How Strategies Happen: A Decision-Making Framework

Abstract

This multiple-case study investigates the decision to upgrade existing computer-aided design and computer-integrated engineering (CAD/CIE) systems in four international architectural, engineering, and construction (AEC) firms. Conventional methods of viewing strategy formation do not reflect the importance of dynamic elements (clients, champions, technical competence, etc.) in making strategic decisions. Four decision factors developed in this investigation—Tangent (impetus), Titanic (risk), Timing, and Technology—provide a useful vehicle to understand the strategic decision-making process and help to create a knowledge base of strategic issues within the AEC industry. The overall finding is that strategic decisions spring from many sources external to a formal planning process and that the strategy formation process is not linear. The research also identifies several ways for AEC firms to increase the effective use of CAD/CIE.