Strategic Business Leader · Concepts of strategy

Strategic Planning Models: Rational vs Incremental Approaches

Updated 11 October 2026 · Fact-checked

The rational model plans strategy in a fixed sequence: set objectives, analyse, choose, implement, control. Lindblom's incrementalism builds strategy through small, continuing adjustments. Quinn's logical incrementalism does this on purpose, guided by a broad direction. In SBL, compare them against the scenario's environment, size and culture.

Understand Strategic Planning Models: Rational vs Incremental Approaches

Strategy can be made in two broad ways. You can plan it in advance, or you can let it develop step by step. SBL expects you to compare these approaches and judge which one suits the organisation in the scenario.

The rational planning model is a formal, top-down sequence. Management sets the mission and objectives, analyses the environment and internal position, generates options, evaluates them, chooses one, implements it and then controls it. It assumes managers have good information and can forecast with some confidence. Its strengths are clear direction, coordination, a defined basis for control and a documented rationale for stakeholders. Its weaknesses are that it is slow and costly, can be rigid, relies on forecasts that may prove wrong, can stifle initiative below the top, and may separate planners from those who implement.

Lindblom's incrementalism (often called 'muddling through' or 'disjointed incrementalism') argues that managers cannot analyse everything. They have limited information and limited time, and many people with competing interests are involved. So they make small changes to what already exists, test the effect and adjust. It lowers risk, uses learning from experience and is easy for people to accept. The drawback is that it can drift without a clear direction, favour the status quo, miss big opportunities and fail to deliver major change when the environment shifts sharply.

Quinn's logical incrementalism sits between the two. Senior managers have a broad sense of where the organisation should go, but they deliberately develop strategy in steps. They test ideas, build support, learn from results and keep options open. It is purposeful, unlike pure muddling through. It suits uncertain, fast-changing settings where commitment must be built gradually. Its risks are that the direction can stay vague, that politics can slow decisions, and that it may be too slow in a crisis.

Link this to Mintzberg: rational planning aims for deliberate strategy, while incremental approaches allow emergent strategy to develop. In an exam answer, do not say one model is better. Say which fits this organisation, and why.

Key rules to remember

Rational model sequence: Objectives → Analysis → Options → Evaluation → Choice → Implementation → Control; Typical order. Real versions vary, so state the stages you use. Feedback loops are sometimes added.
Lindblom's incrementalism: Small changes to current policy → test → adjust → repeat; Also called muddling through. Managers compare options close to the current position, not all possible options.
Quinn's logical incrementalism: Broad direction + deliberate step-by-step development + learning and support-building; Purposeful and managed, which separates it from Lindblom's approach.
Suitability test for the approaches: Stable and predictable environment → rational leans stronger; uncertain or complex environment → incremental leans stronger; A guide, not a rule. Size, culture, speed of decision and stakeholder views also matter.

How to solve Strategic Planning Models: Rational vs Incremental Approaches questions

Use this method for any question on planning models, whether it asks you to explain, compare or recommend.

1Read the requirement. Note the verb: explain, compare, evaluate or recommend. Note who the answer is for.
2Define each approach briefly in one or two sentences. Name the theorist if the question does.
3Pick scenario facts: stability of the market, size, culture, speed of change, quality of information and stakeholder views.
4Give advantages and drawbacks of each approach, and tie each point to a scenario fact.
5Compare directly: control, flexibility, risk, speed, cost, buy-in and direction.
6Conclude with a reasoned view on which fits best, or whether a blend suits, such as a rational plan with incremental adjustment.
7Write in the requested format, such as a report or briefing note, and keep the tone professional.

Quickest way: Define, apply, compare, conclude

When to use it: When time is short and you have about ten minutes for a part-question on strategic planning models.

Write one line defining each model.
List two scenario facts about the environment and the organisation.
Write two points for and two against each model, each linked to those facts.
Add one sentence comparing them.
Finish with a clear recommendation and a reason.

