Umbrella Strategy

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Date Submitted: 10/31/2011 08:32 PM

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THE UMBRELLA STRATEGY

Of Strategies, Deliberate and Emergent

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Now we begin to relax the condition of tight control (whether bureaucratic, personal or ideological) over the mass of actors in the organization and, in some cases, the condition of tight control over the environment as well. Leaders who have only partial control over other actors in an organization may design what can be called umbrella strategies. They set the boundaries-and then let other actors general guidelines for behaviour-define manoeuvre within them. In effect, these leaders establish kinds of umbrellas under which organizational actions are expected to fall-for example that all products should be designed for the high-priced end of the market (no matter what those products might be). When an environment is complex, and perhaps somewhat uncontrollable and unpredictable as well, a variety of actors in the organization must be able to respond to it. In other words, the patterns in organizational actions cannot be set deliberately in one central place, although the boundaries may be established there to constrain them. From the perspective of the leadership (if not, perhaps, the individual actors), therefore, strategies are allowed to emerge, at least within these boundaries. In fact, we can label the umbrella strategy not only deliberate and emergent (intended at the centre in its broad outlines but not in its specific details), but also 'deliberately emergent' (in the sense that the central leadership intentionally creates the conditions under which strategies can emerge). Like the entrepreneurial strategy, the umbrella one represents a certain vision emanating from the central leadership. But here those who have the vision do not control its realization; instead they must convince others to pursue it. The umbrella at least puts limits on the actions of others and ideally provides a sense of direction as well. Sometimes the umbrella takes the form of a more specific target, as in a NASA...