Improving the Competitiveness of Nigerian Deposit Money Banks through Business Process Re-Engineering

This work sought to determine the impact of business process re-engineering on the competitiveness of deposit money banks in Nigeria. The specific objectives assessed the nature of the relationship between corporate restructuring and competitive advantage, whilst examining the extent and nature of the relationship between innovative rethinking and market share, and establishing key barriers to business process re-engineering in money deposit banks in Nigeria. The study comprised a population of 17977, which included staff at both junior and senior levels of the deposit money banks in the North Central Zone of Nigeria. The study used a sample size of 504 respondents, which was derived from the population, using the Freund and Williams Sampling formula. Hypotheses testing was conducted by using the Pearson Product Moment Correlation Coefficient for hypotheses one and two, and the Z-test for hypothesis three. The findings revealed that corporate restructuring and competitive advantage had a positive relationship; there was a significant positive relationship between innovative rethinking and market share; and resistance to change and poor project management were key barriers to business process re-engineering in money deposit banks in North Central. Based on the findings, we conclude that properly implemented business process re-engineering is a strategy, which is required to improve banks’ competitiveness and to gain competitive advantage, whilst leveraging on the economies of scale. It is recommended that management teams that are restructuring their operations should not merely do so because their business is failing and hence needs restructuring, but should instead do so to improve their competitiveness and financial standing.