Organizational restructuring and organizational performance of selected commercial based Parastatals in Kenya.
View/ Open
Date
2025-05Author
Mohamed, Eynash
Munga, Jane
Kithinji, Moses
Type
ArticleLanguage
enMetadata
Show full item recordAbstract
This study examined the effect of organizational restructuring on the organizational performance of selected
commercial-based parastatals in Kenya. Guided by the Contingency Theory, the study utilized a quantitative
approach, collecting primary data from 85 senior management, 265 middle management, and 850
operational staff across ten commercial parastatals with the largest net profits in FY2022/2023. Stratified
random sampling ensured the representativeness of the sample, while structured questionnaires captured
data relevant to the research objectives. The findings revealed that organizational restructuring positively
influences performance by streamlining roles, enhancing decision-making, and improving operational
efficiency. The regression analysis showed strong relationships between organizational restructuring and
performance. The study's contributions include insights into the synergistic effects of strategic change
interventions and actionable recommendations for parastatal managers and policymakers. Limitations
include the study's focus on commercial parastatals in Kenya, reliance on cross-sectional data, and self-
reported responses, which were mitigated through rigorous methodological designs and diagnostics. The
study recommended longitudinal research to assess the long-term impacts of these interventions,
comparative studies across sectors, and further exploration of moderating factors such as organizational
culture and external dynamics. The findings provide valuable guidance for enhancing organizational
performance through well-planned and executed strategic interventions.
Citation
Mohamed, E., Munga, J., & Kithinji, M. (2025). Organizational restructuring and organizational performance of selected commercial based Parastatals in Kenya. The Strategic Journal of Business & Change Management, 12 (2), 908 – 922. http://dx.doi.org/10.61426/sjbcm.v12i2.3247Publisher
The Strategic Journal of Business & Change Management,
