Strategic information planning and performance of SMEs: A structural equation modelling approach

Abstract

BACKGROUND:

The business environment is getting unstable due to which execution of decision support systems has become significant to maintain competitive advantage. Small and medium enterprises in particular confront issues, such as insufficiency of devising strategic planning, strategic decision-making, and information exchange, as well as difficulty increasing performance. Because functional strategic management and decision-making are required, strategic information systems planning is employed to accumulate information and assist decision-makers in developing and implementing the best strategy for gaining superior performance. Executives in information systems focus on technical difficulties while ignoring decisions to support strategic plans.

OBJECTIVE:

The purpose of this article is to investigate how strategic information systems planning contributes to increased performance in SMEs.

METHODS:

Data was gathered through questionnaires distributed to information system executives in SMEs, primarily in Jordan. The data was collected with the help of questionnaires adopted from prior studies. For Analysis after applying the diagnostic tests, structural equation modelling has been applied to test the framework developed based on the literature.

RESULTS:

A structural equation modeling (SEM) was conducted, the individual loadings of the SEM items are investigated, reliability and discriminant validity is tested, and path coefficients of hypothesized relationships of the developed model are tested.

CONCLUSIONS:

The findings suggested that managers should prioritize implementing strategic information systems planning so that they can gain superior performance with better agility in the future. This research not only enhances the current understanding of the significance of strategic information systems planning but also assists supervisors to improve the procedure.

Keywords

Decision support systems strategic management business strategy strategic information systems planning SME performance

Kadri S. Al_Shukri is an assistant professor in the information systems department with Ajloun National Private University in Jordan, where he teaches and conducts several research works in information systems and management. He received his BSc. in education, MSc. and Ph.D. in management information systems (MIS). He has taught many MIS courses at Ajloun National Private University and other regional universities. In addition to his work as a faculty member, he worked at Ajloun National Private University as director of the consultation and community service center, acting dean of student affairs, director of the office of career guidance and follow-up of graduates, and currently, he is Acting Director of the Human Resources Departmcheckedent.

1 Introduction

Small and Medium Enterprises (SMEs) must deal with environmental uncertainty as the present business climate becomes increasingly complicated and uncertain. As a result, information systems and strategic planning are used to tackle this endeavor. Decision support systems help corporate strategy and decision-making by leveraging managerial skills to obtain a competitive edge [1]. Strategic information systems planning refers to the integration of information systems and strategic planning [2].

Businesses employ technology to make effective and timely decisions to remain modest and diminish the complexity of decision-making [3]. Decision-support system efficiency and efficacy have been investigated by researchers in the banks, thus, Decision support systems strive to improve decision-making planning as well as problem and task resolution [4]. On the other hand, strategic information system planning is a technique that assists enterprises in achieving strategic goals by integrating business strategy and information technology [5]. Since 1970, researchers have been studying the strategic information system planning mechanism [6 –8]. Strategic information system planning promotes innovation and the creation of new products [9]. Furthermore, it lowers costs and promotes the improvement of client connections [10]. When businesses employ information systems, they can strive in a global market, encounter consumer needs, and shorten product life span [11], however much focus has been given to the banking sector in Jordan regarding the use of information systems. According to the researchers, the utilization of automation can only provide a foundation of long-term competitive benefit if the information system approach is affiliated with the commercial plan [12].

Strategic information system planning has five stages: strategic awareness, scenario analysis, strategy conception, strategy formulation, and strategy implementation planning. These stages are in line with the decision support system development and aid in decision-making. First, executives set company objectives and analyze the business setting to utilize decision-support systems to make judgments based on past situations or the criteria proposed by the decision-support system. Furthermore, they can choose the best alternative strategy scenario to implement and, once done, assess it with the use of a decision support system.

Previous research has looked into the impact of these stages on strategic information system planning success in major corporations and especially the banking sector [4, 11]. However, research into SMEs, which are the most important part of any economy, is scarce [10, 12]. Other researchers have shown a positive association between strategic information system planning and performance, although their findings are restricted to theoretical outcomes [3].

