You either shape up or ship out, Kenyan firms told

From left-Africa Management Initiative (AMI) chairman Jonathan Cook, the Institute of Human Resource Management (IHRM) executive director Samson Osero and iSon BPO vice president-human resources Elijah Teya Sitimah during the launch of the Training Talent Report on June 16, 2016. PHOTO | SALATON NJAU (NAIROBI)

What you need to know:

  • “Across the board, the highest performing companies are the ones that tied their management and leadership programmes to clear business results. They embraced a new learning strategy away from the limited focus on courses studied,” they said.
  • The report said many companies complained of lack of effective managers and urged for a rethinking of the training curriculum.

A continental institute has advised Kenyan companies to embrace modern management and entrepreneurship strategies to ward off stiff competition from foreign firms.

The Africa Management Initiative (AMI), which conducted a year-long study jointly with the Institute of Human Resource Management, said companies must strive to be efficient and profitable by reducing wastage, maximising output by staff and ensuring their processes are cost-friendly.

In their report, Best Practice in Workplace Learning and Management Development in Africa, the two organisations said continued removal of trade barriers will usher in “highly versatile” companies that have perfected commercial practices.

“Across the board, the highest performing companies are the ones that tied their management and leadership programmes to clear business results. They embraced a new learning strategy away from the limited focus on courses studied,” they said.

Releasing the report in Nairobi, AMI Chairman Jonathan Cook challenged the government, academics and industry players to jointly initiate training programmes for managers and entrepreneurs to reverse the negative trend that continues to drain company profits.

IHRM Chairman Elijah Sitima said Kenyan workers with poor work ethics need to “urgently undergo training on the need to have passion” in their careers.

“The Kenyan government, universities and even companies are feeling the pressure to address the critical skills gaps. Shortage of qualified ‘people’ managers is having a negative impact on local businesses’ bottom line,” said Mr Cook.

The survey, which polled 136 human resource professionals in the country, said foreign companies established local subsidiaries to supervise various operations that were executed by their Kenyan employees.

The top foreign companies are mostly from China.

“Kenya cannot rely longer on these foreign companies who execute contracts and carry out various undertakings for their own commercial gain. This makes the emergence of locally competent managers more urgent than before since local companies must employ cost-efficient ways of doing business to weather the competition,” says the report.

Rethinking of training curriculum

Kenya is a key proponent of the East African Community and has been championing eradication of barriers to spur cross-border trade. This could see competition across all goods and services sectors land at every company’s doorstep.

Mr Cook said Kenya could fast-track the training of managers by formulating a programme that benefits from online and peer-to-peer training that blend with practical on-the-job coaching.

The report said many companies complained of lack of effective managers and urged for a rethinking of the training curriculum.

Mr Sitima said the unique business environment in Kenya needs ‘responsible managers who understand the need to introduce ‘green’ processes, mitigate political turmoil as well as take adequate measures to address inequalities by embracing corporate citizenship.

The study called for an urgent review of the education system in a bid to reverse the trend where graduates are unfit for employment as they lack skills on time management, interpersonal knowledge and the intrinsic call of duty that binds them to a company’s goals in terms of productivity and efficiency.

The survey noted that companies must recruit mangers who ensure proper utilisation of staff, eradication of duplicated roles as well as establishment of a productivity meter to check on individual, group and company achievements against set goals and timelines.

“Kenyan HR professionals say they want employees who take personal initiative, can work under severe stress and pressure, understand and play their part towards achieving the company mission as well as solve problems amicably without relying on higher authorities all the time,” it said.