THE THE EFFECT OF WORK REDESIGN STRATEGY ON THE FINANCIAL PERFORMANCE OF COMMERCIAL BANKS IN NAKURU CENTRAL BUSINESS DISTRICT, KENYA
Work Redesign Strategy
Keywords:
financial perfomance, work redesignAbstract
Commercial banks in Kenya are operating under a hyper-competitive environment resulting into shifting market share among commercial banks. The commercial banks faced with this challenge increasingly opted to restructure their operations through right sizing of establishment, greater focus on customer service through tailored product/service propositions and restructuring of non-performing loans with the aim of improving their financial performance and shareholder value. The corporate downsizing has been shown to improve the performance of organizations through reduction of overhead costs and realigning the organization for better adaption and reaction to market changes thus creating a highly competitive bank. Some of the banks that have undertaken these corporate downsizing measures include Barclays Bank, Kenya Commercial Bank and Cooperative Bank which involved hundreds of bank employees losing their employment. This study sought to examine as to whether the work redesign strategy has an influence on the financial performance of commercial banks in Nakuru Central Business District, Kenya.
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