IDEAS home Printed from https://ideas.repec.org/a/bla/stratm/v44y2023i7p1803-1819.html
   My bibliography  Save this article

Meta‐analysis of the corporate planning–organizational performance relationship: A research note

Author

Listed:
  • Peter Maik Hamann
  • Oliver Halw
  • Thomas W. Guenther

Abstract

Research Summary Despite a plethora of studies, the moderating effects of contingency factors regarding the relationship between corporate planning (CP) and organizational performance (OP) remain open to discussion. Our meta‐analysis analyzes 183 independent study samples, 84 of which are examined for the first time. We expand on previous meta‐analyses by correcting for measurement error and dichotomization, and we use moderation analyses and meta‐analytical regressions to explain heterogeneity in these studies. We find evidence for the moderating effects of task interdependence and uncertainty avoidance as contingency factors. Unexpectedly, we identify an interaction of the measurements of OP and CP with uncertainty avoidance. Our results provide new insights into the relationship between CP and OP. Management Summary Managers who may doubt whether planning is still fruitful in turbulent times obtain a clear answer from our study: Yes, it is. CP is definitely correlated with OP. The effect sizes are stable over time and for different types of planning. However, the effect of CP on performance depends on the organizational context. Manufacturing firms benefit more than nonmanufacturing firms, and larger firms benefit more than smaller firms. Organizations in countries with high uncertainty avoidance show larger effects in relation to those in countries with low uncertainty avoidance. Finally, organizations facing high environmental uncertainty show higher effects of CP than organizations in more stable environments. However, the identified effects are conditional on the type of measurement of performance and CP.

Suggested Citation

  • Peter Maik Hamann & Oliver Halw & Thomas W. Guenther, 2023. "Meta‐analysis of the corporate planning–organizational performance relationship: A research note," Strategic Management Journal, Wiley Blackwell, vol. 44(7), pages 1803-1819, July.
    • Handle: RePEc:bla:stratm:v:44:y:2023:i:7:p:1803-1819
    DOI: 10.1002/smj.3476
    as

