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Strategic planning in growth oriented small firms

Identifieur interne : 001339 ( Istex/Curation ); précédent : 001338; suivant : 001340

Strategic planning in growth oriented small firms

Auteurs : Tim Mazzarol [Australie] ; Sophie Reboud [France] ; Geoffrey N. Soutar [Australie]

Source :

RBID : ISTEX:6759DD6A8928C771DD29068C35E486640E080DBA

Descripteurs français

English descriptors

Abstract

Purpose The paper aims to examine the management practices of ownermanagers of small businesses seeking to grow their firms. It seeks to better understand their strategic thinking in relation to internal and external environmental issues. Designmethodologyapproach A sample of 204 ownermanagers who had indicated their desire for growth was surveyed using a questionnaire developed from earlier research that examined their strategic and operational behaviour. Followup discussions over their results were conducted facetoface. Data were analysed using confirmatory factor analysis and discriminant analysis. Findings Firms that possessed formal written business plans were found to be more likely to have stronger support network partnerships, formal quality assurance and the ability to lead change among employees. A relationship was found between an above average level of annual sales turnover and the personal vision of the ownermanagers. Research limitationsimplications Although the sample was atypical, in that it was comprised of ownermanagers who had a growth orientation, the study suggests that ownermanagers who have a strong growth orientation are likely to have an enhanced sense of their strategic vision, and the ability to communicate this vision to their employees. Practical implications The findings in this paper suggest that ownermanagers from small firms should seek to benchmark their business against industry best practice, but that such benchmarking must be supported by a clear strategic vision and the capacity to communicate this vision to others, particularly employees. Originalityvalue The literature relating to strategic thinking and behaviour within small firms remains underdeveloped, and this paper provides valuable insights into this area.

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DOI: 10.1108/13552550910967912

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ISTEX:6759DD6A8928C771DD29068C35E486640E080DBA

Le document en format XML

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<div type="abstract">Purpose The paper aims to examine the management practices of ownermanagers of small businesses seeking to grow their firms. It seeks to better understand their strategic thinking in relation to internal and external environmental issues. Designmethodologyapproach A sample of 204 ownermanagers who had indicated their desire for growth was surveyed using a questionnaire developed from earlier research that examined their strategic and operational behaviour. Followup discussions over their results were conducted facetoface. Data were analysed using confirmatory factor analysis and discriminant analysis. Findings Firms that possessed formal written business plans were found to be more likely to have stronger support network partnerships, formal quality assurance and the ability to lead change among employees. A relationship was found between an above average level of annual sales turnover and the personal vision of the ownermanagers. Research limitationsimplications Although the sample was atypical, in that it was comprised of ownermanagers who had a growth orientation, the study suggests that ownermanagers who have a strong growth orientation are likely to have an enhanced sense of their strategic vision, and the ability to communicate this vision to their employees. Practical implications The findings in this paper suggest that ownermanagers from small firms should seek to benchmark their business against industry best practice, but that such benchmarking must be supported by a clear strategic vision and the capacity to communicate this vision to others, particularly employees. Originalityvalue The literature relating to strategic thinking and behaviour within small firms remains underdeveloped, and this paper provides valuable insights into this area.</div>
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