Common mistakes in Strategic Planning Models: Rational vs Incremental Approaches

Treating logical incrementalism as the same as Lindblom's muddling through.
Both involve small steps, so they look alike.
Fix: State that Quinn's version has a broad intended direction and is managed deliberately. Lindblom's is reactive and has no overall plan.
Listing textbook advantages and drawbacks with no link to the scenario.
Students memorise lists and write them out.
Fix: Tie every point to a fact in the case, such as a volatile market, a new CEO or a regulatory deadline.
Saying one approach is always better.
Students want a clean answer.
Fix: Argue by context. A stable, regulated business may suit planning. A fast-changing tech business may suit incremental development.
Describing the rational model as guaranteed to work if followed.
It looks logical and complete on paper.
Fix: Point out its assumptions: good information, reliable forecasts and agreed objectives. Say these often do not hold.
Ignoring the people side, such as buy-in, politics and culture.
Students focus on the process steps.
Fix: Include how each model affects stakeholders, resistance and commitment, which is a strength of incrementalism.
Writing a theory essay when the question asks for advice.
Students recall the model and stop there.
Fix: Answer the requirement. If asked to advise the board, give a recommendation with reasons and any risks.

Worked examples

Example 1

A family-owned manufacturer plans to enter two new export markets. The founder wants a detailed five-year plan approved by the board. The finance director argues for entering one market first and learning from it. Compare the two approaches and recommend one.

Show the solution

Define: the founder's view is the rational planning model, with a formal sequence from objectives to control. The finance director's view is incremental, developing strategy in stages.
Rational strengths: gives clear direction, coordinates resources, supports board approval and gives a basis for control and measuring performance.
Rational weaknesses: export markets are uncertain, so five-year forecasts may be unreliable. A rigid plan could commit funds before key facts are known.
Incremental strengths: lowers risk by testing one market, lets managers learn about customers and regulation, and allows adjustment before the second entry.
Incremental weaknesses: may lack overall direction, could be slow, and may let the firm miss first-mover advantage in the second market.
Compare: the choice depends on uncertainty and the cost of error. Both markets are new to the firm, so information is weak.
Recommend a blend close to Quinn's logical incrementalism: the board sets a broad aim of export growth, enters the first market, reviews results against agreed criteria and then decides on the second.

Answer: Recommend logical incrementalism: set a broad export aim, enter one market first, review against agreed criteria, then decide on the second. This keeps direction for the board while limiting risk where information is poor.

Example 2

A board member says: 'Lindblom's incrementalism and Quinn's logical incrementalism are the same thing.' Explain whether this is right and give one advantage and one drawback of Quinn's approach.

Show the solution

State that both reject a full, upfront plan and develop strategy through steps. That is the common ground.
Lindblom: managers make small changes to existing policy because they have limited information and face competing interests. It is reactive and has no overall design.
Quinn: senior managers hold a broad direction and manage the step-by-step process on purpose. They test ideas, build support and learn from results.
So the statement is only partly right. They share incremental development but differ in intent and direction.
Advantage of Quinn's approach: it builds commitment and allows learning in uncertain conditions while keeping a direction.
Drawback: the direction may remain vague, and gradual decisions can be slow or delayed by internal politics, which is a problem in a crisis.

Answer: The statement is only partly right. Both use small steps, but Lindblom's is reactive muddling through while Quinn's is deliberate and guided by a broad direction. Quinn's approach builds commitment and learning, but can be slow and vague.

Exam tips

Always link the model to the scenario. A clear fact about market stability or speed of change earns more than a general list.
Name the theorist when the question does, but explain the idea in plain words so the marker sees understanding.
Use this topic with Mintzberg's deliberate and emergent strategy. Linking them shows range and can lift your analysis mark.
If the task asks for a recommendation, give one. A blended approach is acceptable if you justify it.
Show professional skills: keep to the format asked, be concise and show commercial awareness in the judgement you make.

Practice questions from Concepts of strategy

Strategic Planning Models: Rational vs Incremental Approaches: frequently asked questions

What are the main advantages and disadvantages of the rational planning model?

Advantages include clear direction, coordination, a basis for control and a documented rationale. Disadvantages include cost, rigidity, dependence on forecasts and limited input from lower levels. In exams, tie each point to the scenario.

What is logical incrementalism in simple terms?

It is Quinn's idea that senior managers hold a broad direction but develop strategy in deliberate steps. They test ideas, learn and build support as they go. It is planned flexibility, not drift.

How is incrementalism different from the rational model?

The rational model plans in a set sequence before acting. Incrementalism develops strategy through small changes and learning over time. The first values control and direction, the second values flexibility and lower risk.

Which approach should I recommend in an SBL answer?

Recommend the one that fits the scenario and justify it. A stable setting with good information leans rational, and an uncertain one leans incremental. A blend is often sensible if you explain it.