TABLE OF CONTENTS
Title Page i Certification ii
Dedication
iii
Acknowledgement
iv
Table of Contents v
List of Tables viii
List of Figures x
Abstract
xi
CHAPTER ONE: INTRODUCTION
- Background of The Study 1
- Statement of the Problem 3
- Rationale for the Study 4
- Research Questions 4
- Research Hypothesis 4
- Scope and Limitation of the Study 5
- Significance of the Study 5
- Brief History of Organization under Study; UBA Plc and
- Zenith Bank Plc 6
1.9 Strategic
Planning in UBA Plc and Zenith Bank Plc 7
1.10 Definition
of Terms 10
References 12
CHAPTER TWO: LITERATURE REVIEW
- Introduction 13
- The Concept Of Strategy and Strategic Planning 13
- Strategies and Policies 21
- The Process of Strategic Planning 23
2.5 Forms of Strategies 27
2.6
Factors affecting Strategic Planning 29
2.7 Dichotomy
between Strategic Planning and Organisational Growth 31
2.8 Why Most Strategic Plans Fail 32
References 34
CHAPTER THREE: RESEARCH
METHODOLOGY
3.3 Research
Design 36
3.4 Area
of Study 37
3.5 Population
of Study 37
3.6 Sample
Size 37
3.7 Description
of Research Instrument 38
3.8 Reliability
of the Instrument 38
3.9 Validation
of Instrument 39
3.10 Administering
the Questionnaire 39
3.11 Procedure
for Data Analysis 39
References 40
CHAPTER FOUR: DATA PRESENTATION
AND ANALYSIS
4.1 Introduction 41
4.2
Analysis of Data Presentation 41
4.3 Analysis
of Data 44
4.4 Test
of Hypothesis 54
CHAPTER FIVE: SUMMARY OF MAJOR
FINDINGS,
CONCLUSION AND RECOMMENDATIONS
5.1 Summary
of Major Findings 59
5.2 Recommendations 61
5.3 Conclusions 62
5.4
Suggestion for further studies 63
Bibliography
64
Appendix
I 67
LIST OF TABLES
Table 4.1: Gender distribution of
respondents 41
Table 4.2: Age distribution of
respondents 42
Table 4.3: Marital status
distribution of respondents 42
Table 4.4: Distribution by
educational qualification of respondents 43
Table 4.5: Income of respondents 43
Table 4.6: Distribution based on
years in service 44
Table 4.7: The Challenges of today’s
banking sector demands that a
bank be strategic in its approach 44
Table 4.8: Banks feedback on
competitors, about staff efficiency
and customer’s complaints is usually very crucial
in decision making 45
Table 4.9: All member of staff are
carried along in formulation
and implementation of strategies 46
Table 4.10: Your bank evaluates and
re-evaluates self based on
SWOT approach at intervals 47
Table 4.11: Staff’s productivity
evaluation is a good yardstick
for measuring
contribution to implementation of
strategic plans 47
Table 4.12: Although the bank has different departments
with their
peculiar strategic
planning; strategic planning process is
still all encompassing 48
Table 4.13: Separate strategic
decisions are taken independently in
units such as
human resource, marketing, finance etc 49
Table 4.14: Alignment of the bank’s
vision and mission statements with
every strategic plan has
tremendously impacted well on efficiency vis-a-vis growth indices 50
Table 4.15: Your organization collects
regular feedback about its
operating
environment 51
Table 4.16: Local and international partnership with
financial and
non-financial
organizations is highly explored by the
bank in strengthening competitiveness 52
Table 4.17: The bank’s decisions show flexibility based
on changes
in its
environment 53
Table 4.18: Strategic planning has enhanced the
efficiency and
boosts
profitability of the bank 54
Table 4.19: Contingency Table of
observed value (O) 55
Table 4.20: Contingency table of
expected value (E) 56
Table 4.21: Chi-square computation 56
Table 4.22: Contingency table of
observed value (O) 57
Table 4.23: Contingency table of
expected value (E) 58
Table 4.24: Chi-square computation 58
LIST OF FIGURES
Figure 1: The process of strategic
planning 24
ABSTRACT
Every
organization has its objectives and goals laid out. Specification of these
objectives and goals is a major aspect of planning. Strategic planning is
necessary to guide the decision making process in an organization with a view
to acquiring superior performance. For companies to succeed, strategies adopted
must fit into circumstances they face, their skills, resources as well as
environment in which they operate. This research was designed to determine the
impact of strategic planning as a tool for change in the dynamic business
environment, a study of UBA group Nigeria Plc and Zenith Bank Nigeria Plc. The
objectives were to ascertain that strategic planning affects business
operations, to identify the common purpose of strategic planning process as
well as to identify the dynamism of business environment and how managers
swiftly respond to this considering the ever demanding and changing nature of
the industry. The Headquarters and branches of UBA group Nigeria Plc as well as
Zenith Bank Plc within Lagos, was the scope of study. Branches with four (4)
years of existence with at least fifteen (15) staff were specifically
considered for the study. In all about one thousand two hundred (1200) staff
from both banks served as the research population. Sources of data included
questionnaires and personal interviews administered on the participants
directly by the researcher. The results were consistent with the hypotheses.
