Influence of strategic planning and human capital participation on the performance of commercial banks in, Kenya

Abstract

Numerous extant studies linking strategic planning and organizational performance abound, but non- focused on the effect of human capital participation in such relationship and in the Kenya's banking industry context. Thus a study towards determining the nature of relationship between the three constructs among Kenyan banks is thoughtful. The purpose of this study therefore, is to examine the influence of strategic planning and human capital participation on organization performance in Kenya's commercial banks. The study is guided by the following specific objectives: Establish the relationship between strategy formulation and performance of Kenya's commercial banks, establish the relationship between strategy implementation and performance of Kenya's commercial banks, to ascertain the effects of control systems on performance of Kenya's commercial banks, to investigate the effects of leadership and management participation and involvement in the strategic planning process on performance of commercial banks in Kenya, and to investigate the effects of employee participation and involvement in the strategic planning process on performance of commercial banks in Kenya. In this study descriptive and correlation study design shall be used as the framework for the collection and analysis of data. The population of the study will comprise all 43 commercial banks in Kenya. Census method will be used because Kenyan banks are in different stages of development and exhibit high level of diversity in aspects such as ownership and leadership. The researcher will use a questionnaire as a primary data collection instrument. Data analysis will be done using SPSS software and Microsoft Excel. Data for this study is quantitative hence descriptive statistics and inferential statistics shall be employed. To establish the relationships between variables the researcher intends to use Pearson's Product Moment Correlation Coefficient (r).