The Relationship between Change Management and Organisational Effectiveness in the Zimbabwean Banking Industry

Abstract

This study focused on the relationship between change management and organisational effectiveness in the Zimbabwean banking sector. The study was motivated by the fact that the Zimbabwean macroeconomic environment has been insurmountable for quite some time now, with many changes that banking institutions need to take into account for them to remain viable. The banking sector is among the most closely watched and regulated sectors in most economies across the world. With the financial sector playing crucial roles in the economic soundness of a country most economies are constantly advocating changes designed to ensure increased performance and stability of the financial system. The main objective of the study was to investigate the impact of change management strategies on organisational effectiveness in banking institutions in Zimbabwe. The nullhypothesis in this study was; ‘change management does not have an effect on organisational effectiveness in Zimbabwean banks'. The population was made up of managerial and non-managerial employees in selected banks. The study used stratified random sampling to enable representation of all the nine banks in Harare. Data was also collected from participants from head office in the various departments. The research was quantitative in nature thus making quantitative data presentation and analysis techniques the tools used. The study found out that banks lacked effective strategies for managing changes. The study recommended that Zimbabwean banks needed to build a team of stakeholders which will drive the change by bringing together people within the organisation known as ‘Change Champions'.