A Framework for Strategic Planning in Multinational Corporations

Cover A Framework for Strategic Planning in Multinational Corporations
A Framework for Strategic Planning in Multinational Corporations
Peter Lorange
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Let us now leave the two extreme positions and consider the matrix structures, which will be faced with adaptation and integration tasks along both the product and area dimension. Before discussing the adap- tation and integration tasks of our two matrix-based archetypes, however, let us review some relevant facts about coordination between the dimen- sions of a matrix structure. Effective coordination between the matrix dimensions must involve people; managers representing each dimension 10 mu
...st get together to share information and work out decisions that take into account the considerations of each dimension. In order to facilitate g coordination, then, it seems reasonable to form committees. Staffing of these committees should reflect the matrix dimensions involved, and also be manned with executives from appropriate organizational levels. A major implication of the decentralized organizational structures con- sidered here is that the responsibility for business strategy formulation and implementation as well as the bulk of the action program decisions will be made at the division level.

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