Challenges of strategy implementation at first community bank, Kenya
This study concentrated on the challenges of strategy of strategy implementation at First Community Bank (FCB). Most organizations fail not because they had a bad strategy but how the strategy was executed. The process of strategy implementation faces many challenges leading to most organizations failing to successfully implement their strategies. The objective of this study is to establish the strategies implemented by FCB, to determine the challenges encountered and to establish measures taken by FCB to deal with the challenges. This was a case study and data was collected from senior staff of the bank through an interview guide. The data obtained from the interview guide was analyzed using qualitative analysis. The study aimed at determining the challenges faced by First Community bank as a fully fledged Islamic bank in Kenya. In doing so, the study identified the various strategies in which the organization has put in place in order to remain competitive in an uncertain market it is operating in consideration of the many challenges it is facing. The findings of the study suggest that the organization had developed strategies which were geared towards accomplishment of the organization objectives. The study established that the bank has undertaken a series of strategies in aiming at fulfilling its objectives in continuously responding to challenges encountered in implementing these strategies. The organization has also realized that to achieve their objectives and also be competitive enough, they need well equipped workforce. Toward this end, the bank has continued training their staff in Islamic banking concept to be well equipped in understanding the concepts in Islamic banking. The study is helpful to First community Bank as they review both short and long-term strategies. The study should be of importance to other commercial banks and financial institutions whose responsibilities include strategy formulation and implementation. The study revealed various challenges. The challenges ranged from lack of awareness of the existence of the product, no much differentiation among the products within Islamic banking, difficult in changing the perception of the customers, practitioners, and regulators in understanding Islamic concepts, lack of proper infrastructure available in location areas were banks operates, shortage of trained staff about Islamic banking and staff not having adequate knowledge about Islamic banking. All these challenges were overcome through proactive managerial interventions. Most of the recommendations included in this report are not simply external prescriptions. This is because some were proposed by interviewees in the course of data collection. If these are transformed into action plans with proper time lines and performance measures, management could positively transform the situation to a positive direction necessary for improving the strategic management practice in the bank.