Recently, supermarkets in Kenya have been facing a significant decline in presence (Mbatia & Wanjiku, 2020, and Sande, 2022, Cytonn, 2022, Cheboi & Mulili, 2022). The major reasons for this are staff retention and weak structures (RETRAK, 2020). Since organization structure is one of key determinants of performance of retail supermarkets in Kenya (Wanjohi et. al, 2019), and they significantly contribute to the retail sector, it is imperative to determine how their structure influences employee job satisfaction (Ogbo, 2015, and Madanchian et. al, 2016). It is also important to discern the leadership traits required to enhance employee retention.
Considering its suitability to address the research questions, the researcher used a Descriptive Design (Zaidah, 2007) using a Quantitative Approach to yield readily analyzable data and replicable results (Kothari, 2010 and Shields & Twycross, 2008). The study implements a stratified random sampling to target 400 employees from selected Supermarkets in Nairobi, Kenya. Closed Ended Questionnaires have been used in the form of Likert-Scale questions all as a form of the Primary Data having tested for the Reliability and Validity of the Questionnaire whose results were analyzed through the SPSS statistical software.
Descriptive Analysis was used for demographic data while inferential analysis done through Correlation, Multiple Linear Regression, and Moderated Regression Analysis. The Study found that Employee Job Satisfaction is positively affected by both Centralized Organizational Structures and Servant Leadership behaviors with the exceptions of Close Control and Central Decision-making, which negatively impacted upon Employee Job Satisfaction and Servant Leadership respectively. Servant Leadership significantly and positively impacted Employee Job Satisfaction, and moderates significantly the impact of Centralization of Organizational Structure upon Employee Job Satisfaction.
The study aims to help supervisors identify optimum leadership traits to enhance employee performance. The study also addresses the major problems identified by RETRAK. More studies should be done towards understanding the impact of other facets of Organizational Structure, including the element of Formalization, and the way these factors impact Employee Job Satisfaction in Kenyan Supermarkets. It is also important to discern the moderating effect of servant leadership between Centralized organization structures and the job satisfaction levels in other industries.