Talent Management Approaches in the Kenyan Banking Sector: The Role of Organizational Characteristics

Abstract

Kenya’s banking sector is navigating a turbulent era where competition is fierce and the way banks manage talent may determine their survival. Both established giants and agile newcomers face the same question: which talent management (TM) approaches best sustain competitive advantage amid de-globalization, re-shoring, digital disruption, and shifting demographics? While most prior studies—largely from developed economies—highlight organizational size, little is known about how the combined influence of size and age shapes TM adoption in emerging markets. This study addresses that gap by examining Kenyan banks across three tiers. A cross-sectional survey of 456 employees yielded 399 valid responses, analyzed through structural equation modeling (SmartPLS 4.0). Findings reveal that larger and older banks tend to adopt hybrid TM approaches that blend inclusive and exclusive practices, whereas smaller and younger banks favor inclusive approaches. This study enriches TM scholarship by providing evidence from a resource-constrained, developing economy and offers practical guidance for aligning TM strategies with organizational size and maturity in an era of shifting global dynamics.