all
types
of
organizations.
Strategic
Planning
means
drafting,
implementing and evaluating the cross functional decisions that will enable
an organization to achieve its long-term objectives. It specifies the
organizations mission, vision and objectives and then allocates resources to
achieve these objectives. The strategic management process is made up of
three main components: strategy formulation, strategy implementation and
strategy evaluation. Moreover, it also emphasis on the analysis of external
and internal environment of a company in order to achieve the companys
objectives (Mohamed et al., 2010). Strategic planning is a process for
creating and describing a better future in measurable terms and the
selection of the best means to achieve the desired results (Kaufman et al.,
2003). Strategic planning constitutes an important path to successful
business operations and is a part of every business. Strategic planning is
useful not only because it can realize the vision of the upper management or
it can mitigate unforeseen risks; it also has many more benefits (Vel et al.,
2012). Morgan and Strong (2003) concluded the findings of research that
businesses with high level of performances have well strategic orientations.
Many empirical studies on the role of strategic planning have proved that in
creating better long term competitive positions and better organizational
performance of the companys strategic planning plays an important role and
that strategic planning is essential for better business performance and
success (Suklev & Debarliev, 2012).
Hence, Strategic Planning bridges the gap between where an
organization is standing, and where it aims to lead in future. In todays world
with rapid changes and technological developments, and strong competition,
the organizations have to be managed with much futuristic perspective in
order to be competitive. Thus, the importance of strategic planning being a
basic and fundamental need of every organization has increased many folds
than ever. Strategic planning is very important and plays a vital role in
accomplishing distinctive edge and ensures the success of any type of
organization including not only profitable organizations but also non-profit
organizations like NGOs and educational institutions (A. Ahmed et.al, 2013).
Owing to the growing importance and recognition of strategic planning in general fields,
the education planners also looked at strategic planning practices in higher education particularly
in the developed part of the word. However, the magnitude of the empirical findings on strategic
planning in education sector remained much limited (0000000). According to some
researchers, a gap between what public wants and what traditional
universities provide is growing (Rowley, Lujan, &Dolence, 1997). Fehnel
(2000) in his position paper on Strategic Planning and the Nigeria University
System Innovation Project observed that many Vice- Chancellors now
appear willing to consider the use of strategic planning as an important tool
in determining how best to revitalize and modernize their institutions.
Kinyanjui and Juma (2014) investigated the effects of strategic planning on
the performance of universities and they found that there is direct and
significant relationship between the strategic management and performance
of the universities. According to (Benjamin & Carroll, 1998) when universities
will have strategic plan they will better response to the changing needs for
their constituencies.
It was however observed that most researches on strategic planning
and performance relationship focused on organizations profitability, market
share, earnings per share, net asset, working capital, expansion, etc. as the
performance measurement. The performance indicators in the business
sector may not necessarily be applicable to the higher educational
institutions. Therefore, strategic planning seems not to be too popular in the
university system. This may be attributed to the lack of understanding of the
concept of strategic planning by the university internal stakeholders,
especially the employees. The lack of a strategic plan which covers all
hostel
accommodation,
laboratories,
classrooms
facilities,
adopted
and
will not just add to the knowledge but will also help HEC in improving
university performance.
Strategic
Planning
and
Universities
Performance
in
Pakistan:
The 21st century has brought challenges and opportunities for higher
education in Pakistan. The Institutions need to understand their resources,
capabilities and core competencies which have a direct link to the
institutions ability to achieve their strategic plans.
Previous
researchers
have
addressed
the
effect
of
strategic
universities. The study observed that strategic planning is one of the major
steps the universities can take to address the challenges they face. The
study proposed that universities should consider incorporation of strategic
thinking in their process of strategic planning in order to make their planning
more useful in view of the failures of strategic planning in public universities.
Manyasi (2009) took a study on Crisis Management: A Challenge in
Institutions of Higher Learning in Kenya. The study revealed that managers in
the institution do not use a proactive approach to crises management. They
lack
knowledge
about
strategic
actions
such
as
integrating
crises