International Journal of Scientific Research and Management (IJSRM)

||Volume||10||Issue||02||Pages||EM-2022-3013-3023||2022||
Website: www.ijsrm.in ISSN (e): 2321-3418
DOI: 10.18535/ijsrm/v10i2.em01

Strategic Planning, a Management Practice on Performance of

Telecommunication Companies in Rwanda
Kirabo Joyce, Gregory Namusonge, Mike A Iravo
Executive Summary
This research sought to examine the strategic planning practice as tool for performance in the
telecommunication companies. Strategic planning for that reason offers a much-needed basis on which
telecommunication companies can grow and evaluate its success against failures and establish boundaries
for efficient decision-making. The research further assessed the level of influence of legal and regulatory
framework as a moderating factor on the performance of Telecommunication industry in Rwanda. This
study utilized both qualitative and quantitative data as well as applied a descriptive survey design. The
study population included the 100 Top and middle level, managers of mobile phone operator companies
in Rwanda which comprised of MTN and Airtel company Headquarter and different branches within
Kigali City. The data collection instruments were pre-tested using the Cronbach’s alpha and factor
analysis of dimensions reductions to determine the validity and reliability of the tests. The data collected
was analyzed and presented using tables, by help of the SPSS statistical Package for Social Science. The
results on, reliability test, descriptive statistics, demographic information of respondents, correlation
analysis, normality test, heteroskedasticity test, factor analysis and regression results were established on
all the variables of strategic planning, plus the intervening variable of the legal and regulatory framework.
Notably, the correlation results revealed that Strategic Planning had a positive and significant. The results
revealed that Strategic Planning has a positive and significant moderate relationship with Performance of
Telecommunication industry. The results on linearity test for strategic planning and performance of the
telecommunication industry since the level of linear association was found to be 0.953 which was also
positive and statistically significant. Similarly, the null hypothesis Strategic Planning and performance of
the telecommunications industry were subjected to the hypothesis to determine whether to accept or reject
the null hypothesis and the results showed a positive and significant association between Strategic
Planning and Performance of Telecommunication industry (β = 0.953, ρ< .05). Therefore, the hypothesis
was rejected. Thus, as the Performance of Telecommunication industry increased, the strategic planning
too increased. It can therefore be concluded that, the companies benefited tremendously when the
strategic planning was taken into account for the efficient performance of the telecommunication industry
in Rwanda.

Key Words: Strategic Planning, Management, Practice, Performance, Telecommunication Industry in

Rwanda

Introduction
According to Young, (2013) a strategic planning process usually involves the formulation of vision for the
future that defines the fundamental purpose of an Organization (Young, 2013). Such fundamentals include
the budget, as well as developing of general goals, specific objectives or targets and performance
measurement to gauge Organizational progress, which will involve forecasting within and outside the
institution and preparing scenarios for response to challenges (Young, 2013). Many Organizations spend
most of their time realizing and reacting to unexpected changes and problems instead of anticipating and
preparing for them thus leading crisis management. There is no doubt that traditional management practices
such as detailed annual budget, strategic plans, quarterly forecasts and monthly management reports are now
becoming obsolete (Pearce.J & Robinson R, 2011). The current movement suggest that, there needs to be a
strong bottom-up component to the planning process both to ensure that the important views of all people at
all levels of the Organization are heard and that they are part of the process and part of the plan (Barney,

