IMPACT OF STRATEGIC MANAGEMENT ON ORGANISATIONAL GROWTH
- Post by: admin
- November 5, 2021
- Comments off
IMPACT OF STRATEGIC MANAGEMENT ON ORGANISATIONAL GROWTH
1.1 BACKGROUND TO THE STUDY
Strategic Management is used to describe the decision process. It can also be called strategic planning. Strategic management is that set of direction and actions which leads to the development of an effective strategy to help achieve corporate objectives. It is the careful selection and correct application of tools that determine entrepreneurial success. It is felt that strategic management, a key pillar for corporate survival, may be adapted and applied to ensure better entrepreneurial performance on a more consistent basis. Strategic management materials appear to be written primarily for larger corporations. It suggests elaborate involvement, high cost and complex architecture as prerequisites. The reaction of Small-Scale Business Enterprise is naturally one of being intimidated; and therefore most small scale entrepreneurial prefer to operate in the usual manner and mindset. Where there is no change, different results cannot be expected. Anthony Robbins (2007), the most famous Neurolinguistic Programming specialist, once remarked: To keep on doing the same thing and expect a different result is a form of insanity. For reasons stated above, a research on strategic approach to management of Small-Scale Business Enterprises is therefore examined.
1.2 STATEMENT OF THE PROBLEM
Some Nigerian Business Organizations are without formal plans or where there are formal plans they do operate without adhering to them. Some argued that the market place changes so fast for a plan to be useful. All business organizations are heading somewhere but unfortunately some do not know where they are going, then any road will lead them there. This therefore emphasizes the need for organizations to utilize strategic planning concepts. Strategic management implementation has been challenging to many organizations. They crunch vast amounts of consumer data, hold planning sessions frequently, and use various techniques to develop strategy. Still, they miss the mark a lot of the times. Some strategic management problems faced by organizations include; Companies tend to ignore one complication along the way: They can’t develop models of the increasingly complex environment in which they operate. As a result, contemporary strategic-planning processes don’t help enterprises cope with the big problems they face.
Several Chief Executive Officers (CEOs) admit that they are confronted with issues that cannot be resolved merely by gathering additional data, defining issues more clearly, or breaking them down into small problems. Their planning techniques don’t generate fresh ideas, and implementing the solutions those processes come up with is fraught with political peril. Most Organizations do not progress at all walloping in serious planning problems. Therefore, there is need to investigate why the above problems persist and examine ways by which strategic planning could assist.
1.3 OBJECTIVES OF STUDY
This research aims at examining the impact of strategic management on the organizational performance. The specific objectives of the study include;
i. To appraise the value of strategic management concepts and techniques as applied to organizations.
ii. To examine the impact of strategic management in organisation’s success.
iii. To provide some guidelines with which organisations can apply the strategic management ideas and skills, in a time-saving manner.
iv. Suggest methods that may prevent major crisis and business failures.
1.4 RESEARCH QUESTIONS
The following questions are pertinent to this work;
To what extent are strategic management concepts and techniques important in an organisation?
Is there any significant relationship between organization strategic management and organizational performance?
Has Lawrenzo Cargo and Logistics Ltd been able to put in place effectively plan on how to acquire knowledge on strategic management ideas and skills?
To what extent is Planning as a managerial function relevant to the existence of Lawrenzo Cargo and Logistics Ltd?
What are the Strategic Management concepts and techniques organizations need to make it achieve their aims and objectives?
1.5 RESEARCH HYPOTHESES
For the purpose of this study, it is necessary that working hypotheses be established. To this end, the following hypotheses were tested:
Ho: There is no significant relationship between Strategic management and organizational performance
H1: There is significant relationship between Strategic management and organizational performance.
Ho: Acquiring strategic management ideas/skills is not important to the management of an organization.
H1: Acquiring strategic management ideas/skills is important to the management of an organization.
1.6 RESEARCH METHODOLOGY
Research methodology deals with the description analysis and interpretation of various methods employed for collecting relevant information necessary for research work. For the purpose of collecting necessary data for this research work, primary and secondary data collection method are used. The primary data collection method will be through the following:
1. Structured questionnaire
2. Personal unstructured interview
The secondary data are collected from reports and documents from the company. Also, materials from library and desk research literatures were used. In this study, descriptive method are used to analyze data and also in testing hypothesis, chi-square (X2) was employed. Findings from this research study will be discussed in the light of the research problem hypothesis, purpose research questions, literatures of the research and other relevant issues conclusions will be drawn and recommendations and suggestions also will be made.
1.7 SIGNIFICANCE OF THE STUDY
Without doubt, strategic management plays an integral role in the management of business. It is a managerial tool that cannot be overlooked. Hence, the motivating factor of this work is to elucidate information on the need to be more proactive in manager’s planning toward the sustenance of business enterprise. Strategic management endeavours to achieve effective and efficient programs to accomplish the organization’s mission. As a philosophy, it changes how managers looks at competitors, customers, markets and even the organization itself. The significance of this research work is to stimulate management’s awareness of the strategic implication of environmental events and internal decision. Strategy is needed to focus effort and promote coordination of activities. Without strategy an organization becomes bunch of individuals, hence strategy is required to ensure collective actions and concentration of efforts towards achieving organizational plans and objective
1.8 SCOPE OF THE STUDY
This project work examines the Impact of Strategic Management on Organisational Growth, it is designed to capture data and achieve research objectives for Lawrenzo Cargo and Logistic Ltd only. It is however hoped that the result could be applied to other organisations. Due to the time limit, the research work covers a small cargo and logistic company (Lawrenzo Cargo and Logistic Ltd) located in Lagos.
1.10 HISTORICAL BACKGROUND OF LAWRENZO CARGO AND LOGISTICS
Lawrenzo Cargo and Logistics Limited commenced its operations in 2004 as a Cargo Company providing freight forwarding services. The Registered Office of the Company is located at Muritala Muhammed International Airport Ikeja, Lagos. The Company offers specialized logistics services across Multimodal Transport Operations, cargo export/import, Container Freight Station Operations, consolidation and warehousing. Benchmarked quality standards, standardized processes and operation excellence across all the services and facilities, have enabled Lawrenzo Cargo and Logistics Ltd to emerge as leading players in all these segments. Lawrenzo Cargo and Logistics Ltd currently has about one hundred (100) competent staff. As a result of milestone achievements in the last three years, she was awarded ‘Best Consolidator’ for the year 2011 by Euro airline. As a young and fast growing company, Lawrenzo Cargo and Logistics Ltd tends to commence operations at Aminu kano International airport before the end of 2012.