OOrgan

1
Organizations as Organisms
From Images of Organization by G. Morgan
2
Systems Theory

• The essential nature of matter lies not in
  objects, but in interconnections

3
Assumptions from Systems Theory

• A system is a set of units that connect to form a
  whole.
• The whole system functions because of
  interdependence of its parts.
• Systems have input, output, control, and feedback
  processes.
• Living systems are more complex than mechanical
  systems.

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Living Systems

• Life a property of improbably complexity
  possessed by an entity that works to keep itself
  out of equilibrium with its environment.
• R. Dawkins (1986)

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8 Characteristics of Living Things (Biology 101)

• Living things
• are organized
• work together to form increasingly higher levels
  of complexity.
• metabolize
• maintain internal environment.
• grow
• respond
• reproduce
• evolve

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Characteristics of Living Systems

• Living systems learn constantly (are adaptive).
• Living systems are self-organizing.
• Life is systems-thinking.
• Living systems are webbed with feedback
  (reciprocal modification)
• Living systems are interconnected.
• Living systems are self-referential
• Living systems are autopoetic.

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Mechanistic, Holistic, Ecological Approaches

• Mechanical The part extrapolates to the whole

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Holistic Approach

• The whole is the sum of its parts.

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Deep Ecological Approach

• The whole is greater than the sum of its parts

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Organic Approach
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Attributes of Living Systems
Form (pattern)
Structure
Process
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Organisms vs. Machines

• Open versus closed
• Dynamic versus static
• Fluid versus bounded
• Adaptive versus rigid
• Complex versus simple
• Quantum versus Newtonian
• Non-linear versus linear
• Organic versus mechanistic
• Interrelationships versus objects
• Chaotic pendulum versus clock

13
Laws of Thermodynamics

• You cant win You can only break even.
• You cant even break even.

• First Law Total energy in the universe is
  constant. (Energy can neither be created nor
  destroyed.)
• Second Law Total entropy (randomness) in the
  universe is increasing.

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System Open versus Closed

• Open system exchanges energy and mass with its
  environment
• Closed system exchanges energy, but not mass
  with its environment.
• Isolated system doesnt exchange either mass or
  energy

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Self-regulation

• Desired states emerge from within system, not
  directed by external agents.
• Purposeful behavior
• Feedback loops
• Essential variables
• Living systems can anticipate disturbances that
  enhance ability to respond.

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Self-reference

• Evolve and change in ways that are consistent
  with self and with environment.
• Innate characteristics
• Continual embodiment of systems pattern of
  organization
• "the law of the situation (Follett)

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Autopoiesis

• network of production processes in which the
  function of each component is to participate in
  transformation of other components in the network

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Autocatalysis

• Feedback loops
• Reciprocal modification (Follett)
• Small change can have large effect
• Amplification and damping

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Self-organization

• Self-renewing
• Reconfiguration in face of disturbance
• Resiliency rather than stability
• Interdependence, interconnected with environment
• Collaboration
• Self-organizing systems change their environment

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Self-organization

• Domains of
• independence and interdependence
• processes that support change and stability
• continuity and newness
• autonomy and control
• A self-organizing system has the freedom to grow
  and evolve, guided by only one rule It must
  remain consistent with itself and its past

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Question

• How can you hold a hundred tons of water in the
  air with no visible means of support?

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• You build a cloud

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Equilibrium

• A condition in which all acting forces are
  canceled by others resulting in a stable,
  balanced, or unchanging system.
• (Physics) The condition of a system in which the
  resultant of all acting forces is zero.
• Thermodynamic DG 0

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Equilibrium

• End state in evolution of isolated systems, point
  at which the system has exhausted all of its
  capacity for change, done its work, and
  dissipated its productive capacity into useless
  entropy. At equilibrium, nothing left for the
  system to do.it can produce nothing. (Wheatley,
  p. 76.)
• Spontaneity/capacity for change (demo)

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Entropy The arrow of time

• In a closed system, entropy can never decrease
• Measure of disorder
• Measure of capacity to change
• Mixedupness (W. Gibbs)
• Complex to simple
• Order to disorder

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Models of Change and Adaptivity

• Evolution (Darwin)
• change is continuous and intrinsic
• natural selection
• selective reproduction
• genetic drift
• genetic variation
• random mutation
• survival of the fittest (NOT!)

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Change and Adaptivity

• Punctuated Equilibrium (Gould)
• equilibrium punctured by short periods of intense
  change and reconfiguration
• stable structures at equilibrium
• change is disruptive, rare event
• chaos theory
• occurs in small, isolated populations

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Evolution vs. Innovation

• Evolution Organism
• Improve reproductive success through gene pool.
• Impossible in large population
• Non-purposeful (species doesnt choose to
  evolve.)
• Need variation within species.

