Blabla Essay

834 Words Sep 16th, 2014 4 Pages
3 pitfalls Commitment: Commitment to planning engenders commitment to strategies and to the process of strategy making. Nature of planning fosters managerial commitment to itself Whether planning is committed to management.
Change: Process of planning tends to evoke resistance to serious change in organizations
Planning tends to favor short term over long term
Politics: Planning is a biased form of objectivity and enforces political resistance. Aggravates the conflict between line and staff
3 fallacies
Predetermination: To make strategic planning successful, an organization has to control or predict the course of the environment.
Detachment managers are detached from the very things they are supposed to make strategies
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Because of this one part of an organization will be more developed and has greater adaptive competences than the slow learner. On the long run, coordination will become difficult between the units because of the fact that one will be more competent than the other.
Bounded rationality Succes leads to increase of slack and target, however decrease in search. Failure leads to search, decreases slack and targets. (if a service declines in terms of quality this will lead to search from the ‘service receiver’ and decrease slack)
3 kinds of Myopia:
Overlooking distant times: Focus on short run, but forget long run. ( For example CA favors short term if already there but, can lose its ability to adjust in the long run)
Distinctive competence trap: Organization tend to focus on activities in which they are most competent. Other competences become relatively worse and became vulnerable to changes in the environment.
Trap of power: Powerful companies change the environment themselves, but the adaptive skills will be underdeveloped. Therefore companies build inventories of competencies to back themselves up in times of change.
Distant places: Organizations tend to exploit successful explorations of others, if everybody does this, there will be no radical innovation on the long terms. Organizations should research but also absorb the information from one another.
Failures: Likelihood of success tends to increase with competence, because confidence finds confirmation

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