Assessing the Influence of Codification on Performance in Commercial Banks in Kenya
Commercial banks are knowledge intensive entities and hence require human capital to offer critical services to their clients. This means that the human capital plays a critical role as the banks seek to meet various objectives. The main objective of the study is to establish the relationship between codification knowledge management strategy and performance of commercial banks in Kenya. The study adopted descriptive study of all the 43 licensed commercial banks in Kenya as at December 2017. Both primary and secondary data were depended upon to arrive at the final conclusion. Qualitative and quantitative research design was undertaken to carry out the research. The final report was compiled after carrying out a census of all the 43 banks which constituted the target population. The unit of analysis were the core departments in a given bank. This gave a sample size of 172 respondents. Primary data was collected using self-administered semi-structured questionnaires and interviews. Binary logistic regression model was employed based on the dichotomy nature of the dependent variable. In the multivariate logistics regression modeling, codification knowledge management strategies were found to have a statistically significant influence on performance of commercial banks in Kenya. The findings pointed out those odds of commercial banks with knowledge management strategies having high performance were more than commercial banks without knowledge management strategies. The study concluded that in the contemporary information era, banks with the relevant knowledge management strategies are likely to achieve better performance compared to those that do not have strategies in place.
Keywords: Codification, Knowledge, Management, Strategy, Commercial, Performance
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