IDEAS home Printed from https://ideas.repec.org/p/ecl/stabus/1954.html
   My bibliography  Save this paper

Let Chaos Reign, Then Rein In Chaos--Repeatedly: Managing Strategic Dynamics For Corporate Longevity

Author

Listed:
  • Burgelman, Robert A.

    (Stanford U)

  • Grove, Andrew S.

Abstract

Combining longitudinal field research and executive experience, we propose that corporate longevity depends on matching cycles of autonomous and induced strategy processes to different forms of strategic dynamics, and that the role of alert strategic leadership is to appropriately balance the induced and autonomous processes throughout these cycles. We also propose that such strategic leadership is the means through which leadership style exerts its influence on corporate longevity. Our findings can be related to organizational research on structural inertia, learning and adaptation, as well as to formal theories of complex adaptive systems. They also contribute to resolving the seeming contradiction between a study of corporations that attributes exceptional long-term success to leadership style, and the more common proposition that strategy is the determinant of long-term performance.

Suggested Citation

  • Burgelman, Robert A. & Grove, Andrew S., 2007. "Let Chaos Reign, Then Rein In Chaos--Repeatedly: Managing Strategic Dynamics For Corporate Longevity," Research Papers 1954, Stanford University, Graduate School of Business.
    • Handle: RePEc:ecl:stabus:1954
    as

