A survey of the six sigma management practices in the banking industry in Kenya
Abstract
The study sought to explore the six sigma management practices 111 the banking industry in
Kenya. Emphasis was on the following research questions; extent of integration of six sigma
practices with business strategy for competitiveness? and challenges hindering effective
implementation of six sigma practices.
Primary data was collected through questionnaires and distributed to senior managers 111 the
banks operating in Kenya. Data collected was analyzed by use of descriptive statistics and SPSS
(12.0) was used for the purpose of the analysis. Results obtained indicate that the use of six
sigma management practices in the banking industry is quite low. This is the case when it comes
to identifying critical-to-quality customer requirements (through market research) before
embarking on quality improvement initiatives, use of tools and techniques in the whole process
of quality management, adherence to project implementation variables, and development of
parameters to measure effectiveness of various processes used in delivery of services to
customers. Most ideas for quality improvement were from employees. The critical challenges
faced by most organizations are among others, failure to understand customer needs, inadequate
employee needs, lack of appropriate data to measure service gaps, inappropriate
culture/resistance to change, weak leadership/commitment by top management and inappropriate
organization structures/bureaucracies.
The study's major limitation was the low response rate considering the size of the banking
industry in Kenya. However, on the positive side, the study can be used as the foundation in
which six sigma can be implemented in the banking industry as well as other service industries in
Kenya for competitiveness.
Key words:
Six sigma, Management Practices, Key challenges.
Citation
MBASponsorhip
University of NairobiPublisher
University of Nairobi School of Business, College of Humanities and Social Sciences