IMPACT OF STRATEGIC MANAGEMENT ON ORGANISATIONAL GROWTH (A Case Study of Lawrenzo Cargo and Logistics Ltd.)
This paper examined the impact of
strategic management on organisational growth with reference to Lawrenzo
Cargo and Logistics Ltd.). The performance of any business organization
in the competitive economy is highly dependent upon the quality of its
management vis a vis proper implementation of strategic management.
Survey design was employed with the use
of a well structured questionnaire. Respondents were selected based on
simple random sampling technique. Fifty (50) staff of Lawrenzo Cargo
and Logistics were sampled.
Two hypotheses were formulated and
tested with the use of Chi-Square analysis. The analysis resulted to
rejecting both null hypotheses and hence accepting the two alternate
Based on decisions of the tested
hypotheses conclusions were reached that there is significant
relationship between Strategic management and organizational
performance. Also that acquiring strategic management ideas/skills is
important to the management of an organization. The study revealed that a
genuine application of strategic management by managers will enhance
TABLE OF CONTENTS
CHAPTER ONE: INTRODUCTION
1.1 Background of the Study
1.2 Statement of Problem
1.3 Objective of the Study
1.4 Research Questions
1.5 Research Hypotheses
1.6 Research Methodology
1.7 Significance of the Study
1.8 Scope and Limitation of the Study
1.9 Historical Background of Lawrenzo Cargo and Logistics
CHAPTER TWO: LITERATURE REVIEW
2.1 The Concept of Strategy
2.2 Strategies in Functional Areas
2.3 Strategic Management- An Overview
2.4 Corporate Planning Approaches
2.5 How to Develop Strategic Plan
2.6 Strategic Planning Process
2.7 Characteristics of Strategy
2.8 Criteria for Effective Strategy
2.9 Types of Strategies
2.10 Formulation of Strategy
2.11 Objectives and Goals
2.12 Models of Strategic Management
2.13 Theoretical Issues of Strategic Management
2.14 The Place of Strategic Management in Nigeria Economy
CHAPTER THREE: RESEARCH METHODOLOGY
3.1 Research Design
3.2 Sources of Data Collection
3.3 Population of the Study
3.4 Sample Size and Sampling Technique
3.5 Restatement of Research Questions
3.6 Restatement of Research Hypotheses
3.7 Data Analysis Method
CHAPTER FOUR: DATA ANALYSIS AND INTERPRETATION
4.2 Analysis of Respondent Bio-Data
4.3 Analysis of Questions From Problem Area
4.4 Testing of Hypotheses
CHAPTER FIVE: SUMMARY OF FINDINGS, CONCLUSION AND RECOMMEDATIONS
5.0 Summary of Findings
1.1 BACKGROUND TO THE STUDY
Strategic Management is used to describe
the decision process. It can also be called strategic planning.
Strategic management is that set of direction and actions which leads to
the development of an effective strategy to help achieve corporate
objectives. It is the careful selection and correct application of tools
that determine entrepreneurial success.
It is felt that strategic management, a
key pillar for corporate survival, may be adapted and applied to ensure
better entrepreneurial performance on a more consistent basis. Strategic
management materials appear to be written primarily for larger
corporations. It suggests elaborate involvement, high cost and complex
architecture as prerequisites. The reaction of Small-Scale Business
Enterprise is naturally one of being intimidated; and therefore most
small scale entrepreneurial prefer to operate in the usual manner and
mindset. Where there is no change, different results cannot be expected.
Anthony Robbins (2007), the most famous Neurolinguistic Programming
specialist, once remarked: To keep on doing the same thing and expect a different result is a form of insanity.
For reasons stated above, a research on
strategic approach to management of Small-Scale Business Enterprises is
1.2 STATEMENT OF THE PROBLEM
Some Nigerian Business Organizations are
without formal plans or where there are formal plans they do operate
without adhering to them. Some argued that the market place changes so
fast for a plan to be useful. All business organizations are heading
somewhere but unfortunately some do not know where they are going, then
any road will lead them there. This therefore emphasizes the need for
organizations to utilize strategic planning concepts.
Strategic management implementation has
been challenging to many organizations. They crunch vast amounts of
consumer data, hold planning sessions frequently, and use various
techniques to develop strategy. Still, they miss the mark a lot of the
times. Some strategic management problems faced by organizations
- Companies tend to ignore one complication along the way: They can’t
develop models of the increasingly complex environment in which they
operate. As a result, contemporary strategic-planning processes don’t
help enterprises cope with the big problems they face.
