Challenges of Strategy Implementation Faced by Deposit Taking Savings and Credit Cooperative Societies in Bomet County, Kenya

Abstract

Strategy implementation is a set of decisions and actions that results in the translation of strategic thought into organizational action where an organization moves from planning its work to working its plan in order to achieve the set objectives. The Saccos in Bomet County cannot be left out of this major effort in achieving its objectives. Successful implementation is as critical and difficult as the strategic choice. It requires a firm to have a supportive culture, creating an effective organizational structure, redirecting marketing efforts, preparing budgets, developing and utilizing information systems, and linking employee’s compensation to organization. The objective of the study was to establish the challenges of strategy implementation faced by deposit taking Saccos in Bomet County. The researcher adopted descriptive survey research method which attempts to describe existing phenomena by asking individuals about their perception, attitudes, behavior or values. The study conducted a census study of the entire population which consisted of 10 deposit taking Saccos in Bomet County. The researcher used primary data, and the main instrument was an interview guide where face to face interview was conducted among the Chief Executive Officers or the departmental heads of the 10 deposit taking Saccos in Bomet County. The data was qualitatively analyzed using content analysis techniques in order to give in depth findings of the study, the information collected was analyzed and evaluated to determine its usefulness, credibility, consistency and adequacy. The study found out that there are various challenges facing Saccos in Bomet County while implementing strategy. The most significant ones were; unsound reward strategy, inadequate financial resources, unsupportive organization structure, culture of resistance to change, organization politics coupled with board members and directors characteristics, competition from commercial banks, technology change, government policies and procedures and lack of leadership from regulatory body (SASRA). Based on study’s conclusion the researcher recommended that; supportive structure be put in place, link employee performance to overall reward system, management to align structure to strategy and enhance effectiveness in communication, and the top management inclusive of the board members and directors to be involved and maintain focus during implementation process.