Project planning and business growth in SMEs: The mediating role of decision-making

This study analyzed the influence of project planning on the business growth of 313 SMEs in the Central Region of Peru (Tarma), evaluating the mediating effect of decision-making. Using a quantitative approach, a hypothetical-deductive method, and a non-experimental, cross-sectional, and explanatory design, data were collected using a Likert-scale questionnaire and processed with SmartPLS 4.0. The measurement model demonstrated optimal internal consistency and psychometric validity, with Cronbach's alpha and composite reliability values greater than 0.90, and a mean variance extracted (AVE) greater than 0.50. Structural equation modeling (PLS-SEM) validated all hypotheses (p < 0.001; t > 1.96). It was demonstrated that strategic planning (β = 0.412), resource and budget management (β = 0.356), and scope and quality (β = 0.438) have a direct and positive impact on decision-making. This, in turn, has a strong influence on business growth (β = 0.621), confirming a significant mediating effect of decision-making. The overall model fit was satisfactory (SRMR = 0.045; R² = 0.385), leading to the conclusion that the analytical professionalization of decision-making flows is a critical factor for the scalability of SMEs.