Dynamic capabilities as a strategic tool at the Co-operative Bank of Kenya Limited
The objective of the study was to establish what dynamic capabilities are utilized by the Co-operative Bank Kenya Limited as a strategic tool. The case study was adopted in this particular research because not all the potential population of the study would be knowledgeable of such innate factors as a firm's dynamic capabilities. In light of this therefore, a case study design was deemed as the best design to fulfill the objective of the study. The study made use of primary data which was collected through face to face interviews by the researcer, The data obtained from the interview guide was analyzed using qualitative analysis. The qualitative analysis was adopted in this study because the researcher was able to describe, interpret and criticize the subject matter of the research 'since it would have been difficult to do so numerically. It enabled the researcher to make individualistic judgment on the research subject matter. The findings were the Bank's vision and mission statements are the guiding factors in the development of the strategies. The strategic process that is commonly used by the Bank is top-down and despite of the structure being adopted, the process is still consultative and the inputs of the junior staff were incorporated in the strategies developed. The study found that the Bank's dynamic capabilities include the K'T system, superior customer service, unique shareholding structure, unique core clientele - the co-operative movement, goodwill from the public, motivated human resource and an ever growing core capital that has enabled the Bank increase it's branch network and product mix. These dynamic capabilities have changed over time thus enabling the Bank to adapt to the ever changing operating business environment. The shortcomings of the study are that the repondents studied were from one finn and conclusions drawn from this study may not be representative and therefore can not be generalized to other firms. The study also only captured members of one focus group thus excluding other important stakeholders like junior staff, regulators and shareholders from giving their views. Further research could be carried out in this area to determine the impact of organization's dynamic capabilities on the organization's competitive advantage. A research to assess whether the same dynamic capabilities in the organization could result in the same output in form of competitive advantage can also be undertaken. Studies can also be carried out to establish responses adopted by firms in other industries.