Nowadays, the financial plight has adversely affected SMEs [13]. To tackle this, SMEs must obtain information about their environments [14]. In addition to this, SMEs try to make parallel business and IT strategies to participate in the current erratic climate, be advanced, and progress [15]. One of the major obstacles that SMEs provoke that leads to the ineffective alignment process is a lack of careful planning, tactical decision-making, and information sharing [1]. SMEs can utilize decision support systems for operative and appropriate decision-making if they want to be competed and reduce complications in decision-making [16].

Previous studies on this topic relate to how information technology helps decision-makers make more competent decisions [46]. Previous studies that focus on the paybacks of using computer-based systems are particularly limited, whereas surveys that emphasize the use of decision support systems in strategic decision-making are not [17]. The goal of this research, in this view, is to identify the strategic information system planning phases that, when applied in the creation of a decision support system, might boost business performance. The goal is to create which points grant the most and how they might be amended.

The following is the framework of this work: The first section has a brief introduction to this topic; the next section provides a literature review to emphasize the problems mentioned in this research. Section 3 outlines the methodology applied, while Section 4 displays the investigation findings and analysis. Lastly, Section 5 summarizes the findings and wraps up the research.

2 Literature review

The literature review has been divided into two main portions; initially, Strategic Decision Support Systems (SDSS), Strategic Information Planning (SIP), and SME performance have been seen. Afterward based on the proposed model hypothesis was raised.

For effective strategic management in SMEs, a decision support system paradigm can be divided into environmental examination, goal defining, decision support system, and strategy operations [2]. Environmental analysis facilitates the collection of data on inventory, production, research, and development, advertising, manufacturing, resources, marketplace, experience, financial conditions, and culture [6]. This data is required for predicting and bulging the inside and outside commercial environments [18]. This data is engendered by employees, consumers, directors, and advisors [19]. Similarly, goal setting is used to generate alternate scenarios. One or more of them are chosen based on the business’s aims as well as the goal of the organization [20].

The decision support subsystem inculcates a decision support system record, a decision support system model base, and claim applications to keep information inside the system consistent. The decision support system record contains ancient, management, and environmental statistics files, along with transaction files. The decision support system is integrated with models that can be used to solve strategic dilemmas [21].

Managers will assess the generated information and select the optimal option, which will be developed through a decision support system. This procedure is aided by the user environment, which includes some choices and dialogues related to questions/answers [22]. Once the problem has been recognized, artificial intelligence is based on its aid in the creation of alternative solutions. To design and analyze alternative judgments in DSS numerous approaches, representations, philosophies, and processes, are employed like intelligent data analysis and fuzzy theory [23].

The DM (Decision Making) formulates, evaluates, and chooses different methods. Then they implement the chosen approach and evaluates it using data from the decision support system. This system aids at each stage of the strategic management process [24]. To summarize, once the problem has been recognized, an artificial intelligence created to generate alternative scenarios for examination makes new models to analyze the substitutes and chose the optimum one.

In the same domain strategic information planning aids decision support systems as it has evolved into an essential business planning process that is problematic for IT management. Several reasons have predisposed the shift in the part of information systems in administrations in the current era. The variables include the utilization of information systems for the competitive benefit [7], the circulation of information systems in enterprises [25], and the use of information systems in company operations [26]. These changes force enterprises to establish strategic plans to attain their objectives in this unpredictable and complex surrounding [27, 65].

Strategic ISP has been defined as the capacity to construct a business plan using tools, processes, and methodologies that have been utilized to assist organizations in recognizing possible chances to grow IS with more competitiveness [28]. Strategic ISP has been viewed as a complex procedure with distinct stages. The initial stage of the procedure is Strategic Awareness which includes the determination of major planning issues, and planning goals, the development of the team for planning, and the assistance of high-level management are all included in this phase [66]. The following stage is situation analysis where an examination of present business structures, administrative systems, and information systems is conducted [7 , 24].

