Organizational Analysis Daniel A.

McFarland Stanford/Coursera Fall 2012

Summary Table of Organizational Theories (Weeks 1-5)

Rational Actor (RA) When does it apply? Exists when there is a unified actor with consistent preferences, lots of information, and clear goals (and time calculate). Organizational Process (OP) / Limited Problem Solver (LPS) Exists when the decision is guided by a logic of appropriateness matching problem to actors with procedures for handling it (routineprocess focus). Dividing up problem, coordinating / activating organizational actors who have special capacities / SOPs for parts of problem, conducting sequential attention to objectives (localized searches until problems resolved). Action guided by processes / available routines. Coalitions / Bureaucratic Politics (BP) Exists when there are multiple actors with inconsistent preferences and identities, and none of whom can go it alone without assistance of others. Focus on the players occupying various positions; their parochial interests (their conceptions of problems and solutions); their resources (expertise, money, people) and stakes in game; and bargaining processes between them that establish agreements / coalitions. Organized Anarchies / Garbage Can (GC) Exists when solutions are unclear, participants turn over, and preferences/identities are inconsistent. Organizational Learning (OL) / Knowledge-Practice Model Exists when there are clear feedback loops, adaptations, memory, and support of actorexpertise / adaptations of rules to local reality. Acknowledges routines, but focuses on practices within them that enable their continual adaptation and change to fit reality i.e., practices reflecting organizational intelligence.

Summary or Basic Argument

Unitary actor or team that confronts a problem, assesses objectives (goals) with regard to it, identifies options, the consequences of said options, and then chooses option that minimizes costs. Variant: Bounded rationality and satisficing. Recognize imperfect info, ambiguity, and select first satisfactory option (good enough). Key Organizational Elements Technology Maximization of options (how solutions (solutions). get decided) Participants Goals (what probs to resolve) Social Structure Unified team or actor Goals are defined in regard to problem. Formal roles, hierarchical.

Focus on choice arenas (when choice opportunities / windows arise); the distinct and decoupled streams of problems, solutions, and participants; and their access rules to the arena (whether structural or timed).

Matching identity and SOPs (solutions) / programs / repertoires to problem. Organizational positions Objectives compliance to SOPs, match with problem parts. Actors in hierarchical organizational positions. Cue sequential routines that accomplish task or solve problem by routines available (supply issue). NA

Bargaining, or playing the game (within its rules), or political maneuvering. Players in positions Parochial priorities, goals/interests, stakes / stands. Coalitions enemy/friend

Confluence of multiple streams, such that solution is connected to problems and enough actor-energy to see it through. Participant stream shaped by political / career cycles & unplanned departures. Problems stream determined by public opinion, prominence / vocalness of problems in firm, etc. Access rules segmented, hierarchical, or democratic.

Internal adaptation, or where actors alter routines for the better and fit reality (knowledge). Members of organization doing work / SOPs Application problems pattern recognition not there (no fit). Informal, lateral relations, communication, negotiation, & collective improv. Actor identities (demand) important. Network of practice (professional identity / reach) & community of practice (cohesive group). Source of inter-organizational knowledge / tricks / transfers. Action = result of local actors collaborative search (trial & error / transfer) and adapting rule to situation. Find ways to create lateral ties among workers so knowledge is passed / transferred more readily / quickly (if possible, quickly), create means to organizational memory of what works. Create applied, social learning experiences with means to retaining and transferring expertise. Want communication, collective improvisation, practice and knowledge sharing to arise.

Environment

Not salient except as influencing consequences of options. Action = Maximization of means to ends. Know alternatives and their consequences for the shared goal, and select wisely. Improve information and analysis. Management by consequences.

Deadlines and wider array of stakeholders. Action = result of political bargaining. Bargain with players (log-roll, horse-trade, hinder oppositions coalition formation, etc). Learn others interests / weaknesses so you know how to manipulate and win. Direct management of relations via bargaining.

Deadlines and other choice arenas (e.g., decision in current arena may be means of access to another choice arena) Action / decision = result of streams collision in choice arena. Time when your solution is raised (to coincide with right participants and cycle of problems) to maximize energy; abandon entangled initiatives; know how to overload system for policies you detest; and generate choice opportunities that work to your interests (access/timing). Indirect managing of situations.

Dominant Pattern of Inference Management Strategies

Action = output close to prior output (path dependence), cueing of SOPs appropriate to problem. Know SOPs, what problems they go with (matching), and who cues them. Improve rules and matching with problems. Management by rules.

Organizational Analysis Daniel A. McFarland Stanford/Coursera Fall 2012