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1/6/2016 1 EFFECT OF LEADERSHIP ON EFFECTIVE STRATEGY IMPLEMENTATION IN THE KENYA’S TOURISM SECTOR PUBLIC ORGANIZATIONS Presented at the EAMARC CONFERENCE 18-20 TH NOVEMBER, 2015 BY JULIANA KYALO

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Page 1: EFFECT OF LEADERSHIP ON EFFECTIVE STRATEGY · 2019-05-06 · 2 1/6/2016 EFFECT OF LEADERSHIP ON EFFECTIVE STRATEGY IMPLEMENTATION IN THE KENYA’S TOURISM SECTOR PUBLIC ORGANIZATIONS

1/6/20161

EFFECT OF LEADERSHIP ON EFFECTIVE STRATEGY

IMPLEMENTATION IN THE KENYA’S TOURISM

SECTOR PUBLIC ORGANIZATIONS

Presented at the

EAMARC CONFERENCE

18-20TH NOVEMBER, 2015

BY

JULIANA KYALO

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1/6/20162

EFFECT OF LEADERSHIP ON EFFECTIVE STRATEGY IMPLEMENTATION IN THE KENYA’S TOURISM SECTOR PUBLIC ORGANIZATIONS

The paper is part of my wider doctorate study on organizational determinants on effective strategy implementation in the Kenya's

tourism sector public organizations

Only one objective was used.

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1.0. TOPIC

Effect of Leadership on Effective Strategy Implementation in

Kenya’s Tourism Industry

1/6/20163

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2.0. BACKGROUND

1/6/20164

Effective strategy implementation is a generic problem

across all sector and organizations (public or private)

Effective strategy Implementation is a challenge in

government ministries and especially the parastatals

More than 50% of strategies fail to be implemented

Various factors have been attributed to this including:

poor leadership, resource allocation, poor communication,

organization culture, lack of information technology, etc

(Okumus, 2001;2008)

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Background contd…….

1/6/20165

These challenges have led to poor implementation of

strategies, some strategies not implemented and others

being abandoned altogether.

This has consequently resulted in poor service delivery,

increased internal inefficiencies and negative bottom line.

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3.0. Problem Statement

1/6/20166

Studies done on strategy implementation have

Shown different findings:

Schaap (2012) looked at the implementation of strategy in the gaming industry in US

Okumus (2001; 2008)studies were based on implementation frameworks for international hotels in UK

Adler, Brahm and Graham(1992) study compared implementation strategy between china and USA

Guth and MacMillan (1986) focused on strategy implementation versus middle management self-interest in USA

Globally, implementation is taken in different contexts and approaches-for manufacturing industry, NGOs, Private sector etc

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Locally Mbaka and Mugambi (2014) study was based on factors

affecting successful strategy implementation in the water sector

Kihanya (2013) study was based on challenges influencing the implementation of business strategies in the agriculture sector

Mbua ( 2013) was based on challenges in the implementation of performance contracting in Kenya

Kihara (2013) study was based on factors affecting the implementation of strategic performance measurement in the Kenya rural authority

None of the studies has addressed the determinants of strategy implementation in Kenya’s tourism industry and specifically in the tourism sector public organizations.

1/6/20167

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Studies in Tourism

Studies in tourism in Kenya have looked at;

Destination planning, training and education and well as product development and destination management (Mayaka & Akama, 2007; Zagonari,2009);

Wade, Wasanga and Eagles (2001) looked at market analysis in Tanzania

Ogutu (2013) looked at product development

None of these studies was based on the current study.

Parastatals achieved a mean score of 74% in the performance contract targets in 2013

Those in the ministry of tourism scored a mean score of 78% (GOK, 2013).

1/6/20168

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Organizational Leadership

1/6/20169

Organizational Leadership is considered as one of the key

determinants of effective strategy implementation

Organizational Leadership is crucial in all organizations

whether they are private or public, big or small

Organizational Leadership determines the strategic

directions of organizations and is therefore of essence

Organizational Leadership enhances effective

communication in an organization

It further enhances coordination of activities

(Cater and Pucko (2010), Lorange (1998) Eisenstat (2000)

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4.0. Significance of the Study

1/6/201610

4.1. Government-policy makers

4.2. Academicians

4.3. students

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5.0. Theories

1/6/201611

Implementation Theory

Stakeholder’s Theory

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6.0. Objectives

General Objective

The general objective of the study is to establish the

Effect of Leadership on effective strategy implementation

in the Kenya’s tourism sector public organizations

1/6/201612

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7.0. Specific Objectives

To establish the effect of leadership on effective strategy

implementation in the tourism sector public organizations

1/6/201613

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Conceptual Framework

1/6/201614

Effective Strategy Implementation

•Objectives realizations(Outcomes)

