CORPORATE CULTURE AND THE PERFORMANCE OF KENYA COMMERCIAL BANK

Abstract

Over the last ten years, KCB Bank- Kenya management has initiated various strategies meant to position the financial institution as the market leader in the Banking industry not only in Kenya but also yarning to become a Pan African Bank. Indeed, KCB Bank Kenya has demonstrated strength in branch network accounting for 359 branches, an asset base of Ksh 1.1 trillion as at 2021 financial results as well as significant market share command of 22.5 million customers. However, the human effort applied in explaining the milestone achievements cannot go unnoticed especially the corporate culture of the bank employees operationalized along involvement culture, consistency, adaptability and mission cultures. Therefore, the objective of this thesis was to interrogate the implication of corporate culture on the performance of KCB Bank Kenya. The thesis employed qualitative and quantitative research design. It targeted 316 employees and sampled 177. Qualitative data was analyzed by use of descriptive statistics such as total score, percentages, and frequencies. Quantitative data was analyzed by use of pearson correlation and regression analysis. Primary data was collected using structured questionnaire and interview guide targeting senior management and workers representatives. Data was analyzed using pearson correlation and regression analysis. The finding was that corporate culture, had a positive and significant effect on the performance of KCB Bank, Kenya. There were positive and significant correlations between performance and involvement culture (r=0.584, p<0.01), consistency culture (r=0.541, p<0.01), adaptability culture (r=0.566, p<0.01), mission Culture (r=0.576, p<0.01) and organization factors (r=0.517, p<0.05). The findings suggest that a combination of cultural attributes and effective organizational factors plays a crucial role in determining an organization's performance. Based on the findings, the paper recommends that there should be relevant activities undertaken by the Bank to promote corporate culture because it has a positive influence on the performance of the bank; and that organizations should consistently apply the various positive aspects of corporate culture at the strategic, functional and operational levels