Showing papers on "Strategic planning published in 1992"
TL;DR: The authors examined the relationship between the demography of top management teams and corporate strategic change, measured as absolute change in diversification level, within a sample of Fortune 500 companies, and found that top management team demography was correlated with strategic change.
Abstract: This study examined the relationship between the demography of top management teams and corporate strategic change, measured as absolute change in diversification level, within a sample of Fortune ...
2,590 citations
TL;DR: An integrative framework consisting of five modes: command, symbolic, rational, transactive, and generative is offered, based on the varying roles top managers and organizational members play in the strategy-making process.
Abstract: Most prior literature on strategy making has focused on a limited set of themes (e.g., rationality) or actors (e.g., top managers). Resulting typologies have, therefore, tended to be incomplete or overlapping. None have captured the full range of content associated with the phenomenon. In response, this article offers an integrative framework consisting of five modes: command, symbolic, rational, transactive, and generative. The framework is based on the varying roles top managers and organizational members play in the strategy-making process. It goes beyond existing strategy process models by contrasting these roles and illustrating their interaction. Strategy making is viewed as an organizationwide phenomenon. Research propositions are also developed linking strategy-making processes to firm performance.
958 citations
Posted Content•
TL;DR: Examination of the antecedents and effects of board involvement from both the institutional and strategic choice perspectives found board involvement to be positively related to financial performance after controlling for industry and size effects.
Abstract: The level of a board of director's involvement in strategic decisions can be viewed as an institutional response or as a strategic adaptation to external pressures for greater board involvement. We examined the antecedents and effects of board involvement from both the institutional and strategic choice perspectives. Data obtained from personal interviews with 114 board members and archival records indicated the board size, levels of diversification, and insider representation were negatively related to board involvement, and organizational age was positively related to it. Furthermore, we found board involvement to be positively related to financial performance, after controlling for industry and size effects. Overall, the results suggest that both theoretical perspectives are necessary for a comprehensive description of the strategic role of the board.
736 citations
TL;DR: In this article, the authors examined the relationship between strategic context, viewed in terms of product-market variation, work flow integration, and firm size, and executive use of human resource management con...
Abstract: This study examined the relationship between strategic context, viewed in terms of product-market variation, work flow integration, and firm size, and executive use of human resource management con...
723 citations
TL;DR: A theoretical typology of middle management roles in strategy is developed, and measures for each role are derived, and the relationship between middle management strategic involvement and Miles and Snow's (1978) strategic type is examined.
Abstract: This paper reports the results of a study that investigated the strategic involvement of 259 middle managers in 25 organizations. Drawing from previous clinical research, a theoretical typology of middle management roles in strategy is developed. Measures for each role are derived, and the relationship between middle management strategic involvement and Miles and Snow's (1978) strategic type is examined. Results suggest the usefulness of these measures in assessing both the level and type of middle management strategic activity. In addition, the findings show that middle managers in Prospectors report significantly higher levels of upward and divergent forms of strategic involvement than those in Analyzers and Defenders. Traditionally, middle-level managers have not been considered part of the strategy process except in providing informational inputs and directing implementation. Contemporary theory and descriptions suggest, however, that middle managers regularly attempt to influence strategy and often provide the impetus for new initiatives (Burgelman, 1983a,b; Mintzberg and Waters, 1985). Bower (1970) was one of the first to recognize the contributions of middle managers: they '... are the only men [sic] in the organization who are in a position to judge whether [strategic] issues are being considered in the proper context' (297-298). More recently, empirical research has confirmed middle management's upward influence on strategic decisions (Schilit, 1987)
687 citations
TL;DR: The level of a board of directors involvement in strategic decisions can be viewed as an institutional response or as a strategic adaptation to external pressures for greater board involvement as mentioned in this paper, and the level of board involvement can be seen as an indicator of the board's commitment to strategic decisions.
Abstract: The level of a board of directors’ involvement in strategic decisions can be viewed as an institutional response or as a strategic adaptation to external pressures for greater board involvement. We...
645 citations
TL;DR: The Austrian emphasis on the market process and entrepreneurial discovery provides a framework for both strategy formulation and research as mentioned in this paper, despite their importance, change, uncertainty, and disequilibrium in the business environment.
Abstract: Although traditional industrial organization continues to serve as one of the conceptual foundations for strategic thinking and research, many of its premises have come under widespread criticism. Industrial organization largely ignores, despite their importance, change, uncertainty, and disequilibrium in the business environment. Because these fundamental characteristics are cornerstones of the Austrian School of Economics, this doctrine offers unique strategic perspectives. The Austrian emphasis on “the market process” and entrepreneurial discovery establishes a framework for both strategy formulation and research.
