The Influence of Strategic Planning Practices on Performance of Engineering Consultancy Firms in Kenya

Abstract

The project research finds out the impact of strategic planning practices on performance of engineering consultancy firms in Kenya. This study is aimed to assess the influence of strategic planning practices on the performance of engineering consultancy organizations in Kenya. The study will be important to engineering consultancy firms, students and the government as it will offer valuable theoretical and practical insights. The research will demystify the general understanding onthe influence of strategic planning practices and their effect on organizational performance. The engineering consultancy industry in Kenya is faced with certain issues and challenges that are negatively impacting on Kenya’s competitiveness and sustainability. The firms haveencountered difficult times particularly over a prolonged period of lackluster performance in the 1990s. A post-election unrest in 2008 and the 2009 Global Economic crisis caused challenges to international engineering consultancy business. Then in the recent past is the threat of terrorism in which Kenya has lost jobs in areas which have been attacked by Al-shabab group. The study found that strategic planning practices had positive significant impact on Kenya’sengineering consultancy firms’financial performance. Overall strategic planning practices accounted for 25.6% of the variations in financial performance of the firms. Theresearch establishes that strategic planning practices moderately influence the financial performance of engineering consultancy firms. The study recommends that firms in the engineering consultancy in Kenya should employ strategic planning practices as these are likely to impact on their financial performance.