An examination of strategic planning and its impact on the achievement of organizational goals
CHAPTER ONE
OBJECTIVE OF THE STUDY
The objective of the study is to examine the effect of strategic planning in achieving organization goal attainment.
The objective is as follow:
- To examine the effect of strategic planning in achieving organizational goals.
- To examine the relationship between organization performance and goals.
- To see how strategic planning influence performance of the business organization.
- To examine the potency of strategic planning in the achievement corporate goals and objective.
CHAPTER TWO
REVIEW OF RELATED LITERATURE
Introduction
This aims at explaining the major issues of the study and giving a detail of the objectives intended to be achieved. From the mid-seventies we can note that scholars makes the distinction between small and large businesses in terms of needs, level of sophistication and range of strategic planning. Bracker and Pearson (1986), Rue and Ibrahim (1998), Perry (2001) and Wijewardena, Zoysa, Fonseka and Perera (2004) all formulate definitions of strategic planning which take the uniqueness of small businesses into account and allow for the fact that small businesses cannot draw on management and material resources in a manner similar to that of large organizations. Empiric studies’ findings indicate at a correlation between strategic planning and performance. Nevertheless, the findings are mixed. A survey of twenty-six experimental studies enabled Miller and Cardinal (1994) to identify a significant positive connection between strategic planning and small business performance Robinson (1982) found a significantly high level of profitability as well as an increase in sales and returns on sales and the number of full time employees in a group of small businesses that employed external consultants for the purpose of strategic planning. Compared with other businesses, Pearce & Robinson (1997) discovered a significant increase in income and remuneration per entrepreneur in businesses that prepared strategic plans (the highest of four designated levels of strategic planning). No significant increase was detected in the measure salary expenditure divided on the sum total of sales. A significant differentiation in the rate of sales increase was found by Robbins, SP. (1998) in small businesses that incorporated written planning (basic or sophisticated), as opposed to other businesses. Perry (200 I) detected a significant differentiation in the degree to which planning was conducted in small businesses that did not applied for bankruptcy as opposed to those that did. Wijewardena et al. (2004) define three levels of planning: no written planning; basic planning; and detailed planning. The findings indicate that the level of planning stands indirect proportion to the level of increase in sales. Salas, Eduardo, Gerald F. Goodwin & Shawn C. Burke. (2009) classify three levels of planning: low; moderate; and high. A connection was found between increase in sales and the low level of planning.
CHAPTER THREE
RESEARCH METHODOLOGY
INTRODUCTION
In this chapter, we described the research procedure for this study. A research methodology is a research process adopted or employed to systematically and scientifically present the results of a study to the research audience viz. a vis, the study beneficiaries.
CHAPTER FOUR
DATA PRESENTATION AND ANALYSIS
INTRODUCTION
This chapter presents the analysis of data derived through the questionnaire and key informant interview administered on the respondents in the study area. The analysis and interpretation were derived from the findings of the study. The data analysis depicts the simple frequency and percentage of the respondents as well as interpretation of the information gathered. A total of eighty (80) questionnaires were administered to respondents of which only seventy-seven (77) were returned and validated. This was due to irregular, incomplete and inappropriate responses to some questionnaire. For this study a total of 77 was validated for the analysis.
CHAPTER FIVE
SUMMARY, CONCLUSION AND RECOMMENDATION
Introduction
It is important to ascertain that the objective of this study was to ascertain An examination of strategic planning and its impact on the achievement of organizational goals. In the preceding chapter, the relevant data collected for this study were presented, critically analyzed and appropriate interpretation given. In this chapter, certain recommendations made which in the opinion of the researcher will be of benefits in addressing the challenges of strategic planning and its impact on the achievement of organizational goals
Summary
This study was on an examination of strategic planning and its impact on the achievement of organizational goals. Three objectives were raised which included: To examine the effect of strategic planning in achieving organizational goals, to examine the relationship between organization performance and goals, to see how strategic planning influence performance of the business organization and to examine the potency of strategic planning in the achievement corporate goals and objective. A total of 77 responses were received and validated from the enrolled participants where all respondents were drawn from selected banks in Uyo. Hypothesis was tested using Chi-Square statistical tool (SPSS).
Conclusion
Judging from the various computation analysis and findings, the results revealed some pertinent fact from which the researcher then drew certain conclusion. Considering the high percentage in favour of the three tested hypotheses, it can be reasonably concluded that at 95% confidence, strategic planning enhances performance and survival. Most of’ the respondents strongly agree that strategic planning enhances better organizational performance, as this also constituted part of the hypotheses used for this study. Few agree while just a little of the respondents were undecided. Hence, it can be deduced from the above responses that strategic planning enhances better organizational performance. Almost all of the respondents strongly agree and agree that there is a link between strategic planning and organization’s survival, which was the final hypothesis tested in the study, while just a very few of the respondents were undecided, none of the respondents disagree nor strongly disagree. Hence, it can be concluded that there is a link between strategic planning and organization’s survival, using the above responses as proves.
Recommendation
Based on the findings from the study the following recommendations are made. Having discovered that organizational performance and profitability is a function of strategic planning, Organizations shouldaccord priority attention to the elements of strategic planning for example; having a documented mission statement, a future picture (vision) of the organization, organizations should establish core values i.e., organization’s rules of conduct, set realistic goals, establishment of long term objectives (this has to be measurable and specific) and the development of action (strategic) plans and its implementation and adequate follow-up. Finally, since it was discovered that environmental factors affect strategic planning intensity, organizations should make adequate environmental analysis both the internal and external analysis, this can be done through the SWOT analysis which indicates the Organization’s strengths, weaknesses, opportunities and threats.
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