Complexity Theory and Strategic Change: an Empirically Informed Critique^*

Abstract

We present a four-year ethnographic study of a public-sector organization and use narrative to describe its development in terms of four complexity theory concepts: sensitivity to initial conditions, negative and positive feedback processes, disequilibrium and emergent order. Our study indicates that order emerges at the boundary between the organization's legitimate and shadow systems. We suggest that the underlying dynamic leading to the emergent order is the need to reduce anxiety. Our findings cause us to question the assertion that organizations are naturally complex adaptive systems producing novel forms of order. We propose an alternate view that in social systems, equilibrium-seeking behaviour is the norm; such systems can self-organize into hierarchy. We draw attention to some of the difficulties we found in applying complexity-theory concepts to a social system and conclude by advocating the development of complexity theory through the incorporation of insights from psychology and social theory.

The Future of the Food System: Cases Involving the Private Sector in South Africa

“…For example, one area where CAS theory has been strongly advocated, but where its plurality and lack of coherence has proved problematic, is in the study of social systems like organisations. Results of such studies have shown that during their development, organisations tend towards equilibrium and stability rather than novelty or dynamism and that power differentials and other psycho-sociological factors are more relevant than those relating to adaptive behaviour, self-organisation or emergence [15]. As social organisations, the food businesses that provide the case studies for this paper are used to illustrate that practically this "tendency towards equilibrium" can be overcome when an organisation needs to respond to complex and uncertain future environments or "turbulence."…”

Criticism and outstanding leadership: an evaluation of leader reactions and critical outcomes

“…While constructive criticism is generally delivered with the intent of improved performance, such as in the context of feedback interventions, hostile criticism aimed at an outstanding leader is generally delivered with the intent to spur some kind of change due to current dissatisfaction. It may be that, similar to negative feedback models discussed by strategy theorists, hostile criticisms are delivered when there is a need to tighten the difference between desired and actual behavior (Houchin & MacLean, 2005). Thus, it is likely that hostile criticisms may significantly impact leader change behaviors.…”

Leading Change and the Challenges of Managing a Learning Organisation in Hong Kong

“…In the past decade, the complexity theory has been popular among researchers seeking to understand organisational change (Houchin & MacLean, 2005). Stemming from the chaos theory (Sammut-Bonnici & Wensley, 2002), the complexity theory suggests that the increasing complexity of all systems over time leads to more changes, and the cycle starts over again (Mason, 2007).…”