Open system theorist, Thompson (2007), pushed for a study of organizations as a whole with a particular emphasis on the uncertainty / certainty dimension that comes from the environment. Thompson argued that a lot of organizational behavior is an attempt to eliminate or manage uncertainty and protection of a technical core from the environment. Adding uncertainty to a definition of strategy would create a fuller and richer definition. Porter (1996) defined strategy as a "unique and valuable position, involving a different set of activities" (Porter, 1996, p. 68). Dovetailing Porter and Thompson I would suggest the following definition of strategy:
Organizations should construct activities and positions that focus on eliminating or managing uncertainty.
A test of a theory or definition is how well does it explain or predictive observed data and think this definition has that trait. Southwest Airline strategy of having short-haul, providing low-cost tickets and use of only 737 airliners have a uncertainty elimination factors. Short-hauls are subject to less delays and lost time can be made up in the air. The market for low cost airline travel was open and they seemed certain to be a leader in the market. Southwest having only one aircraft time reduces a need for cross trained pilots and mechanics.
It can be argued that adding uncertainty management to Porter's definition of strategy and adds clarity. It easy to envision a strategy process that dominated by a desire to eliminate uncertainty.
References
Porter, E. (1996, Nov. - Dec.). What is Strategy? Harvard Buiness Review , 61-78.
Thompson, J. (2007). Organizations in Action. In J. Thompson. New Brunswick: Transaction Publishers.
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