Faza Ihsan Zaidi


Strategic management is effective decision-making tools that has been uses for years.It helps companies to stay competitive by reviewing their opportunities and threats. Strategy implementation is the most challenging stages in strategic management. It can influence the company performance which includes the employees’ performance. However, there is still insufficient evidences proves this relationship. Successful strategy implementation process includes understanding of vision and mission, strategic action plan, resources allocation, employees training, employees involvement in decision making, reward system and corporate culture. Strategy implementation can influences the employees’ performance through employees’ commitment, retention and growth. The aim of this research is to analyse the relationship between strategy implementation process and employees’ performance in construction companies. Respondents were G7 contractors in Klang Valley, Selangor. Questionnaire survey data collection were conducted and Pearson’s correlation analysis was used. The correlation obtained proves that strategy implementation process does influence the employees’ performance in construction companies especially on employees’ retention and employees’ growth with strong correlation coefficient. On the contrary, there correlation of strategy implementation process toward employees commitment are quite weak. This research are suitable to be used as strategy implementation reference for top management in conducting strategy implementation.


company performance, strategy implementation, strategy planning

Full Text:



Ahmad, T., Farrukh, F., Nazir, S., (2015) "Capacity building boost employees performance", Industrial and Commercial Training, Vol. 47 Issue: 2, pp.61-66

Allio, M.K. (2005) "A short, practical guide to implementing strategy", Journal of Business Strategy, Vol. 26 Issue: 4, pp.12-21

Awad, T.A., Alhashemi, S.E. (2012) "Assessing the effect of interpersonal communications on employees' commitment and satisfaction", International Journal of Islamic and Middle Eastern Finance and Management, Vol. 5 Issue: 2, pp.134-156

Bahadori, M., Teymourzadeh, E., Tajik, H., Ravangard, R., Raadabadi, M., Hosseini, S.M. (2018) "Factors affecting strategic plan implementation using interpretive structural modeling (ISM)", International Journal of Health Care Quality Assurance, Vol. 31 Issue: 5, pp.406-414

Bakar, A.B.A., Razak, A.A., Yusof, M.N. (2011). Establishing Key Determinants Contributing To Growth of Construction Companies: An Empirical Examination. Emerging Issues in the Natural and Applied Science. Progress IPS LLC, Baku, pp.73-88 (ISBN: 978-9952-8071-4-1), 2011

Bartol, K.M., & Srivastava, A. (2002). Encouraging Knowledge Sharing: The Role of Organizational Reward Systems. Journal of Leadership & Organizational Studies, 9(1), 64-76

Chau, V.S.,(2008) "The relationship of strategic performance management to team strategy, company performance and organizational effectiveness", Team Performance Management: An International Journal, Vol. 14 Issue: 3/4, pp.113-117

Dandira, M. (2012), "Strategy in crisis: knowledge vacuum in practitioners", Business Strategy Series, Vol. 13 Issue: 3, pp.128-135

Gębczyńska, A. (2016) "Strategy implementation efficiency on the process level", Business Process Management Journal, Vol. 22 Issue: 6, pp.1079-1098

Gil A.J., Mataveli, M., (2016) "Rewards for continuous training: a learning organisation perspective", Industrial and Commercial Training, Vol. 48 Issue: 5, pp.257-264

Guiso, L., Sapienza, P., Zingales, L. (2015). The value of corporate culture. Journal of Financial Economics, 117(1), 60-76

Hashim, M.K. (2008). Strategic Management: Text & Case. 2nd edition. Thomson Learning, Singapore.

Hassan, H., Rahmat, I., Ali, A.S. (2008). Organizational and managerial capabilities’ factors in relation to strategic planning within Malaysian quantity surveying firms.

Henderson, S.J. (2017), "Strategy as nonsense: strategies for hunting the snark", Journal of Organizational Change Management, Vol. 30 Issue: 2, pp.232-242

Hijji, K. Z. A. (2014). Strategic Management Model for Academic Libraries. Procedia - Social and Behavioral Sciences, 147(0), 9-15

Hong, T.T., (2011) "Neighborhood preferences of house buyers: the case of Klang Valley, Malaysia", International Journal of Housing Markets and Analysis, Vol. 4 Issue: 1, pp.58-69

Jiang, N., Carpenter, V., (2013) "A case study of issues of strategy implementation in internationalization of higher education", International Journal of Educational Management, Vol. 27 Issue: 1, pp.4-18

Kachaner, N., King, K., Stewart, S. (2016) "Four best practices for strategic planning", Strategy & Leadership, Vol. 44 Issue: 4, pp.26-31

Kohtamäki, M., Kraus, S., Mäkelä, M., Rönkkö, M. (2012) "The role of personnel commitment to strategy implementation and organisational learning within the relationship between strategic planning and company performance", International Journal of Entrepreneurial Behavior & Research, Vol. 18 Issue: 2, pp.159-178

Kryger, A. (2018), "Iterative prototyping of strategy implementation workshop design", Journal of Strategy and Management, Vol. 11 Issue: 2, pp.166-183.

