| dc.description.abstract | Environment is key to the success of any organization, as every organization exists to serve the
environment. Any level of turbulence in the environment therefore calls for a strategic response for
both survival and growth. The effects of the environmental turbulence have not spared the dairy
industry. The environment has not being static but rather characterized by dynamism, the sector
therefore like any other sectors face certain challenges and these calls for the management to develop
strategic responses to these environmental changes. There is need for alignment and realignment of
the organizations processes i.e. organizations must match their capabilities and strategies to the
changing environment. The prime task of strategic activities is thinking through the overall mission
of business, which leads to setting up of objectives. Strategic management must address the dynamics
of market systems and behavior of the business environment.
The objective of the research was to identify environmental challenges facing the milk processors
and the strategic responses the firms adapt to the environmental forces. The design of the research
was a survey research design. This was because it collects data from a broad number of member’s
population that facilitates comparisons. The researcher sampled the 25 major milk processors firms in
Kenya and managed to get 16 completed questionnaires representing a 64% response rate.
Data was collected using semi-structured questionnaires and was analyzed using descriptive
statistics. The data was coded and entered into a spreadsheet and analyzed using SPSS (Statistical
Package for Social Sciences) and presented using bar graphs, percentages and frequency tables.
The environmental factors that affect firms operations include political economical social
technological ecological factors. All these factors affect the firms in varying degrees. Firms have
however developed strategies to counter react to the impact of the environmental forces. The
strategies adapted include, restructuring, efficient marketing, information technology, culture changes
etc. All the firms agreed that it is beneficial for all of them to adopt timely strategic response to these
environmental forces. The firms however were faced by challenges when responding to the
environmental forces. These included high cost of maintaining quality services, cost of maintaining
skilled labor, increased competition, government policies and regulations, inflation rates etc.
The research recommends a change in management approach to a more proactive one towards the
environmental turbulence. Further the research recommends a major study in strategic and
implementation of strategies to the environment in the dairy industry and in other related industries,
planning | en |
