A strategic management process: the role of decision-making style and organisational performance

Abstract

Purpose – The purpose of this paper is to present a conceptual framework for integrating strategic thinking factors, organisational performance and the decision-making process. Design/methodology/approach – The methodology involves a synthesis of literature and proposes a framework that explores the relationship between strategic thinking enabling factors, organisational performance and the moderating effect of decision-making styles. Findings – The framework includes strategic thinking enabling factors (systems perspective, focused intent, intelligent opportunism, thinking in time and hypothesis-driven analysis), organisational performance and the moderating effect of decision-making styles (intuitive and rational). Research limitations/implications – This research results in a conceptual model only; it remains to be tested in actual practice. The expanded conceptual framework can serve as a basis for future empirical research and provide insights to practitioners into how to strengthen policy development in a strategic planning process. Originality/value – A paradigm shift in the literature proves that strategic management and decision-making styles are vital in determining organisational performance. This paper highlights the importance of decision-making styles and develops a framework for strategic management by analysing the existing strategic management literature.

Keywords

• Strategic management
• Intuitive decision-making
• Rational decision-making
• Strategic thinking process
• Organisational performance