ASSESSMENT OF STRATEGIC PLANNING PRACTICES ON ORGANISATIONAL PERFORMANCE OF SELECTED BANKS IN ONDO STATE, NIGERIA

Abstract

This study focused on the assessment of strategic planning practices on organisational performance of selected banks in Ondo state, Nigeria. The objectives of this study were: to examine how strategic planning affects organizational performance, to assess the current strategic plans being implemented by the selected banks and to identify the challenges / factors that affect the implementation of strategic planning in the selected banks. The total number of administered questionnaire to the staff of the selected banks were 100, while the total questionnaires returned were 76, representing 76% However, 20 questionnaires were administered to each bank selected for this study. Data collected from the field were quantitatively analyzed, with both descriptive and inferential statistics. Frequency, percentage, mean ranking and factor analysis were use for the descriptive analysis, while Friedman test and Bartlett's test were used for inferential statistics. Two research hypotheses were formulated and tested. Friedman test is used to test that there is no significant difference between the size of dependent samples and the population. It is used to test the null hypothesis. The result revealed that there was a statistically significant effect of strategic planning on organizational performance, the test statistic (χ2) value ("Chi-square"), degrees of freedom ("df") and the significance level ("Asymp. Sig."). χ2(2) = 42.334, p = 0.001. Chi-square value of 42.334 is statistically significant, the null hypothesis that there is no significant effect of strategic planning on organizational performance is rejected in favour of the alternative hypothesis. Bartlett’s test is indication of the strength of the relationship among variables. It shows that the Bartlett’s Test of Sphericity is significant (0.00), that is, significance level is less than 0.05. Therefore, the significance level is small enough to reject the null hypothesis, the alternate hypothesis H1: There is significant effect of the factors that affect the implementation of strategic planning on organizational performance is accepted.