STRATEGIC PERSPECTIVES MINTZBERG

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STRATEGIC PERSPECTIVES(MINTZBERG)
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HIERARCHY

• VISION
• STRATEGIC
• TACTICAL
• OPERATIONAL DECISIONS

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STRATEGY

• PRESCRIPTIVE
• DESCRIPTIVE
• PROCESS
• CONTENT
• LARGE MULTI-DIVISIONAL EXISTING ORGANIZATIONS
• NEW SINGLE-DIVISION ORGANIZATIONS

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STUDY OF STRATEGY

• DIFFICULT TO TELL WHAT THE INTENDED STRATEGY
• ORGANIZATIONAL DOCUMENTS
• INTERVIEW PEOPLE
• (BUT DO WE KNOW THE TRUTH?)
• REALIZED STRATEGY
• CAN VIEW ACTIONS AFTER-THE-FACT

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PERSPECTIVES

• OVERLAPPING ASPECTS
• PRESCRIPTIVE
• PLANNING
• DESIGN
• POSITIONING

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PERSPECTIVES

• DESCRIPTIVE
• ENTERPRENEURIAL
• COGNITIVE
• LEARNING
• POWER
• CULTURE
• ENVIRONMENTAL
• CONFIGURATION

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PRESCRIPTIVE
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PLANNING

• PROCESS
• OBJECTIVES
• AUDITS
• EXTERNAL, INTERNAL
• EVALUATION (FINANCIAL)
• OPERATIONALIZATION
• SUBSTRATEGY
• SCHEDULE

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PLANNING

• CONTROLLED PROCESS
• LOTS OF ANALYSIS
• AVAILABILITY OF DATA / ACCURACY OF FORECASTS
• SCENARIO PLANNING

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DESIGN

• SOME OVERLAPS WITH PLANNING
• ENVIRONMENT
• THREATS
• OPPORTUNITIES
• INTERNAL
• STRENGTHS
• WEAKNESSES
• ALTERNATIVE STRATEGIES
• CHOOSE BEST

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DESIGN CRITICISMS

• EXISTING STRUCTURE INFLUENCES STRATEGY
  (ENCYCLOPEDIA BRITTANICA)
• SUDDEN CHANGES IN ENVIRONMENT CANNOT BE DEALT
  WITH
• PLANNED PROCESS
• STABLE ENVIRONMENT

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POSITIONING

• PORTER MODEL DISCUSSED EARLIER
• FOCUS ON CONTENT (NOT PROCESS)
• GENERIC COMPETITIVE STRATEGIES
• COST
• DIFFERENTIATION

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VALUE CHAIN ANALYSIS

• PRIMARY
• INBOUND
• PROCESSING
• OUTBOUND
• MARKETING/SALES
• SERVICE

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• SECONDARY
• HUMAN RESOURCE MANAGEMENT
• TECHNOLOGY
• PURCHASING
• INFRASTRUCTURE

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CRITICISMS

• FOCUS ON COMPETITION / ECONOMICS
• POLITICAL ENVIRONMENT
• SOCIAL
• (OTHER NON-ECONOMIC)
• ESTABLISHED INDUSTRY
• (DISCOURAGES CREATION OF NEW ONES?)

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DESCRIPTIVE
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ENTERPRENEURIAL

• ASSUMPTION
• STRATEGY FORMATION VISIONARY PROCESS
• IN THE MIND OF LEADER
• SEMICONSCIOUS
• OBSESSIONAL
• EMERGENT IN DETAILS
• MALLEABLE STRUCTURE
• CHASE A NICHE

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CRITICISMS

• HINGES ON ONE PERSON
• HOW DO WE LEARN?
• GOOD FOR START-UP COMPANY
• LARGE COMPANY? (WHEN?)

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COGNITIVE

• (VERY VAGUE, LETS SKIP)

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LEARNING

• WHAT WORKS, WHAT DOESNT
• CHANGE BASED ON THAT
• LINDBLOM
• INCREMENTAL CHANGES TO SOLVE PROBLEMS
• BECOMES STRATEGY IN HINDSIGHT
• (TO STOCK BOOKS)

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• EMERGENT STRATEGY FOCUSES ON LEARNING
• NEED TO STOCK BOOKS
• USE OF INFORMATION
• PRICING STRATEGY
• THE TOY BUSINESS
• CRITICISMS
• LEARNING CAN BE EXPENSIVE
• THE TOY BUSINESS

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• ANY ORGANIZATION THAT FACES A TRULY NOVEL
  SITUATION HAS TO ENGAGE IN A PROCESS OF LEARNING
  IN ORDER TO FIGURE OUT WHAT IS TAKING PLACE.

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POWER

• MICRO POWER
• INTERNAL STAKEHOLDERS
• NEGOTIATING TO GET RESOURCES
• BEST UNDERSTOOD IN TERMS OF A MULTI-DIVISIONAL
  FIRM
• MACRO POWER
• DEALING WITH COMPETITION, SUPPLIERS

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AMAZON

• DEALING WITH VENTURE CAPITALISTS
• DEALING WITH BN
• SUIT
• LARGEST BOOKSTORE
• COUNTERSUIT
• ONE-CLICK BUY

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CULTURE

• CULTURE
• SHARED BELIEFS REFLECTED IN BEHAVIOR OF EMPLOYEES
• EXAMPLES?
• STRATEGY FORMATION A PROCESS OF SOCIAL INTERACTION

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• TENDS TO PERPETUATE EXISTING STRATEGY THAN CHANGE
  STRATEGY
• BE CAREFUL ABOUT COMBINING ORGANIZATIONS WITH
  DIFFERENT CULTURES

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ENVIRONMENTAL

• PREMISE
• ENVIRONMENTAL FORCES CENTRAL ACTOR IN THE
  STRATEGY-MAKING PROCESS
• ORGANIZATIONS RESPOND OR DIE
• LEADERS ROLE (STRATEGISTS ROLE) TO READ
  ENVIRONMENT

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• SEES ORGANIZATION AS PASSIVE
• TWO DIFFERENT FIRMS IN THE SAME INDUSTRY FACING
  THE SAME ENVIRONMENT CAN HAVE DIFFERENT
  STRATEGIES

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CONFIGURATIONAL

• (LATER)