578 citations
571 citations
TL;DR: A number of explanatory frameworks are developed which address the links between the development of strategy in organizations, dimensions of corporate culture and managerial action and seek to advance the understanding of the problems and means of managing strategic change.
440 citations
Book•
01 Aug 1992
TL;DR: In this paper, the coalignment model and the value-addressing manager are discussed, as well as the role of the value adding manager in a coalignment task environment, and a strategy-aware coalignment leader is presented.
Abstract: Table of Contents 1. Leadership, Strategy and the Value Adding Manager 2. The Coalignment Model 3. General Concepts in Scanning 4. Identifying Forces Driving Change 5. Scanning the Remote Environment 6. Scanning the Task Environment 7. Investing in Competitive Methods 8. Competitive Methods and Industry Performance 9. Developing, Maintaining and Enhancing Core Competencies 10. Implementation and Execution of Strategy-Achieving and Managing Coalignment Leadership: Behavioral Aspects of Strategy
338 citations
Book•
08 Sep 1992
TL;DR: The Failure of Conventional Management: Using Orderly Strategies in a Disorderly World as mentioned in this paper The failure of conventional management: Using orderly strategies in a disorderly world, and Stable Instability: Creating the Far-from-Equillibium Organization.
Abstract: Preface. The Author. New Mind--Sets for Managing the Future. The Failure of Conventional Management: Using Orderly Strategies in a Disorderly World. Stable Instability: Creating the Far--from--Equillibium Organization. Creativity and Continuous Chaos: Discovering the Undiscovered in Complex Organizations. Strategic Thinking and Continuous Contention: Confronting an Open--Anded Future. Strategic Agenda: Deciphering the Patterns in Goals and Actions. Strategic Control: Managing the Boundary Between Plans and Change. Participation, Heirarchy, and Stability: Finding the Middle Ground. Steps Toward Managing an Unkowable Future. Note. Index.
Book•
04 Feb 1992
TL;DR: The importance of strategy in public and non-profit sectors is discussed in this paper, where the authors present a step-by-step approach to formulate and implement a strategy in a public and third-sector organization.
Abstract: PrefaceThe Authors Part One: The Importance of Strategy in the Public and Nonprofit Sectors 1. The Need for Strategic Management 2. Why Strategic Management Is Different in Public and Third Sector Organizations Part Two: An Overview of Strategic Concepts and Issues 3. Types of Strategy and Their Uses 4. Applying Strategic Approaches to Public and Third Sector Organizations 5. Understanding Strategic Issues Part Three: The Strategic Management Process 6. Organizing the Process 7. Formulating and Implementing Strategy: A Step-by-Step Approach 8. Tailoring the Process for Specific Needs Part Four: Useful Support Techniques 9. Search Techniques for Uncovering Information and New Ideas 10. Making Sense of Information: Synthesis Techniques 11. Techniques for Setting Strategic Priorities 12. Combining Techniques to Match Types of Strategy Part Five: Strategy in Practice 13. Strategic Challenges to a Nonprofit Social Services Agency 14. Innovation in Local Government 15. Forging a New Mission for a State Health Agency.
TL;DR: This article argued that strategic planning does not satisfy the criteria for sustainable competitve advantage and that although it may produce economic value, it is easily imitated and may be substitutable.
Abstract: Since 1970, over forty empirical studies have examined the performance consequences of formal strategic planning. This line of research has drawn heavy criticism from reviewers on methodological grounds, and has produced confusing, apparently contradicatory results. This article reevaluates the planning-performance relationship from a resource perspective, arguing that strategic planning does not satisfy the criteria for sustainable competitve advantage-- although it may produce economic value, it is easily imitated and may be substitutable. The article suggests that previous studies produced inconsistent results because they did not account for the dissemination of strategic planning over time, or for industry differences in strategic planning factor markets. An empirical test in two industries funds that formal strategic planning and financial performance are unrelated in a 'planning equilibrium' industry, but positively related in an industry with strategic planning factor market imperfections.
TL;DR: In this article, the authors examine an approach to implementation that focuses on the level of strategic understanding and commitment shared by managers within the organization, identifying four categories of strategic consensus is introduced and used as the basis for analyzing differences in how managers perce...
