The Moderating Role of Donor Policies on the Relationship Between Strategic Agility and Financial Sustainability of Advocacy NGOs in Kenya
DOI:
https://doi.org/10.47941/jbsm.3587Keywords:
Strategic Agility, Donor Policies, Financial SustainabilityAbstract
Purpose: This study aimed to examine the moderating effect of donor policies on the influence of strategic agility on the financial sustainability of NGOs in the advocacy sector in Kenya.
Methodology: The study utilised a mixed-methods research approach and adopted a cross-sectional survey design. The study’s target population was 11,176 NGOs in the advocacy sector in Kenya, using a sample size of 384 NGOs, based on the Taro Yamane formula. 305 responses were received and analysed. Researchinstrumentsincludedquestionnairesandchecklists used to triangulate responses from questionnaires.
Findings: From the first model, strategic agility had positive significant association ( B = .213, sig = .000< 0.05) with the financial sustainability of NGOs in the advocacy sector in Kenya. Wih the introduction of the moderator in model 2, stragic agility still had a positive significant association (B = .069, sig = 0.000< 0.05). Donor polices also had a significant positive association (B = .226, sig = .000< 0.05). In the third model with the introduction of the interaction term strategic agility had a positive significant (B = 0.069, sig = 0.000< 0.05), donor policies (B = 0.223, sig = 0.000<0.05); and the interaction between strategic agiglity and donor policies (B = 0.013, sig =.441> 0.05). Thus, the moderation of donor policies on the relationship between strategic agility and donor polices is not significant.
Unique Contribution to Theory, Policy and Practice: The moderating role of donor policies in the NGO sector have also not been widely studied, yet they largely influence the strategic decisions made by NGO management. The study therefore makes a contribution in providing a glimpse on the influence that donor policies can have on the long term survival of NGOs in Kenya and the developing world, in general.
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