Change Management Strategies and Performance of ABSA Bank Kenya PLC

Abstract

The objective of this study was to establish the effect of change management strategies on performance of Absa Bank Kenya PLC. The researcher employed a case study research design. The data normally collected by a researcher can either be primary data or secondary data. As the study relied on qualitative data, the researcher used an interview guide during data collection as it helped him get in-depth firsthand information regarding the study phenomena. In this study, the researcher used primary data collected from five top management team members at Absa Bank Kenya PLC. Interviews were conducted with the Head of Investor Relations, Chief Executive Officer, Country Strategy Director, Chief Financial Officer and Chief Operating Officer. The data gathered was qualitative in nature. Consequently, content analysis was the best suited method of analyzing the data collected from the five interviews. The findings showed that change agents’ strategies played a key role in the change management in Absa. This study concludes that change agents’ strategies play a key role in the performance of the bank. The study concludes that Absa implements change agents’ strategies by creating a timeline for the change strategy with an employee development program. The leadership in Absa promotes based on merit with a committed change implementation team. Absa implements change agents’ strategies through transformation and returns strategy. On systems compatibility strategies of Absa bank, the study concludes that Absa bank has an innovation policy; research and development policy; and new product processes. The bank has developed partnerships and developed transformative partnerships. Stakeholder involvement strategies play a major role in change management in Absa bank. To enhance performance, Absa bank adopts resistance to change mitigation initiatives; supportive management team and stakeholder participation in order to enhance the performance of the bank. On the communication strategies, Absa bank implements communication strategies through marketing and stakeholder campaigns. The bank has a well-established communication system. Absa bank has knowledge management policy and curriculum for knowledge management. The bank adopts various measures of performance. Absa bank uses market share growth as the main measure of performance of their bank. Change management enables Absa bank to venture into other markets and enhance growth. The study concludes that the Absa bank benefits from change management strategies. The bank has experienced increased revenue streams due to the change management strategies. The study recommends that Absa bank engage in more investments to grow market share and participate in mergers and acquisitions.