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The relationship of information usage characteristics to planning system sophistication: An empirical examination
Author(s) -
Rhyne Lawrence C.
Publication year - 1985
Publication title -
strategic management journal
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 11.035
H-Index - 286
eISSN - 1097-0266
pISSN - 0143-2095
DOI - 10.1002/smj.4250060403
Subject(s) - sophistication , openness to experience , volatility (finance) , strategic planning , time horizon , business system planning , business , econometrics , economics , marketing , process management , psychology , finance , sociology , social psychology , social science
The relationship between corporate‐level planning and information systems was examined empirically. A continuum of planning system sophistication was constructed based on the level of openness to outside influences combined with the planning horizon. Futureoriented, external and environmental types of information were found to be strongly correlated with increased planning sophistication. The impact of environmental turbulence (complexity‐volatility) on planning systems also was examined. Complexity was strongly correlated with planning sophistication, whereas no relationship was found between volatility and planning sophistication.