INFLUENCE OF STRATEGIC LEADERSHIP PRACTICES ON THE PERFORMANCE OF COMMERCIAL BANKS LISTED IN NSE, KENYA

Beatrice Muthoki Wambua, Dr. Rev. John Karihe

Abstract


The main intention was to study the influence of strategic leadership practices on the performance of commercial banks listed in Nairobi Securities Exchange, Kenya. In particular, the study focuses on the extent to which communication influence organization performance and the extent to which control influence organization performance of commercial banks listed in Nairobi Securities Exchange, Kenya. Data was collected using questionnaires and a descriptive research design guided this study. The target population of the study was all the12 Commercial Banks listed in Nairobi Securities Exchange, Kenya out of the 38 Commercial Banks in Kenya. The respondents comprised of 178 top and middle level management employees arrived at using stratified and purposive sampling. Since the target population was small the study adopted the census technique. Central tendency was measured using standard deviation and mean, inferential statistics that was used in the analysis include regression and correlation analysis. The study found significant evidence that strategic leadership practices to some extent influence performance of Commercial Banks listed in Nairobi Securities Exchange, Kenya. The study found strong positive correlation (R = 0.828) between strategic leadership practices (control and communication) with performance of Commercial Banks listed in Nairobi Securities Exchange, Kenya. The correlation determination (R2 = 0.867) indicated that strategic leadership practices jointly accounted for 86.7% of the performance of Commercial Banks listed in Nairobi Securities Exchange, Kenya. From the findings the study concludes that strategic leadership (control and communication) have significant positive correlation with performance of Commercial Banks listed in Nairobi Securities Exchange, Kenya.

Key Words: Strategic leadership practices, Communication, Control, Organization performance, Commercial banks 


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