A Behavioural Approach to Strategic Management

The concepts, methods and practices of strategic management have evolved significantly since the beginning of the 20th century. In the 1950s and 60s the use of long-term planning was characteristic. Until the end of the 1980s strategy was perceived as a response to environmental changes. During the...

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Main Author: Károly Balaton
Format: Article
Language:English
Published: University of Miskolc 2023-12-01
Series:Theory, Methodology, Practice
Subjects:
Online Access:https://ojs.uni-miskolc.hu/index.php/tmp/article/view/2816
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author Károly Balaton
author_facet Károly Balaton
author_sort Károly Balaton
collection DOAJ
description The concepts, methods and practices of strategic management have evolved significantly since the beginning of the 20th century. In the 1950s and 60s the use of long-term planning was characteristic. Until the end of the 1980s strategy was perceived as a response to environmental changes. During the 1990s strategy formulation was perceived as a process based on internal resources and capabilities of firms. This radical change with the previously applied concepts was influenced by the accelerated rate of environmental changes. Companies – especially large firms – were unable to change their strategies parallel with changes in their environment. They needed a more stable starting point for developing their strategies. Strategic decision makers intended to make optimal strategic decisions until the end of the 70s. Due to the newly emerged theory of limited rationality it has become accepted as a strong influencing factor of strategic decision-making. Parallel with the above mentioned changes the role of managerial behavioural characteristic had emerged as a more broadly accepted factor in strategic decision-making. In the present paper our intention is to present this development process. In preparing the paper the author has relied on his previous publications in the field.   
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spelling doaj.art-cc4fd63bdbdd4bbb95c7d35a2b1d41b22024-01-04T05:33:12ZengUniversity of MiskolcTheory, Methodology, Practice1589-34132415-98832023-12-01190210.18096/TMP.2023.02.04A Behavioural Approach to Strategic ManagementKároly Balaton0University of Miskolc The concepts, methods and practices of strategic management have evolved significantly since the beginning of the 20th century. In the 1950s and 60s the use of long-term planning was characteristic. Until the end of the 1980s strategy was perceived as a response to environmental changes. During the 1990s strategy formulation was perceived as a process based on internal resources and capabilities of firms. This radical change with the previously applied concepts was influenced by the accelerated rate of environmental changes. Companies – especially large firms – were unable to change their strategies parallel with changes in their environment. They needed a more stable starting point for developing their strategies. Strategic decision makers intended to make optimal strategic decisions until the end of the 70s. Due to the newly emerged theory of limited rationality it has become accepted as a strong influencing factor of strategic decision-making. Parallel with the above mentioned changes the role of managerial behavioural characteristic had emerged as a more broadly accepted factor in strategic decision-making. In the present paper our intention is to present this development process. In preparing the paper the author has relied on his previous publications in the field.    https://ojs.uni-miskolc.hu/index.php/tmp/article/view/2816strategic managementbehavioural theorydecision-makinglimited rationalitymeaning
spellingShingle Károly Balaton
A Behavioural Approach to Strategic Management
Theory, Methodology, Practice
strategic management
behavioural theory
decision-making
limited rationality
meaning
title A Behavioural Approach to Strategic Management
title_full A Behavioural Approach to Strategic Management
title_fullStr A Behavioural Approach to Strategic Management
title_full_unstemmed A Behavioural Approach to Strategic Management
title_short A Behavioural Approach to Strategic Management
title_sort behavioural approach to strategic management
topic strategic management
behavioural theory
decision-making
limited rationality
meaning
url https://ojs.uni-miskolc.hu/index.php/tmp/article/view/2816
work_keys_str_mv AT karolybalaton abehaviouralapproachtostrategicmanagement
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