Determination of the Extent of the Practice of Value Based Management Without Commercial Banks in Kenya

Abstract

The purpose of this study was to find out the extent of value based management (VBM) practice among commercial banks in Kenya and also the extent of awareness and appreciation of the benefits of VBM among them. The study focused on 42 commercial banks that were operational st the time of the study. A questionnaire was sent to the chief executive and finance office of the banks. The questionnaire had open-headed and closed questions and questions required answers on a 5 point scale. the response was not high as 57 percent returned the questionnaire. The data was then coded, fed into a computer program and analyzed. The results were presented in the form of tables, frequency tables and cross tabulation. The study reveled that the main goal of banks in Kenya are maximizing shareholder value, corporate social responsibility, attaining market leadership and profitability.Several factors affected formulation and implementation of goals. The main ones are chief executive officer.......................................