The document discusses current trends in strategic management, highlighting changes in the business environment, new directions in strategic thinking, and the redesign of organizations. It emphasizes the importance of self-organization and emotional intelligence in management, along with concepts like complexity theory and option theory. Additionally, it addresses the transition from traditional management styles to more adaptive and collaborative approaches.

1. CONTEMPORARY STRATEGY ANALYSIS
Prepared by: KUY, Daranita
CHAPTER 16: CURRENT TRENDS IN STRATEGIC MANAGEMENT

2. Contents:
¤ Introduction
¤ The New Environment of Business
¤ New Direction in Strategic Thinking
¤ Redesigning Organizations
¤ The Changing Role of Managers

3. 1. Introduction
¨ Assess what has changed in the business environment
¨ Discuss about issues that the strategic management is
struggling
Driving
forces
Draw upon
concepts
and ideas
New
Strategic
Thinking

4. 2. The New Environment of Business
The Turbulent of 21st century
Early 21st
March 2000
Sep 11,
2001
Nov 2001
Earthquake,
Iran 2003
Tsunami
2004
Hurricane
2005
Earthquake,
China 2008
2008-2009
Earthquake,
Haiti 2010
Earthquake,
Japan 2011
March,
2012

5. ¤ 2012, at least 30 Chinese and Indian firms supplying Android smartphones
under their own brand names
¤ Legitimacy (CSR...)
¨ Long succession of political crisis has been an era of phenomena turbulence
Financial
Crisis
International
ization
Increasing the
competition

6. New Direction in Strategic Thinking
¨ Key Trends of the 1990s
Ø Shareholder Value
Ø Adjust to increased turbulence - Increase intense competition
− − − − − − − − − − − − − − − − − − − − − − − − − − − − − − −>
¨ Influential Strategy Concepts
Ø Strategic factors that drive profits. Chapter 2
Ø Hyper-competition −> Competitive advantage through networks, standards, and
alliances
Ø Option theory (real, growth, abandonment, and flexibility)
Ø Strategic fit Chapter 1 and Activity System Chapter 6
Ø Complexity Theory (unpredictability, self-organization...)

7. 3. Redesigning Organizations
¨ BEFORE
Ø Emphasis on control
Ø Single performance goal
Ø Decision located centrally
Ø Organization by design
¨ NOW
Ø Emphasis on co-ordination
Ø Multiple performance goal
Ø Decision located where
relevant knowledge exits
Ø Self-organization

8. ¨ Self-Organization
Identity Information Relationship

9. The Changing Role of Managers:
¨ BEFORE
Ø Highly-visible
Ø Individualistic
Ø Hard-working
¨ NOW
Ø Guiding organization evolution
Ø Cultivating identity and purpose
Ø Emotional intelligence
² Self-awareness
² Self-management
² Social-awareness
² Social skill

10. The New Trend of Strategic Management Summary
¨ New Direction in Strategy Thinking
Ø Complexity Theory (unpredictability, self-organization)
Ø Option Theory, (real, growth...)
Ø Capability based structure of organization
o Team based
o Project based
o Process based
Ø Organizing for adaptability
o Identity
o Modularity
o networks
Ø Emotional intelligence in leaders

11. THANK YOU!!!