A Theoretical Framework for Holistic Strategic Management

Applying the innovation theory and capability theory, this chapter provides a new framework and knowledge regarding strategic management from a holistic systems theory lens with regard to the issue of how companies can evolve capabilities for achieving strategic innovation in response to the impacts of advanced ICT on corporate management.As also discussed in Chapter 1, a concept for a holistic approach to strategic management, which is the core concept of this book, is vital for the dynamic optimization of corporate boundaries through convergence. “Holistic strategic management” refers to the ideal modality of strategic management for achieving ongoing strategic innovation through the establishment of a strategic innovation system (SIS). This chapter suggests that building a framework for holistic strategic management entails management factors closely related to strategic management (strategy, organizations, technologies, operations, leadership) and analysis of the synergistic interactions among these as well as an interactive coming and going analysis and study between the macro and micro levels regarding the strategic and organizational contexts of corporations including their environments.In addition, the chapter identifies the subsystems that comprise SISs, which are corporate systems for achieving ongoing strategic innovation in large corporations, and explains interactions between these subsystems. The chapter also presents new propositions for building SISs based on autopoiesis and knowledge of systems theory such as complex adaptive systems (CASs), which will ensure the sustained growth of a company.