The alignment between effective people management, business strategy and organisational performance in the banking and insurance sector

Abstract

The aim of the study was to determine the nature of the alignment between people management effectiveness, business strategy and organisational performance within the banking and insurance sector in South Africa. From the field study, it was evident that the majority of the participating companies fell short of people management best practices and were therefore unable to support their business strategies, which were in line with best practices. The organisational performance data was insufficient to determine the nature of the alignment between organisational performance, people management, and business strategy. The South African banking and insurance industry needs to realign their people management component to support the appropriate business strategy and to produce a desired level of organisational performance. Opsomming Die doel van die studie was om die onderlinge verhouding tussen mensbestuursdoeltreffendheid, besigheidstrategie en organisasieresultate binne die Suid-Afrikaanse bank- en versekeringsektor te ondersoek. Diestudie het duidelik gewys dat toonaangewende bestuurspraktyke by die meerderheid van die deelnemende organisasies ontbreek. Die mensbestuur was nie in staat om die besigheidstrategieë te ondersteun nie wat wel met wêreldwye beste praktyke ooreenstem. Inligting oor organisasieresultate was onvoldoende om enige afleiding te maak. Mensbestuur in die Suid-Afrikaanse bank- en versekeringsektor moet met die besigheidstrategie belyn word om die verwagte organisasieresultate te lewer.