•Time

Organization Culture

•Norms, value, belief, vision

Resource Allocation

Financial, Human, Physical

Organizational Structure

•Functions

•Individual responsibilities

•Communication channels

Leadership

•Coordination

•Budget approval

•Strategic direction

Information Technology

Automation of business processes &

general infrastructure-ICT,data centre,

cabling

External Factors

•Government regulation and policies

•Industry competition

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Methodology

1/6/201615

1. Research Philosophy

positivist approach

2. Research Design

Descriptive and Explanatory research

3. Population and sampling Design

Target population

1224 Managers from 9 parastatals of the ministry of tourism

Sampling Frame

List from the HR department of each parastatals

Sampling Technique

Stratified random sampling in selecting the top management team

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1/6/201616

Sampling Size

A sample of 301 managers will be sampled for the study based on the formular by Yamane (2001)

N=N/[1+N(e2)

Data Collection

Questionnaires will be used in the collection of data to collect quntitative and qualitative data.

Will have both closed and open ended questions

Interview –CEO of each parastatals

Research Procedure

Introductory letter will be forwarded to respondents together with the questionnaires

Pick and drop method

Respondents will be assured of confidentiality

Pilot test will be done in one organization on the three levels of management

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1/6/201617

Validity

The study will apply both construct & content validity

Construct validity-the questionnaire is divided into several sections for each specific objective, closely ties to the conceptual framework

content validity- questionnaire will be subjected to thorough examination by ten randomly selected employees to evaluate the statements for relevance.

Reliability

Data Analysis

Descriptive analysis will be employed

Inferential statistics such as correlation analysis will be used

Information will be sorted, coded and input into the SPSS for production of graphs, tables, desriptive

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RESULTS (Based on objective 1)

1/6/201618

Effect of leadership on effective strategy

implementation

4.1.1 Age of the respondents

The ager distribution of the respondents was key for this

study, the age was sought in a bid to establish the opinion of

the respondents based on the age. The age is as presented

in figure 4.1

Figure 4.1 age of the respondents

0

5

10

15

20

25

30

35

40

25 and Below 26 - 30 Years 31 - 39 Years 40 - 49 Years 50 and Above

4.9

9.8

39.8

30.5

15

Perc

enta

ge

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Contd…..

1/6/201619

Figure 4.1 age of the respondents

Figure 4.1 shows that most of the respondents 40% were

within age bracket of 31-39 years. However, as presented

in figure 4.1, the results shows that all age bracket were

represented in the study and that all the people across

ages were given the opportunity to express their view on

determinants of effective strategy implementation in

Kenya’s tourism industry

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1/6/201620

4.1.2 Gender of the respondents

The study also sought to establish the views of the respondents in

relation to gender. The gender of respondents is as presented in

figure 4.2

Figure 4.2 Gender of respondents

47%

53%

Female Male

Figure 4.2 shows that attempted was made to balance the gender of the respondents.

The results shows that most of the respondents were males 53% and females

constituted 47%. This implies there the views of both gender are incorporated in the

study

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1/6/201621

4.1.3 Position of the respondents

This study targeted different cadre of people in the organization. The distribution of

the respondents by their leadership position is as presented in figure 4.3

Figure 4.3 leadership positions of the respondents

8.8

58.0

31.9

1.3

0.0 10.0 20.0 30.0 40.0 50.0 60.0 70.0

Top manager/Executive Management

Senior Manager/middle Management

Lower Management (section head)

line managers

Senior managers or middle management dominated the group of the

respondents who participated in the study. Figure 4.3 shows that other

respondent constituted top managers 9%, lower managers 32% and line

managers 1%. This indicates that there is representation of views from all

levels of management.

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1/6/201622

4.1.4 Education level of respondents

The study also sought to establish the education level of the

respondents. Their level of education is as presented in figure 4.4.

Figure 4.4 education level of respondents

.0

10.0

20.0

30.0

40.0

50.0

college certificate College Level University -

Undergraduate

University - Masters University - PhD

2.4

16.5

36.2

44.5

.4

As presented in figure 4.4, 45% of the respondents have master’s degree

as the highest level of education. They were followed by undergraduate

degree holders and college level of education at 36% and 17%

respectively. The rest constituted those with PhD degree and college

certificate course.

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1/6/201623

4.1.5 Number of years worked

Number of years worked indicate the level of experience for the

respondents, this study sough to establish the number of years of service

for the respondent as shown in figure 4.5

Figure 4.5 years of service for the respondents

30%

35%

17%

8%7% 3%

5 and Below 6 - 10 years 11 - 15 years 16 - 20 years 21 - 30 years 30 and above

Figure 4.5 indicates that most of the respondents 35% have worked for

a period of 6-10 years and 30% worked for less than five years.

However, 35% have worked for more than 10 years. This implies that

the responses from the respondents is based on many years of

working experience hence dependable opinions

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Table 4.1 Respondents’ opinion on the

leaders’ involvement with organization affairs

1/6/201624

Table 4.1 indicate that respondents had different opinion about their leaders in their organizations.

