Strategic Renewal and the Interaction of Cumulative Stress and Inertia

Publication Type

Journal Article

Publication Date

1992

Abstract

Strategic renewal is accomplished in large and small ways. This paper proposes a four phase characterization of how organizations move between state sustaining renewal and the more radical reconceptualizations that significantly alter organization activity. The argument juxtaposes inertia (or commitment to current strategy) and stress, the dissatisfactions that signal the need for renewal. To explore the details of this interaction, and its implications for the evolution of strategy over time, a formal model is developed. Quite plausible organization paths of renewal are simulated via the model which help illustrate our main theoretic arguments.

Keywords

Stress, inertia, renewal, strategic change, incrementalism

Discipline

Business

Research Areas

Strategy and Organisation

Publication

Strategic Management Journal

Volume

13

Issue

1

First Page

55

Last Page

75

ISSN

0143-2095

Identifier

10.1002/smj.4250131006

Publisher

Wiley

Comments

Summer Special Issue

Link to Full Text

Share

COinS