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Planning system characteristics and planning effectiveness

Author

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  • Vasudevan Ramanujam
  • N. Venkatraman

Abstract

The nature of the multivariate relationship between six characteristics of planning systems and three different conceptualizations of planning effectiveness is examined using canonical correlation analysis. The analysis indicates that the organizational context of planning—captured here by two key characteristics—resistance to planning and resources provided for planning—is the dominant impact on planning system effectiveness, broadly construed. While individual design elements of the planning system such as use of techniques and external orientation do influence effectiveness, the contextual dimensions appear to be overriding. Implications for further research on planning systems and directions for future extensions of this study are discussed.

Suggested Citation

  • Vasudevan Ramanujam & N. Venkatraman, 1987. "Planning system characteristics and planning effectiveness," Strategic Management Journal, Wiley Blackwell, vol. 8(5), pages 453-468, September.
    • Handle: RePEc:bla:stratm:v:8:y:1987:i:5:p:453-468
    DOI: 10.1002/smj.4250080505
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    Cited by:

    1. John A. Parnell, 2017. "Cronyism from the Perspective of the Firm: A Cross-National Assessment of Nonmarket Strategy," Journal of Private Enterprise, The Association of Private Enterprise Education, vol. 32(Fall 2017), pages 47-74.
    2. Stefanie De Bruyckere & Patricia Everaert, 2021. "The Role of the External Accountant in Business Planning for Starters: Perspective of the Self-Determination Theory," Sustainability, MDPI, vol. 13(6), pages 1-24, March.
    3. Huo, Da & Chaudhry, Hassan Rauf, 2021. "Using machine learning for evaluating global expansion location decisions: An analysis of Chinese manufacturing sector," Technological Forecasting and Social Change, Elsevier, vol. 163(C).
    4. Greenley, Gordon E. & Foxall, Gordon R., 1996. "Consumer and nonconsumer stakeholder orientation in U.K. companies," Journal of Business Research, Elsevier, vol. 35(2), pages 105-116, February.
    5. Safal Batra & Sunil Sharma & Mukund R Dixit & Neharika Vohra, 2018. "Does strategic planning determine innovation in organizations? A study of Indian SME sector," Australian Journal of Management, Australian School of Business, vol. 43(3), pages 493-513, August.
    6. Thomas Schaefer & Thomas Guenther, 2016. "Exploring strategic planning outcomes: the influential role of top versus middle management participation," Journal of Management Control: Zeitschrift für Planung und Unternehmenssteuerung, Springer, vol. 27(2), pages 205-249, May.
    7. Park, Duk-Byeong & Doh, Kyung-Rok & Kim, Kyung-Hee, 2014. "Successful managerial behaviour for farm-based tourism: A functional approach," Tourism Management, Elsevier, vol. 45(C), pages 201-210.
    8. Abbas Mohammed Hussein & Mohammed Mustafa Ahmed & Mohamed Yahya Mahmoud Khudari, 2021. "The Impact of Strategic Planning in the University’s Competitiveness According to NIAS," Academic Journal of Interdisciplinary Studies, Richtmann Publishing Ltd, vol. 10, September.
    9. 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.
    10. Parnell, John A., 2021. "An Ounce of Prevention: What Promotes Crisis Readiness and How Does It Drive Firm Performance?," American Business Review, Pompea College of Business, University of New Haven, vol. 24(1), pages 90-113, May.
    11. Robert N. Lussier & Matthew C. Sonfield & Joel Corman & Mary McKinney, 2001. "Strategies Used by Small Business Entrepreneurs," American Journal of Business, Emerald Group Publishing, vol. 16(1), pages 29-38.
    12. Albert H. Segars & Varun Grover, 1999. "Profiles of Strategic Information Systems Planning," Information Systems Research, INFORMS, vol. 10(3), pages 199-232, September.
    13. 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.
    14. Phillip Phan & John E. Butler & Soo Hoon Lee, 2005. "Corporate Governance and Management Succession in Family Businesses," Industrial Organization 0506002, University Library of Munich, Germany.
    15. John Parnell & Gregory Scott & Georgios Angelopoulos, 2013. "Benchmarking Tendencies in Managerial Mindsets: Prioritizing Stockholders and Stakeholders in Peru, South Africa, and the United States," Journal of Business Ethics, Springer, vol. 118(3), pages 589-605, December.
    16. Samuel Y. Todd & Tamara A. Crook & Tony Lachowetz, 2013. "Agency Theory Explanations of Self-Serving Sales Forecast Inaccuracies," Business and Management Research, Business and Management Research, Sciedu Press, vol. 2(2), pages 13-21, June.
    17. Brock, David M. & Barry, David & Thomas, David C., 2000. ""Your forward is our reverse, your right, our wrong": rethinking multinational planning processes in light of national culture," International Business Review, Elsevier, vol. 9(6), pages 687-701, December.
    18. 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.
    19. Elnivan Moreira de Souza & Paulo César de Sousa Batista, 2017. "Strategic Antecedents and Consequents for the Performance of E-Business Companies," Brazilian Business Review, Fucape Business School, vol. 14(1), pages 59-85, January.
    20. Hasan Yousef Aljuhmani & Okechukwu Lawrence Emeagwali, 2017. "The Roles of Strategic Planning in Organizational Crisis Management: The Case of Jordanian Banking Sector," International Review of Management and Marketing, Econjournals, vol. 7(3), pages 50-60.
    21. Obonyo Mark Ouche & David Odhiambo Oima & Moses Oginda, 2016. "Effect of Strategic Planning on Annual Income of National Sports Federations in Kenya," 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(5), pages 41-64, May.
    22. Labroukos, N. S. & Lioukas, S. & Chambers, D., 1995. "Planning and performance in state-owned enterprises: A multidimensional assessment," European Journal of Operational Research, Elsevier, vol. 87(3), pages 624-640, December.

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