Behavioral Ambidexterity: The Impact of Incentive Schemes on Productivity, Motivation, and Performance of Employees in Commercial Banks

2015 ◽  
Vol 54 (S1) ◽  
pp. s45-s62 ◽  
Author(s):  
Mohammad Faisal Ahammad ◽  
Sang Mook Lee ◽  
Miki Malul ◽  
Amir Shoham
Keyword(s):  
Commercial Banks ◽  
Incentive Schemes ◽  
And Performance ◽  
The Impact

scholarly journals Human Resource Development and Employee Engagement in Nepalese Commercial Banks

2019 ◽  
Vol 4 (2) ◽  
pp. 21-34
Author(s):  
Kishor Hakuduwal
Keyword(s):  
Career Development ◽  
Performance Management ◽  
Human Resource Development ◽  
Employee Engagement ◽  
Human Resource ◽  
Commercial Banks ◽  
Resource Development ◽  
Training And Development ◽  
And Performance ◽  
The Impact

The objective of the present study is to analyse the impact of human resource development on employee engagement in Nepalese commercial banks by taking three human resource development components of training and development, career development and performance management as independent variables, and employee engagement as a dependent variable. Using the random sampling, 384 employees were selected, and a questionnaire survey was carried out to collect data. Using F-test and t-test, the study found that the training and development, career development and performance management have significant impact on employee engagement in Nepalese commercial banks. The study also revealed that male employees have more emphasis on performance management but female employees have more emphasis on training and development. Likewise, the employees up to the officer level have also more emphasis on performance management but the employees below officer level have more emphasis on training and development.

Structure, Conduct and Performance Analysis of Indian Commercial Banks

2016 ◽  
Vol 5 (2) ◽  
pp. 157-185 ◽  
Author(s):  
Ratna Barua ◽  
Malabika Roy ◽  
Ajitava Raychaudhuri
Keyword(s):  
Commercial Banks ◽  
Structural Changes ◽  
Banking Sector ◽  
Negative Relationship ◽  
Market Concentration ◽  
Jel Classification ◽  
And Performance ◽  
Indian Banks ◽  
Asset Quality ◽  
The Impact

The market structure, conducts and performance of the Indian banking sector have changed since the introduction of banking sector reforms. Slower economic growth, coupled with asset quality problems in recent years, has taken a toll on the overall health of the Indian banking sector. Higher statutory capital requirement under Basel III has posed another major challenge to the Indian banks. The purpose of the study is to examine the impact of structural changes and conduct of Indian commercial banks on their profitability in the paradigm of structure–conduct–performance (SCP) framework. Market concentration, bank-specific/macroeconomic variables have been considered as important determinants of the profitability. The regression results find a negative relationship between profitability and market concentration and reject SCP hypotheses. The study found that capitalization, credit risk, leverage and ownership structure are the most important determinants of the profitability of Indian banks. The study also found that financial crisis had no significant impact on the profitability of Indian banks. JEL Classification: C4, G21, G28, L19

scholarly journals The Impact of Credit Diversification on Credit Risk and Performance of Indonesian Banks

2020 ◽  
Vol 8 (1) ◽  
pp. 013
Author(s):  
Iin Emy Prastiwi ◽  
Anik Anik
Keyword(s):  
Linear Regression ◽  
Credit Risk ◽  
Multiple Linear Regression ◽  
Commercial Banks ◽  
Financial Statements ◽  
Company Size ◽  
Economic Sector ◽  
Negative Effect ◽  
And Performance ◽  
The Impact

This study aims to identify the effect of credit diversification in the economic sector on credit risk and performance of commercial banks in Indonesia. Multiple linear regression is used to determine the effect of credit diversification on credit risk and banking performance. The data used in this study is the aggregated financial statements of commercial banks inIndonesia during the 2015-2018. The results indicate that credit diversification based on the economic sector has a significant effect on increasing the profitability of commercial banks in Indonesia. The credit diversification based on the economic sector also has a significant effect in reducing credit risk. Two control variables, namely company size and banking liquidity have a significant negative effect on profitability respectively. In the case of credit risk, the company size hasapositive effect, while the banking liquidity has no effect. These findings support the traditional banking theory which states that banks that diversify their credit portfolios can reduce the credit risk and increase profitability.

DIGITAL FINANCIAL INNOVATION SERVICES AND THEIR IMPACT ON THE PERFORMANCE OF COMMERCIAL BANKS IN KENYA

2021 ◽  
Vol 5 (3) ◽  
Author(s):  
Virginia Kirigo Wachira ◽  
Fredrick Kalui ◽  
John Gathii
Keyword(s):  
Financial Performance ◽  
Significant Relationship ◽  
Financial Services ◽  
Commercial Banks ◽  
Negative Impact ◽  
Mobile Money ◽  
And Performance ◽  
Digital Payments ◽  
The Impact ◽  
Pearson Correlations

