Strategy Evaluation Practices Adopted by New Kenya Cooperative Creameries Limited

Abstract

The aim of the study was to verify the strategic evaluation approaches implemented by New Kenya Cooperative Creameries Limited and to determine the strategy evaluation challenges facing New KCC. The study was guided by goal setting theory and open systems theory. The target population of the study was the New KCC’s staff, Head of Business Strategy & Development, Chief Manager Factory Operations, Chief Manager Sales & Marketing, Chief Manager Finance, Head of Procurement, Head of Engineering, Head of Productions, and Head of Information Communication & Technology because they are the ones involved in strategic evaluation in the head office at creamery house. This research was a case study. The research study utilized an interview guide to collect data. The data obtained was analyzed by way of the content analysis method. The study concludes the strategy evaluation practices identified at new KCC to include bench marking, internal audits, balanced score card, performance appraisals, accreditations and certifications, customer satisfaction surveys and the use of information technology programs. The challenges that were identified in the study in the evaluation of strategies include; an ineffective performance management system, formulation of inappropriate performance indicators, data gathering and reporting systems and evaluation and review mechanisms, flawed objective setting process, lack of proper training of staff on performance management and evaluation, Poor internal communication, lack of information on the outcomes of evaluation and control actions, no established clear reporting schedules, channels and feedback mechanisms, low staff commitment ,resistance to change , lack of ownership, integrity issues, incorporation of incorrect information or lack of adequate information so as to make objective conclusions, lack of training in strategy evaluation and control practices, Poor support services, inadequate resources, poor infrastructure, testing and certification organisations, and lack of cooperation from new KCC stakeholders. The study recommended that new KCC develops an effective strategy evaluation framework. The new KCC assessment system should support an annual evaluation of the outcomes resulting from the execution of the strategy, so as to determine whether organizational goals are attained in line with the program. In addition to the internal evaluations, a mid-term evaluation of the strategy should be doneyearly and at the end of the Plan period.