Variations in the percentages tied to particular objective shows that respondents rated their leaders differently.

On all the statements, 75% or the respondents agreed to the statement that the leaders encourage employees learning and growth. It was followed by 66% who agreed that leaders approve budget as well as 63% who also alluded that leaders constantly seek the advice from expert or consultants.

A T-Test was carried out to establish whether the mean differences are statistically significant. These results are as presented in table 4.2

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1/6/201625

Statement

Strongly

disagree

Disagree Neutral Agree Strongly

agree

% % % % %

The leadership motivates employees towards

achievement of organization set goals2.8 8.7 27.3 47.4 13.8

The leadership supports employees and inspires them

towards achieving organization strategic directions.1.6 7.9 29.2 48.6 12.6

The leadership Establishes

balanced organizational

controls

3.2 8.0 29.9 47.4 11.6

My leaders constantly seek experts'/consultants' advice .8 5.6 34.5 42.2 16.9

My leaders ensure proper co-ordination, individual

efforts for customer satisfaction8.3 26.9 47.8 16.6 .4

My leaders encourage employee learning and growth 2.0 5.5 17.3 49.2 26.0

My leaders ensure proper information flow over

strategies implementation4.5 13.0 26.0 45.5 10.6

The leadership matches rewards with performance 7.1 21.4 31.7 31.0 8.7

The leadership is innovative and competent in helping

the organization come up with new strategies.3.1 13.8 23.6 43.7 15.7

My leaders ensure timely approval of budgets 4.0 6.7 22.6 48.4 17.9

The leadership constantly seeks the advice of

experts/consultants.1.2 9.1 27.0 40.5 22.2

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Contd….

1/6/201626

Table 4.1 indicate that respondents had different opinion about

their leaders in their organizations. Variations in the

percentages tied to particular objective shows that

respondents rated their leaders differently.

On all the statements, 75% or the respondents agreed to the

statement that the leaders encourage employees learning and

growth. It was followed by 66% who agreed that leaders

approve budget as well as 63% who also alluded that leaders

constantly seek the advice from expert or consultants.

A T-Test was carried out to establish whether the mean

differences ate statistically significant. These results are as

presented in table 4.2

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Table 4.2 T-test on the role of leaders on strategy

implementation in tourist center in Kenya

1/6/201627

One-Sample Test

Test Value = 0

t df Sig. (2-tailed)

Mean

Difference

95% Confidence Interval

of the Difference

Lower Upper

My leaders motivate employees to achieve set goals 61.961 252 .000 3.609 3.49 3.72

My leaders support and inspire to achieve set strategic

directions66.985 252 .000 3.628 3.52 3.74

My leaders establish balance organizational controls

internally61.895 250 .000 3.562 3.45 3.68

My leaders match rewards with realization of set financial

targets46.346 251 .000 3.127 2.99 3.26

My leaders are innovative towards organization's new

strategies55.740 253 .000 3.551 3.43 3.68

My leaders are competent towards new organization's

strategies62.583 251 .000 3.734 3.62 3.85

My leaders constantly seek experts'/consultants' advice 68.753 248 .000 3.687 3.58 3.79

My leaders ensure proper co-ordination, individual efforts

for customer satisfaction70.219 252 .000 3.739 3.63 3.84

My leaders encourage employee learning and growth 68.647 253 .000 3.917 3.80 4.03

My leaders ensure timely approval of budgets 59.887 251 .000 3.706 3.58 3.83

My leaders ensure proper information flow over strategies

implementation53.810 245 .000 3.459 3.33 3.59

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Contd……

1/6/201628

Table 4.2 shows that all the statement were rated high by

the respondents on the various roles of the leadership on

strategy implementation.

This implies that leaders motivate employees to achieve

set goals, leaders support and inspire to achieve set

strategic directions, leaders’ helps organizations to have

controls internally, leaders match rewards with realization

of set financial targets, and leaders ensure proper co-

ordination, individual efforts for customer satisfaction.

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REFERENCES

1/6/201629

Pucko, D., & Cater, T. (2008). A holistic strategy implementation model based on the experiences of Slovenian companies. Economic and Business Review for Central and South – Eastern Europe, 10(4), 307-325.

Slater, S. F., & Olson, E. M. (2001). Marketing's contribution to the implementation of business strategy: an empirical analysis. Strategic Management Journal, 22(11), 1055-1067.

Raps, A. (2004). Implementing strategy. Strategic Finance, 85(12), 48-53.

Zaribaf, M., & Bayrami, H. (2010). An effective factors pattern affecting implementation of strategic plans. Academic and Business Research Institute.

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REFERENCES

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Lorange, P. (1998). Strategy implementation: The new

realities, in: Long Range Planning, 31(1), 18-29.