Abstract: Executive Overview A frequent complaint of senior executives is that middle and operating managers fail to take the actions necessary to implement strategy. As one top manager told us. “It's been rather easy for us to decide where we wanted to go. The hard part is to get the organization to act on the new priorities.” Implementation problems of this type are often the result of poor middle management understanding and commitment to strategy. In our research we've found that relatively few middle managers articulate the same goals as their superiors. More troublesome, other researchers have found that middle managers who disagree with strategic initiatives frequently work against their implementation. This article examines an approach to implementation that focuses on the level of strategic understanding and commitment shared by managers within the organization. A framework identifying four categories of strategic consensus is introduced and used as the basis for analyzing differences in how managers perce...
TL;DR: Watt et al. as discussed by the authors developed a conceptual framework to aid in linking purchasing to corporate competitive strategy and to other functional area strategies as well, which can be used to begin to integrate purchasing into overall corporate strategy.
Abstract: Charles A. Watts is an Assistant Professor of Management at Bowling Green State University. Dr. Watts received his D.B.A. degree from Indiana University. He has published articles in various professional journals, and is a previous Journal author. Kee Young Kim is Professor of Operations Management and Dean of the Graduate School of Business Administration at Yonsei University in Seoul, Korea. Dr. Kim received his Ph.D. degree from Washington University in St. Louis. He is the author of several books and numerous professional articles. Chan K. Hahn is Owens-Illinois Professor of Management at Bowling Green State University. He holds a Ph.D. degree from Ohio State University. Dr. Hahn is an active researcher in the field of purchasing/materials management, and is a previous Journal author. To compete effectively in the global marketplace, a firm must have a competent and strategically integrated purchasing organization. It is important that all functional area strategies and capabilities, including purchasing, be consistent with corporate competitive strategy. It is also critical that a company's suppliers have the capability to meet its strategic priorities. This article develops a conceptual framework to aid in linking purchasing to corporate competitive strategy and to other functional area strategies as well. The proposed model can be used to begin to integrate purchasing into overall corporate strategy. INTRODUCTION In a typical corporate setting, the purchasing function should play an important role in shaping the competitive capability of the firm in its marketplace. Recent surveys of manufacturing firms in the United States indicate that purchased materials account for an average of approximately 55 percent of the total production costs, compared with about 15 percent for direct labor costs.|1~ It is also well understood that the quality and delivery capabilities of any manufacturing firm are heavily influenced by the performance of its suppliers. Recognizing the importance of the purchasing function in overall corporate performance, most progressive firms pay close attention to their purchasing functions and attempt to improve the management of their supplier networks. For example, a recent study reported that almost half the companies surveyed had expanded the role of purchasing in the corporate strategic planning process.|2~ Yet a careful review of the purchasing management literature shows that the importance of the purchasing function in corporate performance has not fully been recognized in the United States. Traditionally, purchasing has been treated as a lower level operating function that has little to do with overall corporate competitive strategy.|3~ Much of the available literature on the subject treats purchasing strategy and policy from the perspective of narrowly defined operating level policies and strategies. For example, the most frequently discussed purchasing strategies in typical purchasing textbooks are related to the number of suppliers (single versus multiple), pricing strategies (cost or market-based), organization structure (centralized versus decentralized), and other operating level policies. Moreover, informal interviews and interactions with purchasing managers and top executives reveal that many of them still hold the archaic view that purchasing is an independent agency within the company. For example, some companies still use the position title "purchasing agent," and many managers still believe that they are simply an agent for the company and that they do not have any direct input into the firm's strategic management activities. Some purchasing scholars have tried to advance the notion that the purchasing department should be treated as a "profit center" rather than as a strategic organizational unit that contributes to overall corporate performance. The concept of purchasing as a "profit center" may be useful in demonstrating its potential contribution to overall corporate performance; however, this concept also can easily be misinterpreted as an endorsement of the view that purchasing is an independent agency. …
TL;DR: It is widely argued that the information systems (IS) leadership function has undergone fundamental changes over the past decade, and to better understand the changes, this study compares the backgrounds, responsibilities, reporting relationships, and power of newly appointed IS executives with established IS executives.
