MANAGING CHANGE: A STRATEGIC APPROACH TO SUSTAINABLE PERFORMANCE OF FUND MANAGEMENT COMPANIES IN KENYA
Abstract
Statement of the Problem: Fund management companies in Nairobi City County primarily focus on traditional financial performance metrics while paying limited attention to environmental, social, and governance (ESG) considerations.
Purpose of the Study: This study aimed to assess the impact of strategic change management approaches on the sustainable performance of fund management firms in Nairobi City County, Kenya.
Research Methodology: The study adopted an explanatory research design, targeting 42 fund management firms with a total workforce of 252 employees in key functional areas. A sample of 156 respondents was selected using stratified random sampling. Data was collected through structured questionnaires and analyzed using descriptive statistics, correlation analysis, and multiple linear regression.
Results: The findings indicated that training, stakeholder participation, and effective communication significantly and positively influenced the sustainable performance of fund management companies. However, rewarding change champions did not have a statistically significant effect. Among the key factors, effective communication emerged as the most influential, underscoring the importance of transparency, clear messaging, and collaboration in sustainability efforts.
Conclusion: The study concludes that fund management companies seeking to enhance their long-term performance and competitiveness should prioritize structured change management strategies. Employee training, stakeholder engagement, and clear communication are crucial drivers of sustainable performance.
Recommendations: The study recommends that fund management firms develop comprehensive training programs to equip employees with sustainability knowledge, establish participatory stakeholder frameworks to foster inclusivity, and adopt clear and transparent communication channels to enhance change implementation.
Keywords: Managing Change, Strategic Approach, Sustainable Performance, Fund Management, Companies
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