Does strategy rhyme with austerity?
A two-way relation links austerity to strategy. On one hand, global economic and financial crises are expected to influence strategic planning practices of public managers struggling to ensure that while their organizations shrink they remain functional and effective. On the other, the type of strategic planning adopted is expected to influence the effectiveness of the crisis management strategy. The authors addressed the following research questions: What are the effects of austerity on strategic planning practices? Does the type of strategic planning matter for crisis management? The paper analyzes the strategic behaviours of the largest fifteen Italian cities during the crisis and their effects. Decision-making behaviour is grouped under five different models: formal strategic planning, logical incrementalism, a combination of formal strategic planning and logical incrementalism, disjointed incrementalism and inertia.
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Public Management Review