Participatory Strategic Planning and Performance of Commercial Banks in Kenya
Abstract
Scholars and managers alike have argued in favour of organizations embracing strategic
planning to positively influence organization performance. Past studies have mainly
focused on the direct relationship between adoption of strategic planning and
organization performance. The key focus of this study was to examine the influence of
employee participation in the strategic planning process on the organization’s
performance. The study was done in the banking sector in Kenya where a total of 43
commercial banks were considered. A cross-sectional descriptive survey was adopted
where a structured questionnaire was administered to gather information on employee
involvement in strategic planning activities and how the same affect organizational
performance. Study findings reveal that employee participation does positively influence
the strength of the relationship between strategic planning and strategic planning
outcomes and this influence is statistically significant. Given the research findings, policy
makers and managerial practitioners should not only adopt strategic planning but also
advocate for high employee involvement in strategic planning activities to realize better
performance for their organizations. However, further research on this topic is
recommended to validate and increase applicability of these study findings across many
sectors of the economy