Bonjour

vous
tous!

Understanding
strategic issues
by:
ivasty
dirgantari
rana nur r.

What is
strategi
c
issues?

An issue is define as
a trend or event,
arising inside or
outside an
organization, that
can have an
important influence
on the
organizations
ability to reach its
desire future

Role of issues in strategic

management
Issues in strategic management have a role analogous to
problems in problem solving. Issues set out an arena in which
a search for a strategic response is conducted that tends

Tactics for reading issues

several strategic management approach call for issues to
guide the search for strategy. less attention has been
directed toward ways to articulate an issue and determine
what makes an issue worthy of attention

Misleading Issue
point out the limitation of intuition when it is applied by top
managers to make judgements about issues. there is a tendency to
use very limited information in determining the saliency of issues

Dilemmas in recognizing issues

Strategic managers run both kind os risk, depending how they
respond to emerging concerns that face the organization. The top
management of an organization is continually barraged by both
unconfirmed reports and the realities of budget cuts, reduction of
prerogatives or responsibilities, change in those eligible for
services, etc

Issues as tensions
Between the organization and its environment.

Why tensions must be faced?

issues as tensions attempt to capture the tangled web of

political and market forces that confront an organization and tug
it in many different ways at the same time. strategic managers
who deal with one of these forces and neglect the others are les
apt to be successful

Rationale for treating issues as

tension

the rationale for treating issues as tensions stems from several

sources. treating issues as tensions is consistent with several
school of thought pertinent to strategy formation. contends that
strategic management should balance opposing forces

Types of developments facing

organization
Open and
flexible

Scan
approach
Regulatory
and
controlled

Human resources
needs
(equity)
Maintenance of
tradition
internal(preservation)

Innovation and
change
(transition)
Rationale process
(productivity)

Direction of attention

external

Forming
issues as
tensions

transition productivity tension

1. Meeting demands during change
Transition

Productivity

Equity transition tension

2. Determining who gets what during change
Equity

Transition

Equity preservation tension

3. Fairness clashing with tradition
Equity

Preservation

Preservation productivity
tension
4. Squeezing a stressed tradition-ridden system

Preservation

Productivity

Equity productivity tension

5. Reconciling cost cutting with human commitments
Equity

Productivity

Transition preservation tension

6. Dealing with inertia during change
Transition

Preservation

Merci!