The Influence Of Selected Determinants On Strategic Change Management Practices At Kenya Commercial Bank Limited

Abstract

Organizations engage in organizational changes so as to achieve new and efficient methods of utilizing their resources, a move that is aimed at increasing the organization‟s capacity to generate value as well as improving stakeholders‟ returns. Since these organizational changes have significantly impacted on the administration of businesses, it is clear that when strategic change is effectively managed, it becomes vital for the wellbeing of any organization. In the Kenyan context, the economy has undergone inevitable changes due to the manner of operations of an organization, that is, the dynamic and constant increase in competition in the business market. The forces that bring about the changes emanate from both internal and external environments. Organizational seeking to be business leaders take proactive initiatives to minimize the impact of the environmental forces. In order to do so they have to be cognizant of these forces and how they are likely to influence success of their business. This study, hence sought to establish the influence of selected determinants on the change management practices at the Kenya commercial bank Ltd. The study was guided by Lewin‟s three step theory of change, Kanter‟s theory of change management and Transaction Cost Theory. The research was carried out through a case study where the researcher administered an interview guide as a primary data collection method. The interview guide was administered to fourteen section heads or their equivalent at the Kenya Commercial Bank Ltd. The data collected was analyzed using content analysis technique. The study found that managers that need to anticipate recognize and proactively deal with the environmental forces in time before they impact negatively on the business. The study further revealed challenges faced by businesses such as inadequate top management support, resistance to change, poor communication, lack of adequate resources, incompatibility of change with new with existing organizational structures, rapid technological change, political interference and change of consumer behavior. The study noted that gradual planning and continuous application of management practices are significant in managing organization changes in case an organization needs to efficiently succeed in achieving the changes and they are largely influenced by such factors as organizational culture, structure, strategy, globalization, technology and top management. Some of the notable change management practices included the setting of vision, evaluation of the results, developing plans and infrastructure, embracing on effective communication strategies, engaging the senior management officials and involving all the stakeholders in the organization. Therefore, top level organization management should be actively involved in the decision making process even when implementing organizational changes. The study concludes that companies must strive to anticipate forces from the environment and proactively adapt strategic management practices to cope with the ever-dynamic business environment. The study thus recommends that organizations should strive to ensure that every individual in the organization is aligned about the process of strategic change and the leadership should play a leading role in not only but also providing support and facilitate implementation of change initiatives.