The process third phase is strategy conception, in which the team analyses the most important Information System (IS) targets, possibilities for development, and additional scenarios, as well as assesses the improvement gap. Entrepreneurs especially the female entrepreneurs innovate, initiate, engage in the businesses and contribute significantly to the development of their enterprises as well as the society at large [46]. Furthermore, the team members set effective IS plans. Strategy Formulation is the fourth phase, in which managers choose the best scenario from the prior choices based on their evaluation and the novelistic business procedures and IT infrastructures. Afterward, the implementation and review are done by identifying its impact on performance.

In multifaceted environments, SMEs seek to sanctify the methods by enforcing specific codes of conduct that help to decrease environmental unpredictability. Formalization promotes the development of characteristics that stimulate interpersonal interactions and the distribution of new data [18]. Moreover, they translate the growth of fresh ideas into real plans via the imposed structures, promoting the growth of innovation [29, 47]. As the environment becomes more complicated and things change in every aspect including the tourism side which highly influence small and medium enterprises, the demand for innovation grows in all the sectors, if firms are assisted to survive and compete, innovation is a must for survival and innovation through strategic information planning can prove even better results [5 , 44].

In SMEs, SP and formal processes are missing, and they employ IS unproductively due to the misalignment of business and IT plans. In this research area, researchers have thoroughly implemented it for managers to comprehend the association between strategy alignment and the commercial advantages of employing IT [4]. One of the critical difficulties for IS managers has been identified as achieving a strong association between IT and organizational goals [30]. Hence, the alignment process is critical for SMEs. By improving the interaction between business and IT, alignment encourages SMEs to increase their business scope and infrastructure [22]. Hence, academics should concentrate on IT to discover the best approach for technology to serve. Strategic planning leads to business model innovations which is becoming more significant for the SMEs especially after COVID-19 because it has significantly changed the ways businesses can be done [20, 47]. Now people are becoming more concerned about corporate social responsibility, enterprises have to consider corporate social responsibility in their business models and have to innovate based on the strategic information planning.

The most typical issues that have hampered the strategic information system planning procedures are lack of involvement and failure to execute strategic IS plans. Because officials are unable to abide by the plan, team members struggle to execute the IS plans. Furthermore, data reveal that owners recognize that the phase for execution is challenging and vital, therefore it is given critical attention [1].

Several managers put too much effort into the strategic information system planning procedures while others are inactive. COVID-19 has made an urge for the businesses to develop their operations with regard to innovation based on the market information which is facilitated by the strategic information provided by the decision support systems [48]. When executives invest their energy, the process may become time-consuming, complex, or prevented from being implemented, however, use of latest technology has reduced the efforts needed for strategic changes and changes in the sustainable practices [48, 52]. Often managers, before pandemic were reluctant in investing their resources in the health and related activities, however, currently, the need for investment in the safety and social responsibility has significantly increased [50]. Likewise the need for knowledge sharing has increased significantly, knowledge sharing helps in innovation and assisted by strategic information planning [51]. When managers refrain from investing their time, the plans are not executed effectively, and the goals may not be met. As a result, process evaluation is important because managers can eliminate unsatisfactory results [31].

Based on prior findings and studies highlighting the SISP effects on SMEs performance, hence framework has been proposed as shown in Fig. 1.

Fig. 1

Research Framework.

Based on the literature reviewed and the framework developed, the following hypothesis have been prosed for testing with the assistance of principal data gathered from the owners and managers of small and medium-sized firms operating in Jordan.

Strategic Awareness (SA) is the first variable. SA emphasizes planning of gathering relevant information about rivals, funds, clients, and controllers. Interpretation of the information could be achieved via team organization. Management commitment boosts confidence and ensures ongoing pecuniary support for the procedure. Hence:

H1: Strategic awareness positively affects the performance of SMEs.

