Digital Transformation Strategies and Performance of Commercial Banks in Nairobi City County, Kenya
| dc.contributor.author | Mwenda, Dickson | |
| dc.date.accessioned | 2026-02-05T12:18:51Z | |
| dc.date.available | 2026-02-05T12:18:51Z | |
| dc.date.issued | 2025-10 | |
| dc.description | A Research Project Submitted to the School of Business, Economics and Tourism in Partial Fulfillment of the Requirement for the Award of the Degree of Master of Business Administration (Strategic Management Option) of Kenyatta University, October 2025. Supervisor 1. Janet Muthimi | |
| dc.description.abstract | Commercial banks in Nairobi County, Kenya are facing significant performance challenges due to rapid technological changes, heightened competition, and shifting customer expectations. These factors have impacted key performance metrics such as operational efficiency, customer retention, and employee productivity, pressuring banks to adopt effective strategies that can drive sustainable growth. Digital transformation has emerged as a crucial approach to address these challenges, enabling banks to improve efficiency, boost customer experience, and maintain competitive positioning. This research aimed to evaluate digital transformation strategies impact on the performance of commercial banks in Nairobi City County, Kenya. Precisely, it examined the effects of digital banking platforms, data analytics, fintech partnerships, and cloud computing adoption on the performance of the commercial banks in Nairobi City County, Kenya. The research was anchored in Technology Acceptance Model, Diffusion of Innovation Theory, Resource Based View, and Agency Theory. A descriptive correlational research design was used, targeting all 39 commercial banks in Nairobi City County, Kenya, with the head of IT and heads of strategy or a similar role in each bank as the respondent, totaling to 78 participants. Data was collected via structured questionnaires administered through Google Forms. A pilot test was performed to verify the validity and reliability of the research tool, and internal consistency was evaluated using Cronbach's alpha. Descriptive statistics (mean and standard deviation) and inferential statistics were used in the data analysis process. Multiple linear regression was used to look at how each independent variable impact the dependent variable. The regression analysis discovered that digital transformation strategies explained 80.6% of organizational performance variations R² = 0.806, with the model being statistically significant F = 69.744, p < 0.05. All four predictors digital banking platforms β = 0.196, p < 0.05, data analytics β = 0.410, p < 0.05, fintech partnerships β = 0.325, p < 0.05, and cloud computing adoption β = 0.441, p < 0.05 had significant positive effects. The research discovered that digital transformation is a critical driver of operational efficiency, customer satisfaction, and strategic growth. It recommends that banks deepen investment in secure, data-driven, and innovation-led digital infrastructures to sustain long-term performance and competitiveness in a dynamic financial landscape. | |
| dc.identifier.uri | https://ir-library.ku.ac.ke/handle/123456789/32293 | |
| dc.language.iso | en | |
| dc.publisher | Kenyatta University | |
| dc.title | Digital Transformation Strategies and Performance of Commercial Banks in Nairobi City County, Kenya | |
| dc.type | Thesis |