Psychological Factors Affecting Strategy Implementation in Organisations. A Review of Related Literature

Abstract

The failure rate of strategy implementation in both public and private-owned organisations is a cause for concern across the globe. Extant literature reveals that almost 70% of the formulated strategies do not successfully get implemented by organisations for various reasons. Therefore, this paper reviewed literature on psychological factors affecting strategy implementation in organisations. The results of the review revealed employee motivation, commitment, competence, perception and attitudes as the main psychological variables which have an impact on strategy implementation in organisations. Thus, it demonstrated that psychological factors are also key determinants in any strategy implementation exercise in all organisations. It is, therefore recommended that, for a successful strategy implementation initiative in an organisation, psychological factors have to be considered.

Lifelong Learning: Use of Psychological Factors in the Greek Public Administration

“…The present results are in line with findings of other researchers who found that the use of psychological factors in management practice improves organizational performance [8], [9], [10].…”

“…These motives, as shown by many research data, are crucial to the success or failure of the strategic planning and goal set by an organization [8], [9], [10].…”