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Strategy as Practice
Brief overview

Mário Porfírio
Working Papers

 Paula Jarzabkowski (2003)
 RELEVANCE IN THEORY & RELEVANCE IN PRACTICE: STRATEGY THEORY IN
 PRACTICE,
 presented at the 19th EGOS Colloquium, 3-5 July 2003 (work in Progress)

 Chris Fenton and Ann Langley (2008)
 STRATEGY AS PRACTICE THE NARRATIVE TURN
 HEC Montreal (Canadá)

 Paula Jarzabkowski, Julia Balogun and David Seidl (2005)
 FIVE KEY QUESTIONS AND A CONCEPTUAL FRAMEWORK FOR STRATEGY-
 AS-PRACTICE RESEARCH (work in Progress)
Professor Paula Jarzabkowski

 Professor of Strategic Management at Aston Business School and at
 Advanced Institute of Management (AIM) Ghoshal Fellow
 Director of the Aston Centre for Critical Infrastructure and Services (ACCIS).

 Research focuses: social practices of strategy-making, particularly in regulated,
 professional service and public sector organizations.

 She publishes in leading journals, such as Academy of Management Journal,
 Journal of Management Studies and Organization Studies.

 Published the first book on strategy-as-practice, 'Strategy as Practice: An Activity-
 Based Approach' with Sage in 2005.

 Other research interest: relevance debate and the application of management
 theory to practice.
Relevance in theory

• Existing theory is irrelevant in increasingly high
  velocity business environments
            » D’Aveni, 1994; Eisenhardt and Sull, 2001; Hamel and
              Prahalad, 1994
• Since strategic management is an applied
  discipline this is a serious criticism
            » Jarzabkowski, 2005
• knowledge has become the key source of
  competitive advantage
            » Courtnay et al, 1997; Grant, 1996; Nahapiet and Ghoshal,
              1998
Boundary conditions for four streams of strategy
theory




                                      »Jarzabkowski, 2003
Boundary conditions, strategy tools
techniques and frameworks




                                  »Jarzabkowski, 2003
Dissociation of strategy
theory in practice




                           »Jarzabkowski, 2003
strategizing

‘doing of strategy’
 the construction of this flow of activity in ways
 that are consequential for the firm through
 the actions and interactions of multiple actors
 and the practices that they draw upon.
                      (Jarzabkowski, 2005)
Strategic Activities
Not all activities

•   Activities that draw on strategic practices.
    Strategy is a particular type of activity that is connected with particular practices, such as
    strategic planning, annual reviews, strategy workshops and their associated discourses.
    (Barry and Elmes, 1997; Knights and Morgan 1991; Hendry 2000)

    In the same way that science may be defined as those activities that draw on scientific
    practices (e.g. methods, tools, scientific language) (Latour and Woolgar), strategy might be
    defined as those activities that draw on particular strategic practices.

•   Activity might be considered strategic to the extent that it is consequential for the strategic
    outcomes, directions, survival and competitive advantage of the firm (Johnson et al, 2003),
    even where these consequences are not part of an intended and formally articulated
    strategy.
SAP framework
“practitioners” (senior managers, board members, consultants
and others) draw on more or less institutionalized strategic


“practices” (routines, tools or discourses at organizational and
extra-organizational levels) in idiosyncratic and creative ways
in their strategy

“praxis or practice” (specific activities such as meetings,
retreats, conversations, talk, interactions, behaviours) to
generate what is then conceived of as strategy

 constituting in the process both themselves as strategy practitioners, and
 potentially their own activities as the seeds for new strategy practices.

                                                                   Whittington,2006
SAP framework

  Practitioners shape strategic activity through
  who they are, how they act and what resources they
  draw upon in that action.

• Who they are
  –   As individuals and how they relate with others
  –   Experience of being a strategist
  –   In the organization (top level, mid/low level)
  –   Outside organization (Non Executive directors, Consultants,
      Gurus, clients)
Practitioners

• What they do?
  – ”making telephone calls and having meetings”
                                     Mintzberg, 1973



  – “what strategists do is connected to who
    strategists are and the situations in which they
    act.”
                                     Jarzabkowski, 2005
Theoretical basis of SAP

 What is the theoretical basis of strategy as practice research ?
 How this aligns with existing organization and social theory
 approaches?

 Strategy as practice as a field is characterized less by what theory is
 adopted than by what      problem is explained.

