The Effects of Availability of Resources on the Implementation of Turnaround Strategy at New Kenya Co-operative Creameries Limited

Abstract

This study investigates the effect of resources on the implementation of turnaround strategy at New Kenya Co-operative Creameries Ltd (NKCC). This study was guided by the stage and action theory with more emphasizes being given to stage theory. The study adopted a case study research strategy. Data was collected using questionnaires from 43 managers and management employees of New KCC selected from three branches (Nairobi, Limuru and Thika). The data was analysed quantitatively and the findings presented in frequency distribution tables and bar graphs. From the findings, the researcher found out that resources affected the implementation of turnaround strategies. The most important factors related to resources were inadequate training and instruction given to lower level employees; ineffective coordination of implementation activities; low competence, coordination, and commitment among human resources; inadequate leadership and direction provided by departmental manager; delays due to additional costs and instabilities during the process of change and; lack of enough raw material (resources). Interestingly, this study found out that lack of physical resources may not translate to effective implementation of turnaround strategies. There may be sufficient machinery and human resources in the various departments, however, there has to be competent managers to ensure efficient utilize of such resources. In light, it was deduced that there is need to align the physical resources that an organization has with competent human resources so as to effectively realize effective implementation of turnaround strategies. This study recommends that the most important resources to be acquired are competent personnel. This is particularly so since, the various aspects of the implementation of turnaround strategies need such personnel. As such, they should be well trained and suitable to carry out the various tasks needed to ensure that the strategies under their docket are well implemented. NKCC should also ensure that there is modern equipment and funds to facilitate the change management. Budgets should be reviewed regularly so as to ensure presence of adequate resources to sustain the implementation of turnaround strategies.