Abstract: Today the most important thing to do about the reduced customer satisfaction is the customer-centered practices adapted to each customer’s needs and values. By treating different customers in different manners, firms can achieve customer loyalty. The study sought to establish the effects of strategic relationship management strategies on organization performance at Commercial banks in Kenya, Case of Co-op Bank, Digo Rd, Mombasa. Specifically the study sought to establish the extent of which strategic CRM programs, strategic level of customization of CRM programs, strategic IT usage in CRM programs, and use of strategic multiple approach channels influence organization performance. The study adopted a descriptive research design. The population of this study comprised of Co-op Bank Kenya Limited Digo Road Branch customers located in Mombasa. The target population was 3000 customers, Stratified sampling technique was used to select the customers from among the list provided by the bank. For the purpose of this study, 341 respondents was considered to be a representative of the total population out of which 300 responded successfully. Responses in the questionnaires were tabulated, coded and processed by use of a computer Statistical Package for Social Science (SPSS) version 20 to analyze the data descriptive statistics using the percentage mean and standard deviation. From the findings the results showed that increase in level of customization would automatically increase organization performance. Therefore in today’s banking sector, banks have diversified ways and mechanisms on increasing level of customization to enhance customer loyalty. Use of information technology in customer relationship management had weak but positively and significantly related with organization performance. It is recommended that there is the need to constantly monitor and evaluate the current CRM strategies of the bank. It is necessary to constantly monitor, review and evaluate the current CRM strategies being adopted by the bank. The study also recommends that bank management should involve customers before introducing these CRM strategies in order to realize its maximum benefits. Customers should be consulted before introducing these strategies since they are the reason why it is being implemented. The study recommends that there should be an attitudinal change by all members of staff. There should be a conscious effort by all staff to change their bad attitudes. This can be done by training staff on customer service skills and also equip them with product knowledge.
Keywords: Strategic CRM programs, Strategic Level of Customization, Strategic Information Technology & Strategic Multiple approach Channels.
Title: EFFECT OF STRATEGIC RELATIONSHIP MANAGEMENT STRATEGIES ON ORGANIZATIONAL PERFORMANCE OF COMMERCIAL BANKS IN KENYA: A CASE OF CO-OP BANK KENYA LTD DIGO ROAD BRANCH
Author: Mary Wangui Njoroge, Dr. Nagib Omar
International Journal of Management and Commerce Innovations
ISSN 2348-7585 (Online)
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