STRATEGIC RESPONSES OF BANKS TREASURY DEPARTMENTS TOWARDS A COMPETITIVE ENVIRONMENT AND ITS EFFECT ON PROFITABILITY: A CASE STUDY OF BANK OF AFRICA

Abstract

Purpose: The purpose of this study was to determine the effect of strategic responses of banks treasury departments on the profitability in Bank of Africa.

Methodology: The research was carried out through descriptive survey design. The population of the study was 1040 employees of the Bank of Africa. A sample size of 81 respondents was selected through convenience sampling. The study used primary data specifically the study used a questionnaire as the preferred data collection tool. The questionnaire had close ended questions only. This study used the quantitative method of data analysis. Quantitative methods of data analysis included inferential and descriptive statistics. The rationale for using quantitative methods for data analysis was because some of the data results required quantitative interpretation.

Results: Results led to the conclusion that CRM strategy enables the banks to analyze the customer profiles. It was inferred that CRM strategy helps banks to identifying the banks most profitable customer and prospects and that CRM enables the bank to provide better customer service.

Unique contribution to theory, practice and policy: The study recommends that banks should emphasize customer relationship by investing in a customer relationship management system. Specifically, banks should invest in a robust Information technology system as this can certainly help companies to create satisfied and loyal customers.