to the overall organizational objectives, organizational culture, organizational operations and organizational spending patterns. Second is the suitability of the strategy to effectively exploit the opportunities in the organization’s environment, avoid threats in the organization’s environment, avoid the organization’s weaknesses and to address the cultural and political context of the organization. Third, is the feasibility of implementing the strategy in line with the availability of the required employee expertise, raw materials, operating systems, and operating cash flows. Fourth, is the acceptability of the strategy by having the ability to increase dividend development, decrease cost of income ratio, increase residual value/net income, reduce investor risk and increase shareholder value. The second study objective sought to identify the effects of strategy evaluation at CSC. First, the study showed that strategy evaluation at CSC facilitates organizational direction setting at it ensures compliance to organizational vision, streamline operations to specific objectives, targets correcting strategic directions and establishes common tactics and purpose. Secondly, strategy evaluation results helps in inspiring and motivating employee at CSC as it enables employees measure their performance; helps employees in determining the nature of adjustments needed; helps employees relate their objectives to that of the organization; good results inspires hard work; and the information inspires better work. Third, strategy evaluation at CSC is used as a tool for benchmark with other industry players. The evaluation is used to compare performance or peers; compares performance to industry standards; compares performance among deportments; and compares performance between strategies. Finally, strategy evaluation results helps in legitimizing the use of strategy at CSC. The evaluation results legitimize management’s actions in the eyes of the shareholders; customers; government and the general public. The third study objective sought to highlight strategies for enhancing strategy evaluation at CSC. The study showed that there is a well-established strategy evaluation culture at CSC. There is common drive for strategy evaluation; well-established procedures for strategy evaluation; deliberate effort to seek information on strategy performance; established responsibilities for evaluation performance; and regular informed demand for results of information. Second, CSC has well established organizational capacity that enhances strategy evaluation. There is effective organizational capacity in designing, implementing and managing strategy evaluation process; there is capacity in accessing, building and using evaluative knowledge; continuous learning, improvement and accountability; awareness and support for strategy evaluation; knowledge and evaluative thinking; integrating evaluation into practice; and capability towards positive change. Third, there is sufficient organizational support for strategy evaluation at CSC. This was demonstrated by sufficient finances, time, technological support, top management’s commitment, supportive organizational incentives, and built in learning systems for strategy evaluation. Lastly, there are appropriate strategy evaluation methods at CSC which supports the strategy evaluating efforts. The organization uses a mix of financial ratios, systematic analysis, shareholder value and customer/process learning and growth. The study recommends that, it would be strategic for the organization to have strategies that are completely consistent with the organizational overall strategic direction for enhanced performance. The study also calls for re-evaluation of the strategies and their alignment to the overall organizational goals. Still the study calls for sstrengthening of evaluation enhancing strategies. Finally, broadening the scope of the study considering other organizations within the sector are much welcome. en_US
dc.publisher United States International University Africa en_US
dc.subject Strategy Evaluation en_US
dc.subject Organizational Performance en_US
dc.title Effects of Strategy Evaluation on Organizational Performance: A Case of Centre Star Company Limited en_US
dc.type Thesis en_US

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