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Microfoundations of strategic problem formulation†

Author

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  • Markus Baer
  • Kurt T. Dirks
  • Jackson A. Nickerson

Abstract

Before a strategy can be developed, the problem it is supposed to address needs to be formulated. We establish the microfoundations of strategic problem formulation by developing a theory that predicts a core set of impediments to formulation that arise when complex, ill‐structured problems are addressed by heterogeneous teams. These impediments fundamentally constrain and narrow problem formulation, thereby limiting solution search and potential value creation. We establish these impediments as a set of design goals, which, if remedied by an appropriately constructed mechanism, can expand problem formulation to be more comprehensive. Finally, we consider how organizations can improve problem formulation by creating a structured process that satisfies the theoretically derived design goals and detail a specific example of this mechanism (collaborative structured inquiry). Copyright © 2012 John Wiley & Sons, Ltd.

Suggested Citation

  • Markus Baer & Kurt T. Dirks & Jackson A. Nickerson, 2013. "Microfoundations of strategic problem formulation†," Strategic Management Journal, Wiley Blackwell, vol. 34(2), pages 197-214, February.
    • Handle: RePEc:bla:stratm:v:34:y:2013:i:2:p:197-214
    DOI: 10.1002/smj.2004
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    Cited by:

    1. Ward, Mark & Osiyevskyy, Oleksiy, 2025. "Design-led innovation as a generative source of competitive advantage," Business Horizons, Elsevier, vol. 68(5), pages 687-698.
    2. Daniella Laureiro-Martinez & Jose Pablo Arrieta & Stefano Brusoni, 2023. "Microfoundations of Problem Solving: Attentional Engagement Predicts Problem-Solving Strategies," Organization Science, INFORMS, vol. 34(6), pages 2207-2230, November.
    3. Chan Hyung Park & Markus Baer & Jackson Nickerson, 2025. "Looking at the Trees to See the Forest: Construal Level Shift in Strategic Problem Framing and Formulation," Organization Science, INFORMS, vol. 36(5), pages 1962-1979, September.
    4. Arnaldo Camuffo & Alfonso Gambardella & Andrea Pignataro, 2024. "Theory-Driven Strategic Management Decisions," Strategy Science, INFORMS, vol. 9(4), pages 382-396, December.
    5. Bijuan Zhong & Mona V. Makhija & Shad Morris, 2022. "Abstract Versus Concrete: How Managers’ Construal Influences Organizational Control Systems and Problem Solving," Organization Science, INFORMS, vol. 33(6), pages 2322-2345, November.
    6. Jacob Valentine & Elena Novelli & Rajshree Agarwal, 2024. "The Theory-Based View and Strategic Pivots: The Effects of Theorization and Experimentation on the Type and Nature of Pivots," Strategy Science, INFORMS, vol. 9(4), pages 433-460, December.
    7. Reinsberger, Kathrin & Kolbjørnsrud, Vegard & Mehner, Barbara, 2026. "Deliberate exploratory search in technology innovation: Discovering and developing need-solution pairs," Research Policy, Elsevier, vol. 55(1).
    8. Robert P. Bremner & Kathleen M. Eisenhardt, 2022. "Organizing Form, Experimentation, and Performance: Innovation in the Nascent Civilian Drone Industry," Organization Science, INFORMS, vol. 33(4), pages 1645-1674, July.
    9. Chan Hyung Park & Markus Baer, 2022. "Getting to the Root of Things: The Role of Epistemic Motivation and Construal Levels in Strategic Problem Formulation," Strategy Science, INFORMS, vol. 7(4), pages 284-299, December.
    10. Akhil Bhardwaj & Anastasia Sergeeva & Joseph Mahoney & Jackson Nickerson, 2025. "Theorizing as Problem Solving: A Pragmatist Perspective on the Logic of Pursuit," Strategy Science, INFORMS, vol. 10(4), pages 338-359, December.
    11. Amyn Vogel & Monica Nadegger & Barbara Wolf & Jelena Spanjol & Ali Aslan Gümüşay & Laura Marie Edinger-Schons & Christine Volkmann & Kristin Krebs & Julian Bafera & Larissa Gebken & Paul Vilchez & Fel, 2025. "Impact Entrepreneurship: Reimagining Entrepreneurial Purpose and Research for Driving Societal Impact," Schmalenbach Journal of Business Research, Springer, vol. 77(4), pages 681-717, December.
    12. Yang, Jiho & Criscuolo, Paola & Sharapov, Dmitry, 2025. "Autonomous inventions, problem formulation, and inventive outcomes," Research Policy, Elsevier, vol. 54(7).

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