 The central research interest focuses on explaining
 who strategists are, what they do and why and
 how that is influential for the practice of strategy.
                                                Jarzabkowski, 2005
Theoretical basis of SAP

 … many problems posed in existing strategy research, such as
 dynamic capabilities, resource-based view, knowledge-based view and strategy process
       might be illuminated by a practice based approach to
 theory,
 their study.
                  Antonacopoulou, 2005; Jarzabkowski, 2005; Johnson et al, 2003.
 … the field does not require ‘new’ theories per se, but to draw
 upon a range of existing theories to explore strategy
 problems defined within our conceptual framework, to
 develop novel methods and research designs for their study
 (Balogun et al, 2003), and to advance explanations of how strategy
 is constructed using these different levels and units of
 analysis.
                                                             Jarzabkowski, 2005
Practitioners

 Literature dominated by concepts of strategy as a top-down        process of
 formulation separated from implementation,
       focus upon top managers, their demographics and their decision-
 making processes (e.g. Hambrick and Mason, 1984; Papadakis et al, 1998;
 Wiersema and Bantel, 1992).
 this dominant definition of strategists and their impact upon strategy is
 inadequate to fulfil our theoretical framing of a practitioner
 from two perspectives.
  – fails to deal with individual experiences of agency, in which who a person is, is
    innately connected to how that person acts and the consequences of that
    action for the construction of activity.
  – increasingly strategy as practice studies indicate that middle managers and
    lower level employees are also important strategic actors . (e.g. Balogun,
    2003; Balogun and Johnson, 2004; 2005; Regner, 2003).
Ongoing challenges for strategy as practice research:
Practitioners

  increasing number of studies that take a multi-level approach to studying
  strategists, these   studies are still constrained to examination of
  internal employees, primarily     at the managerial levels.

  There is still little   work examining how those outside the
  firm, such as consultants, regulators, shareholders, and consumers,
  shape strategy, which provides a clear avenue for research.
                                                   Jarzabkowski, 2005
Ongoing challenges for strategy as practice research:
Practitioners
  We need not only

  wider definitions of who is a strategist…
  but also more fine-grained analyses of

  how strategists personal identities and
  experiences
  contribute to the way that they shape
  strategy.
                                           Jarzabkowski, 2005
Srategizing Research




                       Jarzabkowski, 2005
Research in SAP
• Studies focused in practitioner and practices through which that
  practitioner derives in the doing of strategy. (section A)
   – micro-level explanations and outcomes that have more macro
     consequences primarily as components of a larger picture of
     practice.

• Studies focused in sections B or C, have greater proximity to
  strategy as a wider activity,
   – explanations of how and why certain types of activity
      are consequential for the firm and to explain more macro
      consequences.
                                                  Jarzabkowski, 2005
http://www.s-as-p.org/
Obrigado