Thus, strategic management planning has impact on effectiveness of the bank,
other categories of staff apart from management staff should be involved in
strategic planning process in an organization; inefficient strategic planning
and implementation leads to failure of an organization. In conclusion strategic
planning in an organization is very high and this has impacted well on the
organization’s competitiveness in the dynamic environment, especially in the
post consolidation era of the banking industry.
CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF THE STUDY
Strategy is about winning. The
purpose of strategic planning is to guide management decisions towards superior
performances in an establishment. Competitive advantage strategy acts as a
vehicle for communication and coordination within an organization. Strategic
planning and management has become more of a business word in the 21st
century and in the new millennium than it ever was. Organizations have turned
on to the strategic planning processes. For some, it meets stakeholders’
demands, for others, it was used to justify down-sizing and for an even smaller
number, it was done because the organization truly understood the need for a
strategic blueprint to guide the decision-making process towards superior
performance in order to establish competitive edge.
All these are because of the way each
of these organizations view and manage their strategic plans. Strategic
planning is the key element to organizational success and effectiveness. This
is because it is the pattern or theme that gives coherence to the decision of
an organization. It helps to achieve consistency in decision-making. Nowadays,
managers are faced with challenges posed by the competitive environment as a
result of efficient and effective decision-making which demand a thorough and
intelligent understanding of the various dimensions that impinges on corporate
performance and success of the organization. These various dimensions concern
question on how, what, where, when, who, whom, and why of those cognate issues,
which if successfully managed, help in organizational success, growth and
development. In addition to the relevant questions being asked, decisions have
to be made in organizational units and functional units; since efficient
integration of organizational and unit decisions ultimately determines
corporate success, growth and development. Also important, are those variable
which are not under the control of organizational executives, but, which
substantially affect or determine organizational efficiency and effectiveness.
Therefore there is need for corporate organization and executive to have
adequate understanding of these relevant functions determined, applied, and
monitored for organizational survival growth and development.
Finally, according to Stath and
Grigshy (1997:8), strategic planning refers to managerial decisions that relate
the organization to its environment, guide internal activities, and determine
organizational long-term performance. The principal responsibility of the
practising manager is to ensure that the organization keeps in touch with the
external environment; it must also see the essence of management in terms of
service to customers.
David (1991: 1) therefore defined strategic
planning as the art and science of formulating, implementing and evaluating
cross-section business decisions that enable an organization to achieve its
objectives.
Armstrong (1982:10) suggests that the
specification of objectives and goals is regarded as a major aspect of formal
planning. Strategy is not only being efficient, it is critically concerned with
enabling the organization to be effective.
According to Drucker (1974:55), the
prime task of strategic management is mediating through the overall mission of a
business, i.e. asking the question “what is our business?”. This leads to
setting objectives, development of strategies and making of today’s decision
for tomorrow’s result. This should be carried out by balancing the present
objectives and needs against those of the future in the light of available
resources of men and materials.
Thompson (1995:101), states that if
companies are to succeed they must adopt strategies appropriate for the
circumstance they face, feasible in their resources, skills, and capabilities
that are desirable to their stakeholders.
The bank can only be effective if it
has awareness of and is responsive to the environment in which it operates.
However, it is worthwhile emphasizing that the concepts of strategy has a
dynamic component. It implies effectiveness and efficiency and it also implies
responsiveness, developing awareness of environmental changes and identifying
appropriate and effective reaction to the changes.
1.2 STATEMENT OF THE PROBLEM