A situation analysis that focuses on the company, organization, and information system (IS) would result in a better understanding of the institution’s demands. The examination of external business and IT surroundings would contribute to an increased understanding of the effects of change and provide a firm basis for the strategy, increasing the likelihood of success. Hence:

H2: Situation analysis positively affects the performance of SMEs.

More realistic possibilities would be provided by SF, which involves the credentials and evaluation of opportunities. Recognizing IT aims would connect future IT and business goals sufficiently and yield effaceable results. Hence:

H3: Strategy conception positively affects the performance of SMEs.

The formulation of strategy comprises defining the plan in terms of procedures, architectures, and projects. Once planning is identified, it will be easier to meet the planned objectives. Better prioritization would increase the chances of execution and the possibility of fulfillment. Hence:

H4: Strategy formulation positively affects the performance of SMEs.

Lastly, SIP should include a stronger emphasis on change supervision and a better execution plan. would make excellent implementation more likely [26]. Better control would yield substantial results. Hence:

H5: Strategy implementation positively affects the performance of SMEs.

Strategic information system planning is a systematic method that SMEs can use to design their IS policy and use the best IS for their demands. It reassures organizations to make decisions on IS strategy and execution by analyzing their resources while considering both environmental opportunities and dangers [77]. Furthermore, strategic information system planning incorporates all the characteristics and actions listed above as formalization benefits. [25] looked at strategic information system planning phases and concluded as the setting gets complicated, analysis is needed.

3 Methodology

The current study explains the relationship between performance and the SISP phases, SA, scenario analysis, SC, SF, and strategy implementation, using data from primary surveys. Two hypotheses were operationalized using five-point Likert scales in the instrument: SISP phases and performance of SMEs as utilized by the previous researchers [59 –61]. The strategic information system planning process model assessed how well the organization carried out the five planning phases and their associated duties [32]. The success constructs assessed how much the organization boosted its performance. Previous surveys on strategic information system planning phases [26, 33] and SME performance were used to develop the questionnaire [14 , 50].

Because the financial constraints have had a detrimental effect on SMEs, companies are attempting to connect their business and IT strategy for competition in today’s volatile environment, be novelistic, and grow [35]. In SMEs, there is insufficient SP and formal processes, and they employ IS unsuccessfully due to a failure to bring into line business and IT strategy [36 , 62–64]. Specifically, Jordan has a higher proportion of SMEs than other MENA countries, and many of them had been adversely affected by financial constraints during COVID-19 [37 , 48–50]. COVID-19 has caused a major breakthrough in all the fields of the businesses, likewise SMEs have no exception to it, new product development is needed for survival in the market, in the same domain a study conducted using data of annual reports highlighted the need for improvement in product market competition play a dynamic role in achieving superior performance of SMEs [45]. Therefore,, considering the fact the SMEs operating in Jordan have no exception for the same practices, as a result, it became necessary to collect data on Jordan SMEs during the economic calamity to effectively assess the development and execution of IT techniques for the decision support system.

4 Analysis and discussions

For analyzing the data SMART PLS 3 has been used. The responses of owners and managers are analyzed as they are the best individuals in the enterprises to give responses on strategic information system planning activities and success. Initially, the outer model has been analyzed to check the instrument. A structural equation modeling was conducted as shown in Fig. 2.

Fig. 2

Conducted Structural Equation model.

4.1 Outer loadings

This research investigated individual loadings of items initially to recognize the article payload issues. Table 1 depicts the item loading specific values range from a lower bound of 0.737 to a higher bound of 0.929.

Table 1
Outer loadings

Performance Situation Strategic Strategic Strategy Strategy

of SMEs Analysis Awareness Conception Formulation Implementation

I6 0.905

I3 0.871

I5 0.871

I4 0.869

I9 0.857

I8 0.847

I7 0.839

I1 0.823

I2 0.809

A1 0.737

A2 0.827

A3 0.882

A4 0.868

A5 0.871

H1 0.911

H2 0.706

H3 0.869

H4 0.923

H5 0.837

H6 0.768

H8 0.756

H9 0.853

I11 0.845

I12 0.902

I13 0.929

I14 0.915

I1 0.864

I2 0.873

I4 0.912

I5 0.874

I6 0.921

I7 0.921

I9 0.909

I10 0.896

As the findings of outer loadings for the items used in the instrument of every construct, verify that all items should be the part of the model as all of the values are greater than 0.7, hence none of the items was removed from the instrument in further analysis.

