4. Evolutionary Paradigm
• The evolutionists tell us that the idea that we can change and
improve our corporate survival chances by thinking through our
situation and trying to develop an adequate strategy is based on
an illusion.
• In this strategy process of random experimentation and filtering
out unsuccessful.
5. Processual Paradigm
The processualist holds that
we need to get into a loop
linking action, perception and
thinking towards continual
learning. An effective strategy
is one that triggers our
successful launch into that
learning loop.
6. Organisation as Organisms
• The processual paradigm sees the organisation as a complex adaptive system.
• Upper level guiding and constraining the actions of the lower. It is the constraints
on the lower level management that creates emergent behaviour at higher level.
Elements in Strategic management
8. Strategic Conversation
• Process of conversation can elements of personal observation and thought
be structured and embedded in the accepted and shared organisation
theories in use.
• New perception of opportunities & threats can become institutional
through time.
Contribution of Evolution Any View
The contributions to the institutional learning process from rationality
(conversation based on rational argument) and process (the creation of
alignment and joint plans and actions). However, the model is not complete
without evolution.
9. Learning Pathologies
• Two potential pathologies:
1. Divergence of view can become a self-enforcing process, with
lack of consensus leading to divergent action, divergent
experiences, and a further erosion of what is left of the common
view.
2. ‘‘groupthink’’
10. The Integrative Model
• Alignment of ideas and mental models
(integration) is crucial to trigger the institutional
learning loop through joint action.
• The learning process acts as a reinforcing
feedback loop. Without active management it will
spiral out of control towards serious
dysfunctionality.
• Too much alignment leads to a lack of requisite
variety (differentiation), leading to an
impoverished ability to appreciate what is going
on.
• Too little alignment leads to fragmentation and
ultimately dissolution of the organisational logic.
11. Speed of Organisational Learning
• Faster learning requires shorter organisational loop…
How can we speed up the organisational learning?????
1. Unblocking Communication channel
2. Reduce the length of the loop
Decentralisation (highly flexible & adaptive but reduces
economies of scale)
Centralisation (cost leadership)
Managerial dilemma- balance both, economies of scale with
adaptability.
12. Scenarios & Institutional Learning
• At individual level:
cognitive
perception device
cognitive reflection tool
• At group level:
ready made language provider
conversational facilitation
vehicle for mental model alignment
