Information Technology Project Management Methodologies And Information Technology Projects Performance In Kenyan Commercial Banks
Abstract
Commercial banks in Kenya have been experiencing rapid growth and expansion, necessitating
technology changes in order to maintain a competitive edge. While these changes facilitate
development and launch of products, they have also led to more vibrant information technology
projects management activities. The purpose of this paper was to study the project management
methodologies used in Kenyan banks, determine the factors used in their selection, study the
relationship between the methodologies and bank project performance and finally compare the
methodologies to determine how they pit against each other. The study made use of the crosssectional
descriptive survey design model. Surveys are more flexible in the sense that a wider range
of information is collected. Questionnaires were used to gather data from representatives of the
various commercial banks. Statistical methods such as mean, standard deviation and chi-square were
utilized to analyze the data collected from the respondents. The findings of the research revealed
that in the modern day project management in Kenyan commercial banks has adopted and generally
preferred to use the formal methodologies to manage IT projects. The top Tiered banks recoded the
highest adoption of the mainstream formal methodologies with least adoption recorded in the lower
Tiers. Overall, the research found that the use of methodologies led to marked improvements in the
project delivery time, the project cost, the quality of final product, management of project risks,
realization of expected benefits and improved stakeholder adoption and satisfaction. Additionally,
most banks believe that the use of a proper management methodology is a differentiating factor in
the outcome of the project hence ranking PRlNCE2, In-house formal methodologies and PMBOK
high in their level of adoption and use. The type and size of the projects coupled with the ease of
tailoring a methodology to fit the project and organizational structure were deemed quite important
factors in selecting a methodology. Recommendations were made for banks to ensure full adoption
of the formal methodologies in order to realize maximum benefits and to consider combining
methodologies where need be, to cater for the complex types of projects that may require more than
a single methodology.
Citation
Master of Business AdministrationPublisher
University of Nairobi