Effects of Strategic Management Practices on Growth of NIC Bank Limited

Abstract

The current competitiveness of the banks has its origin in the strategies they adopt and apply, whereby strategic management plays a key role. Banking performance has been conditioned on the content of banking management in general explains the interest of researchers and practitioners to this area. In this light effects of strategic management practices on growth of NIC Bank Limited was the main objective of the study and therefore answer the questions; What is the effects of each strategic management practice on growth of NIC Bank Limited? A case study research design was adopted, taking a case of NIC bank. Both primary and secondary data were collected. Interview guide was used to collect data from the field. The targeted informants were five and included: the Chief Executive Officer (CEO)/representative and heads of: ICT and operations, Retail Banking, Corporate banking and Human Resource departments. The institutions websites internet, newspapers and other publications aided secondary information. Analysis was done on the collected data using content analysis. The study found that the bank has brought together various strategies to adequately adapt to the new changes that are experienced by the bank. Some of the major strategies that were observed are good corporate governance, acquisition, automation of business processes, branch network expansion and acquisition of new technologies that allow further penetration in various markets. It was therefore recommended that for the bank to gain more competitive advantage it should put in place strategies for their customers to benefit from agency banking all over the country as well as institute Islamic/Sharia compliant policies to tap the growing Islamic believers market and further boost the generation of non-interest income