Formal strategic planning: The key to effective business process management?

The literature contends that the lack of strategic business planning is a major drawback in the implementation of business process initiatives such as total quality management. In addition, it is evident that strategic planning firms achieve better performance than other firms. However, strategic planning often fails due to problems or barriers encountered at the implementation stage. It is unclear from the limited research carried out to date what actions, if any, firms can take to minimise or eliminate these barriers. This paper examines the concept of strategic planning and identifies the barriers to its implementation. It considers the suitability of formal strategic planning as the key to eliminating or reducing implementation barriers by comparing the extent to which the barriers are experienced in formal and non-formal planning firms. The paper also examines the extent to which the barriers are experienced by high and low performing firms.