Role of Middle Level Management in Strategy Implementation among Insurance Companies in Kenya

Abstract

Middle level managers have a significant role in organizational strategic outcomes and happenings particularly that of implementation of strategy. Middle level managers collect and collate information, organising it intelligibly pursuant to matters relevant to organizational strategy making it the foundation for strategic decision-making. Middle level managers are able using their previous experiences to discern if their efforts are successful or not. The study was to establish the role of middle level management in strategy implementation among insurance companies in Kenya. Specifically, the study sought to establish the effect of championing alternatives, synthesizing information, facilitating adaptability and management of operational effectiveness on strategy implementation among Kenyan insurance firms.The study using the stratified random sampling technique achieved a sample population of 189 management staff in insurance companies in Kenya. To gather primary data, self-administered questionnaires were utilized. The validity of the research instruments was then checked using content and construct validity. Upon receipt of the responses from the questionnaire, the quantitative data as collated was analyzed with the help of descriptive statistic and represented, means, frequencies, standard deviations and percentages. The research established the relations between the dependent and independent variables by application of multiple regression analysis. The research similarly adopted the Pearson’s Product Moment Correlation. The outcomes were presented by the use of tables, graphs and in prose-form. The study found that communication and interpretation of strategies and organizational plans and objectives affected the strategy implementation in the organization to a great extent. The study found that evaluation of information provided affected the strategy implementation among insurance companies in Kenya to a moderate extent. The study found that supervision and monitoring of activities, plans, and work output improve productivity and efficiency in their organizations to a very great extent. The research further found that placement of resources in line with the needs affected the strategy implementation among insurance companies in Kenya to a moderate extent. The study concluded that championing alternatives (β=0.738, p=0.000<0.05) had the greatest effect on the strategy implementation among insurance companies in Kenya, followed by management of operational effectiveness (β=0.622, p=0.000<0.05), then synthesizing information (β=0.412, p=0.000<0.05) while facilitating adaptability (β=-0.539, p=0.000<0.05) had the least effect to the strategy implementation among insurance companies in Kenya. The study recommended that the middle level management be included in the planning process of the strategy. This move would significantly increase the chances of the success of strategies as it creates ownership and control of the process by the said middle level managers and cultivate a marked desire to see through the process to ensure the strategy succeeds. The study in addition recommends that certain elements of the implementation process should be highlighted with specific reference to communication of the strategy to all stake holders; recognition of the staff challenges during implementation and appreciation of the staff morale and motivation during the process. Middle level managers as bridges between operational staff and top management, including other stakeholders need as of necessity to be allowed direct access to the core organisational decision making personalities or organs in the organisation. This will enable them to obtain authoritative updates on issues raised by operations staff.