Role of strategic planning in the efficient operation of textile and garment manufacturers

Abstract

In modern conditions the concept of strategic planning has been significantly transformed that causes a lot of debate in the scientific literature about the role of strategic planning for enterprises. Strategic planning today is associated with a long-term period. In this regard due to high instability of the external environment the issue of its appropriateness becomes acute. The purpose of this study is to determine the appropriateness of strategic  planning and to work out practical guidance for efficient operation of national companies. The research is based on analytical and expert data about the activity of textile and garment manufacturers of Ivanovo region as well as on the case data analysis. The following stages of the research have been suggested: 1) to reveal the correlation between strategic planning and the company success rate at the market; 2) to correlate the company efficiency to the frequency of strategic decision makings in the key aspects (modernization of manufacturing, production    expansion, innovations, promotion and diversification of goods); 3) to reveal opportunities of strategic planning under the instability conditions on the basis of consideration by a manufacturer significant and weak (according to I. Ansoff) strategic signals from the external environment. The research results demonstrate the usefulness of  strategic planning applied by textile and garment manufacturers to achieve efficient operation. The conclusion that to increase the efficiency of strategic planning companies should develop a system for collecting and analysis of information about the external environment has been made. Besides, it is significantly important to have data bout weak signals from the external environment to make strategic planning of a manufacturer more efficient. Moreover, the implementation of developed and approved strategic plans should be conducted regularly. To  provide efficient operation of a manufacturer at the market the strategic decisions should be made in each branch of its activity. These branches are distinguished according to the innovation classification by J. Schumpeter. Further studies will concern the identification of correlation rate between the timely correction of manufacturer development strategic plans and the efficiency of the manufacturer operation. These plans will be based on the systematic collection and permanent analysis of data about strategic signals of external environment.

Keywords

strategic planning, strategic analysis, efficiency of the manufacturer operation, instability of the external environment, strategic decisions, strategic signals, innovation classification by J. Schumpeter, textile and garment manufacturers.

References

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