IN DEFENCE OF BUSINESS PLANNING: WHY AND HOW IT STILL WORKS FOR SMALL FIRMS AND ‘CORPORATIONS OF SMALL BUSINESS UNITS’

This paper explains what business planning is and why it is being criticized. It differentiates between business planning (which focuses on the strategic development of the small firm or business unit) and corporate planning (which deals with the strategic direction and activities of the bigger, multi‐operation corporation). Ultimately, the paper comes to the defence of business planning by identifying where and how it can still be a useful tool for organizational leaders to employ in their job and primary drivers of the strategic development function. The secret of successful business planning is to use it in appropriate contexts as one aspect of a more comprehensive repertoire of strategic leadership approaches and to avoid the pitfalls which detract from its otherwise efficacy.