ANALYTIC REASONING HOLISTIC REASONING
EMPHASIS ON Logic over creativity Intuition over logic
DOMINANT COGNITIVE STYLE Analytic Holistic
THINKING FOLLOWS Formal, fixed rules Informal, variable rules
NATURE OF THINKING Deductive and conceptional Inductive and imaginative
MODE OF THINKING Structured Unstructured
DIRECIOTN OF THINKING Vertical Lateral
SYSTEM AT WORK Conscious, reflective Unconscious, reflexive
PROBLEM SOLVING SEEN AS Analysing activities Sense-making activities
VALUE PLACED ON Cold cognition Hot cognition
ASSUMPTION ABOUT REALITY Objective, (partially) knowable Subjective, (partially) creatable
THINKING HINDERED BY Incomplete information Adherence to current cognitive
map
STRAGEZIING SPEED Slow Fast
STRATEGIZING BASED ON Calculation Judgement
METAPHOR Strategy as science Strategy as art
SHAREHOLDER PERSPECTIVE STAKEHOLDER PERSPECTIVE
EMPHASIS ON Profitability over responsibility Responsibility over profitability
ORGANISATIONS SEEN AS Instruments Joint ventures
ORGANISATIONAL PURPOSE To serve owner To serve all parties involved
MEASURES OF SUCCES Share price and dividends Satisfaction among stakeholders
(shareholder value)
MAJOR DIFFICULTY Getting agent to pursue principal’s Balancing interest of various
interest stakeholders
CORPORATE GOVERNANCE Independent outside directors Stakeholder representation
THROUGH with shares
STAKEHOLDER MANAGEMENT Means End
SOCIAL RESPONSIBILITY Individual, not organisational Both individual and organisational
manner
SOCIETY BEST SERVED BY Pursuing self-interest (economic Pursuing joint-interest (economic
efficiency) symbiosis)
OUTSIDE-IN PERSPECTIVE INSIDE-OUT PERSPECTIVE
EMPHASIS ON Market over resources Resources over market
ORIENTATION Opportunity-driven (external Strength-driven (internal
potential) potential)
STARTING POINT Market demand and industry Resource base and value chain
structure
FIT THROUGH Adaptation to environment Adaptation of environment
STRATEGIC FOCUS Attaining advantageous position Attaining distinctive resources
STRATEGIC MOVES External positioning Building resource base
TACTICAL MOVES Acquiring necessary resources External positioning
COMPETITIVE WEAPONS Bargaining power and mobility Superior resources and imitation
barriers barriers.
EMPHASIS ON Logic over creativity Intuition over logic
DOMINANT COGNITIVE STYLE Analytic Holistic
THINKING FOLLOWS Formal, fixed rules Informal, variable rules
NATURE OF THINKING Deductive and conceptional Inductive and imaginative
MODE OF THINKING Structured Unstructured
DIRECIOTN OF THINKING Vertical Lateral
SYSTEM AT WORK Conscious, reflective Unconscious, reflexive
PROBLEM SOLVING SEEN AS Analysing activities Sense-making activities
VALUE PLACED ON Cold cognition Hot cognition
ASSUMPTION ABOUT REALITY Objective, (partially) knowable Subjective, (partially) creatable
THINKING HINDERED BY Incomplete information Adherence to current cognitive
map
STRAGEZIING SPEED Slow Fast
STRATEGIZING BASED ON Calculation Judgement
METAPHOR Strategy as science Strategy as art
SHAREHOLDER PERSPECTIVE STAKEHOLDER PERSPECTIVE
EMPHASIS ON Profitability over responsibility Responsibility over profitability
ORGANISATIONS SEEN AS Instruments Joint ventures
ORGANISATIONAL PURPOSE To serve owner To serve all parties involved
MEASURES OF SUCCES Share price and dividends Satisfaction among stakeholders
(shareholder value)
MAJOR DIFFICULTY Getting agent to pursue principal’s Balancing interest of various
interest stakeholders
CORPORATE GOVERNANCE Independent outside directors Stakeholder representation
THROUGH with shares
STAKEHOLDER MANAGEMENT Means End
SOCIAL RESPONSIBILITY Individual, not organisational Both individual and organisational
manner
SOCIETY BEST SERVED BY Pursuing self-interest (economic Pursuing joint-interest (economic
efficiency) symbiosis)
OUTSIDE-IN PERSPECTIVE INSIDE-OUT PERSPECTIVE
EMPHASIS ON Market over resources Resources over market
ORIENTATION Opportunity-driven (external Strength-driven (internal
potential) potential)
STARTING POINT Market demand and industry Resource base and value chain
structure
FIT THROUGH Adaptation to environment Adaptation of environment
STRATEGIC FOCUS Attaining advantageous position Attaining distinctive resources
STRATEGIC MOVES External positioning Building resource base
TACTICAL MOVES Acquiring necessary resources External positioning
COMPETITIVE WEAPONS Bargaining power and mobility Superior resources and imitation
barriers barriers.
