The Effect of Relational Transparency on the Performance of Employees of Commercial Banks in Kenya

Abstract

The study investigated the effect of Relational Transparency on the performance of employees of commercial banks in Kenya. Relational Transparency was measured using four independent variables, namely: openness, truthfulness, self-disclosure and mutual trust. Performance of employees had four indicators, which included efficiency, productivity, turnover and quality of work output. The theory underpinning the study is Social Exchange Theory. A cross-sectional descriptive research design was used. The population was 31,605 employees of 38 commercial banks in Kenya. The study sample was 395 respondents, which was attained using proportionate stratified sampling method. A structured questionnaire was used to collect primary data from respondents. The study formulated the null hypothesis and tested it using the spearman correlation coefficient aided by the statistical package for social sciences. The results showed that relational transparency has a statistically significant influence on the performance of employees of commercial banks in Kenya. The findings would be useful to commercial banks in Kenya and other organizations in evaluating their leaders ‘relational transparency in order to improve performance of their employees.