    Download full text from publisher

    File URL: https://doi.org/10.1002/smj.3476
    Download Restriction: no
    File URL: https://libkey.io/10.1002/smj.3476?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Greenley, Gordon E., 1994. "Strategic planning and company performance: An appraisal of the empirical evidence," Scandinavian Journal of Management, Elsevier, vol. 10(4), pages 383-396, December.
    2. Randall Y. Odom & W. Randy Boxx, 1988. "Environment, planning processes, and organizational performance of churches," Strategic Management Journal, Wiley Blackwell, vol. 9(2), pages 197-205, March.
    3. Charles R. Schwenk & Charles B. Shrader, 1993. "Effects of Formal Strategic Planning on Financial Performance in Small Firms: A Meta-Analysis," Entrepreneurship Theory and Practice, , vol. 17(3), pages 53-64, April.
    4. Macintosh, N. B. & Daft, R. L., 1987. "Management control systems and departmental interdependencies: An empirical study," Accounting, Organizations and Society, Elsevier, vol. 12(1), pages 49-61, January.
    5. Noel Capon & John U. Farley & James M. Hulbert, 1994. "Strategic Planning And Financial Performance: More Evidence," Journal of Management Studies, Wiley Blackwell, vol. 31(1), pages 105-110, January.
    6. Brinckmann, Jan & Grichnik, Dietmar & Kapsa, Diana, 2010. "Should entrepreneurs plan or just storm the castle? A meta-analysis on contextual factors impacting the business planning-performance relationship in small firms," Journal of Business Venturing, Elsevier, vol. 25(1), pages 24-40, January.
    7. Danny Miller & Jean-Marie Toulouse, 1986. "Chief Executive Personality and Corporate Strategy and Structure in Small Firms," Management Science, INFORMS, vol. 32(11), pages 1389-1409, November.
    8. Rudd, John M. & Greenley, Gordon E. & Beatson, Amanda T. & Lings, Ian N., 2008. "Strategic planning and performance: Extending the debate," Journal of Business Research, Elsevier, vol. 61(2), pages 99-108, February.
    9. Harris, Lloyd C. & Ogbonna, Emmanuel, 2006. "Initiating strategic planning," Journal of Business Research, Elsevier, vol. 59(1), pages 100-111, January.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. P. Maik Hamann, 2017. "Towards a contingency theory of corporate planning: a systematic literature review," Management Review Quarterly, Springer, vol. 67(4), pages 227-289, August.
    2. Ahmed Imran Hunjra & Nuzhat Shamim & Babar Khalid, 2014. "Impact of Strategic Planning on the Financial Performance of Small and Medium Banks in Islamabad," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 3(2), pages 96-130, June.
    3. Rudd, John M. & Greenley, Gordon E. & Beatson, Amanda T. & Lings, Ian N., 2008. "Strategic planning and performance: Extending the debate," Journal of Business Research, Elsevier, vol. 61(2), pages 99-108, February.
    4. Katrin M. Smolka & Ingrid Verheul & Katrin Burmeister–Lamp & Pursey P.M.A.R. Heugens, 2018. "Get it Together! Synergistic Effects of Causal and Effectual Decision–Making Logics on Venture Performance," Entrepreneurship Theory and Practice, , vol. 42(4), pages 571-604, July.
    5. Titus Jr., Varkey K. & Covin, Jeffrey G. & Slevin, Dennis P., 2011. "Aligning strategic processes in pursuit of firm growth," Journal of Business Research, Elsevier, vol. 64(5), pages 446-453, May.
    6. Sirén, Charlotta & Kohtamäki, Marko, 2016. "Stretching strategic learning to the limit: The interaction between strategic planning and learning," Journal of Business Research, Elsevier, vol. 69(2), pages 653-663.
    7. Debarliev, Stojan & Trpkova, Marija, 2011. "Strategic planning practice in transition economies: Empirical evidence from the Macedonian context," Business and Economic Horizons (BEH), Prague Development Center (PRADEC), vol. 4(1), pages 1-13, January.
    8. Anastasiia Laskovaia & Galina Shirokova & Michael H. Morris, 2017. "National culture, effectuation, and new venture performance: global evidence from student entrepreneurs," Small Business Economics, Springer, vol. 49(3), pages 687-709, October.
    9. Phillips, Paul & Moutinho, Luiz, 2014. "Critical review of strategic planning research in hospitality and tourism," Annals of Tourism Research, Elsevier, vol. 48(C), pages 96-120.
    10. Unger, Jens M. & Rauch, Andreas & Frese, Michael & Rosenbusch, Nina, 2011. "Human capital and entrepreneurial success: A meta-analytical review," Journal of Business Venturing, Elsevier, vol. 26(3), pages 341-358, May.
    11. Anna Long & Matthew S. Wood & Daniel L. Bennett, 2023. "Entrepreneurial organizing activities and nascent venture performance," Small Business Economics, Springer, vol. 60(2), pages 433-461, February.
    12. Giovanna Mariani & Davide Morelli & Leonardo Bartoloni, 2019. "Managing uncertainty in the start-up environment. Is a business plan an incentive or a limitation?," MANAGEMENT CONTROL, FrancoAngeli Editore, vol. 2019(1), pages 73-96.
    13. Stojan Debarliev & Marija Trpkova, 2011. "Strategic planning practice in transition economies: Empirical evidence from the Macedonian context," Business and Economic Horizons (BEH), Prague Development Center, vol. 4(1), pages 27-39, January.
    14. Dong Xiang & Andrew C. Worthington & Helen Higgs, 2011. "Firm-level determinants and impacts of finance-seeking behaviour and outcomes for small and medium-sized enterprises (SMEs) in Australia," Discussion Papers in Finance finance:201115, Griffith University, Department of Accounting, Finance and Economics.
    15. Mohamud Jama Ali & Elegwa Mukulu & John M. Kihoro & Joyce D. Nzulwa, 2016. "Moderating Effect of Firm Size on the Relationship between Functional Integration and Firm Performance," International Journal of Academic Research in Business and Social Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Business and Social Sciences, vol. 6(9), pages 38-57, September.
    16. Peng, Xue Bing & Liu, Yue Ling & Jiao, Qi Qi & Feng, Xiao Bin & Zheng, Bei, 2020. "The nonlinear effect of effectuation and causation on new venture performance: The moderating effect of environmental uncertainty," Journal of Business Research, Elsevier, vol. 117(C), pages 112-123.
    17. Per Davidsson & Scott Gordon, 2012. "Panel studies of new venture creation: a methods-focused review and suggestions for future research," Small Business Economics, Springer, vol. 39(4), pages 853-876, November.
    18. Salisu Isyaku, 2014. "Mediating Effect of Uncertainty Avoidance on the Relationship between Entrepreneurial Talent and SMEs Performance in Nigeria: A Conceptual Analysis," International Journal of Academic Research in Business and Social Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Business and Social Sciences, vol. 4(6), pages 368-383, June.
    19. Rosenbusch, Nina & Brinckmann, Jan & Bausch, Andreas, 2011. "Is innovation always beneficial? A meta-analysis of the relationship between innovation and performance in SMEs," Journal of Business Venturing, Elsevier, vol. 26(4), pages 441-457, July.
    20. Mohamed Laid Ouakouak, 2018. "Does a strategic planning process that combines rational and adaptive characteristics pay off ? Evidence from European firms," Australian Journal of Management, Australian School of Business, vol. 43(2), pages 328-349, May.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:stratm:v:44:y:2023:i:7:p:1803-1819. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://onlinelibrary.wiley.com/journal/10.1111/0143-2095 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.