THE RELATIONSHIP BETWEEN THE BUSINESS-IT ALIGNMENT MATURITY AND THE BUSINESS PERFORMANCE FOR THE BANKING INDUSTRY IN KENYA

Authors

  • Stanley Chege Mount Kenya University, Kenya
  • Constantine Nyamboga Mount Kenya University, Kenya
  • Gregory Wanyembi Mount Kenya University

Abstract

Purpose:  The study aimed at establishing the relationship between the business-IT alignment maturity and the business performance for the banking industry in Kenya.

Methods: The study involved analyzing qualitative data first and then the quantitative data. The study employed stratified sampling. The population was made up of 39 banks. The 6 Tier banks were the sample size of the study. The participants were the CEO, CFO and CIO of these banks. The study used correlation design (multiple regression).

Results: The results from the assessment of the six Tier-one banks show that some banks clearly do a better job of aligning their IT and business operations than others. The higher alignment maturity levels are linked with better business performance measures including the ROA and NPM.

Unique contribution to theory, practice and policy: Achieving significantly higher levels of IT-business alignment across a wider range of organizations is a long-term journey.  The journey in each organization begins with a complete assessment of how business views IT and how IT views business.  The journey continues with how business and IT executives work together to close the gaps and improve the performance of the organization.  And in the quest for continuous improvement within a dynamic global environment, the journey may never end.

Keywords:  BITA, SAM, SAMM, COBIT, ITIL, CMMI, IT Governance, Maturity Model

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Author Biographies

Stanley Chege, Mount Kenya University, Kenya

Post Graduate Student

 

Constantine Nyamboga, Mount Kenya University, Kenya

Lecturer 

Gregory Wanyembi, Mount Kenya University

Lecturer

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Published

2018-07-10

How to Cite

Chege, S., Nyamboga, C., & Wanyembi, G. (2018). THE RELATIONSHIP BETWEEN THE BUSINESS-IT ALIGNMENT MATURITY AND THE BUSINESS PERFORMANCE FOR THE BANKING INDUSTRY IN KENYA. International Journal of Technology and Systems, 3(1), 1–22. Retrieved from https://iprjb.org/journals/index.php/IJTS/article/view/660

Issue

Vol. 3 No. 1 (2018)

Section

Articles

License

Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution (CC-BY) 4.0 License that allows others to share the work with an acknowledgment of the work's authorship and initial publication in this journal.