The primary research objectives were to ascertain and evaluate managementperformance practices and generate recommendations that might help in improvingoverall performance in Kuwaiti commercial banks. A theoretical framework for thefinancial and management performance of Kuwaiti banks was, therefore, developedand the research objectives and hypotheses were translated into relevant policy issues.These issues were identified by conducting field research in Kuwait. Kuwait waschosen because it is the country of the author and also constitutes an importantdeveloping country within the gulf. Six Kuwaiti commercial banks were surveyed toascertain management opinion on management performance practices. These bankswere: National Bank of Kuwait, Gulf Bank of Kuwait, Al-Ahli Bank of Kuwait,Burgan Bank, Commercial Bank of Kuwait, and The Bank of Kuwait and The MiddleEast.The methodology used to test the hypotheses and achieve the research objectivesincorporated a mail questionnaire which was distributed to 108 branch managersthrough the main offices of each bank. This part of the field survey was conductedsimultaneously with 12 face-to-face interviews with senior executives i. e. twointerview per study bank. When the field survey was completed the results wereanalysed and conclusions were drawn regarding the hypotheses and policy issues.In summary, the main findings of the study were that: management performance isdependent on: management training, management resource planning, performancerelated pay; and external environmental factors (local economy, bank internalregulations, customer satisfaction, inadequate information technology resources, banksize, bank location, and cultural considerations). However, rather interestingly, one ofthe external factors, social and personal ties (wastah) had no affect on managementperformance. Personal and job-related considerations such as educational qualifications, manager'sage, manager's monthly salary, etc., had an affect on individual managementperformance but other factors such as the manager's nationality, and gender, had noaffect.The findings of this research, as well as the evidence from previous studies, showedthat management performance in Kuwait is frustrated by interrelated andinterdependent contextual elements. Management performance as a multidimensionaland multipurpose-activity has yet to be fully comprehended in Kuwait. Social andcultural considerations, such as intimate social tics and social status, are important andcomplicated issues which undoubtedly affect management performance.Consequently, there is a national misconception about the significance of managementperformance and the effect cultural consideration and personal ties (wastah), have on ascientific approach to the management performance process in Kuwaiti banks.
