Organization structure of general construction firms in Kenya: a contingency approach

Abstract

The construction industry is under pressure to improve productivity, reduce wastage of re~6urces and to increase predictability of its performance. Construction projects implementing and contractors organizations should have the capability to utilize scientific and technological knowledge of integrating various group contributors in an orderly fashion. Individual efforts should be coordinated and compounded in the best possible way to accomplish the organization objectives. The clients and contractors organizations must be well designed to alleviate these management problems. Their organization structures must provide the framework.in which management processes have the best chance of achieving maximum performance in the interest of organizations objectives hence performance of construction industry. This study sets to find out how construction firms are structured for the purpose of performance. The study is divided into three parts, the first part deals with introduction, problem statement and research methodology. The second part is mainly literature review and formulation of theoretical framework while part three is mainly findings, conclusions and recommendations made in the light of the findings and the theoretical background provided. In respect to the findings made, it is noted that the hypothesis of the study is proved valid. It is also noted that certain managerial practices are more practised in high performing construction firms than in low performing construction firms. Among the contingency factors, size of the firm and the market under which the construction firm operates playa major role in designing of its structure.