Strategic Planning Implementation and Creation of Value in the Firm

The adopted definition of strategic planning is that of formulation of broad and flexible objectives driving the organization towards a vision of the future. Strategic planning enhances co-ordination, control, and review of progress towards the firm's objectives, and exploits market opportunities and communication between personnel encouraging a favorable and productive attitude. Unanticipated problems, more time required than planned, and distracting crises are identified as the major limiting factors in the implementation of strategic planning. Competitive position, efficiency of operations, return on assets, growth rate, and overall financial performance were all found to be positively correlated with effective strategic planning implementation.