Effects of Strategic Change Management Practices on Performance in the Telecommunication Industry in Kenya: Case of Telkom Kenya Limited

Abstract

The benefit strategic change management is to effectively utilise the available human resources and technology to attain a competitive advantage in the industry. Strategic change management seeks to make sure that people comprehend and embrace changes more readily since they understand the benefits linked to such changes. In a similar manner, through strategic change management, the organization is able to design an innovative vision and to come up with effective strategies of realising the vision. Telkom Kenya Limited has been implementing a number of strategic changes with an aim of increasing efficiency and to achieve and maintain competitiveness in the industry. This has been achieved through adoption of modern technologies, formation of strategic alliances, learning culture, and product reengineering. This study therefore sought to determine the effect of strategic change management practices on the performance of the company. The study specifically sought to determine; the effects of technological adoption, strategic alliances, learning culture and product reengineering on the organisational performance of Telkom Kenya Ltd. The study informed by The Balanced Score Card Model, Change Theory and Resource Based View (RBV) Theory. The study used a descriptive research design. The target population was 207 employees of the company based at the headquarters out of which the researcher will sample 3 top management employees, 9 middle level employees and 30 lower level employees using 20% representativeness. The study used stratified sampling to group the employees into three categories; top management, middle level and lower level management employees. Simple random sampling was then applied in each stratum to select the participants. Primary data was collected using questionnaires and analysed using Statistical Package for Social Sciences (SPSS). Both descriptive and inferential analysis was used to analyse the data. Inferential analysis in form of multiple regression models was done to determine the relationship between the strategic change management practices and performance at Telkom Kenya Limited. The study findings indicated that technological adoption is a significant predictor organizational performance (B=0.52, P-value=0.01<0.05). The study also found out that strategic alliances significantly affects organizational performance (B=0.29, P-value=0.01<0.05). This indicated that adoption of strategic alliances is a significant predictor of organizational performance. The study further found that product/service reengineering had significant effect on organizational performance (B=0.17, P-value=0.03<0.05). This indicated that product/service re-engineering is a significant predictor of organizational performance of the company. The findings finally found that learning culture had significant effect on organizational performance (B=0.12, P-value=0.04<0.05). This indicated that learning culture is a significant predictor of organizational performance of the company. The R-squared for the regression model was 0.726. This implies 72.6% of the change in organizational performance of the company is explained by Technological adoption, Strategic alliances, Learning Culture, and Product/service reengineering. The study recommends the management of Telkom Kenya Limited and other sectors of the economy to enhance strategic change management to enhance perfo