The Effects of Institutional Change on Organization Structure: a Case of National Transport and Safety Authority on Road Transport Management in Kenya

Abstract

The main objective of this study is to examine the effects of institutional change on structural organization: a case of national transport and road safety management in road transport in Kenya. Despite the growing demand for transport services, the road transport sector in Kenya faces many challenges and shortcomings. Institutional shortages and the lack of a fully integrated transport system have become key challenges that prevent the transport sector in Kenya from playing its role in national and regional economic development. This study used the agency theory, systems theory and the theory of change. The study was adopted by a case study design. It contains a detailed investigation of people from both organizations based on the initiation of the effects of regulatory authorities on the regulation of road transport, a case of national transport and security authority in Kenya. A case study is a design where the data is collected only from one or several study units. The study only uses primary data. Using the basic data collection interview guide. The data collection is done through the use of closed questionnaires. Review of data using content analysis. The study found that at the beginning of the National Transport and Safety Authority began its purpose to create the Authority that links the operations of the main departments of road transport and facilitates effective management of the subsector, road transport, and people's lives through traffic accidents. The key functions of the Authority described in section 4 of the NTSA Law; advise and make recommendations on issues related to transport and safety in road transport, apply rules related to road transport and safety, plan, manage and safeguard the road transport sector in accordance with the provision of the Law no.33, 2012; and to ensure the provision of safe, reliable and efficient road transport services. Then, in a nutshell, the NTSA took full management of the Traffic Law, becoming the regulator of all safety and road regulations. The study concluded that after the introduction of the National Transport and Safety Authority and the regulations are oriented towards the rationalization of external ones without addressing the problems of internal control and corporate standards, even internal ones. Control problems are directly related to external problems.