| Abstract: | The purpose of this study is to assess the effects of strategic planning on the performance of banks
in Ethiopia, specifically focusing on the operations of Oromia bank. The study utilizes key
components of strategic planning, including the organization's vision and mission, SWOT analysis,
external environmental analysis, long-term objectives, and the process of generating and selecting
strategies. By examining these aspects, the study seeks to gain insights into how strategic planning
influences the bank's performance. The study used descriptive and explanatory research designs.
Census method was used to allow all target participants to take part in the study. The study focuses
on a specific group of employees, namely those working at the Oromia bank head office and the east
Finfinnee district strategy management & marketing department. The total number of employees in
this target population is 150. Primary data is utilized in this study, gathered with the aid of
questionnaires and 110 responses obtained. The data analyzed in descriptive and inferential
statistics using IBM SPSS v22. Findings of the study explained on this research through descriptive,
correlation and regression analysis. The study revealed that independent variables (organization
vision, mission, SWOT analysis, external environment analysis, long term objective and generating
and selection of strategy) have positive/direct relationship effect with dependent variable
organization performance. The model test conceptual framework of the study and the final model
shows same result with regression analysis. All the considered variables have positive correlation
with organizational performance in Oromia Bank. The study concludes that strategic planning has
a positive effect on organizational performance. The study finally recommends that all factors of the
various dimensions should be put into the right perspective to help the general workforce of the bank
to understand strategic planning in place to achieve the best organizational performance |
