Mumias Sugar Company Limited is a sugar manufacturing company in Kenya, the largest economy in the East African Community. It is the largest sugar manufacturer in Kenya, producing about 250,000 metric tonnes (42%) of the estimated 600,000 metric tonnes annual national output. The company grows some sugar cane; its own estates provide up to 7% of its annual output. Its primary source of sugarcane is over 50,000 registered "out growers" with over 400 square kilometers (99,000 acres) under cultivation. It has also piloted the production of a hybrid high-yielding palm oil variety in areas previously thought too cool for commercial cultivation, in collaboration with the UN Food and Agriculture Organization (FAO). In addition to sugar, the company co-generates 34 Megawatts of electricity. Some of the electric power is used internally and surplus is sold into the nation electricity grid. The company also manufactures 24 million liters of…show more content… Current state
Since Dr. Kidero resigned, the company has been trying to change the management but the results haven’t been as pleasing to the stakeholders. The operations of the organization have been sabotaged repeatedly by some of the management. As much as changes have been made at the top level there still seems to be internal problems because 5 years down the line the change strategies put in place haven’t produced any convincing results.
As much as he company has had issues with management other issues have also contributed to its downfall. In previous years, the company attributed its success to the good relations it had with its farmers. This was because of the cane growing program they had where they would give the best prices and supply them with fertilizer for their crop. This changed over the years and the prices they would give to farmers got worse compared to its