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This study set to find out whether strategic intelligence has any effect on the financial performance on Kenyan commercial banks, establish whether it could be used to improve performance of the Kenyan banking sector and further support the economic growth of the country. The study conceptualized strategic intelligence as synergy of business intelligence, competitive intelligence and knowledge management. Data was obtained from the yearly records and publications of the central bank of Kenya, between the years 2016 – 2018. Further the researcher conducted simple linear multivariate analysis to confirm the outcome strategic intelligence has on the return on equity of the saving banks. Hypothesis testing was conducted at P-value<0.5. Findings indicated that strategic intelligence has a positive effect on the return on equity. The results showed that a unit increase of strategic intelligence led to a significant increase on the return on equity. Data collection was limited to the 40 registered Kenyan savings institutions. Further return on equity was used as financial measurement, for three consecutive years (2016 -2018), acquired from the yearly publications of the central bank of Kenya. The main objective was to identify the effect of strategic intelligence on the financial performance in Kenya. The study further revealed the benefits accrued in stability and sustainability of the banks, when strategic intelligence is employed. Moreover, this study exposed the setbacks that emerge in the absence of strategic intelligence in an individual commercial bank and the sector as a whole. The diversification of strategic intelligence of banks in Kenya should focus on growth of return on equity as the most attractive financial ratio, easy to interpret and the fast noticeable by investors, hence the major sources of revenue for the growth, stability and sustainability of the commercial banks in Kenya.
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In-Text Citation: (Blandina et al., 2021)
To Cite this Article: Blandina, W. K., Stephen, M. A. M., & Samuel, M. M. (2021). Strategic Intelligence and Financial Performance in the Commercial Banks in Kenya. International Journal of Academic Research in Business and Social Sciences, 11(3), 243-257.
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