INFLUENCE OF STRATEGIC EVALUATION ON OPERATIONAL EFFICIENCY OF NATIONAL SOCIAL SECURITY FUND IN KENYA

Abstract

This study evaluated the influence of strategic evaluation on operational efficiency in the National Social Security Fund in Kenya. The specific objective was to determine the influence of risk mitigation on operational efficiency of the organization. The study adopted the value chain and Mintzberg theories. The study used descriptive research design where target population comprised of 74 NSSF managers. Census method was adopted. The collected data using structured questionnaires were coded and analyzed using SPSS Version 21. Various statistical measures including frequencies, percentages, means, standard deviations, correlation analysis and regression analysis were applied. Research hypothesis was tested at 95% confidence level. The study findings were presented using tables. It was established that risk mitigation (r = 0.557; p < 0.05) was positively, moderately and significantly related to operational efficiency of the NSSF. Strategic evaluation characterized by risk mitigation explained 31.0% of operational efficiency at the pension fund. The null hypothesis were rejected. The study concluded that mitigating risks was likely to result in improved operational efficiency of the pension scheme. The study recommends that the NSSF should always have in place a sound risk identification system. The study recommended that as part of their strategic evaluation, the management of this pension fund should put great emphasis on how pertinent risks should be mitigated in order to enhance efficiency of operations at the organization.