Thesis:
Influence of strategic control on the performance of electricity distribution companies in Nairobi county Kenya

Abstract

Major strategic choices regarding the distribution and use of resources in public entities form the foundation for investments that can lead to long-term success and growth. However, electricity distribution companies in Nairobi County, Kenya, face numerous challenges, including subpar services and inefficiencies that waste significant public funds. These companies are under increasing pressure to deliver better services equitably and transparently. The Electricity Distribution Companies in Nairobi County Performance Assessment Report (2020) indicated that despite possessing some of the most dynamic controls in the region, these companies consistently perform poorly in service quality and public satisfaction. This study aimed to examine the influence of strategic control on the performance of electricity distribution companies in Nairobi County. Specifically, the research sought to assess the influence of strategic surveillance, special alert control, premise control, and implementation control on organizational performance. Theoretical frameworks underpinning the study include control theory, modern portfolio theory, and systems theory. A descriptive research design was employed, targeting a population of 62 staff members involved in strategic management within the electricity distribution companies. Given the small population size, a census approach was utilized, ensuring that all 62 employees participate in the study. Data collection occured via structured questionnaires, and data analysis utilized SPSS version 26.0, employing both descriptive and inferential techniques. After data cleaning and coding, descriptive statistics such as means, standard deviations, and frequencies were calculated, followed by Pearson correlation analysis to explore relationships among study variables. The effect of strategic control on performance was examined using multiple linear regression, with results interpreted at a 5% significance level. Findings were presented through tables, aiming to provide insights that can positively impact various industries and demographic groups. The results are expected to help electricity distribution companies understand the necessity of strategic controls to ensure effective implementation of developed strategies. In the analysis chapter, the study reveals strong positive correlations between strategic control dimensions and overall performance, emphasizing the importance of strategic surveillance in adapting to dynamic environments and special alert controls for crisis management. Premise control also significantly impacts operational efficiency. The performance assessment indicates areas for improvement in project management and stakeholder engagement, underscoring the need for enhanced internal practices. The conclusion drawn from the findings highlights the critical role of strategic control in shaping the performance of electricity distribution companies. Recommendations include enhancing strategic surveillance practices, strengthening crisis management protocols, improving employee engagement, and conducting further research to explore the long-term effects of strategic control on performance outcomes. This study provides a comprehensive understanding of the significance of strategic control mechanisms in the electricity distribution sector and serves as a resource for stakeholders aiming to improve service delivery and organizational effectiveness.

Cite this Publication
Gachau, A. N. (2024). Influence of strategic control on the performance of electricity distribution companies in Nairobi county Kenya. Mount Kenya University. https://erepository.mku.ac.ke/handle/123456789/7635

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Mount Kenya University