Challenges to strategy implementation at Madison Insurance Company (K) limited.

Abstract

This research was designed to investigate into the challenges to strategy implementation at Madison Insurance Company of Kenya Limited. The study sought to achieve one objective: to determine challenges to strategy implementation at Madison Insurance Company of Kenya Limited. To achieve this objective, the study was carried out through interviews using an interview guide in which Divisional Managers, Branch Managers, and Regional Managers were targeted. The findings of the study showed that the company adopts formal strategic planning in coming up with its strategies, hence all aspect in the process were carried out. These include strategy formulation, implementation and evaluation and control. The responsibility of formulating strategy at the company was mainly carried out by the top management team with some exceptional involvement of branch managers, heads and departments, and regional offices. The findings also showed that the company adopts different ways in implementing its strategy. These range from training, new product developments, up to and including organizational structural changes among others. Strategy reviews were found to be carried out monthly and then quarterly. In implementing the strategy, it was however found out that the company faces a number of challenges. The challenges that were pointed out by the respondents include aspects of organizational culture and structure, high degree of staff turnover, ineffective communication, inadequate resources, skills, resistance to change, lack of team work, and a very competitive business environment among others. These challenges range from institutional, behavioral, internal and external.