Service Delivery Channels and Operations Performance of Commercial Banks in Kenya
Abstract
The objectives of this study were to determine the extent of usage of service delivery
channels used by commercial banks in Kenya, and to determine the effect of service
delivery channels on operational performance of commercial banks in Kenya. This study
used a causal research design because it enabled the study to test the cause and effect
relationship between two or more variable. Secondary data was also used in the study.
Secondary data was extracted from the financial and operational data for the banks
released in their annual reports and annual supervision reports released by the Central
Bank of Kenya. The study used correlation and regression statistics to analyse the data.
The study concludes that ATMs increase accessibility of the bank services to the
customers and that use of ATMs helps the bank attain efficiency in delivering services.
This study concludes that mobile banking leads to reduction in operational costs. This
study also concludes that M-banking provides increase convenience, expand access and
significantly save time for the customers. This study also concludes that branch
networking enhances geographical market increasing the organizations size and
influences new customers. It was also concluded that internet banking offers more
convenience and flexibility to customers coupled with a virtually absolute control over
their banking and it eliminates the barriers of distance/time and provides continual
productivity for the bank to unimaginable distant customers.
Publisher
University of Nairobi