Relative Importance of Organizational Agility in Customer Retention in the Nigerian Banking Sector

This research was conducted to investigate the relative importance of organizational agility in customer retention in the Nigerian Banking Sector. The study was focused on establishing the relative strengths of sensing, acting and strategic flexibility on customer retention in Nigerian banks. The survey research design was adopted for the study. The study had an infinite population. A sample size of 440 respondents was administered with copies of the questionnaire while 294 copies or 66.82% response rate was achieved. Data analysis was done with regression statistical technique. Findings of the study indicated an R of 0.886 which implied a strong relationship between the combined variables of organizational agility and customer retention in the Nigerian Banking Sector. It was also found that in terms of the relative importance of organizational agility, acting agility (Beta =1.309, t=3.907 p<0.05) had the greatest influence on customer retention in commercial banks in Nigeria; sensing agility (Beta =2.074, t=3.480, p<0.05) had the second most important influence while strategic agility (Beta =2.641, t=2.373, p<0.05) had the third most important influence on customer retention in commercial banks in Nigeria. It was recommended that commercial banks in Nigeria should leverage organizational agility to retain their customers in an increasingly competitive banking industry of Nigeria by formulating its customer retention strategies along these empirical findings.