The study aimed at investigating the impact of digital financial services on the financial performance of Commercial Banks in Kenya using secondary dataset generated from the Central Bank of Kenya (CBK) and the Communication Authority of Kenya (CAK) for a period of five years (2015-2019). To achieve this objective, the study used a multiple regression and Pearson correlations. The study using the Pearson correlations found negative correlations between mobile money (registered mobile money accounts, active mobile money agents and mobile money deposits and withdrawals), digital payments (P2P transfers) and performance of commercial banks. However, the study found positive and significant relationship between customer deposits, Gross non-performing loans and performance of commercial banks in Kenya. The study therefore concludes that digital financial services offered by Fintech companies have a negative impact on the performance of Commercial banks in Kenya and recommends that commercial banks should continuously develop more digital financial services and collaborate more with Fintech companies to improve on their performance. The originality of this study will be of benefit to managers of Commercial banks. JEL: G21, G23, N27, O30, O31, O39 <p> </p><p><strong> Article visualizations:</strong></p><p><img src="/-counters-/edu_01/0965/a.php" alt="Hit counter" /></p>

scholarly journals E-Banking Strategy and Performance of Commercial Banks in Kenya

2019 ◽  
Vol 3 (V) ◽  
pp. 147-165
Author(s):  
Rosemary Wangari Nduta ◽  
Jane Wanjira
Keyword(s):  
Technology Acceptance ◽  
Commercial Banks ◽  
Diffusion Of Innovations ◽  
Target Population ◽  
Internet Banking ◽  
Technological Innovations ◽  
Mobile Banking ◽  
Banking Strategy ◽  
And Performance ◽  
The Impact

Technological innovations in the aspect of electronic banking (e-banking) have progressively advanced and changed the manner in which banks offer services. The use of varied forms of technological innovations has become a key strategy that influences the competitiveness and performance of commercial banks. Subsequently, banks are investing more in adopting and implementing innovative e-banking strategies. Although numerous studies have inspected the effect of e-banking on banks across the world, the knowledge gap is that few studies have examined the impact of e-banking strategies on commercial banks’ performance in Kenya. The objectives of this study were to predict the impact of agency banking, mobile banking, the use of ATMs, and internet banking on the commercial banks’ financial performance in Kenya. Agency theory, contingency theory, diffusion of innovations theory, and technology acceptance theory formed the theoretical basis of this study. In its research design, the study used the descriptive approach. The target population comprised managers of 40 commercial banks and the study utilized the purposive sampling method to select 100 respondents comprising of 40 senior managers and 60 operations managers. Descriptive statistics, correlation, and regression analysis were used to analyze data. Correlation analysis indicated that mobile banking (r = 806, p = 0.000), agency banking (r = 0.737, p = 0.000), internet banking (r = 0.466, p = 0.000), and ATM banking (r = 0.547, p = 0.000) have statistically significant relationships with the commercial banks’ performance. Findings indicate that e-banking accounts for 71% (R2 = 0.710) of the variation in the commercial banks’ performance. Moreover, the study found out that e-banking strategies of agency banking and mobile banking are statistically significant predictors (p<0.01, while internet banking and ATM banking are statistically insignificant predictors (p>0.01). Based on these findings, the study concludes that rely on e-banking strategies in enhancing their performance, particularly mobile banking and agency banking. Furthermore, the study concludes that ATM banking and internet banking contribute minimally to the commercial banks’ performance in Kenya. Thus, the study recommends banks to optimize mobile banking and agency banking because they are statistically significant predictors while increasing awareness of internet banking and addressing insecurity issues of ATM banking. Thus, further research should consider establishing factors that account for the unexplained variances of 29% in the performance of commercial banks.

scholarly journals Total Quality Management Practices and Performance of Commercial Banks in Kilifi Town, Kenya

2019 ◽  
Vol 3 (VI) ◽  
pp. 1-15
Author(s):  
Dorotia Wandoe Waduu ◽  
Maina Rugami
Keyword(s):  
Decision Making ◽  
Customer Satisfaction ◽  
Financial Performance ◽  
Commercial Banks ◽  
Collective Responsibility ◽  
Customer Focus ◽  
Top Management ◽  
Management Commitment ◽  
And Performance ◽  
The Impact

