EFFECT OF ORGANIZATION RESTRUCTURING ON STRATEGIC COMPETITIVENESS OF COMMERCIAL BANKS IN KENYA; A CASE OF KAKAMEGA COUNTY
Abstract
This study sought to establish the effects of organization restructuring on strategic competitiveness of commercial banks in Kenya, Kakamega County. The study employed descriptive survey design on Population target of the management of commercial banks from the region. A sample size of respondents was drawn from the population using stratified random sampling method. Data collection was done by use of structured Questionnaires. Analysis of data was done by use of statistical package for social sciences (SPSS 23) for the purpose of solving concerned information of descriptive and inferential content of the study based on descriptive statistics of (frequencies, percentages and means), correlation analysis, and regression analysis. The results revealed that the four effects of organization restructuring influenced strategic competitiveness of commercial banks in Kenya, Kakamega County. The study concluded that down-sizing, outsourcing, re-engineering and centralization had a significant influence on strategic competitiveness of commercial banks in Kenya Kakamega County. Study recommendation was that; downsizing should not limit the commercial bank’s outreach capabilities, the more an organization outsourced the higher its organizational growth and organizational productivity, re-engineering could be used as a way of adaptation of new technology by the commercial banks to enhance operations and centralized systems should not experience effect challenges in time sharing. More so, the study recommended for further research on strategic management practices to be carried out on identifying other elements that could be critical to the success of organization development.
Key Words: Down-Sizing, Outsourcing, Re-Engineering, Centralization, Strategic Competitiveness
CITATION: Mihwa, A. N., & Malenya, A. (2020). Effect of organization restructuring on strategic competitiveness of commercial banks in Kenya; A case of Kakamega County. The Strategic Journal of Business & Change Management, 7(2), 456 – 478.
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DOI: http://dx.doi.org/10.61426/sjbcm.v7i2.1640
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