4.2 Construct reliability and validity

Upon analysis, the next stage is to assess Cronbach’s Alpha, Composite Reliability, and Average Variance Extracted (AVE) for all constructs performance of SMEs, strategy implementation, strategic conception, SA, situation analysis, and SF [75, 76]. All values of variables in Cronbach’s Alpha should be greater than the 0.7 threshold level [38]. Moreover, Hair, Ringle, and Sarstedt (2013) indicated that all values of variables in composite reliability should be lower than 0.60 whereas, those constructs values having values are 0.7 and above 0.7 are more substantial, the prior studies using the same statistics have also taken the same values as reference points [67]. Furthermore, AVE also confirmed that convergent validity has been assessed, similarly, AVE showed that all values of variables are measured according to a verge value of 0.50 and greater than 0.50, these threshold levels are suggested by the statisticians as well as similar threshold levels are used in the prior studies in the same domain [39 , 68]. Therefore, all values of the variable are calculated as per the threshold level in Table 2.

Table 2
Construct reliability and validity

Cronbach’s alpha Composite reliability Average variance extracted (AVE)

Performance of SMEs 0.954 0.961 0.731

Strategy implementation 0.935 0.947 0.691

Strategic conception 0.932 0.952 0.831

Strategic awareness 0.920 0.944 0.807

Situation analysis 0.904 0.933 0.776

Strategy formulation 0.894 0.922 0.704

	Cronbach’s alpha	Composite reliability	Average variance extracted (AVE)
Performance of SMEs	0.954	0.961	0.731
Strategy implementation	0.935	0.947	0.691
Strategic conception	0.932	0.952	0.831
Strategic awareness	0.920	0.944	0.807
Situation analysis	0.904	0.933	0.776
Strategy formulation	0.894	0.922	0.704

As the above analysis of all variables of Cronbach’s Alpha, Composite Reliability and Average Variance Extracted (AVE) has been examined.

4.3 Discriminant validity

This research examines the discriminant validity analysis for all construct’s performance of SMEs, situation analysis, SA, strategic conception, SF, and strategy implementation. Likewise, the most standard approach in analyzing discriminant reliability is Fornell- Larcker criterion [39 , 72]. The calculated values of constructs are indicated in Table 3.

Table 3
Discriminant validity

Performance of SMEs Situation analysis Strategic awareness Strategic conception Strategy formulation Strategy implementation

Performance of SMEs 0.855

Situation Analysis 0.957 0.881

Strategic Awareness 0.917 0.830 0.898

Strategic Conception 0.954 0.867 0.852 0.912

Strategy Formulation 0.496 0.480 0.459 0.479 0.839

Strategy Implementation 0.645 0.585 0.612 0.641 0.613 0.831

	Performance of SMEs	Situation analysis	Strategic awareness	Strategic conception	Strategy formulation	Strategy implementation
Performance of SMEs	0.855
Situation Analysis	0.957	0.881
Strategic Awareness	0.917	0.830	0.898
Strategic Conception	0.954	0.867	0.852	0.912
Strategy Formulation	0.496	0.480	0.459	0.479	0.839
Strategy Implementation	0.645	0.585	0.612	0.641	0.613	0.831

Afterward, all the outcomes of all variables in the structural model are consistent, and valid discriminant validity has been examined.

The hypothesized relationships discussed in the earlier section were tested using structural equation modeling. Table 4 summarizes the hypothesis testing. Among the five hypotheses, in which are reinforced. A discussion of the hypotheses is shown in Fig. 3.

