Strategic change management and performance of National Social Security Fund (NSSF)

Abstract

The National Social Security Fund, like any other organization whether in public or private sector is affected by changes taking place in the environment in which they operate. It therefore becomes crucial for organizations to prepare themselves by formulating strategies that will enable them to exploit opportunities presented by the environment. Planning and implementation of strategic change is, now a day-to-day management issue and must be managed skillfully for its benefits to be realized. The National Social Security Fund had been open to a lot of abuse in 1990s and newspapers were replete with stories of denied or delayed benefits to its members, misappropriation of scheme funds, questionable investments, and other problems that were to the detriment of its members. This forced NSSF to reassess it position and hence the need for strategic change process. The study sought to establish the reform management process at NSSF and what impact it has on its performance. The study involved collection and analysis of both primary and secondary data from various sources. The study found out that the change management process at NSSF is planned. A task force was appointed which carried out a sample survey of the business process, working relations, working tools and staff competences. Its findings were discussed and proposals were 'presented to the Board of Trustees. The external consultants were involved to help in interpreting the goals and the means for reaching them within set time frame. The approach therefore was top-bottom where change activities were decided at the top and passed down for -....• Vlll implementation. NSSF developed a clear vision and strategy which was critical for the success of the change program. Despite the constraints, change management at NSSF made considerable gains. The reform effort has resulted to a detailed manpower and succession planning which effectively addresses the future needs of the group and career development of individual employees. NSSF has opened membership to the self-employed and all other groups of workers in the informal sector. The other change initiatives include the introduction of diversified benefits which include funeral grant which is now payable to meet basic burial expenses of a deceased member, payment ofmatemity fees etc. With improvement of K'T, customer service has considerably improved with members now able to access their benefits from braches all the country and further, the claims settlement period has been reduced from 60 days to 21 days.