Companies are faced with turbulent and chaotic business environment which has a significant effect on organizational performance. Notably, majority of organizations are unable to effectively manage operations/processes in the face of the changing organizational management, which has had an impact on their competitiveness. In Kenya, there are a number of companies that have either collapsed or stagnated as a result of their inability to manage change and adopt a suitable organizational management effectively. The purpose of this study was to establish the effect of organizational management, in the context of change management and performance of companies listed in NSE in Kenya. The theories that underpinned the study were; three-step change theory, open systems theory and industrial organization economics theory. The study objectives sought to assess the effect of organizational management on performance of companies listed in NSE. A cross sectional survey design was used on 64 companies listed in the NSE in Kenya. The sample size was 38 companies from (2013-2017) as at 30th June, 2017. Purposive sampling technique for 4 senior managers namely, Chief Executive Officers, divisional heads in Human Resource, Finance and Marketing in the listed companies in NSE were targeted with a sample size of 152 managers. Pilot study was conducted on 15 respondents and reliability coefficient(r) was above the recommended threshold of 0.7.The study used five point Likert Scale to measure change management and performance. Secondary data was obtained from published sources and primary data from the semi-structured questionnaire. The analysis comprised descriptive statistics, Pearson’s correlation, hypotheses testing and regression analysis using ANOVA Descriptive statistics analysis assessed that there was a positive effect of organizational management on performance of companies listed in NSE to a large extent. There was a significant moderate positive correlation between organizational management and performance of companies. The null hypothesis was rejected and the alternative hypothesis was adopted. The regression showed that there was a significant positive relationship between organizational management and performance of companies. The study concluded that there was an effect of organizational management, in the context of change management and performance of companies listed in NSE. The study recommended that managers should get recent and relevant information that exists to ensure that wastage of resources is minimized. Further studies may re-look at the role of both middle and lower level employees as regards organizational management in the organization.
Abbah, M. T. (2014). Employee Motivation: The Key to Effective Organizational Management in Nigeria. IOSR Journal of Business and Management, 16 (4), 01-08.
Abiro, M. A. (2013). Effect of Employee Motivation on Organizational Performance. Acta de Gerencia
Ciencia, 1(3), 17-27.
Ali, F., & Recep, B. (2012). Yes, Dividends are disappearing: Worldwide Evidence. Journal of Banking
and Finance, 36 (3), 662-667.
Adelegan, O. J. (2008). Can a Regional Approach Accelerate Stock Market Development? Empirical
Evidence from Sub-Saharan Africa. IMF Working Paper 08/281, Washington: International
Monitory Fund.
Aremu, M. A., & Oyinloye, O. O. (2014). Relationship between Strategic Management and
Firm’s Performance in Nigerian Banking Industry. Kuwait Chapter of Arabian Journal of
Business and Management Review, 4(3), 28-41.
Bandura, A. (1986). Social Foundations of Thought and Action: A Social Cognitive Theory. Englewood
Cliffs, NJ: Prentice Hall.
Basted, M. N. (2004). Open Systems Theory. Michigan: University of Michigan.
Basu, K. (1993). Lectures in Industrial Organization Theory, Oxford: Basil Blackwell.
Bain, J. S. (1968). Barriers to New Competition, Cambridge, Mass.: Harvard University Press.
Barney, J. B. (2001). Is the Resource-Based "View" a Useful Perspective for Strategic
Management Research? Academy of Management Review. 26(1), 22-40.
Bertalanffy, L. V. (1968). General System Theory: Foundations, Development,Applications. New York:
G.Braziller.
Beshtawi, M., & Jaaron, A. (2014). Change Management in Telecommunications Sector: Managerial
Framework. Review of Contemporary Business Research, 3(1), 127-141.
Boohene, R., and Williams, A.A. (2012). Resistance to Organizational Change: A Case Study of Oti
Yeboah Complex Limited. International Business and Management, 4(1)135-145.
Burnes, B. (2004). Kurt Lewin and the Planned Approach to Change: Are Appraisal. Journal of
Management Studies, 41(2), 917-1001.
Burnes, B. (2004). Kurt Lewis and Complexity Theories: back to the future? Journal of Change
Management, 4(4), 309-325.
Bruce, M. (2010). Understanding Organizations: The Dominance of Open Systems Theory. International Journal of Organizational Behavior, 4(1), 256-261.
CMA. (2002). The Capital Markets (Licensing Requirements) (General) Regulations. Nairobi: Capital
Markets Authority.
D’Ortenzio, C. (2012). Understanding Change and Change Management Processes: A Case Study.
Unpublished Thesis: University of Canberra.
Fayol, H. (1949). General and Industrial Management. London: Sir Isaac Pitman & Sons.
Fauzi, H., Svensson, G., & Rahman, A.A. (2010). Triple Bottom Line as Sustainable
Corporate Performance: A Preposition for the Future. Sustainability, 2(5), 1345-1360.
Fishbein, M., Bandura, A., Triandis, H. C., Kanfer, F. H., Becker, M. H., & Middlestadt, S. E. (1992). Factors Influencing Behavior and Behavior Change. Bethesda, MD: National Institute of Mental Health.
Freeman, R. E., (1984). Strategic Management: A stakeholder Approach. Boston, MA: Pitman.
Gavrea, C., Kies L., & Stegerean, R. (2011). Determinants of the Organizational Performance: The Case of Romania. Management and Marketing Challenges for the Knowledge Society, 6(2), 285-350.
Gaye, D. (2017). World Bank’s Kenya Economic Update: Kenya’s Economic Outlook to Dip In 2017.
Gitahi, A. W., & K’Obonyo, P. O. (2018).The Relationship between Organizational Resources and Firm
Performance of Companies Listed on the Nairobi Securities Exchange. International Journal of
Economics, Commerce and Management, VI (5), 540-555.
Ghosh, S. & Mukhertjee, S. (2006). Measurement of Corporate Performance through Balance Scorecard. Overview Vidyasagar University Journal of Commer
In-Text Citation: (Ng’ong’a et al., 2019)
To Cite this Article: Ng’ong’a, A. E., Awiti, L., & Imbambi, R. (2019). Organizational Structure, in the Context of Change Management and Performance of Companies Listed in Nairobi Securities Exchange in Kenya. International Journal of Academic Research Business and Social Sciences, 10(2), 212–235.
Copyright: © 2020 The Author(s)
Published by Human Resource Management Academic Research Society (www.hrmars.com)
This article is published under the Creative Commons Attribution (CC BY 4.0) license. Anyone may reproduce, distribute, translate and create derivative works of this article (for both commercial and non-commercial purposes), subject to full attribution to the original publication and authors. The full terms of this license may be seen at: http://creativecommons.org/licences/by/4.0/legalcode