Strategic Change Management Practices Adopted by Savings and Credit Co-operative Societies (Saccos) in Kiambu County of Kenya

Abstract

Strategic change ensures that organizational change is planned and organized so that it produces minimum distraction of a firm. The objectives of the study were to identify strategic change management practices adopted by SACCOs in Kiambu County of Kenya and to establish challenges of strategic change. The research adopted a cross sectional survey design. A sample size of 55 was studied out of the entire population of 235 SACCOs registered under SASRA. Senior management, employees and members of the SACCOs were the respondents in this study. The source of data was primary data supplemented by secondary data. Data analysis was conducted using descriptive and content analysis. The researcher identified that the strategic management adopted were innovation, technology, diversification of products and services, environmental scanning and outsourcing of non-core competencies. Other practices adopted were cost leadership, effective communication, training, compliance with new regulations, change in financial policies and improved network alliances. The greatest challenges facing strategic change management are competition, developing competitive business models, diversification of products and services, high cost of investment in new technology, handling growing demand and non-remittance of loans from members. Additionally, SACCOs faced uncertainty, poor governance and human resource management challenges. The researcher recommends that SACCOs adopt policies and practices that create an accommodative environment to handle change. This includes aligning their organization culture, planning, good communication channels and compliance with regulations