Kirabo Joyce, IJSRM Volume 10 Issue 02 February 2022 [www.ijsrm.in] EM-2022-3013

2009). When performed well, strategic planning unifies the entire Organization behind a single set of
marching orders designed to accomplish clear objectives.
Strategic planning is an Organization’s process of defining its strategy or direction and making decisions on
allocation of resources to pursue this strategy (Simerson, 2011). He maintains that, strategic planning may
also extend to control mechanisms for guiding the implementation of the strategy. Strategic helps
management understand what is happening in the business currently. This in term allows management to
plan for tomorrow. In the world of rapid change, it becomes imperative for management to think
strategically (plan for the future). Strategic planning looks at the long-term goals and objectives, which is
how Organizations survive and thrive (John & Mathew, 2012).
For organization to properly plan their long-term projects and activities, it is very imperative that the goals
and objectives of the organization are in overall alignment with those of the business. Therefore, to
effectively manage any corporate function, it requires a thoughtful and comprehensive strategic planning
process (Odongo, (2008).
Objectives of the Study
1. To evaluate the influence of strategic planning on the performance of telecommunication industry in
Rwanda
2. To assess the moderating influence of legal and regulatory framework on the performance of
Telecommunication industry in Rwanda
Research Hypothesis
H1: There is no significant relationship between strategic planning and performance of
telecommunication industry in Rwanda
H2: There is No significant correlation between legal and regulatory framework and the performance of
Telecommunication industry in Rwanda
Literature Review
The theory of competitive advantage
According to Porter, (2001) a firm makes a strategic plan and develops its business strategies in order to
obtain competitive advantage (i.e., increase profits) over its competitors. It does this by responding to five
primary forces (1) the threat of new entrants, (2) rivalry among existing firms within an industry, (3) threat
of substitute products/ services, (4) the bargaining power of suppliers and (5) the bargaining power of
buyers. Porter, (2001), reemphasized the importance of analyzing the five competitive forces in developing
strategies through systematic planning for competitive advantage: Analyzing the forces illuminates an
industry’s’ fundamental attractiveness, exposes the underlying drivers of average industry profitability, and
provides insight into how profitability will evolve in the future.
In the competitive forces model, five industry forces – barriers to entry, threat of substitution, bargaining
power of buyers, bargaining power of suppliers, and rivalry among industry incumbents – determine the
profit potential and success of an industry or sub-segment of an industry(Porter, 2001). Importantly, building
longer-term relationships with customers, suppliers, and third parties, manufacturers are trying to fight back
and preserve longer-term competitive advantage.

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 Source: (Malburg, 2007)
Figure 2.1The competitive Advantage Model
Figure 2.1 demonstrates a planning paradigm that, the company has to keep examining both its external
factors including the PEST and internal changes including the VRIO, its unique competences and the
available innovative capabilities in order to gain either the cost or differentiation advantage (Lightfoot,
2013). In the functional sector of any business undertaking or industrial branch, there is always an internal
competitive struggle and confrontation for advantages. Ideally, the target of organizational strategy assumes
that, by establishing and sustaining the already achieved strategic advantage, the business can easily reach
its objectives. For that reason, the company’s strategic plan should always be spearheaded towards creation
of new potential advantages that lead to customer satisfaction and ultimately towards beating the competitor
in the market. Once this is done, the business advantage is definitely extended as the competitors’
advantages begin to shrink (Doval, 2016).
The overall goal of any profit-oriented company is not only to create but also to maintain the achieved
business advantage. Different firms have got a wide-range of models for competitive advantage but at the
end of the day, they have the prerogative to create several other models if the ones applied in the literature
do not reflect the competitive environment and the contingency conditions in which they associate their
business features against their firm’s strategy. The competitive advantage strategy originates from the
capabilities within which business management combines basic and advanced resources and potentials in
form of well-coordinated and well-planned activity systems through strategic planning

Independent Variable Dependent Variable

Industry Performance
Strategic Planning
 Long-term goals &  Return on Assets
SMART objectives  Customer
 Strategic forecasting satisfaction
 Strategic budgeting  Customer loyalty
 Profit
maximization

