Change Management Strategies Adopted by Sbm Bank in Acquiring Chase Bank

Abstract

Change management is critical in a business organization's reaction to changes in technology, market dynamics, data structures, the global monetary system, social values, and the political environment in which it works. Commercial banks in Kenya have intensified their response to the financial environmental changes so that they can enhance on the banks’ market position. Chase Bank in Kenya was a duly registered and operational in Kenya under the supervision of the Central Bank of Kenya. On sixth April 2016, it was placed under statutory control due to big insider lending and distinct cooperate governance situations similarly to non-performance and compliance to the CBK reporting parameters. In the year 2018 CBK announced that the SBM may acquire strategic assets and liabilities of the financial institution. The goal of this research was to learn about SBM Bank's change management techniques during the Chase Bank acquisition. Organization learning theory, the Adkar model of change management, and Lippitt's stages of change theory were all used in this study. A case study was employed in this research. This is suitable since it is a research method that focuses on a thorough examination. This research gathered both primary and secondary data. Five department heads from SBM bank were interviewed for primary data. Project manager, senior manager strategy, business analytics manager, change management manager, and operations manager were among them. Content analysis was employed in investigating the respondents’ views and understanding of change management using various techniques. Various factors have led to change management success in SBM bank, for instance effective communication channels; a conducive environment that supports change management; employee involvement; clear aims and planning; employee training; an appropriate structure, implementing flexibility and leadership; positive attitude towards change management success; support from the top management; teamwork; and capacity building. According to the findings, good change management can only be accomplished in businesses that appreciate and respect each employee's potential contribution. Change management is easy for SBM Bank Kenya Limited because they have a policy of regular, open communication. This guarantees that the need for change is widely recognized within the organization, as well as strong support for successful change management. The study recommended that to ensure that the process of strategic change management takes the appropriate direction; the organization management team have to develop frameworks that will come up with the best decisions possible.