Abstract:
The objective of the study was to investigate influence of organizational
structure on performance of Mobile Telephone Network Operators in
Kenya. Sub-variables used for the independent variable were teamwork
organizational structure, learning organization structure and boundary-less
structure. Performance of Mobile Telephone Operators in Kenya was
analyzed in terms of profit margins and market share. Structural
contingency theory was used to explain the relationship between
organizational structures on performance. Mixed methodology was used in
collecting and interpreting data. Primary data was gathered using self guided semi-structured questionnaires and secondary data was obtained
from published profit margins and percentages of market share obtained
from the companies` reports. Study population was 6,167 which included all
the employees in the Mobile Telephone Network Operators in Kenya and a
total sample size of 361 employees was obtained but 258 questionnaires were
filled and returned. Data analysis was done using descriptive statistics and
inferential statistics. The study hypothesis was tested at 95% confidence
interval and 0.05 α level of significance. Study H0 stated that: Organizational
structure does not positively influence performance of MTNOs in Kenya.
Goodness of fit model demonstrated that organizational structure had a
positive influence on organizations’ performance of MTNOs accounting for
16.4% of the performance (R squared = 0.164). The study concluded that
there was a statistically significant influence of organizational structure on
organization`s performance therefore rejecting the null hypothesis H0 at β =
0.405 and P = 0.000.
