Alignment of strategy to industry critical success factors among commercial banks in Kenya
Abstract
The research report is about the alignment of strategy to industry critical success factors among
commercial banks in Kenya. The objectives of the study were, to determine the extent to which
commercial banks align strategy to industry critical success factors and the forces that influence
the alignment. By aligning strategy to industry critical success factors, commercial banks can
streamline its operations and maintain sustainable competitive advantage within the industry.
The survey focused on all 43 commercial banks in Kenya and the data was mainly primary data.
The primary data was gathered through the use of self administered questionnaires to the CEOs
of the respective commercial banks. The researcher used descriptive data to find out the extent to
which commercial banks align strategy to industry critical success factors and also determine the
forces that influence this alignment. The respondents exhibited a high level of knowledge of the
critical success factors as well as alignment of these factors to strategy. The response rate was
83% where thirty six of the forty three commercial banks responded. The findings reveal that
majority of commercial banks in Kenya align their strategy to critical success factors in that in
every critical success factor, majority of the banks have a strategy to support it.
It was concluded that commercial banks that align strategy to industry critical success factors are
able to survive and gain a competitive advantage over other commercial banks. From the study,
customer service, product range and pricing as well as adoption of ICT emerged as the most
important critical success factors. The study also revealed that majority of commercial banks
have strategies to support these critical success factors.
Citation
Master of Business AdministrationPublisher
University of Nairobi