Effect of Talent Attraction on Competitive Advantage of Commercial Banks in Kenya: A Case of the Kenya Commercial Bank

Abstract

The theory behind talent attraction is based on the idea that businesses are operated by people; they create value by leveraging corporate assets to create products and services that clients require. However, in the twenty-first century, attracting talent in the banking business has become difficult because commercial banks are battling it out for the same pool of talent. Talent deficits are occurring as a result of globalisation, which has allowed skilled employees to market their skills beyond a single region. As a result, experts have mixed feelings about the likelihood of severe global rivalry for talent, focusing attention on how talent is attracted.The purpose of this study was to look at the impact of attracting skilled workers on the competitive advantage of Kenya Commercial Bank. The theoretical framework for this study was based on the Equity Theory of Motivation. The study utilised a case study approach, and the target population was one hundred and forty-six (146) top and mid-level management at the KCB headquarters. Because the population was small, the study relied on a census. The study made use of primary data. Data was gathered via a questionnaire. Descriptive statistics for frequency and percentage were used to analyse the data. Pearson correlation analysis, simple, and multiple linear regression were also used to summarise and classify data, establish the link between the variables, and assess the effect of the independent variable on dependent variable. The study found that talent recruitment was a key element in increasing commercial banks' competitive advantage (r = 0.838, p-value = 0.000). The null hypothesis was evaluated using simple linear regression analysis, and it was rejected since the t-values (15.805) exceeded the crucial t-values. A large number of respondents said that KCB's competitive advantage was affected by talent attractiveness. As a result, the study recommended that commercial banks implement appropriate talent attraction tactics to strengthen their competitive position. Key Words: Talent Attraction and Competitive Advantage