Strategy Implementation and Sustainability of Insurance Companies in Rwanda

One of the most crucial aspects that allow organizations/firms to survive and grow is having a sound strategy implementation. This has been linked to improved performance and sustainability among various organizations and firms in different industries. However, insurance industries in Rwanda face instabilities due to increased dissatisfaction among the clients, slow growth rate and underperformance. As the days go by, the companies keep failing while others make strategic moves of purchasing small insurance companies for merging purposes and utilizing their resources with a long-term goal of securing the market size and sustainability assurance. As such, this study examined the effect of strategy implementation on the sustainability of insurance companies in Rwanda. A descriptive survey research design alongside a positivist philosophy was adopted. The target population included all the insurance companies in Rwanda (14) and their management team (252). A census sampling method was utilized. Questionnaires were used for data collection. Pilot testing was conducted to assess questions of validity and reliability of the data. The quantitative data collected was analyzed using descriptive and inferential statistics with the help of Statistical Package for Social Sciences (SPSS) window version 21. From the findings, it was established that there is a statistically significant influence of strategy implementation on the between strategy implementation and sustainability of the insurance companies in Rwanda (b=1.025, p<0.05). The study concluded that the strategy implementation explained 81.1% of the variation in the sustainability of the insurance companies. Therefore, the study recommends that for the management of the insurance companies to ensure that respective strategies are implemented successfully, there is a need to provide incentives to the employees and other stakeholders in the company.