How do emotions shape strategy making? We investigated this topic when we studied how Nokia executives dealt with the company’s severe strategic challenges between 2007 and 2013. As part of this research, we conducted 120 interviews, including nine with board members and 19 with top managers.
How Nokia Embraced the Emotional Side of Strategy
How do emotions shape strategy making? A pair of researchers investigated this topic by doing a close analysis of Nokia’s severe strategic challenges between 2007 and 2013. As part of this research, they conducted 120 interviews, including nine with board members and 19 with top managers. They found that while emotions are often dismissed as the “soft stuff,” they have profound effects on strategy. To avoid emotions having a negative effect on strategic decision-making, managers can do three things. First, increase trust by setting clear, and healthy, conversational norms. Second, reduce emotional attachment to a failing strategy by generating many new options — not just one alternative. And third, nudge top managers to pay attention to data that conflicts with their gut feelings.