Slack, Planning and Organizational Performance: Evidence from the Arab Middle East

Abstract

This study uses data from the Arab Middle East, namely, the United Arab Emirates (UAE), to examine whether slack and planning (comprehensiveness of strategic decision making and extensiveness of strategic planning), which are of special importance at the moment in this recently established country, contribute towards or inhibit organizational performance. The interplay of slack and planning variables was also examined (moderating and mediating effects). The results of a survey of 174 public and private organizations show that both slack and comprehensiveness are important predictors of performance and that the impact of slack and comprehensiveness on performance varies with the age of an organization. Interestingly, this study shows that extensiveness does not influence performance, and even the age of an organization does not play a moderating role in this relationship. The location of this study brings up certain characteristics which contribute to explain its findings. I hope this paper to inspire scholars to study the determinants of performance in the troubled Arab Middle East region.

The mediating role of the extensiveness of strategic planning on the relationship between slack resources and organizational performance

“…Exceptions are the works by Tan and Peng (2003), Su et al (2009), andElbanna (2012). In a similar vein, Zinn and Flood (2009) argue that the relationship between slack resources and performance has been much discussed but not well studied, in the health care industry in particular.…”

“…In a similar vein, Zinn and Flood (2009) argue that the relationship between slack resources and performance has been much discussed but not well studied, in the health care industry in particular. This suggests that the slack-performance relationship may vary across different industries (Elbanna, 2012). Nonetheless, Ju and Zhao (2009) maintain that the influence of the difference made by the industrial setting on the relationship between slack resources and performance remains generally understudied.…”

Model Analysis of the Relationship Between Strategic Organization Knowledge and the Use of Information Systems in Firm Performance in Brazil

“…This study presents an illustration of SOK in strategic socialisation processes among employees from the perspectives of comprehension which is the sense of purpose and main objective to be achieved (Sharma & Kaur, 2009;Elbanna, 2012), the employees participation in the deployment of strategic actions (Boswell et al, 2006;Khadem, 2008;Ouakouak & Ouedraogo, 2013), the influence of communication and integration of employee collaboration (Khadem, 2008;Beehr, Glazer, Fischer, Linton, & Hansen, 2009;Ugboro, Obeng, & Spann, 2011), and continuous learning organization (Nonaka & Toyama, 2005;Bettis-Outland, 2012).…”

“…The strategy is connected and interwoven in a continuous process by employees (Sharma & Kaur, 2009;Bettis-Outland, 2012;Elbanna, 2012;Sminia & Rond, 2013) and occurs by understanding the role that they (employees) should play in the management of strategy (Boswell, John, & Alexander, 2006). The various approaches and contemporanes strategic theories have a common factor in guiding employees in the strategy (Sharma & Kaur, 2009;Mintzberg et al, 2009;Sminia & Rond, 2013).…”

“…The strategy is a broad and complex framework of collective influences of the various approaches that integrate and reinforce the mutual form (Andersen, 2004;Mintzberg, Ahlstrand, & Lampel, 2009). The strategy is connected and interwoven in a continuous process by employees (Sharma & Kaur, 2009;Bettis-Outland, 2012;Elbanna, 2012;Sminia & Rond, 2013) to develop coherent and sustainable actions to face the challenges of the organization (Ketokivi &Castañer, 2004).…”