Table 4

Path coefficients

	Original sample (O)	Sample mean (M)	Standard deviation (STDEV)	T statistics (O/STDEV)	P values
Situation analysis ->performance of SMEs	0.957	0.956	0.012	76.938	0.000
Strategic awareness ->performance of SMEs	0.917	0.916	0.023	39.430	0.000
Strategic conception ->performance of SMEs	0.954	0.953	0.013	74.554	0.000
Strategy formulation ->performance of SMEs	0.496	0.508	0.108	4.599	0.000
Strategy implementation->performance of SMEs	0.645	0.657	0.087	7.433	0.000

Fig. 3

The hypothesized relationships of the developed model.

4.4 Path coefficients

This research has examined the structural model to give a broad picture of the path coefficient findings as used by the previous similar studies [51 , 74]. Table 4 reveals the measured values of the path coefficient direct paths indicating a significant relationship.

As the above analysis of direct effect reveals the link between situation analysis and performance of SMEs (β= 0.957, t = 76.938, p = 0.000), the findings are in line with the prior literature [14], it happens because those SMEs that use software to predict the suture and analyses the market scenario, do better planning and performs better. Similarly, the second hypothesis has shown a significant relationship between strategic awareness and the performance of SMEs (β= 0.917, t = 39.430, p = 0.000), strategic awareness deals with information about the market competition, SMEs having strong competitive information always take decisions to outperform competitors and proves their competitive position in the market, the findings are also in line with the prior studies [49] where the importance of strategic awareness has been highlighted. Moreover, the third hypothesis regarding strategic conception has also shown a significant relationship with the performance of SMEs (β= 0.954, t = 74.554, p = 0.000), strategic conception concept is not new for the SMEs, however, while using strategic information planning, strategic conception is always improved and results in superior performance [50]. Furthermore, the fourth hypothesis of the study was regarding strategy formulation which has also proved a significant relationship with performance of SMEs (β= 0.496, t = 4.599, p = 0.000), correct strategy formulation is highly dependent over the information reliability, which can significantly be improved by implementing strategic information planning systems, SMEs that outperform in strategic planning which is depicted in the form of business model innovation mostly outperform in the competitive market [34]. Finally, the fifth hypothesis also has shown a significant association between strategy implementation and the performance of SMEs (β= 0.645, t = 7.433, p = 0.000), findings of the last hypothesis are also consistent with the prior literature [14 , 50], because whenever an SME is involved in strategic development and implement the same which is based on proper information, the performance is always boosted, as seen in several prior studies. any strategic change or business model innovation that is the result of strategic implementation proves fruitful results because it is based on the knowledge and information acquired through the market sources.

5 Conclusions, implications, policy recommendations, and limitations

Few academic scholars have emphasized the impact of SISP phases on the presentation of SMEs. This article investigates the extent to which owners, executives, and managers may follow the phases of a formal process to design and use the proper IS and gain superior performance. A decision support system assists SMEs in reducing costs, shortening product lifecycles, developing products that meet client expectations, and improving internal procedures [78]. IT without a strategic direction adds no value to SMEs. To make parallel IS strategy and goals, SMEs should define and convey their vision, purpose, business plan, and targets. Managers in SMEs should be aware of IT challenges to make better business decisions [53]. This is tough to achieve when managers are not youthful and well-educated in information technology [55].

A strategic information system planning process is important for businesses to enable the successful creation and deployment of their decision support system for sustainable performance in today’s world [52 , 80]. The strategic information system planning procedure is tough to implement. Businesses must have multiple planning components to completely comprehend their goals and strategies and face their diverse difficulties. To carry out the strategic information system planning process successfully, it is critical to select stages that have a good impact on the process.

