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1. Forelæsning – d. 26. august 2013 Strategisk ledelse.

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1 1. Forelæsning – d. 26. august 2013 Strategisk ledelse

2 Lectures, autumn 2013 WeekDateSubjectLiterature 3526. augIntroduction to the courseN/A 362. SepA roadmap through Staceys universeStacey #1 + 2 379. SepThinking in terms of strategic choiceStacey #3 3816. SepIntroducing mini projects and forming groupsN/A 3923. SepCybernetic systems, Cognitivist and humanistic psychologyStacey #4 - 4.3 4030. SepCybernetic systems, Cognitivist and humanistic psychologyStacey #4.4 - 4.8 417. OctComplexity sciences + The interplay of intentionsStacey #12 42Autumn vacation 4321. OctComplex responsive processes of conversationStacey #13 4428. OctInteraction of strategising and patterns of strategyStacey #14 454. NovComplex responsive processes of ideology and power relatingStacey #15 4611. NovModes of articulating patterns of interactionStacey #16 4718. NovComplex Responsive Processes of strategisingStacey #17 4825. NovComplex Responsive ProcessesStacey #18 492. DecWrap up – Mini projectsN/A 5116. DecHand in of mini projects no later than 14:00N/A

3 Taken for granted assumptions Expectation to find tools and techniques that operates in: – The ’big picture’, The ’Long Term’, ’Whole organization’ – Direction to which the organization is intended to move Strategic Management taken as the ’Leader’ Blame goes to – Failure of Leadership – Communication etc. The textbook critiques existing body of knowledge of Strategic Management – It does NOT provide tools or techniques, rather it invites to reflect on why we insist on having these provided The book is about reflecting and thinking about why we are thinking about Strategic Management the way we do!

4 The origin of modern concepts Introduction of share based organizations WW2Present Management as Social discipline Management as Logistics discipline Management as Optimization discipline ?

5 Stable global structures and fluid local interactions

6 Strategy and organizational change Our focus is is ways of thinking about how organizations change over time How organizations have become what they are and how they will become whatever they will be Two basic questions for summarizing theories: – What are the phenomena that are being talked when the terms ’Strategy’ and ’Organizational Change’ are used? – How do human beings make sense of the phenomena, including those that this bookis concerned with, and in what traditions og thought is such sense-making located?

7 The phenomena of interest: Dynamic Human organizations Populations of organizations Over time, organizations are set up and dissolved, primarily small ones but also larger Average lifespan in Western countries: 40 years Changes are seen through mergers and divests Organizations supply each other with goods and services and some exert power over others. Geographical changes Changes in government of organizations

8 The phenomena of interest: Dynamic Human organizations Dynamic Phenomena Stability and change simultaneously The phenomena of interest is highly dynamic Dynamic phenomena displays patterns as they evolve over time A study of these are concerned with what generates these patterns and properties of: – Stability / instability – Regularity / inregularity – Predictability / unpredictability Key questions

9 The phenomena of interest: Dynamic Human organizations Degrees of detail Macro level of analysis; whole organizations Micro level of analysis; individual human beings Distinct levels (ontological) of reality? Or could be different degrees of examination. In these theories, individuals, groups and organizations are simply aspects of the same processes of human interaction Account of political and emotion involved

10 The phenomena of interest: Dynamic Human organizations Interaction Strategy and organizational change is about interaction In systems theory, interactions are carried out on same systems layer Stacey points out an alternative; as responsive processes of direct communicating and power relating between human bodies Systemic vs. responsive process theories. Key question; interaction and interconnection distinguishes theories from each other

11 Introduction to Ontology and Epistemology Ontology is concerned about reality. It deals with questions concerning what entities exist or can be said to exist, and how such entities can be grouped, related within a hierarchy, and subdivided according to similarities and differences Parmenides was among the first to propose an ontological characterization of the fundamental nature of reality. Epistemology is concerned with knowing how you can know. It is focused on analyzing the nature of knowledge and how it relates to similar notions such as truth, belief, and justification. It also deals with the means of production of knowledge, as well as skepticism about different knowledge claims.

