Abstract:
The future direction of organizations is determined by management practices and how people
working in that organization interact and collaborates with each other, with customers and other
stakeholders. Many former large and successful hotels in Kisii County are drastically declining
in performance and even closing down at alarming rates. The study aimed at investigating factors
responsible for these trend in performance and management practices that can enhance
sustainable performances of hotels and restaurants in Kisii County. The nature of services
offered, human resource management practices and managers‟ planning skills in hotels and
restaurants were examined to determine their influence on the performance of the hotels. The
target population was all employees, customers and managers of large hotels and restaurants in
Kisii County. A sample of five hotels with over twenty rooms and workers was selected using
the stratified random sampling technique using such characteristics as location, years of
existence and general performance. A sample of over hundred respondents including managers,
employees and customers were given questionnaires and others interviewed to gather the
required data for analysis. Assessment of strategic plans, employee skills and knowledge and
customer satisfaction levels revealed gaps in strategic management of these organizations.
Organizations need to design best management practices for high sustainable performance of
their organizations, the county and the country.
