Thesis:
Effect of strategic management practices on leadership effectiveness at equity bank, Rift valley region Kenya.

Abstract

Strategic management serves as a foundational element in strengthening leadership effectiveness by offering a coherent framework for setting goals and guiding organizational decision-making. The application of strategic tools—such as planning, resource allocation, performance measurement, and competitive analysis—was observed to have a notable impact on leadership performance within institutions. This research sought to examine the influence of strategic planning, resource allocation, competitive intelligence, and performance management systems on leadership effectiveness within Equity Bank Limited, Rift Valley Region. The study was anchored in transformational leadership theory and utilized a descriptive research design to evaluate the hypothesized relationships among variables. Using the Taro Yamane formula, a sample size of 324 was drawn from a target population of 1,945 employees. Participants were selected through simple random sampling to ensure representativeness. The analysis revealed a strong and positive correlation between the elements of strategic management and leadership effectiveness. Regression analysis confirmed that strategic planning, resource allocation, competitive analysis, and performance evaluation systems significantly contributed to leadership performance. Descriptive statistics, reflected through high average scores and minimal variability, demonstrated consensus among the respondents. The data collection process relied on a structured questionnaire, and analysis was conducted using both descriptive and inferential statistical methods. Multiple regression was employed to assess the influence of the independent variables on leadership outcomes. Based on these insights, the study concluded that strategic management practices play a key role in enhancing both leadership capability and employee performance. The study recommends that Equity Bank should adopt a holistic and dynamic strategic management approach to enhance leadership outcomes. Efforts should be directed toward developing adaptable strategies that align with evolving institutional needs. Furthermore, regular reviews and updates of leadership development programs should be implemented to ensure alignment with organizational objectives and workforce expectations. Ultimately, the effective deployment of strategic management tools will not only elevate leadership capacity but also drive organizational success across the region.

Cite this Publication
Cherotich, G. (2025). Effect of strategic management practices on leadership effectiveness at equity bank, Rift valley region Kenya. Mount Kenya University. https://erepository.mku.ac.ke/handle/123456789/7592

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Mount Kenya University