2.2 Rational strategy

Question 1

Ansoff (1990) set out four types of strategic objectives for organisations. What are these categories?

Answer 1

Economic
Non-Economic
Self-renewal
Flexibility

Question 2

Johnson et al (2017) suggest that strategic management has four core aspects. What are these?

Answer 2

1) Analysis - collecting and interpreting data
2) Choice - evaluating strengths and weaknesses potential options
3) Implementation - the ability to implement chosen options
4) Control - monitoring the outcomes.

Question 3

Mintzberg raised concerns over the fundamental fallacies of rational planning. What were these? (4 things)

Answer 3

1) Intuitive judgement cannot be reduced to logical and rigid steps
2) Planning cannot be divorced from doing
3) Strengths and weaknesses of individuals can only be identified through doing, so why waste time in planning.
4) The world changes so rapidly that it is impossible to forecast anything.