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From 180 to 11 there was a large increase in the number of state agencies that began to use strategic planning to increase their productivity. This article grew out of a lack of detailed study as to what conditions were causing the increase of strategic planning. Berry identified four reasons that state agencies are likely to adopt strategic planning, " (1) early in gubernatorial administrations, () under conditions of strong fiscal health, () when agencies work closely with private sector businesses, and (4) as the number of neighboring state agencies that have already adopted strategic planning increases".The Definition if Strategic plannin
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At the time this article was written, strategic planning was a relatively new process. It was a method for managers to increase productivity and efficiency by tying responsiveness to citizens, quality services, employee empowerment and a planning process that is tied to the organization's mission and values. The author goes on to define Strategic Planning as "a process that has four basic features (1) a clear statement of organization's mission; () the identification of the agency's external constituencies or stakeholders, and the determination of their assessment of the agency's purposes and operations; () the delineation of the agency's strategic goals and objectives, typically in a - to 5-year plan; and (4) the development of the strategies to achieve them". She then proposed 6 hypotheses to support her findings.Fiscal Health
Berry's first hypothesis is that " the fiscal health of an agency affects the likelihood of the agency adopting strategic planning". More specifically, she feels that agencies with strong financial standing will be more likely to use strategic planning because they have the capital to resource and implement strategic plans. Conversely, organizations that are in financial trouble will cut back on programs and initiatives in an attempt to save money. She does concede that there is existing literature that reports the opposite.Agency Siz.
Her second hypothesis states "the larger an agency the more likely it is to adopt strategic planning". She found that large organizations have a tendency to be more innovative than smaller organizations. Her studies point to the larger organization which typically would have a more diverse staff of specialists and professionals who work together to create new ideas.Leadership cycl.
Berry feels that the timelines of politics also plays a significant role in the likelihood of strategic planning. Since the governor of a state and the administrators and politicians play a large role in the change of an organization, the coming and going of leadership will impact the willingness of an organization to foster innovation. This brings us to the third hypothesis, " In the gubernatorial administration cycle, agencies are most likely to adopt strategic planning in the year after a new governor is elected, second most likely is in the year after a governor is re-elected, and least likely in the year of a gubernatorial election". The adoption of strategic planning immediately following an election is due to the new leadership wanting to put a "symbol of their personal leadership" on the organization. Also, the first year of a governor's new term is when most new agency directors will be appointed and the most change in policy will take place in conjunction with the new governor's agenda.Agency Orientatio.The forth and fifth hypotheses relate directly to the way an agency does business. The fourth is "Agencies that work closely with private sector businesses are more likely to adopt strategic planning than agencies that do not". She feels that those agencies that are in constant contact with private sector businesses are more likely to be familiar with strategic planning management techniques. The fifth hypothesis is based on the type of customer that an organization has. Berry feels that a true service oriented organization will be better suited to strategic planning. She states "the greater the extent to which an agency delivers its services directly to the citizens as opposed to other state agencies or local governments, the more likely it is to adopt strategic planning".Regional Diffusio.The final Hypothesis states, "Agencies are more likely to adopt strategic planning as the number of'sister' agencies in neighboring states that have adopted strategic planning increases". Her reasoning for this is that regional government often looks to each other for policy trends. This lends to the tendency of agency directors looking at their neighboring state agencies for ideas on how to better themselves.Conclusio.
The remainder of the article is devoted to the raw data that was gathered during Berry's research. This article provided some good points for the employee of state agencies to make a case for implanting Strategic Planning in their agencies. The underlying theme appeared to be the need for state and governmental organizations to adopt more private sector business practices. She does end with a caution that private sector practices do need to be modified to ensure that they supports the unique characteristics of public service...
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