The perceived quality of strategic management on the organisational performance of a South African sugar manufacturing company

Abstract

The primary objective of this study was to evaluate the perceived quality of strategic management on the organisational performance of a South African sugar manufacturing company, which was achieved by using ABC as a case study. To meet the study objectives, a quantitative research methodology was adopted and a random sample of 114 employees from several departments at the ABC company yielded 72 responses which were further analysed. Following the data analysis using SPSS, the study yielded contradictory outcomes pertaining to the firm's employment and adoption of strategic management techniques. The study revealed that scenario planning and the application of an official strategic planning approach were not as highly valued and thus given less weight. On the contrary, the results indicate that higher value was placed on the employment of executive information systems, Balanced Scorecards, organisation-wide performance management system and stakeholder engagement during the strategic planning and implementation. Furthermore, the study outcomes highlighted the significance of having access to real-time information and its role in strategic decision making. Overall, the study found that strategic management practices have a positive and significant impact on organisational performance. Therefore, the study recommended that (i) the firm should invest in updating its strategic management practices to align with current industry trends and best practices, (ii) the organization should exploit opportunities in sustainably adopting expanded stakeholder consultations to gain a comprehensive understanding of expectations and concerns, (iii) the firm should promote a culture of continuous improvement by encouraging and involving employees at all levels, and (iv) managers as strategic decision makers in the firm should intentionally work together as they deliberate on daily operations.