Am I late to the party on Effectuation and Saras Sarasvathy at the University of Virginia (found it through some of the Babson folks and their new book, Action Trumps Everything)? From the Effectuation video:
Effectuation is an idea with a sense of purpose – a desire to improve the state of the world and the lives of individuals by enabling the creation of firms, products, markets, services, and ideas.
Effectuation is a logic of entrepreneurial expertise, developed from a cognitive science based study of 27 founders of companies ranging in size from $200M to $6.5B. Effectuation articulates a dynamic and iterative process of creating new artifacts in the world. Effectual reasoning is a type of human problem solving that takes the future as fundamentally unpredictable, yet controllable through human action; the environment as constructible through choice; and goal as negotiated residuals of stakeholder commitments rather than as pre-existent preference orderings.