SCHOOL OF POST GRADUATE STUDIES

MASTER OF BUSINESS ADMINISTRATION PROGRAM

Course Title: Operations Management

Course Code: BA-632

Title of the Reviewed Article ፡ Effect of Organizational Structure on Strategy

Implementation: A Case Study of Safaricom Kenya Ltd

Section 10 Individual Assignment

Prepared By: Hailegebreal Minda

ID No: MBA/698/14

Summited to: Debebe A. (Asst. professor)

January 2022

Addis Ababa, Ethiopia

Title of the Article: Effect of Organizational Structure on Strategy Implementation: A Case
Study of Safaricom Kenya Ltd

Authors of the article: Ruth Moraa and Jared Deya (2019) Effect of Organizational Structure on
Strategy Implementation: A Case Study of Safaricom Kenya Ltd. Volume3, ISSN 2518-2374.
International academic journal of human resource and business administration.

INTRODUCTION

Strategic planning is a comprehensive stream of activities which organizations carry out to

achieve its set goals. This is a challenge for strategic management that consumes a lot of time
and resources because it requires changing strategic plans into activities and outcomes thus
measuring a manager’s capability to change an entity, inspire employees, establish and reinforce
organization proficiencies and capability to compete, build and foster an office environment that
support strategy, and organizational targets. The factors emerge from the fact that
implementation of strategic plans involves assessing what an organization will have to do in
another way: assuming its specific operational procedures and organizational conditions,
executing an entire strategy to achieve the embattled monetary and strategic performances.

1. Purpose of the article

The objectives of the reviewed article are to investigate the effects of structure formation on the
implementation of organizational strategic plans in a case study of Safaricom Kenya Limited.
Specifically, the purpose of this article is aimed to explore and assess the effect of functional
structure on strategy implementation and to determine how divisional structures affect strategy
implementation in Kenya, Safaricom. Similarly, the objectives of the research article are to
establish how matrix structures affect strategy implementation and to determine how centralized
structures affect strategy implementation at Safaricom in Kenya.

2. Summary of the article

This research study is tried to fill gaps about challenges in implementing strategies and none of
them focused on the effects of organizational structure on strategic implementation of plans and
goal setting by the organization with strong communications. The research article has assessed
theoretical frameworks and concepts about strategic planning and organizational structures.
Formulation of Strategies and plans is not the only means to achieve organizational objectives
and goals. However, project and organizational goals can be successful with the effective
implementation of strategies. Research studies have revealed that poor communication skills,
lack of commitment with employees and managers, environmental changes, insufficient
resources, and poor planning among the organization are considered the major reasons for
unsuccessful strategic planning and organization goals. The study also established various
reasons why strategic plans are not fully implemented which include poor planning, insufficient
resources, poorly defined objectives, environmental changes, poor communication skills, and
lack of employee and managers commitment.

The results of the research article demonstrated that the implementation of strategies and plans
has been affected by functional structures in a given organization. The findings of the study also
indicate strategic implementation and structural division have a positive relationship. It is also
indicated that strategic implementation has been affected by centralized structures. Based on the
results of the study the author of the article recommends that policymakers and organizational
managers should employ key staff who have experienced adequate training in various areas of
information technology and strategic planning.

3. Author methodology

The authors of this article are applied a quantitative research approach and descriptive research
design to investigate the effects of structure formation on the implementation of organizational
strategic plans in a case study of Safaricom Kenya Limited. The study is collected data from 243
sample populations to achieve the research objectives. The author has also targeted employees in
different departments including, finance and accounting, customer operations, sales and
marketing, Human resources, and corporate affairs. The researcher has collected primary data
with the help of a close-ended questioner. The results of the study are analyzed with descriptive
statistics and the data is presented through tables. Regression analysis is the main research
analysis of both the dependent and independent research variables under the reviewed articles.
Generally, in the research methodology parts of the article, the researcher has applied a
quantitative research method to meet the research objectives. The writers specifically sought to
assess the effect of functional structure on strategy implementation at Safaricom Kenya Ltd, to
determine how divisional structures affect implementation of strategic plans at Safaricom Ltd
Kenya. The papers used a descriptive research design where the target population comprised of
243 Safaricom employees. Stratified sampling was adopted to select 72 employees. Data was
gathered with use of questionnaires. Both Descriptive and inferential statistics helped the
analysis of the findings and give recommendation.

4. Critical analysis and presentation

The main purpose of this reviewed article is to explore and assess the effect of functional
structure on strategy implementation and to determine how divisional structures affect strategy
implementation. In the reviewed article the reviewer forwarded the strengths and limitations of
the research study. In the literature, the author has formulated the theoretical frameworks such as
the theory of stakeholders and resource-based view theory and the researcher has shown the total
population and sample size of study participants under the problem being investigated. In terms
of research methodology, the author has applied a quantitative research design and primary data
sources are utilized. In this reviewed article the researcher has also clearly put research
objectives, and research statements and based on the results of the research the author has
forwarded recommendations to further research and policy formulation.

However, the author of the research study has limited utilizing both qualitative and quantitative
research design to investigate the effects of organizational structure on strategy implementation
in the selected research areas. The researcher has applied only a quantitative research approach.
But, the quantitative research method is not providing comprehensive research data, and results
are limited to understanding the context of participants. In terms of the theoretical and
conceptual as we as empirical frameworks of the article the researchers have not clearly
articulated separately. The researcher did not articulate dependent and independent research
variables in the reviewed article. The author has not provided reasons for the selection of study
participants and has not provided sampling techniques on how to select research participants.

5. Critical analysis of Conclusions

The author of this article concluded that human resource competence had a negative effect on
strategic implementation in a given organization like Safaricom. However, financial resources,
knowledge management, and cost efficiency competency had a positive and significant impact
on the implementation of strategies and plans in organizational structures. Generally, from this
reviewed article, I have learned lessons about how to identify and understand the central themes
and concepts of a given article. I have also learned about how to critically review a research
article and journals and evaluate those articles based on the findings of previous studies. The
major issue that I have learned from this reviewed article is the effects of strategic
implementation on private and governmental organizations.
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