Organizational routines and context alteration: a reconciliation

Abstract

The ability to adapt to a changing environment is necessary for the survival of organizations. The choice under uncertainty conditions is one of the central problems in managerial theories of choice. That is also the reason why evolutionary researchers seek a way of adapting to the environment, and one of the concepts embedded in an evolutionary stream are the routines. The routines constitute a generative, dynamic, and emerging system that creates various effects regarded as the continuum: from very stable to continuously changeable ones. The purpose of the paper is to shed light on the routine concept based on the management, evolutionary and change literature. Consequently the paper presents a conceptual framework concerning the relationships between the relative rate of the context changes and the nature of routines, resulting in their different types. The potential setting and research directions for the empirical studies based on this conceptual framework have been also addressed. The methodology encompasses a deductive approach and the method that has been used is critical literature studies. The overarching key finding of the paper is that routines constitute a social phenomenon that is always a barrier to changes, yet regarding evolutionary theory, it is also the chance for changes.

The dynamics of entry mode choice in challenging business environments: an exploratory study of medium sized exporters' entry into Africa

“…Inertia in organisations originates from opposition to change, and "it means that organisations respond relatively slowly to the occurrence of threats and opportunities in their environment" [Hannan and Freeman, (1984), p.151] and must thus be understood in relative terms, as it describes the endeavour to preserve 'status quo' relative to changes in the environment. The fact that an organisation has a high level of inertia in one context does not imply high inertia in a different context (Hannan and Freeman, 1984;Stanczyk-Hugiet et al, 2017). This corresponds with the central notion that previous experience increases the probability of change (Cyert and March, 1963), and this means that limited experience in a specific context is likely to increase inertia.…”

Organisational Routines and Interfirm Collaboration: Measurement Dilemmas and Recommendations for Further Research Steps

“…To do so, we have made an extensive literature review of routines and inter-firm relationships. The up-to-date literature, in general, emphasises the potential of the routine for change and flexibility (Aroles and McLean, 2016;Geiger and Schröder, 2014;Pentland, Feldman, Becker, and Liu, 2012;Stańczyk-Hugiet, Piórkowska, and Stańczyk, 2017;Yi, Knudsen, and Becker, 2016).…”