Capacity management within Equity Bank Uganda Limited
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In recent years, the banking industry has faced two major escalating pressures namely; the digital technology that is fast growing and increased demand from customers for reasonable cost and timely services. This has prompted managers to identify specific practices that can meet customer demands one being capacity management. The purpose of this study was to assess the capacity management practices within Equity Bank Uganda Limited. The study aimed at achieving objectives of: examine the capacity management practices; establish the challenges of capacity management; and ascertain strategies for improving capacity management within Equity Bank. The study used a cross sectional research design along with a quantitative research approach. A sample size of 131 was used by simple random sampling technique from a total of 161 employees constituting top managers, middle managers and officers. Primary data was obtained using a structured questionnaire instrument. Validity of the instrument was determined by CVI and Cronbach Alpha Coefficient for reliability. Field results were edited, coded and later entered into the SPSS (v.20) for analysis. The study interpreted findings using descriptive statistics of frequency, percentages, mean and standard deviation. The study found low capacity management practices in chase, level and copying strategies. Part-time employees were not recruited, no incentives for overtime were paid and slow resources transfer between back and front office were eminent. The study also observed inflexible service prices, high engagement in advertising and promotional activities. The main challenges were: varying demands; unrealistic determination of capacity value; high cost of capacity management; and varying training needs for customers. The proposed strategies included equipment effectiveness, adopting proper scheduling mechanism, capacity planning, monitoring and control and increased flexibility. The recommendations included: monitoring and control; revising recruitment policy; technology advancement; flexibility of capacities; extension of incentives to employees; and customer training in order to improve capacity management.