Orji, Carl

c.d.orji@lse.ac.uk

A Theoretical Investigation into the Dynamics of Strategic Change: a complexity-based approach

The increased 'velocity of competition' within the business environment has led to the need for a complexity-based approach, which explains and describes the dynamics of strategic change. This is accelerated by the unvarying acquisition of knowledge and its applications, which create flux in organisational boundaries, while changing the generic typology of organisations. Hence, the orthodox approaches to explaining strategic change, which are based on a linear and structured process, break down in such a highly turbulent business ecosystem.

Accordingly, this dissertation bifurcates the question into an endogenous and exogenous perspective. In the endogenous perspective, the dynamics of strategic change in the organisation are analysed as being predicated on the knowledge transmitted and created. This position utilises Dawkins' memetic postulations and game theory as a foundation for a dynamic model of knowledge creation, which attempts to describe the endogenous question, while taking a precursory look at its epistemology within information systems and strategic management. Knowledge creation in this context is a consequence of the competition between differing strands of knowledge resulting in oscillating organisational evolutionary stable strategies (ESS).

Thus, in the exogenous perspective, the dynamics of strategic change are analysed by modelling the interaction of organisations competing for survival and success in a strategic technology landscape. In this dissertation, our model of the landscape is a derivative of Kaufmann's 'fitness landscape' metaphor with the height representing the organisational level of profit; the width and length representing the market share.

Furthermore, our model continues the ESS theme and takes an exogenous view that sees the interactions of organisations giving rise to new descriptions of organisational forms. This model also extends the Miles and Snow typology of organisations while incorporating a Lokta-Volterra predator-prey perspective.

In précis, we attempt to demonstrate that the typology (organisational form) on topology (landscape) addresses the question of strategic change and organisational fitness.

Supervisor: Professor Ian Angell, PhD

^