EFFECTS OF STRATEGIC CHANGE MANAGEMENT ON PERFORMANCE OF SELECTED GOVERNMENT OWNED ENTITIES IN MOMBASA COUNTY

Abstract

The study set out to establish the effect of strategic change management on organizational 
performance of government owned entities. The study specific objectives are to examine the 
effect of strategic leadership change on organizational performance in government owned 
entities in Mombasa County; to investigate the effect of strategic cultural integration change on 
organizational performance in government owned entities in Mombasa County; to determine the 
effect of strategic corporate communication change on organizational performance in 
government owned entities in Mombasa County and to examine the effect of strategic resource 
allocation change on organizational performance in government owned entities in Mombasa 
County. This study was anchored on the following theories; Strategic Leadership theory,
Resource-Based View theory, Strategic communication theory, Schein‟s Model of 
Organizational Culture and theory of performance. The population of this study was the 47 
government owned entities in Mombasa County and the target population for the study was made 
up of 141 managers comprising of senior managers, heads of department and line manager. A 
modified Likert scale questionnaire was developed and divided into three parts. A pilot study 
was carried out to refine the instrument. The quality and consistency of the study was further 
assessed using Cronbach's alpha. Data analysis was performed on a computer using Statistical 
Package for Social Science (SPSS Version 25) for Windows. Data was presented in form of 
means, standard deviation, percentages and tables. Results show that considerable number of 
parastatals had strategic leaders who motivated employees toward organizational goals; 
parastatals maintained strong cultural integration and those employees from different 
departments in the parastatals shared a common perspective. Most of the government owned 
entities had strong corporate communication strategy in place which assets make organizations to 
run successfully and distributing these assets to an organization ought to be done carefully which 
distributing assets can be intense, but an organization can procure the assets they require suitably 
through cautious practice. The study concludes that strategic leadership change, strategic cultural 
integration change, strategic corporate communication change and strategic resource allocation
change all had a positive effect on performance in government owned entities in Mombasa 
County. Therefore, this study recommends that Government owned entities (parastatals) must 
have strong visionary strategic management in place, also they must adopt organizational 
learning systems, upon which their culture should be founded; strong policies must also be
instituted to support this development, further the employees must be fully sensitized on 
organizational core values. Government owned entities should continuously seek to strengthen
their communication strategies and that, it‟s important to ensure that budgetary allocation was
well forecasted, disbursements should be made timely.