Legal & regulatory

framework
 Taxation
laws
Moderating Variable

Kirabo Joyce, IJSRM Volume 10 Issue 02 February 2022 [www.ijsrm.in] EM-2022-3015

 Figure 2.2 The Conceptual framework
2.3.1: Strategic planning Practice
Strategic planning it is the most crucial strategic management tool that help telecommunication companies
to set goals and objectives, make rational forecasts and allocate resources in consideration of the risks and
opportunities that are faced by the firms. Strategic planning gives a roadmap for growing doable coherent
businesses which are proactive to situations which allows the telecommunications companies to keep up
with the ever-changing trends in the market and to stay a step ahead of the competitor. Strategic planning for
that reason offers a much-needed basis on which telecommunication companies can grow and evaluate its
success against failures and establish boundaries for efficient decision-making (Pearce.J & Robinson R,
2011).
Strategic planning is an Organization’s process of defining its strategy or direction and making decisions on
allocation of resources to pursue this strategy (Simerson, 2011). He maintains that, strategic planning may
also extend to control mechanisms for guiding the implementation of the strategy. Strategic helps
management understand what is happening in the business currently. This in term allows management to
plan for tomorrow. In the world of rapid change, it becomes imperative for management to think
strategically (plan for the future). Strategic planning looks at the long-term goals and objectives, which is
how Organizations survive and thrive (John & Mathew, 2012).
According to Young, (2013) a strategic planning process usually involves the formulation of vision for the
future that defines the fundamental purpose of an Organization. Such fundamentals include the budget, as
well as developing of general goals, specific objectives or targets and performance measurement to gauge
Organizational progress, which will involve forecasting within and outside the institution and preparing
scenarios for response to challenges (Young, 2013). Many Organizations spend most of their time realizing
and reacting to unexpected changes and problems instead of anticipating and preparing for them thus leading
crisis management. There is no doubt that traditional management practices such as detailed annual budget,
strategic plans, quarterly forecasts and monthly management reports are now becoming obsolete (Pearce.J &
Robinson R, 2011). The current movement suggest that, there needs to build a strong bottom-up component
to the planning process both to ensure that the important views of all people at all levels of the Organization
are heard and that they are part of the process and part of the plan (Barney, 2009). When performed well,
strategic planning unifies the entire Organization behind a single set of marching orders designed to
accomplish clear objectives. Rational strategic planning is a formal, logical, systematic, and continuous
process Jill R, Hough & Dt Ogilvie (2005). With the following steps: definition of the mission and long-
term objectives of the organization, analysis of its environment, generation and evaluation of strategic
alternatives, implementation of the chosen strategy, and finally, monitoring of the results

Legal and Regulatory Framework

These political and institutional factors include governments’ attitudes towards market regulations, electoral
system, political systems (presidential vs parliamentary), accountabilities and independence of the
regulatory agencies. One indication of the benefit of telecommunication investment is the strong correlation
between telecommunication development and overall economic development (Bauer, 2010).
Kotakorpi, (2006), published evidence that shows that statistically, telecommunications investment causes
growth in the financial sector hence GDP growth, due to the heavy revenue through taxes that the companies
pay to the government. While the list of scholars, who seek to explain the regulatory policies, is much longer
than the one cited here, the list of explanatory variables used typically includes the above variables. As also
shown in the above-cited studies, one additional factor, which explains the regulatory policies, is the
performance of the regulatory market itself.
In the same way, the government collects taxes in order to provide the non-revenue services such as
infrastructure, education, health, communication system etc., providing employment opportunities and
essential public services (such as maintenance of law and order) irrespective of the prevailing ideology or
the political system of a particular nation (Worlu & Nkoro,, 2012). Rwanda is a developing country whose
major exports are coffee and tea therefore, the only best way through which the government can boost the
economy is through tax revenue mobilization as a source of financing developmental activities in the

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country. However, this has been a difficult issue primarily because of various forms of resistance, such as
evasion and corrupt practices attending to it.
Adegbie & Fankile, (2011), the more the citizen lack knowledge or education about taxation in the country,
the greater the desire and opportunities for tax evasion, avoidance and non-compliance with relevant tax
laws. In this respect, the country becomes more adversely affected due to absence of tax conscience by
individuals, companies, and the failure of tax administration to recognize the importance of communication
and dialogue between the citizens and tax-related matters (Adegbie, & Fankile , 2011). In the face resource
efficiency in financing long-term development, developing countries like Rwanda resort to foreign capital
such as, loans and grants as a primary means to achieve rapid economic growth. Consequently, this ends up
accumulating huge external debts in relation to the Gross Domestic Product (GDP) and serious debt serving
problems in terms of foreign exchange flow and as such, majority of the population ends up living in
absolute poverty.

2.3.6: Organizational Performance

Chandler (2012), defined Organizational performance as the ability of an Organization to utilize its
resources (e.g. knowledge, people and raw materials) to achieve Organizational goals in effective and
efficient way. It is a set of financial and non-financial indicators, which offer information on the degree of
achievement of objectives and results (Lebans & Euske, 2011). Performance is dynamic, requiring judgment
and interpretation; performance may be illustrated by using a casual model that describes how current
actions may affect future results.; performance may be understood differently depending on the person
involved in the assessment of the Organizational performance (for example; performance can be understood
differently from a person within the Organization compared to one form outside). To define the concept of
performance is necessary to know its elements characteristic to each area of responsibility. To report an
Organization’s performance level, it is necessary to be able to qualify the results. Organizational
performance comprises the actual output or results of an Organization as measured against its intended
output. Organizational performance involves the recurring activities to establish organizational goals,
monitor progress towards the goals and make adjustments to achieve those goals more effectively and
efficiently. Organizational performance is an abstract concept and it is difficult for so many organizations to
directly measure. Instead of measuring Organizational, performance directly the Organization selects
indicators such as quality, growth, productivity, job satisfaction, goal consensus, managerial interpersonal
skills.
In general, the concept or Organizational performance based upon the idea that an Organization is the
voluntary association of productive assets, including human, physical, and capital resources, for achieving a
shared purpose. Those providing the assets will only commit them to Organization so long as they are
satisfied with the value they receive in exchange, relative to alternative uses of the assets, (Lebans & Euske,
2011). Consequently, the essence of performance is the creation of value. So long as the value created by the
use of the contributed assets is equal to or greater than the value expected by those contributing the assets,
the assets will continue to be made available to the Organization and the Organization will continue to exist.
Therefore, value creation, as defined by the resource provider, is the essential overall performance criteria
for any Organization. How that value is created is essence of most empirical research in management.
Conversely, how that value is measured is the essence of this research (Carton, 2004). The
telecommunication sector is emerging from a period of cost cutting and debt reduction. This is mainly
because traditional fixed line carriers are losing market share in favor of mobile operators that are offering
raising quantities of airtime in return for a flat monthly fee as well as advanced value-added services.
Methodology
This study applied descriptive survey design by collecting general information through administering
questionnaire to the selected sample of respondents. This design was appropriate since it provided an
accurate account of characteristics of a particular event or scope of real-life situation (Kothari, 2004). Both
qualitative and quantitative data was collected in order to answer the question formulated for this study.

The target population comprised of all Top and middle level, managers of mobile phone operator companies
in Rwanda which include MTN and Airtel company Headquarter and branches managers within Kigali. The

Kirabo Joyce, IJSRM Volume 10 Issue 02 February 2022 [www.ijsrm.in] EM-2022-3017

sampling frame for this research included all the mainstream managers holding the top and middle level
leadership positions at MTN and Airtel in Kigali that are involved in the core telecommunication business at
either the corporate, business or functional level. These business units in the MTN and Airtel telecom
include; marketing and communications, customer care, logistics, commercial, risk and strategy, information
technology, human resource, finance and administration, network operations.
To determine a sample size for this research, the researcher applied a Slovene’s formula, which is commonly
used to calculate the sample size out of the study population (Cooper & Schindler, 2014). Slovene’s
formula: n=N/(1+N(e)2) Therefore, n = 133/(1+133(5%)2) n = 100 respondents
Cronbach’s alpha was used in the study to determine the reliability of the tests. Cronbach‟s Alpha measured
the internal reliability of a set of related items. Specifically, it summarizes the extent to which sets of items
were interrelated with each other (Hair 2006). First, questionnaires were randomly distributed and collected
among 19 subjects and then its cronbach’s alpha was obtained by the SPSS statistical software. The
collected data was then extracted from the questionnaires and presented using tables, and figures while
analysis and interpretation was done based on the frequencies and percentages of respondents’ views in line
with the research questions. This was done by help of the SPSS system based on percentages and
frequencies of respondents’ views. The coding of respondent’s views was done in Ms excel program used to
analyze and interpret the study figures. Finally, correlation analysis, factor analysis and regression model
were applied to establish the relationship between strategic marketing and performance of
telecommunication industry in Rwanda.

Results and Discussion

Total Variance Explained for performance
Explained variance sometimes referred to as explained variation is used in research to measure the
inconsistency and discrepancy between the said model and the actual data. Actually, it is part of the model’s
total variance that is explained by the different factors which are essentially present and are not caused by
the error variance. The higher percentage of explained variance indicates a strong strength of association. In
essence, the percentage of the variance Colum gives the ratio that is expressed as a percentage of the
variance accounted for by each component to the total variance among all the variables. This therefore
implies that better predictions were made (Rosenthal & Rosenthal, 2011).
Total Variance Explained for performance

Total Variance Explained

Component Initial Eigenvalues Extraction Sums of Squared Loadings
Total % of Cumulative Total % of Cumulative
Variance % Variance %
1 4.302 61.456 61.456 4.302 61.456 61.456
2 .732 10.463 71.920
3 .533 7.612 79.532
4 .438 6.251 85.783
5 .413 5.906 91.689
6 .350 4.997 96.686
7 .232 3.314 100.000
Extraction Method: Principal Component Analysis.

Further, the high factor loading scores showed that all the items explained Performance of
Telecommunication industry. The EFA extracted 1 factor with an Eigen value of 4.302 which is above the
accepted value of 1 and cumulative extracted variance of 61.456 %. Thus, none of the items was dropped
(Yong & Pearce, 2013).

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Table 4.1 Strategic Planning Total Variance Explained

Total Variance Explained

Component Initial Eigenvalues Extraction Sums of Squared Loadings
Total % of Cumulative Total % of Cumulative %
Variance % Variance
1 4.200 59.997 59.997 4.200 59.997 59.997
2 .728 10.405 70.401
3 .585 8.364 78.765
4 .460 6.565 85.330
5 .418 5.971 91.301
6 .346 4.948 96.249
7 .263 3.751 100.000
Extraction Method: Principal Component Analysis.

Further, The EFA extracted 1 factor with an Eigen value of 4.200 which is above the accepted value of 1 and
cumulative extracted variance of 59.997 %. Thus, none of the seven items was dropped (Yong & Pearce,
2013).

Legal & Regulatory Framework Total Variance Explained

It is part of the model’s total variance that is explained by the different factors which are essentially present
and are not caused by the error variance. The higher percentage of explained variance indicates a strong
strength of association. In essence, the percentage of the variance Colum gives the ratio that is expressed as
a percentage of the variance accounted for by each component to the total variance among all the variables.
This therefore implies that better predictions were made (Rosenthal & Rosenthal, 2011).
Table 4.2 Legal & Regulatory Framework Total Variance Explained

Compon Initial Eigenvalues Extraction Sums of Squared Loadings

ent Total % of Cumulativ Total % of Cumulativ
Variance e% Variance e%
1 3.089 61.781 61.781 3.089 61.781 61.781
5 .287 5.740 100.000
Extraction Method: Principal Component Analysis.

Further, the high factor loading scores showed that all the items explained strategic planning. The EFA
extracted 1 factor with an Eigen value of 3.089 which is above the accepted value of 1 and cumulative
extracted variance of 61.781 % (Yong & Pearce, 2013). Thus, none of the two items was dropped.

Correlation Results
Correlation analysis forms a basis for regression analysis; thus, it is appropriate to analyze in research.
Extant studies have described the concept of correlation as the degree of association between variables in the
study (Mukaka, 2012; Asueroet al., 2006). Equally, it quantifies the strength of the linear relationship
between a pair of variables (Bewicket al., 2003). The present study sought to probe the relationship strategic
management practices and Performance of Telecommunication industry under the moderating role of Legal
& regulatory framework. Therefore, the study analyzed the relationships that are inherent among the
variables using Pearson product moment correlation coefficient (r) to assess or infer on the strength of the
linear link between study variables (Mukaka, 2012).
Statistically, correlation coefficient always falls between -1.0 and +1.0 such that if the correlation (r) is
positive, there is a positive relationship whereas if correlation (r) is negative, then the relationship between
variables is negative (Samuel & Okey, 2015; Rebekićet al., 2015). Further, if the correlation (r) falls within
0.00 to 0.10 then it is a negligible correlation; 0.10 to 0.39 means weak correlation; 0.40 to 0.69 infers a
moderate correlation; 0.70 to 0.89 implies a strong correlation and 0.90 to 1.00 signifies a very strong

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correlation (Schober et al., 2018). Accordingly, bivariate correlation analyses were performed and Pearson
correlation coefficients were generated to measure the strength of the link between the study variables
(Field, 2000).
Table 4.3 Correlation Results

Performanc Strategic Legal and

e Planning regulatory

Performance Pearson 1
Correlation

p-value

Strategic Pearson 0.953** 1

Planning Correlation

p-value .000

Legal and Pearson 0.905** .837** 1

regulatory Correlation

p-value .000 .000

From the results on table 4.37 above, there is a positive and significant correlation between the independent
variables and Performance of Telecommunication industry. Notably, the correlation results revealed that
Strategic Planning has a positive and significant moderate relationship with Performance of
Telecommunication industry’s (r =0.953**, ρ<.05).
Moderating variables showed a positive and significant correlation with Performance of Telecommunication
industry. As revealed, Legal & regulatory framework (r =0.905**, ρ<.05) is positively associated with
Performance of Telecommunication industry. Based on the above results there is an indication of the linear
relationship between all predictors on performance, hence the need to perform a more sophisticated model
such as multiple regression model to show a cause-effect relationship.
Table 4.4 Coefficients of Strategic planning on performance

Model Coefficients t Sig.

B Std. Error
(Constant) -1.713E-016 .033 .000 1.000
Strategic planning .953 .033 28.918 0.000
H1 predicted that there is no significant effect of the Strategic Planning on Performance of
Telecommunication industry. However, the results presented in Table 4.45 above showed a positive and
significant association between Strategic Planning and Performance of Telecommunication industry (β =
0.953, ρ< .05). Therefore, the hypothesis was not rejected. Thus, Performance of Telecommunication
industry increases as strategic planning increases.
H1: Strategic Planning*Regulatory framework and performance of telecommunication industry in Rwanda

Table 4. 5 Model summary

Model R R Square Adjusted R Square Std. Error of the

Estimate
.969 .938 .936 .25316684

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From table 4.46 above, the combined prediction of all the variables accounted for approximately 94% of the
total variation in Performance of Telecommunication industry (R2 = .938 and Adjusted R2 = .936) as
depicted in Table 3.37. Thus, the model was fit to predict Performance of Telecommunication industry using
Strategic Planning.

4.12.2 Analysis of variance

Analysis of variance sometimes reoffered to as ANOVA is a statistical tool of analysis which splits observed
sum of variables which are found inside a data set into two parts which include the random factors and the
symmetric factors

Table 4.6 Analysis of variance

Model Sum of Squares df Mean Square F Sig.
Regression 80.680 3 26.893 419.597 .000b
Residual 5.320 83 .064
Total 86.000 86

The results in Table 4.47 indicates that the overall models were a good fit since the variables; Strategic
Planning, were found to have a value of F-statistic of 419.597 and the p-value was found to be 0.000 which
is less than the critical value of 0.05.

Hypothesis summary
No Null Hypothesis Decision criteria Conclusion
1 Reject the null The null was rejected
H1: There is no significant relationship between hypothesis if p<0.05 since p-value was found
strategic planning and performance of to be < 0.05
telecommunication industry in Rwanda

2 H2: There is no significant moderation effect of Reject the null The null was rejected
legal and regulatory framework on the hypothesis if p<0.05 since p-value was found
relationship between strategic planning practice to be < 0.05
and the performance of Telecommunication
industry in Rwanda

Conclusions
This specific objective was set to ascertain whether strategic planning has a substantial influence on the
performance of the telecommunications company. To that effect, the indicators of strategic planning include
the strategic forecasting, strategic budgeting and long-term goals & objectives. All the respondents were
strongly in agreement with statements that; The firm has a Process of defining company’s strategy or
direction and making decisions on allocating its resources to pursue this strategy, The firm has a Systematic
process of envisioning a desired future and translating this vision into broadly defined goals and steps
achieve them, The organization formulates the strategic vision for the future in a timely manner, The
company has a framework for Evaluating and monitoring the overall strategic plan, We regularly forecast
internal and external development, We always Specify the tactical “action” strategies to be accomplish and
The firm has a Smart Budgeting strategy to maximize resources and minimize costs.
Notably, the correlation results revealed that Strategic Planning has a positive and significant moderate
relationship with Performance of Telecommunication industry. The results on linearity test for strategic
planning and performance of the telecommunication industry since the level of linear association was found
to be 0.953 which was also positive and statistically significant. Similarly, the null hypothesis Strategic
Planning and performance of the telecommunications industry were subjected to the hypothesis to determine
whether to accept or reject the null hypothesis and the results showed a positive and significant association
between Strategic Planning and Performance of Telecommunication industry (β = 0.953, ρ< .05). Therefore,

Kirabo Joyce, IJSRM Volume 10 Issue 02 February 2022 [www.ijsrm.in] EM-2022-3021

the hypothesis was rejected. Thus, as the Performance of Telecommunication industry increased, the
strategic planning too increased. It can therefore be concluded that, the companies benefited tremendously
when the strategic planning was taken into account for the efficient performance of the telecommunication
industry in Rwanda.
Recommendations
Managerial decisions and strategic plans that managers make have a daily impact on the success of the entire
telecom company. The most important ingredient of such company success is inclusive decision-making in
the strategic planning process. Hence, this research recommends the need for telecom managers to build a
strong bottom-up component in the strategic planning structures to ensure that views and opinions of people
across all levels of the organization are heard and that they are part of the plan and part of the process. Such
diversity leads to better decision-making because the action of bringing people into the strategic
conversation with different specializations and cultural experiences promotes creativity with fresh
perspectives on the task or problem at hand.
Importantly, the telecommunications firms’ managerial decisions should leverage systematic processes of
envisioning the desired future and translating this vision into broadly defined goals and steps to achieve
them. Ideally, the firms should define their company’s strategy or direction and make decisions on
allocating their resources through designing smart budgeting policies that maximize resources and minimize
costs in the pursuit of their strategies in a timely manner. Managerial decisions in the telecom companies
should have a framework for evaluating and monitoring the overall strategic plan, regularly forecast internal
and external development, always specifying the tactical “action” strategies to be accomplished.
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Kirabo Joyce, IJSRM Volume 10 Issue 02 February 2022 [www.ijsrm.in] EM-2022-3023