Change Management Practices and Performance of Commercial Banks in Kenya

Abstract

The purpose for this research was to establish the change management practices and performance of commercial banks in Kenya Specifically, the study wanted to establish the change management practices adopted by commercial banks in Kenya and also the influence of change management practices on performance of commercial banks in Kenya. The findings of the study will assist academicians and business researchers to borrow from the findings of this research to support literary citations as well as develop themes for further research on the relationship between change management practices and organizational performance. The study adopted survey research design which was used to make the inferences about possible relationships. A census approach was used to target 43 commercial banks licensed to operate in Kenya. A questionnaire was used to collect data both qualitative and quantitative data. Content analysis was employed to analyses qualitative data while the statistical package for social sciences was used to analyze quantitative data. According to the analysis of the findings, it was revealed that corporate governance, strategic planning, committed leadership and communication to stakeholders influenced performance of commercial banks. Thus it was recommended that managers in commercial banks should introduce policies, processes and structures within banks to enable commercial banks compete successfully. Commercial banks should react positively to the strategic change and create a fit between operations and new internal and external contexts. Leadership and management of these processes should be critical in ensuring the commercial banks’ success. Managers should therefore focus on the future, create change, create culture based on shared values and establish enabling environments that impact positively on organizational performance.