5.1 Implications and policy recommendations

The study is very useful for the decision makers as well as the policy makers for developing and promotion of the SMEs and promoting the use of information technology, Jordanian economy is moving towards digitalization, hence the practical importance of the study cannot be ignored. At the same time, the study holds significant theoretical significance as it is the first of its kind that has been conducted in Jordan over SMEs, despite the fact that Jordan is considered as a hub of SMEs. Along with theoretical, as the study settings belong to Jordan, hence the findings re more relevant for the policy maker, because they need to provide incentives for the SMEs using strategic planning systems. Hence, the policy makers can also seek guidance because the policies need to be established for benefiting the SMEs that are going for the technology adoption. Strategic information planning can play a significant role for the improvement in the SMEs because SMEs are mainly the trend followers instead of being trend makers like large firms, hence, SMEs are more prone to information and strong decision support systems as well as strategic planning systems may help them in identifying the correct opportunities which may improve their performance as well as their growth and sustainability, therefore, along with the theory, practical implications of the study are more important especially for a country like Jordan which is considered as heaven for SMEs.

The findings, furthermore, enhance the knowledge of IS executives about the planned use of IS planning to gain a competitive advantage [56]. Considerate thoughts on those stages may assist IS leaders in focusing their efforts on the objectives of their organizations and recognizing the maximum benefit of their business during planning [54]. Second, the survey consequences can raise their mindfulness of the strategic information system planning phases. IS executives should be aware of the five stages, as this may create an impediment to the organization reaching its planned goals and so realizing higher value.

5.2 Limitations of the study

Like any primary study, this study also has certain shortcomings, One of the shortcomings of this research is that the sample size was not very large, the major issue is collecting the large sample was that majority of the SMEs had to be excluded because they were not implementing strategic information systems in their operations, instead they were following their intuitive skills. Another major limitation, as associated with the primary research is expected biasness of the respondent, to overcome these limitations, several negative questions were kept in the questionnaire, yet it is nearly impossible to fully eliminate the biasness of the respondents. Finally, the study is based over the instruments which were used in previous studies, which shows that the instruments were well established, though, the instruments were designed for different cultural settings, however, they were currently being used over the cultural settings of the Arab world, despite the fact that reliability of the instruments were checked yet, this limitation should not be ignored. Like any primary study, the limitations associated with the questionnaires cannot be eliminated in this study, however, several diagnostic tests were applied to ensure the overcoming of the issues associated with the primary studies.

5.3 Conclusions

Nonetheless, the findings of an empirical study can be distilled into a more refined theoretical model for future work, yet the current study shed sufficient light over the benefits of implementing strategic information planning. As a result, they must comprehend the significance of the SISP development to develop and execute an IS strategy that is associated with business goals and increases SMEs’ profitability. Decision support systems assist executives in making more effective analyses. Theoretically, the study improved the theoretical foundations by analyzing the their utilizing the perceptual measures, furthermore, testing the model in the settings of one of the progressing countries of the Arab world, the findings open the horizons for several new studies, especially calling for the qualitative research in the field. Thus, exploring the causal constructs which may act as a motivator for the SMEs to implement strategic information planning. This investigation is also designed for SMEs which are the core component of Jordanian economy, the growth, development, and sustainability of the sector can give a sustainable boost to the overall economy. Further, academics could study and compare these findings to comparable findings from large corporations, which could strengthen the theoretical foundation by providing a clear difference for the small businesses as well as the large businesses over the implementation of the same.

Footnotes

Acknowledgments

This research received no external funding. The author declares no conflict of interest.

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	Performance	Situation	Strategic	Strategic	Strategy	Strategy
	of SMEs	Analysis	Awareness	Conception	Formulation	Implementation
I6	0.905
I3	0.871
I5	0.871
I4	0.869
I9	0.857
I8	0.847
I7	0.839
I1	0.823
I2	0.809
A1					0.737
A2					0.827
A3					0.882
A4					0.868
A5					0.871
H1						0.911
H2						0.706
H3						0.869
H4						0.923
H5						0.837
H6						0.768
H8						0.756
H9						0.853
I11			0.845
I12			0.902
I13			0.929
I14			0.915
I1		0.864
I2		0.873
I4		0.912
I5		0.874
I6				0.921
I7				0.921
I9				0.909
I10				0.896