- Several Chief Executive Officers (CEOs) admit that they are
confronted with issues that cannot be resolved merely by gathering
additional data, defining issues more clearly, or breaking them down
into small problems. Their planning techniques don’t generate fresh
ideas, and implementing the solutions those processes come up with is
fraught with political peril.
- Most Organizations do not progress at all walloping in serious planning problems.
Therefore, there is need to investigate
why the above problems persist and examine ways by which strategic
planning could assist.
1.3 OBJECTIVES OF STUDY
This research aims at examining the
impact of strategic management on the organizational performance. The
specific objectives of the study include;
i To appraise the value of strategic management concepts and techniques as applied to organizations.
ii. To examine the impact of strategic management in organisation’s success.
iii To provide some guidelines with
which organisations can apply the strategic management ideas and skills,
in a time-saving manner,
iv Suggest methods that may prevent major crisis and business failures.
1.4 RESEARCH QUESTIONS
The following questions are pertinent to this work;
- To what extent are strategic management concepts and techniques important in an organisation?
- Is there any significant relationship between organization strategic management and organizational performance?
- Has Lawrenzo Cargo and Logistics Ltd been able to put in place
effectively plan on how to acquire knowledge on strategic management
ideas and skills?
- To what extent is Planning as a managerial function relevant to the existence of Lawrenzo Cargo and Logistics Ltd?
- What are the Strategic Management concepts and techniques organizations need to make it achieve their aims and objectives?
1.5 RESEARCH HYPOTHESES
For the purpose of this study, it is
necessary that working hypotheses be established. To this end, the
following hypotheses were tested:
Ho: There is no significant relationship between Strategic management and organizational performance
H1: There is significant relationship between Strategic management and organizational performance.
Ho: Acquiring strategic management ideas/skills is not important to the management of an organization.
H1: Acquiring strategic management ideas/skills is important to the management of an organization.
1.6 RESEARCH METHODOLOGY
Research methodology deals with the
description analysis and interpretation of various methods employed for
collecting relevant information necessary for research work.
For the purpose of collecting necessary
data for this research work, primary and secondary data collection
method are used. The primary data collection method will be through the
1. Structured questionnaire
2. Personal unstructured interview
The secondary data are collected from
reports and documents from the company. Also, materials from library and
desk research literatures were used.
In this study, descriptive method are used to analyze data and also in testing hypothesis, chi-square (X2)
was employed. Findings from this research study will be discussed in
the light of the research problem hypothesis, purpose research
questions, literatures of the research and other relevant issues
conclusions will be drawn and recommendations and suggestions also will
1.7 SIGNIFICANCE OF THE STUDY
Without doubt, strategic management
plays an integral role in the management of business. It is a managerial
tool that cannot be overlooked. Hence, the motivating factor of this
work is to elucidate information on the need to be more proactive in
manager’s planning toward the sustenance of business enterprise.
Strategic management endeavours to
achieve effective and efficient programs to accomplish the
organization’s mission. As a philosophy, it changes how managers looks
at competitors, customers, markets and even the organization itself.
The significance of this research work
is to stimulate management’s awareness of the strategic implication of
environmental events and internal decision.
Strategy is needed to focus effort and
promote coordination of activities. Without strategy an organization
becomes bunch of individuals, hence strategy is required to ensure
collective actions and concentration of efforts towards achieving
organizational plans and objective
1.8 SCOPE OF THE STUDY
This project work examines the Impact of
Strategic Management on Organisational Growth, it is designed to
capture data and achieve research objectives for Lawrenzo Cargo and
Logistic Ltd only. It is however hoped that the result could be applied
to other organisations.
Due to the time limit, the research work
covers a small cargo and logistic company (Lawrenzo Cargo and Logistic
Ltd) located in Lagos.
1.10 HISTORICAL BACKGROUND OF LAWRENZO CARGO AND LOGISTICS
Lawrenzo Cargo and Logistics Limited
commenced its operations in 2004 as a Cargo Company providing freight
forwarding services. The Registered Office of the Company is located at
Muritala Muhammed International Airport Ikeja, Lagos.
The Company offers specialized logistics
services across Multimodal Transport Operations, cargo export/import,
Container Freight Station Operations, consolidation and warehousing.
Benchmarked quality standards, standardized processes and operation
excellence across all the services and facilities, have enabled Lawrenzo
Cargo and Logistics Ltd to emerge as leading players in all these
Lawrenzo Cargo and Logistics Ltd currently has about one hundred (100) competent staff.
As a result of milestone achievements in
the last three years, she was awarded ‘Best Consolidator’ for the year
2011 by Euro airline.
As a young and fast growing company,
Lawrenzo Cargo and Logistics Ltd tends to commence operations at Aminu
kano International airport before the end of 2012.