Abstract

While organizational design has long been viewed as an aspect of strategy implementation, recent writers have asserted that an organization's structure includes environmental monitoring and control processes which help to shape management's view of their environment and to develop the strategy appropriate for that environment. This article examines three strategy-making approaches used in multinational corporations and some of the decision-making structures associated with them. The effect of these approaches on strategic decisions is explored along with how a firm might change from one mode to another. The authors discuss the implications for designing effective organization structures and making arrangements for monitoring the business environment.

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