CHALLENGES OF IMPLEMENTATION OF STRATEGIC PLAN ON ORGANIZATION PERFORMANCE

Abstract

The study aimed to examine challenges of implementation of strategic plan on organisation performance at Selian Lutheran Hospital. The following specific objectives guided the study: to determine whether financial resources hinder strategy plan implementation, find out if communication of strategy is a challenge to strategy plan implementation, and examine whether top management is an obstacle to strategic plan implementation. Theories employed are Resource-Based Theory and Power Theory. The study adopted a Descriptive research design and mixed research approach was used. A total population was 237 staff while the sample size was 70 staff. A convenient sampling technique was used. Data collection methods involved Interview which involved interviewing 8 Hospital Management Team and Questionnaires for 53 middle level staff and 9 lower level staff. Quantitative data was analyzed through descriptive statistics elements of frequencies and percentages with the support of SPSS for generating analytical data while qualitative data was analyzed through Thematic Method. The study findings confirmation that there are challenges on the financial aspect, communication and top management. Organisation culture and shortage of staff also emerged as challenges. The effects of these challenges on performance are, unattained of some annual objectives, re-planning of some activities, inability to purchase and maintenance of some machines, unsatisfactory quality service to customers in some areas, staff focusing on doing routine work, inability of some staff to make self-assessment in relation to the big picture of the Hospital. The researcher recommended the following measures to the Hospital Management; to increase sources of income generations units, staff to be well oriented on the Strategic Plan, distribute copy of Strategic Plan to staff and have a Swahili version. To enhance capacity building and motivation to staff. Ensuring staff are enough. Shaping the organisation's culture. The recommendation was also provided to the Hospital Board, Ministry of Health, ELCT, North Central Dioceses, and the ELCT Health Directorate. The researcher also provided further study areas to get additional input on the topic investigated.