STRATEGIC THINKING

The 14 Schools
of Strategy
Formulation

ALEX NESBITT
Hip-Hop, Rock, Country,
Jazz - everyone has a
favorite genre that strikes
a chord with their soul.

Similarly, when it comes

to strategy, there isn't a
one-size-fits-all.
Everyone has a school of
thought they lean
towards, molded by their
unique experiences and
perspectives.
The concept of 'schools of
thought' in strategy is not
new.

In fact, we owe much of

this thinking to the
seminal work of Henry
Mintzberg.
He was the pioneer who
first identified ten distinct
schools of strategy,
providing us with a
comprehensive framework
to understand the diverse
ways in which strategies
can be formed and
executed.
Yet, as the world evolves,
so do our processes.

Building on the original

ten, I've added four
emerging schools that
reflect today's dynamic
landscape.
 #1

The Design
School
📐 Design School:
The Analytical Architect

Principle: Strategy emerges

from a careful matching of
an organization's strengths
and weaknesses with
external opportunities and
threats.
Approach: Formulating
clear, unique strategies
through a conscious
blend of analytical and
intuitive processes.
 #2

The Planning
School
📋 Planning School:
The Methodical Mapper

Principle: Strategy is a
systematic, step-by-step
process driven by
formalized procedures,
tools, and techniques.
Approach: This method
uses structured procedures
to break down the
strategy-making process,
ensuring each step is
thoroughly considered. It's
akin to a blueprint or
roadmap.
 #3

The
Positioning
School
📍 Positioning School:
The Competitive Player

Principle: Strategy arises

from selecting the best
strategic position in the
competitive marketplace.
Approach: Leveraging
analytical tools, the
organization determines its
position within the
competitive landscape,
focusing on acquiring a
sustainable competitive
advantage.
 #4

The
Entrepreneurial
School
💡 Entrepreneurial School:
The Visionary Pioneer

Principle: Strategy is a
vision, primarily driven by
the leader or founder of the
organization.
Approach: The leader
formulates a visionary
pathway can lead to
market disruptions,
spurred by insights and
foresight.
 #5

The Cognitive
School
🧠 Cognitive School:
The Reflective Thinker

Principle: Strategy is a
product of mental
processes, perceptions, and
cognitive biases.
Approach: This school
highlights how cognitive
patterns and perceptions
influence strategy,
emphasizing the subjective
nature of strategic
decision-making.
 #6

The Learning
School
📖 Learning School:
The Adaptive Learner

Principle: Strategy is
emergent, evolving
iteratively as the
organization learns over
time.
Approach: Strategies
emerge from the
organization's experiences,
emphasizing adaptability
and the importance of
learning from both
successes and failures.
 #7

The Power
School
♟️ Power School:
The Political Navigator

Principle: Strategy is shaped

by power, politics, and the
use of authority.
Approach: Power
dynamics, negotiations,
and internal politics often
drive strategic decisions,
highlighting the influence
of powerful stakeholders
and alliances.
 #8

The Cultural
School
❤️🌍 Cultural School:
The Cultural Conductor

Principle: Strategy is a
reflection of organizational
culture, rooted in collective
beliefs and values.
Approach: Strategies are
derived from and reinforce
organizational norms,
traditions, and shared
values, emphasizing
cohesion and shared
understanding.
 #9

The
Environmental
School
🌦️ Environmental School:
The Reactive Adapter

Principle: Strategy emerges

as a reactive process,
aligning with external
environmental factors.
Approach: The external
environment largely
dictates the strategy,
emphasizing adaptability
and flexibility to
uncontrollable external
forces.
 #10

The
Configuration
School
⚙️ Configuration School:
The Organizational
Transformer

Principle: Strategy evolves

through distinct phases,
with each phase having its
unique configuration.
Approach: This school
views organizations as
moving through specific
stages, each requiring
different strategies and
structures.
 #11

The Agile
School
⚡ Agile School:
The Iterative Strategist

Principle: Strategy
emphasizes swift
adaptability, rapid
iteration, and flexibility in
the face of uncertainty.
Approach: In an uncertain
environment, agility
allows organizations to
pivot quickly, ensuring
they remain relevant and
competitive.
 #12

The Enactive
School
🎭 Enactive School:
The Nuturing Gardener

Principle: Strategy focuses

on proactive creation of
conditions for success.
Approach: Organizations
shape their environments
and opportunities. By
leveraging concepts like
effectuation theory, they
enact conditions favorable
for their strategic
objectives.
 #13

The
Sustainability
School
🌿 Sustainability School:
The Responsible Steward

Principle: Strategy
emphasizes harmony with
the environment, ensuring
long-term sustainability
and corporate
responsibility.
Approach: Beyond
profitability, organizations
have a responsibility to
their environment and
stakeholders, ensuring
their operations are
sustainable and beneficial
in the long term.
 #14

The Ecosystem
School
🌐 Ecosystem School:
The Network Conductor

Principle: Strategy revolves

around managing and
orchestrating networks,
connections, and
stakeholders.
Approach: In today's
interconnected world,
organizations must
manage their relationships
within a larger ecosystem,
ensuring mutual benefit
and value creation.
Leverage the
Tapestry of
Srategic
Perspectives
The there are many ways
to formulate strategy.

While you might resonate

with one school over the
other, don’t overlook the
availability of alternative
approaches.
These 14 schools of
strategy provide a diverse
set of strategic perspective
from which to craft
strategy that resonates
with your unique context,
challenge, and ambition.
Remember, integrating
diverse perspectives on
strategy allows you to
create whole new boxes,
reshaping the boundaries
of what's possible.
Embrace the full
spectrum of strategic
thinking, and you'll find
doors opening that you
never even knew existed.
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