Effect of adopting PRINCE2 methodology on product delivery in the banking sector: a case study of Commercial Bank of Africa

Date
2019
Authors
Mugeni, Alphonce Nyakiamo
Journal Title
Journal ISSN
Volume Title
Publisher
Strathmore University
Abstract
Banks continue to operate in a very competitive environment. The 43 banks in Kenya are competing to attract and retain a share of the 74.7% of the populace who have bank accounts. One way of doing this is to roll out relevant products through management of projects. Management of projects is the channel for the development and supply of new products. It is now a core business process as well as being an efficient tool for dealing with unique or complex activities for the benefit of the end user. Products are the outcome of projects and are created using distinct methods of project management including Agile, Projects In Controlled Environment 2 (PRINCE2), Project Management Body of Knowledge (PMBOK) and Control Objectives for Information and Related Technologies (COBIT). The study sought to assess what effect adopting the PRINCE2 project management methodology has on product delivery within the banking sector in Kenya as evidenced at CBA. Variables that indicate successful delivery of a product include quality as prescribed under scope, delivery within an agreed-upon schedule & cost and achieved business objectives as judged by what the end user wanted. Data was collected using 78 questionnaires collected from the 87 that had been distributed to members of staff who implement projects – this translated to a response rate of 89.7% . The study found that the field is dominated by men and IT plays the biggest role in implementation. Further, the more experience one has with the methodology, the higher the likelihood of setting up the recommended PRINCE2 management structure in addition to tailoring the methodology for efficiency. Finally, the study also determined that project management governance and product-based planning spoke to the parameters used in gauging the successful delivery of a product, i.e. quality, on schedule, within budget and achieved business objectives. The study will help the industry regulator and policy formulators determine considerations to be made with reference to adoption of a common project management methodology for maximum probability of success. Bank executives and their management teams will also benefit by being better placed to understand and appreciate their roles with reference to PRINCE2 in order to harness maximum benefit from these initiatives and make their institutions more competitive in the market.
Description
A Thesis submitted in partial fulfillment of the requirements for the award of the Degree of Masters of Business Administration at Strathmore University Business School
Keywords
PRINCE2, Product delivery, Commercial Bank of Africa
Citation