MJAMR

Strategy, Organizational Structure, Resource Allocation and Firm Performance Among Medium Enterprises in Uganda

Alex Irumba, Victor Mugabi, Dr Ariyo Gracious Kazaara


Abstract

This study examined the relationship between strategy, organizational structure, resource allocation and performance among medium enterprises in Uganda. The objectives were; examine the relationship between strategy and firm performance; organizational structure and firm performance; resource allocation and firm performance; mediating effect of resource allocation in the relationship between strategy, organizational structure and firm performance; and examine joint effect of strategy, organizational structure and resource allocation on firm performance. The study was a cross-sectional research design along with a quantitative research approach. This study used a sample of 80 top-ranked medium enterprises in Uganda from a total of 100. Primary data was obtained from finance officer, executive manager and 3 heads of department of finance, marketing and operations using organizational structured questionnaire instrument. Validity of this tool was determined using expert judgment and CVI. Reliability of the tool was determined using Cronbach Alpha Coefficient and a mini-survey. Data was analyzed using SPSS version 25 and Med-Graph. Results were presented using frequency tables and inferential statistics. The study found a positive relationship between strategy and firm performance. Also, this study obtained a positive relationship between organizational structure and firm performance. It was established that resource allocation is positively correlated with firm performance. Strategy, organizational structure and resource allocation were significant predictors of firm performance. This research found that strategy was the most significant predictor. Resource allocation was a partial mediator in the relationship between strategy and firm performance and a full mediator in the research.miu.ac.ug/publications 1219 METROPOLITAN JOURNAL OF SOCIAL AND EDUCATIONAL RESEARCH ISSN: 1813-4270 Vol. 2 Issue 4, July - 2023, Pages: 1219-1249 relationship between organizational structure and firm performance. The study concludes that strategy, organizational structure and resource allocation are indispensable in firm performance. This research recommends; adopting a clear strategy, organizational structure and intensifying resource allocation to stimulate firm performance.

Keywords

strategy organizational structure resource allocation and firm
Metropolitan Journal of Academic Multidisciplinary Research

Cite This Article

Alex Irumba, Victor Mugabi & Dr Ariyo Gracious Kazaara (2023). Strategy, Organizational Structure, Resource Allocation and Firm Performance Among Medium Enterprises in Uganda. Metropolitan Journal of Academic Multidisciplinary Research, 2(7). https://journals.miu.ac.ug/pages/article.php?article_id=1010

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