Unveiling the Potential of Open Strategy: An Exposé of Strategic Planning in the South African Mining Sector
Abstract:
The South African mining industry, despite being the world's
fifth-largest mineral reserve, is facing various challenges that prevent it
from contributing to the economy to its fullest potential. These challenges
include inflationary pressure, extreme nationalism, political instability,
civil unrest, poor infrastructure, and inefficient regulatory practices, which
have discouraged foreign investments. Although the government has developed
legal frameworks to address uncertain circumstances, the lack of follow-up and
transparency are key drawbacks contributing to the persistence of these issues.
The aim of this study was to investigate the potential of open strategy as a
strategic management method in the South African mining industry can foster
innovation and growth while showcasing how open strategy can benefit both
established and emerging mining entities. The study highlights the importance
of adopting a mutually beneficial approach, which can unlock the full potential
of the mining industry and lead to more innovative and competitive business
strategies. The study used a mixed methodology, which means both quantitative
and qualitative data were collected. The research included interviews with 20
highly knowledgeable participants and a survey that received 205 responses. To
identify the right individuals to participate in the research, the snowball
research technique was used. It helped in creating a relevant chain sampling
and selecting individuals based on their knowledge, relationships, and
expertise regarding the research subject. According to the study's results,
there is a favorable attitude toward open strategy, which is reinforced by the
growing demand for inclusive communication as an effective means of engaging
stakeholders. The results also revealed that the South African mining sector
lacks formalized strategies and employee engagement methods. The research
determined the value of the current strategic processes in South Africa's
mining sector and generated an approach to how open strategy can be a
successful process for mining companies.
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