This paper presents an attempt to integrate the two major opposing streams of philosophy of science, that is, the traditional reductionist/logical empiricist approach with the more modern relativistic/holistic approach. Even though the two approaches represent opposite views in the philosophy knowledge creation, the combination of the two is possible as they also share common characteristics. As a result the synergetic effects of the combination draw new directions for research methods and model development. The aim of this paper is to combine the explicit knowledge on strategic management stored on the Product Impact of Marketing Strategy (PIMS) database, with the conceptual framework of Systems Thinking, and the simulation capabilities of System Dynamics. The combination is implemented in the form of an integrated generic System Dynamics model, that includes market related factors, quality related factors and system structural factors that influence the success of any management strategy. The integrated generic system dynamics model can serve as a strategic management centre that can be utilized by a Strategic Business Unit in deciding how to compete in an uncertain and rapidly changing environment. Various business scenarios can be tested by simulating organizational operations and environmental processes, whereby effective strategy formulation can be carried out.