What role does organizational strategy play in designing organizations?

Organizational strategy basically has two roles in designing organizations.First, organizational strategy has an intervening effect because the size, environment and technology contingencies shape management's thinking about the best structure for the organization.Organizational size, environment and technology shape organizational structure only to the extent that they influence organizational strategy.Organizational leaders change organizational structures only after they decide to do so.This happens through strategy, not automatically through the contingencies of design.
The second role of strategy is that it may reshape the contingency factors which, in turn, influence organizational structure.For example, if leaders find their organization in a hostile or complex environment, they may decide to shift the organization's mandate and resources into areas where there is more munificence and simplicity.To the extent that the organization is able to move into different environments, organizational strategy shapes organizational structure.