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Strategy as practice

  • 1. Strategy as Practice Brief overview Mário Porfírio
  • 2. Working Papers Paula Jarzabkowski (2003) RELEVANCE IN THEORY & RELEVANCE IN PRACTICE: STRATEGY THEORY IN PRACTICE, presented at the 19th EGOS Colloquium, 3-5 July 2003 (work in Progress) Chris Fenton and Ann Langley (2008) STRATEGY AS PRACTICE THE NARRATIVE TURN HEC Montreal (Canadá) Paula Jarzabkowski, Julia Balogun and David Seidl (2005) FIVE KEY QUESTIONS AND A CONCEPTUAL FRAMEWORK FOR STRATEGY- AS-PRACTICE RESEARCH (work in Progress)
  • 3. Professor Paula Jarzabkowski Professor of Strategic Management at Aston Business School and at Advanced Institute of Management (AIM) Ghoshal Fellow Director of the Aston Centre for Critical Infrastructure and Services (ACCIS). Research focuses: social practices of strategy-making, particularly in regulated, professional service and public sector organizations. She publishes in leading journals, such as Academy of Management Journal, Journal of Management Studies and Organization Studies. Published the first book on strategy-as-practice, 'Strategy as Practice: An Activity- Based Approach' with Sage in 2005. Other research interest: relevance debate and the application of management theory to practice.
  • 4. Relevance in theory • Existing theory is irrelevant in increasingly high velocity business environments » D’Aveni, 1994; Eisenhardt and Sull, 2001; Hamel and Prahalad, 1994 • Since strategic management is an applied discipline this is a serious criticism » Jarzabkowski, 2005 • knowledge has become the key source of competitive advantage » Courtnay et al, 1997; Grant, 1996; Nahapiet and Ghoshal, 1998
  • 5. Boundary conditions for four streams of strategy theory »Jarzabkowski, 2003
  • 6. Boundary conditions, strategy tools techniques and frameworks »Jarzabkowski, 2003
  • 7. Dissociation of strategy theory in practice »Jarzabkowski, 2003
  • 8. strategizing ‘doing of strategy’ the construction of this flow of activity in ways that are consequential for the firm through the actions and interactions of multiple actors and the practices that they draw upon. (Jarzabkowski, 2005)
  • 9. Strategic Activities Not all activities • Activities that draw on strategic practices. Strategy is a particular type of activity that is connected with particular practices, such as strategic planning, annual reviews, strategy workshops and their associated discourses. (Barry and Elmes, 1997; Knights and Morgan 1991; Hendry 2000) In the same way that science may be defined as those activities that draw on scientific practices (e.g. methods, tools, scientific language) (Latour and Woolgar), strategy might be defined as those activities that draw on particular strategic practices. • Activity might be considered strategic to the extent that it is consequential for the strategic outcomes, directions, survival and competitive advantage of the firm (Johnson et al, 2003), even where these consequences are not part of an intended and formally articulated strategy.
  • 10. SAP framework “practitioners” (senior managers, board members, consultants and others) draw on more or less institutionalized strategic “practices” (routines, tools or discourses at organizational and extra-organizational levels) in idiosyncratic and creative ways in their strategy “praxis or practice” (specific activities such as meetings, retreats, conversations, talk, interactions, behaviours) to generate what is then conceived of as strategy constituting in the process both themselves as strategy practitioners, and potentially their own activities as the seeds for new strategy practices. Whittington,2006
  • 11. SAP framework Practitioners shape strategic activity through who they are, how they act and what resources they draw upon in that action. • Who they are – As individuals and how they relate with others – Experience of being a strategist – In the organization (top level, mid/low level) – Outside organization (Non Executive directors, Consultants, Gurus, clients)
  • 12. Practitioners • What they do? – ”making telephone calls and having meetings” Mintzberg, 1973 – “what strategists do is connected to who strategists are and the situations in which they act.” Jarzabkowski, 2005
  • 13. Theoretical basis of SAP What is the theoretical basis of strategy as practice research ? How this aligns with existing organization and social theory approaches? Strategy as practice as a field is characterized less by what theory is adopted than by what problem is explained. The central research interest focuses on explaining who strategists are, what they do and why and how that is influential for the practice of strategy. Jarzabkowski, 2005
  • 14. Theoretical basis of SAP … many problems posed in existing strategy research, such as dynamic capabilities, resource-based view, knowledge-based view and strategy process might be illuminated by a practice based approach to theory, their study. Antonacopoulou, 2005; Jarzabkowski, 2005; Johnson et al, 2003. … the field does not require ‘new’ theories per se, but to draw upon a range of existing theories to explore strategy problems defined within our conceptual framework, to develop novel methods and research designs for their study (Balogun et al, 2003), and to advance explanations of how strategy is constructed using these different levels and units of analysis. Jarzabkowski, 2005
  • 15. Practitioners Literature dominated by concepts of strategy as a top-down process of formulation separated from implementation, focus upon top managers, their demographics and their decision- making processes (e.g. Hambrick and Mason, 1984; Papadakis et al, 1998; Wiersema and Bantel, 1992). this dominant definition of strategists and their impact upon strategy is inadequate to fulfil our theoretical framing of a practitioner from two perspectives. – fails to deal with individual experiences of agency, in which who a person is, is innately connected to how that person acts and the consequences of that action for the construction of activity. – increasingly strategy as practice studies indicate that middle managers and lower level employees are also important strategic actors . (e.g. Balogun, 2003; Balogun and Johnson, 2004; 2005; Regner, 2003).
  • 16. Ongoing challenges for strategy as practice research: Practitioners increasing number of studies that take a multi-level approach to studying strategists, these studies are still constrained to examination of internal employees, primarily at the managerial levels. There is still little work examining how those outside the firm, such as consultants, regulators, shareholders, and consumers, shape strategy, which provides a clear avenue for research. Jarzabkowski, 2005
  • 17. Ongoing challenges for strategy as practice research: Practitioners We need not only wider definitions of who is a strategist… but also more fine-grained analyses of how strategists personal identities and experiences contribute to the way that they shape strategy. Jarzabkowski, 2005
  • 18. Srategizing Research Jarzabkowski, 2005
  • 19. Research in SAP • Studies focused in practitioner and practices through which that practitioner derives in the doing of strategy. (section A) – micro-level explanations and outcomes that have more macro consequences primarily as components of a larger picture of practice. • Studies focused in sections B or C, have greater proximity to strategy as a wider activity, – explanations of how and why certain types of activity are consequential for the firm and to explain more macro consequences. Jarzabkowski, 2005

Editor's Notes

  1. Feed back
  2. Falta conceito de agencia