Strategic management process and performance of M.P. Shah hospital in Kenya
Abstract
The main purpose of the study was to determine the extent at which strategic management
process has been used by M.P Shah Hospital and how the use of strategic management
process has influenced the performance of M.P. Shah Hospital. This study was a case study
since the main purpose of the study was to establish the strategic management process used
by the M.P.Shah hospital to enhance performance for competitive advantage in Kenyan
health sector. Primary data was collected using interview guides, where the researcher
booked an appointment with each manager upon where interviews on strategic management
process was conducted using an interview guide. The study was target 6 managers from
different departments. The researcher used content analysis to analyze the data through
describing phenomena, classifying it and seeing how the concepts interconnect as was
indicated by the respondents. From the findings of the study, it is evident that M.P. Shah The
managers at M.P. Shah Hospital share a clear vision and mission with the hospital vision and
mission statement; the major changes from external environment that impacted on MP Shah
Hospital Nairobi included changes in technology, social, political and economic factors;
strategy is concerned with matching a firm‟s resources and capabilities to the opportunities
that arise in the external environment. The value and rareness of the resource capability
combinations a firm exploits play no role in determining its performance; decisions and
competitive moves that the organization had pursued in the recent past to optimize successful
performance; strategic management entails both strategic planning and implementation, and
is the process of identifying and executing the organization‟s strategic plan, by matching the
company‟s capabilities with the demands of its environment and relevant strategic plan is the
output that comes through the strategic management process and discipline that involves a
team approach encompassing all functional areas within affirm is to their organization. The
health industry is operating in an ever changing and increasingly competitive business
environment and hence apart from the strategies MP Shah Hospital Nairobi has employed,
the players in the industry should also consider the following strategic management processes
that have an effect on performance of the organization; crafting and implementing strategy
should be core to the organization and include all functional areas within the business;
strategy management process should include a clear set of long-term goals of the organization
and the objectives clearly stated at the end of planned activity; they state what is to be
accomplished by when and should be quantified if possible. The achievement of corporate
objectives should result in fulfillment of the corporation‟s mission. . From the results of the
study it is clear that MP Shah is an open system that interacts with its environment. It is
dependent on the external environment for its inputs and outputs. The external environment
poses both opportunities and threats forcing the management to come up with strategic
responses aimed at responding to those external factors. From the findings, it is apparent that
MP Shah Hospital has been responding to the challenges posed by changing environment by
undertaking various measures in order to remain competitive in the market: for instance by
paying great attention to the needs of the customer, restructuring, introducing new products in
the market and constantly updating with technological developments. It also validates the fact
that environmental change is inevitable and organizations which will not effectively cope
with this change will experience limited survival. The study concludes that strategic
performance process should be judged by the organization‟s performance.
Citation
Master of Business AdministrationPublisher
University of Nairobi