Abstract: It is widely argued that the information systems (IS) leadership function has undergone fundamental changes over the past decade TO better understand the changes, this study compares the backgrounds, responsibilities, reporting relationships, and power of newly appointed IS executives (who had been in their position for two years or less) with established IS executives (who had been in their position for five years or more) The study found that approximately half of the new IS executives were external hires, whereas almost all of the established IS executives were promoted from within the company More than two-thirds of the new IS executives had more than five years' experience managing a non-IS function within the past 15 years Established IS executives had spent the majority of their career within the IS function The activities receiving the most attention from new IS executives were information technology (IT) strategic planning and control, IT architecture management and standards development, and human resource management For established IS executives, the activities receiving the most attention were IT architecture management and standards development, human resource management, and operations An increasing number of new IS executives reported directly to the CEO, and almost half were members of the senior management/strategic policy committee These findings have several important implications First, the senior IS executive must be able to bring a broader business perspective to the position Current senior IS executives who have not broadened their own knowledge, skills, and experiences in business strategy, management, and operations should immediately develop a personal career development program to gain these valuable perspectives Second, senior IS executives should implement career development strategies within their own organizations that ensure that IS professionals have the opportunity to acquire the business management experience necessary to advance to higher IS management levels Third, graduate and executive programs designed to prepare future IS managers and leaders must provide both a business and IT perspective throughout the curriculum
Book•
31 Jan 1992
TL;DR: In this paper, the authors present a framework for tourism planning and marketing based on the framework for Tourism Planning and Marketing, which includes a goal and strategy formulation, target marketing and regional positioning strategy.
Abstract: Framework for Tourism Planning and Marketing. Environment and Resource Analysis. Regional Goal and Strategy Formulation. Target Marketing and Regional Positioning Strategy. Regional Marketing Mix Strategy. Regional Organization and Management Supporting Systems. Summary and Conclusions. References. Index.
TL;DR: In this article, a profit generation theory of strategic human resources management is presented. And the anatomy of strategic planning is discussed, and the implications of the performance evaluation process is discussed.
Abstract: Introduction. Human resources management: moving toward a paradigm and obtaining advantage. Expanding the strategy-making concept. A profit generation theory of strategic human resource management. Human resources and the anatomy of strategic planning. Strategic staffing. Strategic implications of the performance evaluation process. Strategic reward systems. Strategic human resources development. Strategic industrial relations. Entrepreneurial links. International human resouces management. Planning for and managing mergers and acquisitions. Conclusions and planning for the future. References. Appendix.
01 Jan 1992
TL;DR: In this article, the authors present theory and research on the role of pay systems in complex organizations, focusing on six important determinants of organizational effectiveness: performance motivation, skill development motivation, attraction and retention, organization structure, culture, and costs.
Abstract: This chapter presents theory and research on the role of pay systems in complex organizations. It first looks at the relationship between pay systems and business strategy and organization structure. It then focuses on the impact of pay systems on six important determinants of organizational effectiveness: performance motivation, skill development motivation, attraction and retention, organization structure, culture, and costs. Different approaches to pay are reviewed with a focus on their impact on these six determinants of organizational effectiveness. The specific pay system practices reviewed include job-based pay, personbased pay, individual pay for performance systems, organizational pay for performance systems, and executive compensation pay practices. Overall the evidence indicates that pay systems have a strong impact on organizational effectiveness and there is a link between strategy, structure, and pay systems.
TL;DR: Five successful CIOs in five divergent industries are studied using the structured observation methodology employed by Mintzberg in his study of CEOs and by Ives and Olson in their study of MIS managers, suggesting that the CIO operates as an executive rather than a functional manager.
Abstract: The role of the chief information officer (CIO)_ continues to be the subject of much discussion and speculation. Is this just a new name for the MIS manager, or is there truly a new and significantly different function? How has the role of the information systems manager evolved with the changing needs of business? How does the CIO bridge the gap between the organization's strategy and its use of information technology?According to much of the prescriptive literature, bridging this gap is the CIO's definitive function. This article addresses these questions by studying five successful CIOs in five divergent industries. The CIOs were studied using the structured observation methodology employed by Mintzberg in his study of CEOs and by Ives and Olson in their study of MIS managers. The findings suggest that the CIO operates as an executive rather than a functional manager. He or she is an active participant in strategy planning and acts as a bridge between the information technology group, the functional areas, and external entities. This study provides a view of how these difficult tasks are accomplished on a day-to-day basis: through scheduled meetings, interaction outside the information technology unit, a skilled reading of situations, and a strategic focus. Factors affecting the CIO's participation in strategy planning meetings include whether he or she has formal are source allocation authority and their level of peer acceptance. Lessons learned from this research pertain to the delegation of day-to-day tasks, expenditure authority, avoiding adversarial relationships, liaison activities, careful use of language, being perceived as a user of information technology, and the need for quiet time.
TL;DR: In this article, the authors outline the developments in strategic planning exemplified by the works of Porter (1979, 1985, 1990) and others and describe the ways in which strategic planning can be applied by construction enterprises.