Any business entity aims at attaining high level of customer satisfaction. The entity always does this by providing quality goods and services. It is crucial that within a firm, all of its internal clients are fulfilled in ensuring that effective satisfaction of external clients is attained. TQM has been presently presented as the means of management that focus in improving an organization’s financial performance by attaining customer needs and quality of product provision. The research primary focused on examining the key impacts of TQM on management and financial performance of Kenya’s banks in Kilifi Town. The study’s objectives were based on establishing the impact of staff involvement, the management commitment, regular improvements and customer focus of the bank’s performance. The entire research was based on Deming’s theory of TQM and Porter’s theory of competitive advantage. In attaining the research objectives, the research utilized descriptive research technique and a population of 195 participants from 13 commercial banks in operation within the Town of Kilifi. A 30 percent sample was considered reflections of 59 participants. In getting information from the respondents the study utilized both structures and unstructured questionnaires that consisted of both open and closed ended questions. However, respondents had varying questions and had the opportunity to answer appropriately. SPSS (Version 22) stands out as one of the key analysis tool to be used in examine the quantitative data collected, and then the information was presented by the use of means, frequencies, percentages, standard deviations an means. The research utilized multiple regressions analysis in estimating the study model. The study’s gathered and analyzed data was presented by the use of tables, charts, graphs and frequencies meant to enhance the process of interoperations, provision of conclusions and recommendations. Theoretically, the research is expected to be of importance both to firms expected to use the information in enhancing quality products provisions and academicians expected to do researches on a similar or related topic.It was established that the selected TQM practices which included customer focus, top management commitment, continuous improvement and employee involvement significantly and positively influence the performance of commercial banks in Kilifi Town. The study concluded that the banks to a great extent embrace the four TQM practices in a bid to improve service provision, client attraction and retention and also improve organizational performance. It was further concluded that the banks embrace continuous process, procedures and system improvement to enhance operational efficiency and customer satisfaction. The study also concluded that the banks valued customers in a bid to enhance market share and customer base and also stay competitive in the market. The study further concluded that the top management was committed to enhancing service quality, employee participation and involvement in quality integration, stakeholder involvement, communication and collective decision making. The study recommends that the banks need to involve employees and stakeholder more in decision making and policy formulation to promote collective responsibility and performance. The study recommends that there is need for improved customer care to cater for all categories of clients and also embrace value addition to the clients. The study was conducted on only four TQM practices, there is need for further studies on other TQM practices.

scholarly journals Mock Bank practices and employee performance in the banking sector

2019 ◽  
Vol 1 (3) ◽  
pp. 1-9
Author(s):  
Dennis Nwanyanwu ◽  
Kevin Njoku ◽  
Emeka Nkoro
Keyword(s):  
Organizational Structure ◽  
Commercial Banks ◽  
Professional Ethics ◽  
Banking Sector ◽  
Employee Performance ◽  
Institutional Arrangement ◽  
Operational Experience ◽  
Tertiary Institutions ◽  
And Performance ◽  
The Impact

The practice of mock bank is an institutional arrangement to expose potential bankers to basic rudiments of banking operations with the ultimate aim of increasing the profitability of the organization through employee performance. This study assessed the impact of mock bank practices on employee performance in the banking sector as a panacea for repositioning the Nigerian economy with a specific focus on Union Bank Plc. The objective is to examine the contributions of operational experience to staff, ascertain the impact of professional ethics on commercial banks in Nigeria and identify the contributions of knowledge of organizational structure on the operations of commercial banks. T-statistics was used to test the three hypotheses. Results showed that there is a significant relationship between experienced, knowledge of job ethics, and organizational structure by employees before recruitment and performance at the workplace when compared to those recruited before training. Further results revealed that employees that had mock bank experiences perform better with less supervision. It was recommended that reinforcement of mock bank practices in tertiary institutions in Nigeria and allotment of higher credit units to mock bank practice should be encouraged.

The Impact of Property Characteristics on Economic Performance of Russian Industrial Enterprises

2005 ◽  
pp. 53-68 ◽  
Author(s):  
R. Kapeliushnikov ◽  
N. Demina
Keyword(s):  
Detailed Analysis ◽  
Economic Performance ◽  
Ownership Concentration ◽  
Corporate Sector ◽  
Concentrated Ownership ◽  
Industrial Enterprises ◽  
Russian Industry ◽  
Control Premium ◽  
And Performance ◽  
The Impact

The paper provides new survey evidence on effects of concentrated ownership upon investment and performance in Russian industrial enterprises. Authors trace major changes in their ownership profile, assess pace of post-privatization redistribution of shareholdings and provide evidence on ownership concentration in the Russian industry. The major econometric findings are that the first largest shareholding is negatively associated with the firm’s investment and performance but surprisingly the second largest shareholding is positively associated with them. Moreover, these relationships do not depend on identity of majority shareholders. These results are consistent with the assumption that the entrenched controlling owners are engaged in extracting "control premium" but sizable shareholdings accumulated by other blockholders may put brakes on their expropriating behavior and thus be conductive for efficiency enhancing. The most interesting topic for further more detailed analysis is formation, stability and roles of coalitions of large blockholders in the corporate sector of post-socialist countries.

Income Diversification and Bank Efficiency in Vietnam

2017 ◽  
pp. 52-67
Author(s):  
Sang Nguyen Minh
Keyword(s):  
Regression Model ◽  
Commercial Banks ◽  
Banking System ◽  
Operational Efficiency ◽  
Commercial Banking ◽  
Tobit Regression ◽  
Income Diversification ◽  
Positive Effects ◽  
Study Results ◽  
The Impact

This study uses the DEA (Data Envelopment Analysis) method to estimate the technical efficiency index of 34 Vietnamese commercial banks in the period 2007-2015, and then it analyzes the impact of income diversification on the operational efficiency of Vietnamese commercial banks through a censored regression model - the Tobit regression model. Research results indicate that income diversification has positive effects on the operational efficiency of Vietnamese commercial banks in the research period. Based on study results, in this research some recommendations forpolicy are given to enhance the operational efficiency of Vietnam’s commercial banking system.

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