Effect of Resource Alignment on Organizational Performance of Listed Energy and Petroleum Companies in Kenya

Resource alignment as a vital element of strategic planning ensures that an organization focuses on the right and prioritized activities to promote organizational performance. Organizational performance of energy and petroleum companies is crucial to the manufacturing sector, which is currently an agenda for economic transformation in Kenya. However, their performance has been challenged by resource alignment ineffectiveness, high power costs and limited investment into the sector, thus hindering potential exploitation in power generation and supply. This led the researcher into conducting a study on the effect of resource alignment on the organizational performance of listed energy and petroleum companies in Kenya. A descriptive survey research design was adopted to enhance detailed description of resource alignment and organizational performance in energy and petroleum companies. Data was collected through structured questionnaires. Descriptive and inferential data analysis was performed through Statistical Packages for Social Sciences (SPSS). Descriptive findings revealed that resource alignment affected the organizational performance of listed energy and petroleum companies in Kenya. Correlation and regression analysis showed that resource alignment had a significant effect on organizational performance. The correlation coefficient was 0.768, while the coefficient of determination was 0.590, meaning that variations in resource alignment explained 59% variation in organizational performance. The study's findings will benefit the ministries of energy and petroleum in the formulation and implementation of strategic plans based on resource alignment to improve sector performance. The domestic and foreign investors in the energy sector will also apply the findings in aligning resources to areas of priority for improved organizational performance.