1. Senter for teknologi, innovasjon og kultur (TIK) - Universitetet i Oslo Environments Tirsdag 15. november 2005 Forelesning 3

2. Senter for teknologi, innovasjon og kultur (TIK) - Universitetet i Oslo Core question Which factors determine how organizations relate to their environments?

3. Senter for teknologi, innovasjon og kultur (TIK) - Universitetet i Oslo Outline 1.Levels of environments 2.Characteristics of environments 3.Interdependence of Organizations and Environments 4.Buffering and bridging tactics 5.Change at multiple levels

4. Senter for teknologi, innovasjon og kultur (TIK) - Universitetet i Oslo 1. Levels of environments Organizational sets: –Those organizations that a focal organization interacts with. Organizational domain –Range of products/services, types of clients/consumers Both view the environment from the standpoint of a focal organization

5. Senter for teknologi, innovasjon og kultur (TIK) - Universitetet i Oslo 1. Levels of environments Organizational populations: –Aggregats of organizations that are similar in kind (newspapers, hospitals, restaurants etc.) –What determines the boundaries of populations? Blueprint for organizational action Dominant competences Organizational forms – normative enforcement

6. Senter for teknologi, innovasjon og kultur (TIK) - Universitetet i Oslo 1. Levels of environments Interorganizational communities –Geographical group of organizations –Collectively beneficial structures within the community –But what about hierarchical linkages?

7. Senter for teknologi, innovasjon og kultur (TIK) - Universitetet i Oslo 1. Levels of environments Organizational fields: –”collection of interdependent organizations operating with common rules, norms, and meaning systems.” Interdependence and coevolution Disappearance and emergence Intermediary between organizations and larger societal structures

8. Senter for teknologi, innovasjon og kultur (TIK) - Universitetet i Oslo 2. Characteristics of environments Material-resource environments –Task environment (all aspects relevant for goal setting and attainment) –Stocks of resources (dependence on others for resources) –Sources of information (uncertainty)

9. Senter for teknologi, innovasjon og kultur (TIK) - Universitetet i Oslo 2. Characteristics of environments Institutional environments –Regulative institutions –Normative institutions –Cultural-cognitive institutions –Eksempel: Norske Skog og Union

10. Senter for teknologi, innovasjon og kultur (TIK) - Universitetet i Oslo 2. Characteristics of environments Cultural-cognitive institutions –Rationalized myths ”Organizations receive support and legitimacy to the extent that they conform to contemporary norms of the ”appropriate” way to organize.”

11. Senter for teknologi, innovasjon og kultur (TIK) - