The effect of scenario planning on non-financial performance in Malaysia hotel industry Online publication date: Fri, 03-Jul-2020
by Joshua Teck Khun Loo; Rajendran Muthuvelo; Shaian Kiumarsi; Fadzil Ali
International Journal of Services and Operations Management (IJSOM), Vol. 36, No. 3, 2020
Abstract: This study examines the effects of scenario planning on non-financial performance of business organisations in the hospitality industry. This has the capacity to promote the understanding of regional and global tourism environment through additional alternative methods. Several studies on organisational performance have deployed the conventional planning and strategies to determine the best alternative that could accelerate business performance and sustain its environment. In order to determine the cause and effect relationship between the two variables, the study applies the VB-SEM using Smart-PLS to 82 samples. Evidence from the study reveals that scenario planning has a direct positive effect on non-financial performance of business organisations in the hospitality industry. Thus, the study emphasises that scenario planning is fundamental and practical strategic tools that could be deployed to accelerate non-financial performance.
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