Strategy implementation at Madison insurance company Kenya limited
Strategy implementation is so critical in creating and sustaining competitive advantage in the business environment. In today’s turbulent and competitive environment, there is an increasing recognition of the need for more dynamic approaches to formulating as well as implementing strategies. Implementing strategy is tougher and more time-consuming than strategy-making. Each implementation situation occurs in a different context, affected by different factors such as business practices and competitive situations, work environments and cultures. Strategic management process is divided into three phases/segments, that is, formulation, implementation and control. The main critical phase of strategic management process is the implementation stage, (translating strategic thought into organizational action). Strategy implementation is concerned with how the choices will be put into effect and how to manage changes required in the process. Strategy implementation therefore is a crucial phase because it unites the organization between formulation and evaluation. The study was investigating the strategy implementation at Madison Insurance Company Kenya Limited to establish the Focus Strategy and determine challenges encountered by Madison in implementing its strategies. The findings of this study will contribute to building the existing body of knowledge in strategic management and specifically on strategy implementation. A case study of Madison was carried out. It involved an in-depth investigation of the phenomenon of strategy implementation. To obtain primary data, which was qualitative in nature, four senior managers and two departmental heads were interviewed by use of interview guides administered through interview and discussions. Secondary data was obtained from management information system, internet and printed records. Data was analyzed in accordance with the objectives of the study using content analysis method. The results revealed the company’s Focus strategy and challenges of strategy implementation at Madison. It is recommended that all employees need to be stakeholders in the future direction of the organization. Their daily performance and activities should be measured along the specific milestones and core values identified by the business plan. In addition, Madison should link the performance management system to the strategy that needs to be developed for the company. There were limitations of the study. First, some of the responses were likely to be biased due to the fact that the informants who were interviewed were the actual people involved in strategy implementation. This is like asking for a self-evaluation. Second, there was a constraint of availability of informants due to engagements such as leave of absence, training, or fieldwork. Some potential informants, being busy top level executives, were not available within the time frame of the research work. Further research is suggested to survey strategy implementation across several insurance firms to support strategy implementation.