New Strategy Implementation and Learning: Importance of Consensus

Katsuhiko Shimizu
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Katsuhiko Shimizu: University of Texas at San Antonio

No 34, Working Papers from College of Business, University of Texas at San Antonio

Abstract: This study examines the effects of consensus and resulting organizational learning on new strategy implementation. In doing so, we consider two challenges inherent in implementing new strategy: breaking and reestablishing organizational and individual routines and managing uncertainties and unexpected problems. By sampling 113 groups within a large company, we found that group performance can be lowest when consensus on strategy contents is medium (U-shape relationship between group consensus on strategy contents and group performance). We also found that the consensus on strategy contents – performance relationship is moderated by consensus on strategy implementation progress.

Keywords: effects of consensus; breaking and reestablishing organizational and individual routines and managing uncertainties and unexpected problems (search for similar items in EconPapers)
JEL-codes: M19 (search for similar items in EconPapers)
Pages: 38 pages
Date: 2008-02-05
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