Strategic Planning in the Construction Companies in Oman

Purpose of the study: The purpose of the study was to critically evaluate the components of the strategic planning process of construction companies in Oman; to investigate the factors that led to the success of strategic planning in construction companies in Oman; to identify the challenges in the implementation of strategic planning among different construction companies’ categories in Oman and to make recommendations in enhancing the strategic planning process for construction companies in Oman as well as in minimizing challenges. Design/Methodology/Approach: This research adopted a mixed approach, quantitative and qualitative approach where it used the quantitative technique to investigate the companies and identify the problem while the qualitative approach was used to explain the challenges and uncover the best practices followed by the companies. The research used the cross-section time horizon data. Out of 940 companies registered as local companies in the category of construction and maintenance, the study tested90 companies using the survey questionnaire and interviews with senior employees/the owners of the companies. Findings: The study has shown that most of the companies have a clear understanding of the strategic planning components. Companies have realistic strategic plans but improvements need to be done to ensure success during implementation. It was also revealed that the motivation is not at the best level and the lack of creating a sense of urgency to implement the strategic plans which need to be enhanced. Research Implications: Some recommendations are given also to enhance the work environment and the manager’s skills and motivation system in the companies to achieve efficient strategic planning. Some recommendations are regulatory. This is a proposal to the government to do special legislation to regulate and protect private companies from unfair competition. Social Implications: The success of the strategic plans of the construction companies will lead to the socio-economic growth of the country. The recommendation will enhance the work environment and the strict implementation of strategic planning processes in construction companies in Oman. It was suggested that the Government need to amend the legislation curbing the unfair competition created by illegal contractors and small companies. Originality/value: There were no earlier studies discussed more in detail about strategic planning in construction companies in Oman. This study will help the companies’ owners and the decision-makers to adopt more successful strategic plans which will lead to greater success of the construction companies to have huge economic growth. Keywords: Strategic Planning, Strategic Planning Process, Components of strategic planning, Challenges of strategic planning, Construction companies in Oman