    Download full text from publisher

    File URL: http://gsbapps.stanford.edu/researchpapers/library/RP1954.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Arthur, W Brian, 1989. "Competing Technologies, Increasing Returns, and Lock-In by Historical Events," Economic Journal, Royal Economic Society, vol. 99(394), pages 116-131, March.
    2. Alan D. Meyer & Vibha Gaba & Kenneth A. Colwell, 2005. "Organizing Far from Equilibrium: Nonlinear Change in Organizational Fields," Organization Science, INFORMS, vol. 16(5), pages 456-473, October.
    3. Bill McKelvey, 1997. "Perspective---Quasi-Natural Organization Science," Organization Science, INFORMS, vol. 8(4), pages 351-380, August.
    4. Garth Saloner, 1991. "Modeling, game theory, and strategic management," Strategic Management Journal, Wiley Blackwell, vol. 12(S2), pages 119-136, December.
    5. Daniel A. Levinthal, 1997. "Adaptation on Rugged Landscapes," Management Science, INFORMS, vol. 43(7), pages 934-950, July.
    6. Robert A. Burgelman, 1991. "Intraorganizational Ecology of Strategy Making and Organizational Adaptation: Theory and Field Research," Organization Science, INFORMS, vol. 2(3), pages 239-262, August.
    7. Michael T. Hannan & L·szlÛ PÛlos & Glenn R. Carroll, 2004. "The evolution of inertia," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 13(1), pages 213-242, February.
    8. James G. March, 1991. "Exploration and Exploitation in Organizational Learning," Organization Science, INFORMS, vol. 2(1), pages 71-87, February.
    9. Haridimos Tsoukas & Robert Chia, 2002. "On Organizational Becoming: Rethinking Organizational Change," Organization Science, INFORMS, vol. 13(5), pages 567-582, October.
    10. Jerker Denrell, 2004. "Random Walks and Sustained Competitive Advantage," Management Science, INFORMS, vol. 50(7), pages 922-934, July.
    11. David J. Teece & Gary Pisano & Amy Shuen, 1997. "Dynamic capabilities and strategic management," Strategic Management Journal, Wiley Blackwell, vol. 18(7), pages 509-533, August.
    12. R. A. Thiétart & B. Forgues, 1995. "Chaos Theory and Organization," Organization Science, INFORMS, vol. 6(1), pages 19-31, February.
    13. Joseph Farrell & Hunter K. Monroe & Garth Saloner, 1998. "The Vertical Organization of Industry: Systems Competition versus Component Competition," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 7(2), pages 143-182, June.
    14. Robert A. Burgelman, 1983. "Corporate Entrepreneurship and Strategic Management: Insights from a Process Study," Management Science, INFORMS, vol. 29(12), pages 1349-1364, December.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Serghei Floricel & Sorin Piperca & Richard Tee, 2018. "Strategies for Managing the Structural and Dynamic Consequences of Project Complexity," Complexity, Hindawi, vol. 2018, pages 1-17, May.
    2. Hazhir Rahmandad, 2012. "Impact of Growth Opportunities and Competition on Firm-Level Capability Development Trade-offs," Organization Science, INFORMS, vol. 23(1), pages 138-154, February.
    3. Bill McKelvey, 1999. "Avoiding Complexity Catastrophe in Coevolutionary Pockets: Strategies for Rugged Landscapes," Organization Science, INFORMS, vol. 10(3), pages 294-321, June.
    4. Philip Anderson, 1999. "Perspective: Complexity Theory and Organization Science," Organization Science, INFORMS, vol. 10(3), pages 216-232, June.
    5. Arie Y. Lewin & Henk W. Volberda, 1999. "Prolegomena on Coevolution: A Framework for Research on Strategy and New Organizational Forms," Organization Science, INFORMS, vol. 10(5), pages 519-534, October.
    6. Garud, Raghu & Gehman, Joel, 2012. "Metatheoretical perspectives on sustainability journeys: Evolutionary, relational and durational," Research Policy, Elsevier, vol. 41(6), pages 980-995.
    7. Khraisha, Tamer, 2020. "Complex economic problems and fitness landscapes: Assessment and methodological perspectives," Structural Change and Economic Dynamics, Elsevier, vol. 52(C), pages 390-407.
    8. Thomas Keil & Rita Gunther McGrath & Taina Tukiainen, 2009. "Gems from the Ashes: Capability Creation and Transformation in Internal Corporate Venturing," Organization Science, INFORMS, vol. 20(3), pages 601-620, June.
    9. Daniel A. Levinthal & Alessandro Marino, 2015. "Three Facets of Organizational Adaptation: Selection, Variety, and Plasticity," Organization Science, INFORMS, vol. 26(3), pages 743-755, June.
    10. Schön, Benjamin & Pyka, Andreas, 2013. "The success factors of technology-sourcing through mergers & acquisitions: An intuitive meta-analysis," FZID Discussion Papers 78-2013, University of Hohenheim, Center for Research on Innovation and Services (FZID).
    11. Corinne A. Coen & Catherine A. Maritan, 2011. "Investing in Capabilities: The Dynamics of Resource Allocation," Organization Science, INFORMS, vol. 22(1), pages 99-117, February.
    12. Gustafsson, Robin & Autio, Erkko, 2011. "A failure trichotomy in knowledge exploration and exploitation," Research Policy, Elsevier, vol. 40(6), pages 819-831, July.
    13. Robert P. Garrett Jr. & Jeffrey G. Covin, 2015. "Internal Corporate Venture Operations Independence and Performance: A Knowledge–Based Perspective," Entrepreneurship Theory and Practice, , vol. 39(4), pages 763-790, July.
    14. Matsuno, Ken & Kohlbacher, Florian, 2020. "Proactive marketing response to population aging: The roles of capabilities and commitment of firms," Journal of Business Research, Elsevier, vol. 113(C), pages 93-104.
    15. Monika Winn & Manfred Kirchgeorg & Andrew Griffiths & Martina K. Linnenluecke & Elmar Günther, 2011. "Impacts from climate change on organizations: a conceptual foundation," Business Strategy and the Environment, Wiley Blackwell, vol. 20(3), pages 157-173, March.
    16. Dario Blanco-Fernandez & Stephan Leitner & Alexandra Rausch, 2022. "Interactions between the individual and the group level in organizations: The case of learning and autonomous group adaptation," Papers 2203.09162, arXiv.org.
    17. Shaker A. Zahra & Olga Petricevic & Yadong Luo, 2022. "Toward an action-based view of dynamic capabilities for international business," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 53(4), pages 583-600, June.
    18. João José M. Ferreira & Cristina I. Fernandes & Vanessa Ratten, 2016. "A co-citation bibliometric analysis of strategic management research," Scientometrics, Springer;Akadémiai Kiadó, vol. 109(1), pages 1-32, October.
    19. Luciana D’Adderio, 2014. "The Replication Dilemma Unravelled: How Organizations Enact Multiple Goals in Routine Transfer," Organization Science, INFORMS, vol. 25(5), pages 1325-1350, October.
    20. Giovanni Gavetti, 2012. "PERSPECTIVE—Toward a Behavioral Theory of Strategy," Organization Science, INFORMS, vol. 23(1), pages 267-285, February.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ecl:stabus:1954. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: the person in charge (email available below). General contact details of provider: https://edirc.repec.org/data/gsstaus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.