Turbulent Transition, Strategic Planning and Organization Design: A Comparison of Firms in the Semiconductor Industry

Abstract

The study of organization and management theory is well equipped to examine the strategic demands of a global economy. Yet, it application to strategic management is underutilized. With its primary focus on strategic behavior from a macro-structure perspective, the field seems to have overlooked underlying causal variables more discretely associated with information-processing capacities of a strategic micro-structure. Nowhere is this better illustrated than in the semiconductor industry, where some firms perform differently than others in the face of conflicting transition. This paper shows empirically that design of strategic planning capacities was significant in differentiating long run performance.