The Effects of Cost Management Strategies on Perfomance of Commercial Banks in Uganda Case Study: Cairo International Bank
Author: AINOMUGISHA BRENDA
Supervisor: Edward Ssemwogerere Anselm
This study examines the effects of Cost Management Strategies as the independent variable and performance of Commercial Banks in Uganda as the dependent variable. The specific objectives of the study were; To explore how budgetary control affects performance of commercial banks in Uganda, To investigate how Credit policy affects profits level of commercial banks in Uganda and To examine how organizational size affects performance in commercial banks in Uganda.
Data was collected using self-administered questionnaires and face to face interviews. In summary, the findings from the study revealed that majority of the respondents relatively agreed that the debtors pay on time. The study revealed that most of the respondents agreed that they make delayed payments to their creditors without damaging our relationship.
A case study of cairo international bank Kampala district was used. Both quantitative and qualitative approaches were applied and a cross section survey was used for the case of the time horizon. A sample size of 30 respondents was chosen and deemed necessary to attain adequate information for the research study. Data was collected using Questionnaires, Interviews, observation and the review of secondary data from the library. The research targeted employees of all categories with focus on the employees of the organization.
Data was analyzed using the Statistical Package for Social Scientists (SPSS) where conclusions were drawn from tables generated from the Package. The same tables were used to generate graphs and pie charts from excel that were used to present the findings. The findings were presented in a way that they answered the objectives, conceptual frame work and hypothesis respectively.
A literature review was conducted on the research topic in line with the objectives, conceptual frame work and hypothesis with emphasis on the research objectives.
The variables were positively related to financial performance of commercial banks.
The study recommended of commercial banks focused on managing cost of distribution, cost of labour and cost of stock. That is ensuring just enough stock is available, the supply chain is reasonable and labour is minimal and efficient.
In summary, the findings from the study revealed that majority of the respondents relatively agreed that the debtors pay on time, but some clients normally take longer time to pay back