• Innovation (Organization)
• Paradigms (formal knowledge collective
  perceptions)
• Impossible if organization resists it.
• If chose to punctuate equilibrium.
• Need continual cross-fertilization between
  learning units.

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Evolution vs. Innovation

• Evolution Organism
• occurs only in small isolated populations
• mutations
• no interbreeding between species
• cannot pass on acquired characteristics
• competition for survival

• Innovation (Organization)
• occurs only in small isolated populations
• entreprenurialship
• merge and blend at will (but NIH)
• changes passed on through cultural and
  educational programs.
• Competition and cooperation

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Complex Adaptive Theory

• Dynamic systems
• Non-linear
• Network dynamics
• Multiple levels of organization and structure
• Bounded instability
• stable equilibrium or explosive instability
• Generative complexity in boundary between
  rigidity and randomness

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Dissipative Structures (Prigogine)

• Systems that maintain themselves in a stable
  state but are far from equilibrium
• Use disequilibrium to avoid deterioration
• Continual influx of energy flow, but overall
  structure is maintained.
• Continuously import energy and discard entropy
• Self-organizing systems
• Dissipate energy in order to recreate new forms
  of organization

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Dissipative Structures (Prigogine)

• Self-amplifying feedback loops push system
  farther from equilibrium until reaches threshold
  of stability
• Change agent has huge effect
• Bifurcation points crossroads between death and
  transformation
• path not predictable, but self-referential
• Increasing complexity

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Dissipative Structures

• Structure and fluidity
• Non-linear/Chaos Theory
• Vortex continuous flow but constant structure
• draining water
• storms

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Dissipative Structures

• Oscillating reactions
• Circadian rhythms
• heartbeat
• circulation
• breathing

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Organizations as Organisms
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Organizations as Organisms
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Organizations as Organisms
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Organizations as Self-Organizing Systems

• Adaptive Systems adapt form to fit task
  (adhocracies) - to fit the moment
• Capacity for spontaneously emerging structures
  that best fit present need
• Flexible response to change
• Strong relationship to environment - as matures,
  more efficient, more adaptive

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Organizations as Self-Organizing Systems

• Co-evolution with environment establishes basic
  structure facilitates insulation that protects
  system from constant, reactive changes
• Chaos forces organization to seek new points of
  view
• Organizations and their environments are evolving
  simultaneously toward better fitness for each
  other.

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Organizations as Self-Organizing Systems

• Portfolio of skills--not portfolio of business
  units
• Many levels of autonomy
• Need strong competency, identity, and vision
• Strong frame of reference (Self-referent)

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Organizations as Dissipative Systems

• Hypercycles
• multiple feedback loops
• catalytic cycles
• self-replication

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Organizational Change

• When system is far from equilibrium, creative
  individual can have a huge impact
• amplification of feedback loop
• presence of lone fluctuation gets amplified
• autocatalysis
• Bifurcation points

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Learning Organizations and Punctuated Equilibrium

• Respond to environmental changes
• Tolerate stress
• Compete effectively
• Exploit new niches
• Take risks
• Develop symbiotic relationships
• Evolve or perish?

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Characteristics of Successful Organizations

• Self-organizing or self-renewing
• Adaptive
• Flexible to internal and external change
• Feedback loops
• reflection, self-awareness, information
• Globally stable with local fluctuations
• Open system
• Self-referential

45
Living Systems Theory and Transformational
Leadership

• Organizational beliefs (genetic code)
• Feedback loop reciprocal modification
• Guiding principles, shared vision
• Straddle both continuity and discontinuity
• Adaptable
• Aware of environment
• Reflective and synnoetic
• Self-transcendent
• Adhocracy

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Transformational Leadership

• Entreprenurial
• Visionary
• Build sustainable niche in emergent economic
  systems
• Leaders task is to communicate shared values and
  guiding principles, keep them in the forefront,
  and allow individuals in the system random,
  chaotic-looking meanderings. (Wheatley, p. 133)

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Strengths of the Metaphor

• Focus on relationships and connectedness
• within organization
• between organizations
• with environment
• Change and diffusion theory
• provides model for innovation

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Weaknesses of the Metaphor

• Emphasis on cooperation rather than competition
• Need additional theories to use metaphor
  effectively
• Living Systems Theory
• Complex Adaptivity Theory
• Punctuated Equilibrium
• Non-linear Math and Chaos Theory

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The Web of Interconnectedness

• ...Whatever befalls the earth,
• befalls the sons and daughters of the earth.
• Man did not weave the web of life
• he is merely a strand in it.
• Whatever he does to the web,
• he does to himself
• in F. Capra, The Web of Life, 1996.