The issue of how strategizing takes place in complex contexts is
explored in this in-depth study of one complex firm operating in
complex environments. The research focuses on manager and staff
activities addressing strategic issues and how those activities
attempt to shape the future of the firm. Twenty subsystems have
been identified in the firm investigated. These subsystems form a
network of interdependent subsystems. The various subsystems in
organizations form an overall strategizing system. Nine integration
mechanisms are identified and described. The integration mechanisms
have been found to play a key role in translating and integrating
issues and subsystems and in integrating subsystems with
interdependencies. Such strategy processes tend to result in
incremental adjustments of the present organization. When
organizations are confronted with strategic issues for which it
does not have appurtenant subsystems, management faces a
fundamental strategic decision as to whether new subsystems should
be created. The presence of subsystems has significant consequences
for the speed with which the organization can handle issues.
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