In order to deduce the perfect corporate strategy and resolve business problems, organizations are now using algorithmic functions. These complex solutions have been devised over enormous quantities of data and past examples studied. It includes a dynamic study of irrational as well as rational behaviour models in businesses. Such models bridge the gap between the canonical theory and the actual practical execution of business targets. Different organizational structures are built to absorb different kinds of shocks. Once problems are properly mapped out, their solutions can be inferred through such complex algorithmic analysis.

Source:http://hbswk.hbs.edu/item/algorithmic-foundations-for-business-strategy