Restructuring Strategy and Impact on Staff Morale at Biblica Kenya

Abstract

Organization restructuring strategy has become a common phenomenon in many organizations locally and globally, in response to changes in the environment. It’s mainly aimed at eliminating waste, promote efficiency, profitability and ensure organization sustainability. The main purpose of the study was to evaluate the organization restructuring strategy and its impact in staff morale at Biblica Kenya. This research used a case study approach as research design because the unit of analysis was one organization, which is Biblica Kenya. Primary data was collected using an interview guide with open-ended questions to avoid subjectivity. The procedure involved personal interactive interviews conducted by the researcher and the interviewees. The researcher then employed content analysis as a method of data interpretation. The study established that organizational restructuring by downsizing affects employees’ morale. The study established that trust between managers and employees are critical for effective work relationships, especially under conditions of high uncertainty or conflict. It also established that communication is one of the most dominant and important activities in organizations during restructuring process. It established that employee involvement during restructuring influences their morale, and can be enhanced by improving employee skills through training, staff empowerment, feedback, and communication. The study established that employees build trust and confidence in the top management if they are provided for support during restructuring and this influences the employees’ morale in their work. The study recommends that: promotion of a secure and functional working environment is essential for increasing morale among staff; employees must be viewed as a vital component within the organization and be involved in decision making with some level of autonomy; organizations to encourage open communication and abolish any barriers which may exist; managers should offer necessary support to employees during restructuring, and enhance staff morale through effective leadership. They should support and motivate their line staff as they carry out their responsibilities. They should ensure roles are well distributed and covered to avoid burnout of some employees. Managers should ensure the organization policy safeguards both employee and employer welfare. They should also provide adequate resources and give clear plan of activities during restructuring. Managers should work with employees and not against them. As a result, management will be enhancing staff morale and maintaining it.