Lee, C.L., Yang, H.J. (2011). Organization structure, competition and performance measurement systems and their joint effects on performance. Management Accounting Research, 22(2), 84-104.

Lyons, P.R., Bandura, R.P., (2018) "Understanding metacognition: concepts supporting employee learning and growth", Human Resource Management International Digest, Vol. 26 Issue: 6, pp.44-46

Michlitsch, J.F. (2000) "High‐performing, loyal employees: the real way to implement strategy", Strategy & Leadership, Vol. 28 Issue: 6, pp.28-33

Mohamed, Z.A., Ann, H.J., Yee, W.F. (2014). Strategic Management: 2nd edition. Oxford Fajar, Shah Alam.

Molina, M.A.C., González, J.M.H., Florencio, B.P., González, J.L.G., (2014) "Does the balanced scorecard adoption enhance the levels of organizational climate, employees’ commitment, job satisfaction and job dedication?", Management Decision, Vol. 52 Issue: 5, pp.983-1010

Nabi, G.R., (2003) "Situational characteristics and subjective career success: The mediating role of career‐enhancing strategies", International Journal of Manpower, Vol. 24 Issue: 6, pp.653-672

Onwuegbuzie, A.J., Daniel L.G. (2017) Uses and misuses of the correlation coefficient.

Özer, F., Tınaztepe, C. (2014). Effect of Strategic Leadership Styles on Firm Performance: A Study in a Turkish SME. Procedia - Social and Behavioral Sciences 150, pp. 778-84.

Pawirosumarto, S., Sarjana, P.K., Muchtar, M. (2017) "Factors affecting employee performance of PT.Kiyokuni Indonesia", International Journal of Law and Management, Vol. 59 Issue: 4, pp.602-614

Pearce, J.A. & Robinson, R.B. (2000). Formulation, Implementation and Control of Competitive Strategy. Mc-Graw Hill, Boston.

Rack, O., Ellwart, T., Hertel, G., Konradt, U., (2011) "Team‐based rewards in computer‐mediated groups", Journal of Managerial Psychology, Vol. 26 Issue: 5, pp.419-438

Rahman, W., Nas, Z., (2013) "Employee development and turnover intention: theory validation", European Journal of Training and Development, Vol. 37 Issue: 6, pp.564-579

Reid, M.F., Brown, L., McNerney, D., Perri, D.J. (2014) "Time to raise the bar on nonprofit strategic planning and implementation", Strategy & Leadership, Vol. 42 Issue: 3, pp.31-39

Sihombing, S., Astuti, E.S., Musadieq, M.A., Hamied, D., Rahardjo, K. (2018) "The effect of servant leadership on rewards, organizational culture and its implication for employee’s performance", International Journal of Law and Management, Vol. 60 Issue: 2, pp.505-516

Stewart, R. A., Mohamed, S., Daet, R. (2002). Strategic implementation of IT/IS projects in construction: a case study. Automation in Construction, 11(6), 681-694.

Stumpf, S.A., Tymon Jr, W.G., Favorito, N., Smith, R.R (2013) "Employees and change initiatives: intrinsic rewards and feeling valued", Journal of Business Strategy, Vol. 34 Issue: 2, pp.21-29

Voberda, H.W., Morgen, E.R., Reinmoellers, P., Hitt, A.M., Irealand, R. D., Hoskisson, R. E. (2011). Strategic Management: Competitiveness and Globalization (Concept and Cases). South-Western Cengage Learning, UK.

Wibowo, M. A., Astana, I. N. Y., & Rusdi, H. A. (2015). An Analysis of Bidding Strategy, Project Performance and Company Performance Relationship in Construction. Procedia Engineering, 125, 95-102.

Zaidi, F.I., Zawawi, E.M.A., Nordin, R.M., Ahnuar, E.M. (2018). An empirical analysis of strategy implementation process and performance of construction companies IOP Conference Series: Earth and Environmental Science, Vol. 117, conference 1


  • There are currently no refbacks.