The mediating role of succession planning on the relationship between strategic leadership and organizational performance of Kenya Airways

Abstract

In the dynamic business landscape of the 21st century, various industries, including the aviation sector, have undergone significant transformations due to technological advancements, intensified competition, and the unprecedented impact of events like the COVID-19 pandemic. Within this context, this research paper focused on the aviation sector, with the main objective of investigating the mediating role of succession planning in the relationship between strategic leadership and the performance of Kenya Airways. Specifically, this paper sought to examine the effects of strategic direction, resource utilization, organizational culture, and ethical practices on the performance of Kenya Airways. The research was grounded on The Resource-Based View (RBV) theory serving as the primary theoretical framework, complemented by Strategic Leadership theory, Upper Echelon theory, and Path-Goal Leadership theory. Adopting a pragmatic philosophical worldview, the study employed an explanatory sequential mixed-method research design. The target population consisted of Kenya Airways' top and middle management team, with a sample size of 88 participants determined through proportional stratified sampling and purposive sampling techniques. Primary data was collected through a semi-structured questionnaire and open-ended interviews, while secondary data was obtained from existing published financial reports of Kenya Airways spanning from 2013 to 2021. Confidentiality of the participants was strictly maintained, ensuring that the collected data was solely used for the purposes of this study only. Thematic analysis was the criteria adopted to analyze qualitative data. Descriptive and inferential statistics were generated for quantitative data with the aid of SPSS Version 25 software. The data underwent several diagnostic tests to ensure its suitability for analysis. The tests confirmed that the assumptions of linearity, multicollinearity, and normality were met, confirming the data's suitability for analysis. Regression analysis results revealed a positive and statistically significant relationship between strategic direction and organizational performance (p-value = 0.042), resource utilization and organizational performance (p-value = 0.002), organizational culture and organizational performance (p-value = 0.033), and ethical practices and organizational performance (p-value = 0.049). The four-step approach for testing mediating effect established that succession planning played a partial mediating role in the relationship between strategic leadership and organizational performance of Kenya Airways (p = 0.001).The study recommends that the CEO of Kenya airways should enhance succession planning for long-term success of the airline’s performance.