A Quantum Approach in Strategic Leadership: Investigating a Dynamic Model for Measuring Structural Entropy and Firm Value

Abstract

Great strategic management is essential to an entrepreneurial firm’s success. However, choosing effective strategy and aligning the organization’s structure to this strategy is a very difficult task. This paper addresses how specific strategic processual elements that are chosen at the initial strategic planning level can cause an organization’s sub-systems to interact and influence entropy at the super-system level. These strategic processual elements are identified and classified based upon their strategic focus and then evaluated and analyzed in the model to determine their entropic impact on the firm’s organizational structure. The quantum model developed in this paper has the potential to serve as both a tool for performance measurement and a tool for enhancing strategy development. The model’s primary use is to assist management in the mitigation of structural entropy and the enhancement of firm value.

Keywords: strategy, strategic, entropy, management, structure, organizational, organization, theory, model, alignment, leadership, leader, manager