Strategic Orientation and Organizational Performance: Evidence from Rotary Clubs in Kenya

Abstract

Rotary Clubs are crucial for attaining social and economic development and changing people's lives in Kenya. The survival of Rotary Clubs is therefore important to social economic development in Kenya. A not-for profit organization, Rotary International sets the general framework for Clubs to operate in. Strategies adopted at the international and local level influence the organizational performance of Rotary Clubs. The past ten years has seen dissolution of several Rotary Clubs in Kenya for poor performance. The aim of the current study was to examine the effect of strategic orientation on the organizational performance of Rotary Clubs in Nairobi City County. The study was based on the resource-based theory, the dynamic capability theory, institutional theory, and resource dependency theory. The study adopted a descriptive cross-sectional study design to simultaneously investigate the research questions. A sample size of 314 selected from a total population of 1729 Rotarians from 41 Rotary Clubs in Nairobi City County. Sampling was done using proportionate stratified and random sampling techniques to ensure all Rotarians had an equal chance to be selected. Primary data was collected using semi-structured questionnaires and key informant interviews and the results were analyzed using quantitative and qualitative analysis techniques. Secondary data was collected from journals, articles and reports from Rotary Clubs, District 9212 and Rotary International. Thematic interpretation of the qualitative data was done, and this data was used to supplement interpretation of quantitative data. The study findings revealed that strategic learning orientation, strategic technology orientation, strategic entrepreneurial orientation and strategic market orientation all influence organizational performance of Rotary Clubs in Nairobi City County. The study recommends that Clubs should provide training opportunities to help create awareness and foster a positive attitude towards the role of research and development that incorporates technology. This in addition to creating forums for members to share experiences and leverage technology to improve performance of Clubs to increase their contribution to local economies.