SUCCESSION PLANNING STRATEGIES AND ORGANIZATIONAL PERFORMANCE OF COMMERCIAL BANKS IN PORT HARCOURT

Abstract

The study examined the relationship between succession planning strategies and organizational performance of Commercial Banks in Port Harcourt. The objective of the study was to empirically ascertain how succession planning strategies such as leadership potentials identification and talent development relate with organizational performance of commercial banks in Port Harcourt in terms of financial performance and market share. The study employed the cross-sectional explanatory survey research design. The population of the study comprised of twenty-four (24) commercial banks operating in Rivers State. The sample size of this study consisted of the entire population of twenty-four (24) commercial banks operating in Rivers State. Thus, the study was a census research. In terms of respondents, four (4) top level managers (General Manager, Marketing Manager, ICT Manager, and Operations Manager) were selected from each of the commercial banks to give a total of ninety-six (96) respondents. Ninety-six (96) copies of the questionnaire were distributed while 89 copies retrieved. Spearman Rank Order Correlation Coefficient via Statistical Package for Social Sciences (SPSS) version 20.0 was used for the test of hypotheses. The result of the study revealed that succession planning strategies such as leadership potentials identification and talent development, has a strong positive relationship with organizational performance of commercial banks in Port Harcourt, especially in terms of financial performance and market share. The study concluded that the meticulous implementation of succession planning strategies, encompassing leadership potentials identification and talent development, profoundly impacts the organizational performance of commercial banks, particularly regarding financial performance and market share. The study recommended, among others, that commercial banks in Port Harcourt and across Nigeria should implement rigorous assessment processes to identify individuals with leadership potential, thereby ensuring that their leadership pipeline is filled with talent capable of driving financial performance and gaining market share.