Relationship between the Organizational Culture and the Performance of Mumias Sugar Company in Kakamega County, Kenya
- January 14, 2021
- Posted by: RSIS Team
- Categories: Business Management, IJRISS
International Journal of Research and Innovation in Social Science (IJRISS) | Volume IV, Issue XII, December 2020 | ISSN 2454–6186
Francis Namuswa Mutibo, Dr. John Mutinda
Department of Business Administration, School of Business, Kenyatta University, Kenya
Abstract: Organizations are open systems operating in an environment with a multitude of challenges. In this case change has become an everyday component of organizational dynamics and these organizations need to recognize these changes for them to perform effectively. Despite many change strategies and policies in place, Mumias Sugar Company has continually encountered performance below the expected level. Therefore, the organization needs to create the infrastructure needed to plan, execute and sustain their corresponding changes. The purpose of this study was to investigate the relationship between organizational culture and the performance of Mumias Sugar Company Limited, Kakamega County, Kenya. A descriptive research design was adopted in the study. The study targeted Mumias Sugar Company in Kakamega County, Kenya. A total of 122 participants comprising of 10 organization’s senior management staff and 112 middle level and junior staff formed the respondents’ target population. A census of 122 respondents was carried out. The study used primary data that was gathered using questionnaires. Validity of the research instrument was ensured through content validity and Cronbach alpha coefficient test was used to test reliability of the questionnaires. Descriptive statistics such as mean and standard deviation was used to analyze quantitative data and presented in terms of tables, figures, charts and graphs. Regression analysis was used to show the relationship between variables. The study found that organizational culture had a positive and significant influence on organizational performance. The study concluded that the culture of the organization sets expectations for how people behave and work together, and how well they function as a team. In this way, culture can guide decision-making and improve workflow overall. The study recommended that the organization must first understand the current culture or the way things are now, then decide where it wants to go, define its strategic direction and decide what the organizational culture should look like to support the strategic change process
Keywords: Organizational culture, Organizational performance
INTRODUCTION
Competition among organizations is growing rapidly in the company global setting. To compete effectively in such competitive company setting, the organization needs to continually develop strategies that respond properly to its competitive benefit (Miller, 2015). Pearce and Robinson (2012) point out that each organization’s achievement is determined by matching its strategic responsiveness with strategic aggressiveness and how these match environmental turbulence. It can therefore be noted that organizations need a strategic fit between the setting and what the company has to give, as well as between what the company needs and what the environment can provide.
