DECISION-MAKING STYLES AND ORGANIZATIONAL PERFORMANCE IN NAIROBI COUNTY

Abstract

The performance of an organization is defined by how effectively it achieves its objectives and goals while making efficient use of its resources. It reflects a company’s success, encompassing financial results, operational efficiency, customer satisfaction, and employee engagement. In the context of a rapidly changing business environment, maintaining high performance requires solid decision-making, strategic leadership, and a supportive organizational culture. This study explores the impact of decision-making styles on organizational performance within Nairobi City County, emphasizing the need for effective strategic leadership in today’s dynamic business environment. It highlights how decision-making processes, influenced by cognitive abilities and environmental factors, play a pivotal role in aligning organizational goals with managerial choices. The research employs descriptive methodology to examine a target population of 180 personnel across various departments, utilizing structured questionnaires to gather data efficiently. The analysis reveals a significant relationship between decision-making styles—specifically democratic and coaching approaches and improved organizational performance. With a regression coefficient of 0.320 for decision-making styles, the findings indicate that enhanced decision-making correlates with increased productivity, efficiency, and employee engagement. Notably, the democratic style fosters collaboration and open communication, while coaching emphasizes personal development, thereby enabling employees to reach their potential. These results support existing literature that underscores the benefits of participative leadership. The study advocates for institutionalizing democratic and coaching decision-making styles through training programs and feedback mechanisms to cultivate an inclusive, high-performing organizational culture. Ultimately, the insights derived from this research aim to provide a framework for improved governance and service delivery in Nairobi City County, contributing to the broader understanding of effective management practices in public organizations.