Corporate restructuring at national hospital insurance fund, kenya
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Date
2013Author
Malongo, Hezron Kakiya
Type
ThesisLanguage
enMetadata
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Restructuring of a corporation is a means to an end, not the end in itself. It provides the formal
channels of decision making and communication. The way a corporation is restructured sets the
focus for the work. To achieve long term visions and strategies, the work needs to be organized
to achieve the results desired by the management. Sometimes in difficult times it becomes
necessary to "right-size" the organization. This necessitates shifting or reorganizing structural
elements such as job designs, reporting structures and core processes to ensure that the structures
of the organization are the most appropriate and responsive to meet current and future needs and
to achieve the effective integration of services across the organization. Corporate restructuring is
necessary when a corporation needs to improve its efficiency and profitability. It could involve
dismantling and rebuilding of areas within a corporation, requiring the special attention from the
management and directors. This is because corporate structure goes hand-in-hand with corporate
governance as the 'critical enablers' for corporations to meet their strategic goals. The purpose of
the study was to determine the extent of Corporate Restructuring at NHIF and the challenges
faced in implementation of corporate restructuring at NHIF.The study adopted a case study
research design; line managers at the headquarters were targeted and interview guide questions
were used to gather data on implementation of corporate restructuring of the case study. Data
were analyzed by content analysis and expressed in terms of narratives. The study found out that
the corporation encountered challenges on practical operation of magnetic swipe cards in rural
areas, service providers were co-charging members and there was lack of proper information to
stakeholders on NHIF operations. Limitations of the study included the corporation's strict
policy on outflow of information that could not allow free flow of strategic information from
respondents. Further research was recommended in other corporations that have not had good
results with restructuring within the Public Sector. Probably by so doing, the conclusions of the
study would help in establishing other challenges faced in implementation of corporate
restructuring. This study focused on NHIF as a unit of study by design. It was therefore
suggested that a study on the experiences of a number of restructured firms in the Ministry of
Health would shed more light on challenges faced in implementing corporate restructuring
strategy.
Citation
Master Of Business AdministrationPublisher
University of Nairobi