Strategic Competency That Influence Financial Performance in Organizations

A Research Project Report Submitted to Chandaria School of Business in Partial Fulfilment of the Requirement for the Degree of Masters in Business Administration (MBA)The purpose of the study was to establish the strategic leadership competencies that influence financial performance in an organization. The study was guided by the following research questions: To what extent does leader's mentorship influence the financial performance in an organization? To what extent does leader's relationship with team influence the financial performance in an organization? And to what extent does leader's mindset influence the financial performance in an organization? The target population under the study was the management of the following banks: StanBic Bank, Diamond Trust, Chase Bank, Commercial Bank of Africa (CBA) and Barcyles Bank. The study adopted a stratified sampling technique. A sample of 60 respondents was selected from the stratus where 44 responses was obtained representing 73.33% response rare. This technique was used to obtain responses from the specified banks. Questionnaires were the data collection tool used to collect the relevant data needed for analysis. To ensure effective and efficient data analysis process, the data was coded, sorted and analyzed using descriptive analysis where frequencies, percentages and correlation tables was generated and interpreted. Presentation of data was in form of tables and figures. The statistical package for social sciences (SPSS) was used for analysis. Responses to factors on relationship between leader's mentorship influence and financial performance in an organization were graded as "strongly agree", "agree", "neutral", "disagree" and "strongly disagree". Leaders view organization's employee as a critical resource and leaders and employees work indecently to achieve organizational goals were significant. On the relationship between leader's relationship with team and financial performance in an organization, the study established that: The team is responsible for monitoring their performance and progress; leadership help in achieving team effectiveness and organizational performance which in turn leads high financial results and high degrees of goal congruence facilitate followers to reach organizational goals and hence improve performance were highly significant to the study. Finally on the relationship between leader's mindset and financial performance in an organization. The relationship between the board and the executive team is key to organizational success and organization performance is solely based on the strategies formulated were the significant factors. This study concludes that leader's mentorship influence is crucial to the advancement of the financial performance and that leader's relationship with team is equally vital to the promotion of financial performance and leaders - employee trust is key for an organization to achieve a high financial performance. The study recommends that the management of should ensure that leadership mentoring programs is entrenched in the organization's policies with enough budgetary allocation and empowering leaders to formulate and implement strategies that are aimed at improving financial performance of their organization. The study also recommends that further studies be carried out on the strategies employed by commercial banks to maintain a competitive edge over others