Abstract: This paper outlines the developments in strategic planning exemplified by the works of Porter (1979, 1985, 1990) and others. After describing the emerging concepts and techniques, it is observed that these have been applied by enterprises in other sectors of the economy in pursuit of competitive advantage. Such applications are taking place at the level of parts of an enterprise's operations and at the overall corporate level. This is contrasted with the situation in construction where strategic planning at any level is less widespread, although it is becoming more common. Several reasons are identified as hindrances to strategic planning in construction. The current and historical situation with regard to planning in construction is described. The ways in which strategic planning can be applied by construction enterprises are outlined. In conclusion, it is observed that Porter's new concepts of strategic planning have relevance to, and considerable scope for application in, construction enterprises. It i...
01 Mar 1992
TL;DR: Shell developed a number of new methodologies to make scenario planning more meaningful to line managers and took steps to integrate the learning that takes place at the SBU level into the Group Planning System.
Abstract: Shell developed a number of new methodologies to make scenario planning more meaningful to line managers It also took steps to integrate the learning that takes place at the SBU level into the Group Planning System
TL;DR: In this paper, the authors offer an overview of strategic management and its various schools of thought, followed by a summary of the field of entrepreneurship and its own disagreements over definition and bounding.
Abstract: The article offers an overview of strategic management and its various schools of thought, followed by a summary of the field of entrepreneurship and its own disagreements over definition and bound...
TL;DR: Drawing on literature from strategic management, industrial organization economics, and organization theory, a framework is developed which suggests that regulatory scope and regulatory incrementalism influence strategic choice and performance in the U.S. banking industry.
Abstract: This study explores the effects of regulation and deregulation on strategic choice and performance in the US banking industry Drawing on literature from strategic management, industrial organization economics, and organization theory, we develop a framework which suggests that regulatory scope and regulatory incrementalism influence strategic choice and performance A path analytic model is used to empirically examine these influences The results suggest that deregulation has direct effects on firms' strategic choices and both direct and indirect effects on risk and return
TL;DR: Strategic information systems planning is the process of creating a long-range plan of computer-based applications to enable an organization to achieve its goals.
Abstract: Strategic information systems planning is the process of creating a long-range plan of computer-based applications to enable an organization to achieve its goals Previous research has shown that m
Book•
01 Jan 1992
TL;DR: The evolution of the logistics concept, C.Langley marketing-logistics opportunities for the 1990s, R.Coppett the re-discovery of logistics, D.Christopher and A.Riley managing strategic lead times, M.B.Bower and T.M.Shapiro supply chain management, K.Oliver and M.Webber creating a competitive advantage through implementing JIT logistics strategy, G.H.Rosenfield customer service logistics, W.W.
Abstract: The evolution of the logistics concept, C.J.Langley marketing-logistics opportunities for the 1990s, R.D.Voorhees and J.I.Coppett the re-discovery of logistics, G.Sharman materials logistics management, D.Bowersox et al get leverage from logistics, R.D.Shapiro supply chain management, K.Oliver and M.Webber creating a competitive advantage through implementing JIT logistics strategy, G.A.Isaac using inventory for competitive advantage through supply chain management, T.C.Jones and D.W.Riley managing strategic lead times, M.Christopher and A.Braithwaite fast-cycle capability for competitive power, J.L.Bower and T.M.Hout manufacturing logistics systems for a competitive global strategy, C.Gopal international supply chain management, J.B.Houlihan analytical tools for strategic planning, W.Copacino and D.B.Rosenfield customer service logistics, W.Blanding audit your customer service quality, M.Christopher and R.Yallop reducing logistics costs at General Motors, Blumenfeld et al logistics for service support in the computer industry, D.Little et al BMW logistics - a step into the future, H.U. Pretzsch the Single European Market - optimizing logistics operations in post 1992 Europe, J.H.van der Hoop formulating and implementing a global logistics strategy, J.H.Robert.
TL;DR: Examination of some key characteristics of strategic IS applications and their relationship with contextual factors representing the industry environment, the organization structure, and the IS function shows that a heterogeneous environment and a mature IS function enhance the role of information storage.
TL;DR: In this paper, the relationship between organizational slack and risk taking in decision-making is investigated and some evidence on the role or organizational variables in risk-taking behavior is provided, where the authors measure organizational slack using various financial variables and find that firms with increases in organizational slack prior to the introduction of new products are more likely to adopt a higher risk product pricing strategy.
Abstract: Organizational change inevitably involves uncertainty and hence some risk taking. Tests the relationship between organizational slack and risk taking in organization decision making, and thus provides some evidence on the role or organizational variables in risk‐taking behaviour. Product pricing strategies are identified and characterized with respect to risk. Organizational slack is measured using various financial variables. Results indicate that firms which have increases in organizational slack prior to the introduction of new products are more likely to adopt a higher risk product pricing strategy. Also discusses implications regarding the measurement of slack using financial variables.