Moderating Effect of Strategic Planning Intensity on Strategic Planning and Financial Performance of National Sport Federations in Kenya

Strategic Planning Intensity (SPI) enhances financial performance of organizations. Kenya national sports policy (2002) made it mandatory for National Sport Federations (NSFs) to integrate Strategic Planning (SP). However, NSFs have continued registering dismal financial performance. This begs the question as to whether SPI is practiced by NSFs. This study sought to establish the moderating effect of Strategic Planning Intensity on strategic planning and financial performance. Descriptive and correlation design was used on a population of 156 NSFs officials from 39 NSFs. A sample of 111 was determined. However, following a pilot study involving 12 respondents, a total of 144 respondents were engaged in the main study to cater for possible none responses realizing a response rate of 112 (77.80%). Cronbach alpha for all measurement items was 0.78 showing high reliability. Financial statements for the period (2009-2013) provided information on financial performance. Data was analyzed descriptively and inferentially. SPI had average rating 3.04 implying weak intensity. Strategic planning intensity moderated effect of SP on financial performance (R2 change = 0. 644, (p < .05), interaction coefficient (B) was 0.201 (p= 0.000) implying, a unit change in SPI significantly changes financial performance with SP by 0.201. Conclusion was that SPI was important if SP were to improve financial planning of NSFS. Recommendation is SPI practices should be enhanced by NSFs for improved financial performance. Future studies should focus on other components of SPI not addressed in the current study. As an ingredient to theory the role of SPI, a moderator between SP and financial performance ignored in previous studies was considered critical. The study ventured in non-profit sport industry previously under researched in business management.