Implementing strategic information systems in commercial banks in Kenya

Several banks have started projects aiming at introducing interoperable Strategic information \nsystems (SISs), thereby making banking operations more efficient and reducing banking \nerrors based on insufficient or wrong data. Implementing the SISs is an enormous task, and \nthere are many parties involved in implementing these systems that all have their own goals \nand interests. The SISs also forces processes and procedures to be changed, something that is \nvery difficult in banking operations. As indicated by the mounting costs and severe delays in \nthe implementation of SISs, there are many challenges faced before we can expect an \noperational SIS. Even the relatively simple and straightforward bank operations suffer from \ndelays due to technical and organizational difficulties. \nAlthough the banking industry has embraced information and communication technology in \nits operations, the underlying factors inhibiting it the implementation of SISs are not well \nunderstood. This paper presents the challenges inhibiting SISs implementation and how \nbanks are responding to these challenges. The targets of the study were the commercial \nbanks in Kenya. This study gives a brief overview of the academic literature on the \nchallenges faced and the responses that organizations employ in system implementation and \nthe extent of such systems' use. The findings from the Kenya Commercial Banks are then \nreported. \nThis paper concludes that there exist various challenges to the implementation of Strategic \nInformation Systems (SISs) in commercial banks in Kenya. The banks have thus employed \nvarious responses to overcome these challenges with some of the responses being more \npopular than the rest depending on the impact they have on the implementation process. \nLack of required infrastructure, resources and specialized skins, commitment from the senior \nmanagement team and fear of adopting the system by both the bank employees and customers \nwere some of the major challenges that were identified while training of bank employees and \ncustomers, employing specialized technology and staff and lowering electronic banking \ncharges were some of the popular responses that banks have been using.