Managerial Foresight of Upper Echelons Affecting Organizational Performance: An Empirical Study of Pakistani Textile Sector
Keywords:Managerial Foresight, Strategic Decision, Forward Integration, Organizational Performance, Pakistani Textile Sector
This research seeks to answer the question of whether the foresight of the top managers influences their strategic choices in a specific sector, which ultimately affect the organizational performance. Here the chosen strategic decision is forward integration in terms of value addition in the textiles sector. This is an empirical study that has co-relational design approach. It is exploratory in nature, where hypotheses are developed and tested. Based on a cross sectional survey, the data refers to duration between the years 2015-2016. Sample size n=306 consisted of the CEO, CFO and the MDs of 156 listed textile mills of Pakistan. The survey was carried out in two phases; pilot testing and the final survey. Analysis of the data depicted statistically significant results; which revealed that the proposed predictor managerial foresight contributes towards the outcome variables-; ‘organization performance’ or ‘strategic decision’ that is acting as a mediating variable. Moreover, the results also prove mediation effect of strategic decision between managerial foresight and organizational performance.