An assessment of the challenges of internal communication and its relationship to successful product implementation in commercial banks.

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Sakala, Oscar K
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The University of Zambia
When internal communication is not efficient and effective in an organisation, it can lead to low product uptake, disconnect between knowledge of products and services on offer, bad customer experience and even penalties and sanctions. It is on this basis that this study aimed at assessing the challenges of internal communication in a commercial bank and its relationship to successful product implementation with a case study of Stanbic Bank Zambia. A quantitative approach was used in the study and involved engaging different using a structured survey questionnaire. The research model that was used to develop the questionnaire and to guide the study was the Shannon and Weaver model on communication. This model looks at the effectiveness of communication from the sender to the receiver encompassing the aspects of the channel/technology used, feedback and noise during the communication process. The researcher received responses from 55 staff. The data was analysed using Pearson correlation coefficient and P-value analysis with the Statistical package for the Social Sciences (SPSS version 16.0) and Microsoft Excel. This involved the use of frequencies and percentages on relevant data, as well as the application of Pearson correlation and two tailed significance (0.05 level of significance) tests on necessary variables. Through analysis of data it was found that biological factors and social systems did not have significant influence on effective communication. This was validated by Pearson correlation coefficient of -0.259 with P-value 0.056 for gender, Pearson correlation coefficient of -0.263 and P-value 0.053 for age and, correlation coefficient of 0.047 with P value 0.734 for social systems (department). While communication skills of sender or receiver (correlation coefficient of 0.490 and P-value of 0.000 for management), technology or channel used to communicate (correlation coefficient of 0.440 and p-value 0.001) and feedback (correlation coefficient 0.382 and p-value 0.004) all had influence on the effectiveness of internal communication. Other factors influencing the effectiveness of communication were bad reading culture by staff, bad communication practices from management, ineffective communication channels and delayed communication when there are changes to products or services. This shows that there is clear room to come up with a more effective approach to internal communication so as to ensure the right people are receiving the correct information and at the appropriate time.
Thesis of Masters of Business Administration