Transformation of Government Departments into Parastatals and their effects on Organizational Performance: A Case of Kenya Forest Service

Abstract

Organizations are restructured to suit environments due to internal and external forces. Kenya Forest Service was formed to improve service delivery, increase performance and generate income to support itself. The Service has had challenges in its transition and envisioned performance and benefits are yet to be realized. Purpose of the study was to evaluate the effect of transformation on performance of Kenya Forest Service. The study was guided by the following specific objectives; to find out whether rewards affect organizational performance, to establish the effects of succession planning on organizational performance, to assess the effects of employee resistance to change on organizational performance and to analyze the impact of training and development on organizational performance. Descriptive research design was used for the study. The target population for the study was 407 employees of Kenya Forest Service. From the target population, a sample size of 122 respondents was selected through simple and stratified random sampling. The study used primary data collected using questionnaires with open and closed ended questions. Data was analyzed using descriptive statistics. The study revealed that rewards positively affect and inspire organizational performance. Outgoing officers were objectively involved in identification process of successors shown by a mean score of 3.719. In addition, outgoing officers cooperate with successors through mentoring as per mean score of 3.532. Study found out that resistance to change negatively affects organizational performance. The study concludes that while availability of funds and increments structure is used in awarding of pay, competence and performance should be considered. Further, human resources in KFS do not have visible programs to support smooth transition on succession. The study concludes that training assists employees in KFS to perform their roles better. The study recommended that KFS should improve allowances and salaries to motivate staff to improve quality of service delivered. In addition, Human Resource department should have visible programs supporting smooth transitions for succession.