What is Strategy?: Different Perspectives. Strategy

download What is Strategy?: Different Perspectives. Strategy

of 23

  • date post

    29-Dec-2015
  • Category

    Documents

  • view

    221
  • download

    3

Embed Size (px)

Transcript of What is Strategy?: Different Perspectives. Strategy

  • What is Strategy?: Different Perspectives

  • Strategy

  • Authors, managers, employees, and general public feel, perceive, mean, understand and experience strategy differently through their own socio-cultural and political spectacles and life experiences. Hence, there is no single or universally accepted definition for strategy.

  • Defining strategy Here we discuss one of the categorizations introduced by Mintzberg - Five Ps for Strategy;as a planas a ployas a patternas a positionas a perspective

  • Strategy as a plana consciously intended course of action a guideline/s to deal with a situation

    CharacteristicsMade in advanceDeveloped consciously or purposely [May be documented or stated explicitly]

  • Strategy as a ployA plan can be a ploy tooThe intention of the plan could make it a ploy

    A specific maneuver to outwit an opponent

  • Strategy as a pattern A pattern in stream of actionsConsistency in behaviour whether or not intendedIndependent from plan

    Deliberate strategy and emergent strategy

  • Realized StrategyIntended StrategyUnrealized StrategyEmergent StrategyDeliberate and Emergent Strategy

  • Strategy as a position Locating organization in environmentMatch between internal & external context Choice of niche

    Collective strategy

  • Strategy as a perspective Ingrained way of perceiving the worldStrategy is a concept (all strategies are abstractions)Similar to personality to an individual

    Shared perspectiveCollective mind

  • Interrelating the PsConventional hierarchy Conventional prescriptive view of how strategies are supposed to get madeGiving rise to plansEx- as position and/or patterns in an implicit hierarchyStrategy as a vision directed

  • Interrelating the Ps contFormalizing on emergent strategy within a perspective

    Pattern evokedDevelop intentions through actions

  • Interrelating the Ps contPattern (or position) producing perspective Pattern/ position can give rise to perspectiveDeveloping character through innate skills and natural propensities

    Plans and positions are dispensable, perspectives are immutablePerspective to be seen in the consistency of behaviour than in the articulation of intentions

  • Interrelating the Ps contPerspective constraining shift in position

    If perspective is immutable, then change in plan & position is difficult unless compatible with the existing perspective

  • Need for eclecticism in definitionDefinitions compete and complement and each adds important elements to our understanding of strategyAs plans- deals with how leaders establish direction for organizationWhat is the intention of the strategyAs ploy- deals with competitionHow to reconcile the dynamic notion of strategy as a ploy with static ones of strategy as a pattern and other forms of plans

  • Need for eclecticism in definition contAs pattern- deals with action and consistency in behaviourDirection of the organization pushed by realized strategy (plan)Strategies can also emerge As position- deals with competitive environmentOrganization in ecological termsHow much choice do organizations have

  • Need for eclecticism in definition contAs perspective- deals with intention and behaviour in a collective context How intentions defuse through a group of people to become shared as norms and valuesHow patterns of behaviour become deeply ingrained in group

  • The Purpose of Strategy (strategy is)essential to superior performance, which, after all, is the primary goal of any enterprise.Michael E. Porter, What is Strategy?

    Strategy is about achieving competitive advantage winning!

  • Two Schools of StrategyDeliberate strategy(Porter / Harvard)

    Strategy is the conscious, analytical development of a distinct position in the environmentEmergent strategy (Mintzberg / McGill)

    Strategy is an intuitive process through which the organization evolves by adapting to its environmentPosition SchoolProcess SchoolIntuition =immediate insight or understanding without conscious reasoning.

  • Organizational Goals Competitive Advantage(strategy is)essential to superior performance, which, after all, is the primary goal of any enterprise

    Continued Existence(strategy is)all things necessary for the successful functioning of an organization as an adaptive mechanism.Position SchoolProcess School

  • Relationship to EnvironmentDetermine, develop and defend an advantageous position in the environmentBe disciplined about this choiceLearn and evolve through ongoing experience within the environmentDont be afraid to experimentPosition SchoolProcess School

  • Organizational Capabilities Build mutually-reinforcing fit among organizational activities in tightly focused support of chosen strategic position Encourage experimentation and variety in activities, from which potential new strategies may emergePosition SchoolProcess School

  • Implications forStrategic Management Leadership conceptualizes strategy based on analysis and mobilizes the organization in well-coordinated support of it. Leadership nurtures a learning, flexible organization which is highly responsive and adaptable to the environment.Position SchoolProcess School