12 The three perspectives (Classic)..... ModernismSymbolic InterpretivismPostmodernism Ontology Objectivism – belief is an objective, external reality whose existence is independant of our knowledge of it. Ontology Subjectivism – the belief that we cannot know an external or objective existance apart from our subjective awareness of it; that which exists is that which we agree exists- Ontology Postmodernism – the belief that the world appears through language and is situated in discourse; what is spoken of exists, therefore everything that exists is a text to be read or performed Epistemology Positivism – we discover truth through valid conceptualization and reliable measurement that allows us to test knowledge against an objective world; knowledge accumulates allowing humans to progress and evolve Epistemology Interprevism – all knowledge is relative to the knower and can only be understood from the point of view of the individuals who are directly involved; truth is socially constructed via multiple interpretations of the objects of knowledge thereby constructed and therefore shifts and changes through time Epistemology Postmodernism – knowledge cannot be an accurate account of truth because meanings cannot be fixed; there is no independent reality; there are no facts, only interpretations; knowledge is a power play Organizations are Objectively real entities operating in a real world. When well designed and managed they are systems of decision and action driven by norms of rationality, efficiency and effectiveness for stated purposes Organizations are Continually constructed and reconstructed by their members through symbolically meditated interaction. Organizations are socially constructed where meanings promote and are promoted by understanding of the self and others that occurs within the organizational context Organizations are Sites for enacting power relations, opression, irrationality, communicative distortion – or areans of fun and playful irony. Organizations are texts produced by and in language; we can rewrite them so as to emancipate ourselves from human folly and degradation Focus on organization theory Finding universal laws, methods and tech- niques of organisation and control; favors rational structures, rules, standardized procedures and routine practices. Focus on organization theory Describing how people give meaning and order to their experience within specific contexts through interpretive and symbolic acts, forms and processes Focus on organization theory Deconstructing organizational texts; destabilizing managerial ideologies and modernist modes of organizing and theorizing; revealing marginalized and oppressed viewpoints; encouraging reflexive and inclusive forms of theorizing and organizing

13 Making sense of the phenomena: Realism, relativism and idealism Different views on reality, sense and human beings RealismPostmodernism (Relativism) IdealismConstructivismSocial Constructionism Reflexivity Reality is pre- given No inherent limits to human comprehension of reality Research progressively uncovers more and more of reality Categories in which people classify their experiences are held to exist only in their minds, not out there in reality! All explanations are a projection of your own mind No pre-given reality outside humans, only stories we tell each other. It is in the ways we think that the patterning of our experience arises. However, idealists do not believe that our sense-making is purely relative Humans inherit mental categories and understand their world in terms of them. Because of biological evolution, humans are capable of perceiving the world in one way but not others. A form of idealism There is no reality out there! Reality is socially constructed in language Basis is social interaction, particular in conversation Reflexive entities that bend back upon themselves Humans are reflexive in the sense that any explanations they produce are the products of who they are, as determined by their histories. My approach is the product of who I am and how I think.

14 Making sense of the phenomena: Realism, relativism and idealism The individual and the group Romantic idealist, reflexive, social constructionist, very significant on assumptions individual/group Realist, idealist and constructivists presents capacities / limits of the autonomous human being Romantic idealist view on individual and group are paradoxical in nature and central to the book. Any view on the nature of strategy and change, implies a view on the nature of human knowing

15 Making sense of the phenomena: Realism, relativism and idealism The nature of causality Western culture implies linear cause / effect Increasingly departure from this approach, due to its simplistic nature -> mutual / circular Bidirectional and nonlinear causes and effects, one variable can have more proportional effect Thinking about causality is important when thinking about strategy and change

16 1: How does the theory understands interactions and relations Level – System – Proces Dynamics – How does the phenomena evovle over time? (in)stability & (un)predictability Causality – Cause and effect relations S TACEYS FOUR QUESTIONS

17 2: Which psycological standpoint is taken? Cognitive Human Psycho analytical Relational psycological – Relation between individual and group – Emotion and power S TACEYS FOUR QUESTIONS

18 3: Which methodology does the theory Support? – Is the CEO an: Objective observer Participating reflective inquirer S TACEYS FOUR QUESTIONS

19 4: How does the theory deal with paradoxical nature? Dichotomy – Contradictions that excludes each other. It is ‘Either … Or’ Dilemma – two equally unattractive alternatives, It is ”Either … Or” Dualism – two independent and contradictorily features that can be eliminated / solved by ”Both … And” Paradox – para ´Besides´ + dóksa ´meaning, learning´ - ” Both … And” S TACEYS FOUR QUESTIONS

20 Next time Please read chapter three

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