Long Live the Plan-Or Should It? Examining the Impact of Detailed Strategic Plans on Organizational Performance

Abstract

Prior literature has examined the impact of strategic planing on organizational performance. The results have been equivocal. This study attempts to address this issue. It also examines the impact of changing plans, in response to negative feedback, on performance. The findings suggest that detailed strategic planning, as prescribed by the strategic management literature, may actually hinder organizational performance in a dynamic decision situation. Furthermore, frequent changes in strategic plans may also hinder performance.