| dc.description.abstract | This study was aimed at contributing to the raging debate regarding the relationship between the strategy and structure of an organization. This discussion has drawn attention for decades. Organizational structure is the design of the organization through which the enterprise is administered as strategy gives direction to the organization. The study also sought to establish the factors or agents influencing that relationship.
The results of the research have been conducted and interpreted with a view of developing a better understanding of the relationship of the structure and strategy in microfinance sector.
A research on the twenty two (22) micro finance institutions under the umbrella of Association of Microfinance Institutions (AMFI) was done. It was a cross-sectional survey of which sixteen (16) of them responded representing approximately 72% of the population. The measurement was through percentage frequency, mean, standard deviation, and correlation analysis were used to analyze the data.
The results after running the correlation analysis (r') it indicates that there is a relationship between the organization structure and the organization strategies that a firm employs to achieve, other factors contribute to the said relationship which may include industry norm, government, organization culture and to some extent the shareholders. Most of the MFIs' agreed that a firm must design its' structure to meet its' aims, meaning it involves combing flexibility of decision making, with appropriate levels of management from centre to meet the execution of the respective strategies of the organization.
The choice of strategy affects the organizational design. It also concluded that on emergent strategy, the strategy and structure associated with it, may need to develop at the same time in an incremental manner, that is, as the strategy develops, so does the structure. As the results shows a relationship between the strategy and organizational structure in the micro finance institutions. It is recommended that the whole financial industry should be tested for the same for one to conclusively support that there is a relationship between strategy and organizational structure | en_US |
