The Effect of Strategic Management on the Non-Financial Performance in Non-Governmental Organizations: A Case of the Non-Governmental Organizations in Kenya

A Research Project Report Submitted to the Chandaria School of Business in Partial Fulfilment of the Requirement for the Degree of Masters in Business Administration (MBA)The major purpose of the study was to examine the effect of Strategic planning on the organizational performance of Non-governmental organizations. Using the data from the Non-governmental organizations, the study examined how strategy management affect the non-financial performance of non-organizational organizations. The study focused on the demographic data, job position and the duration of employments. The specific objective was; to establish whether strategy formulation affects the non-financial performance of the non-governmental organizations; to establish whether strategy implementation affect the non-financial performance of non-organizational organizations and to establish whether strategy evaluation affect the non-financial performance of non-organizational organizations. The scope of the study covered the local and international Non-governmental organization in Kenya as recorded in the Non-governmental database. This body of organizations constituted the population of the study. The study investigated three independent variables (Strategy Formulation, Strategy implementation and strategy Evaluation) against the dependent variable – non-financial performance. A descriptive study design was used whereby the research instrument applied was a questionnaire. This was necessary because the data collected was quantitative in nature. The target population will be drawn from twenty Non-governmental organizations in Kenya and will consist of 20 top management, 30 middle management staff and 40 operational staff of non-governmental organizations. The study was stratified random sampling due to the heterogeneous nature of the target population. A sample size of 64 respondents shall be used. A specifically designed structured questionnaire was the tool used to collect primary data for this study. The data, after collection, was analysed using descriptive statistics including frequencies and percentages for easier interpretation. Pearson correlation and regression analysis were then used to show how the independent variables influence the dependent variables. The data was thereafter analysed using the Statistical Package for Social Sciences (SPSS) Software. The findings were presented using Tables, figures and charts. The study variables (Strategy Formulation, Strategy Implementation and Strategy Evaluation) contributed to the improved Non-financial performance of the NGOs from the study. This study has concluded that Strategic management practices significantly influence the non-financial performance of non-governmental organizations. The study established that non-governmental organizations should therefore use the strategic management process of strategy formulation, strategy implementation and Strategy evaluation. The study recommends that the non-governmental organizations should carry out strategy formulation, strategy implementation and strategy evaluation for optimal non-financial performance. The study proposes use of strategic leadership to ensure that the employees are away of the importance of the organizational strategies. The study further recommends continuous improvement in the strategy formulation, strategy implementation and strategy evaluation methods used by organizations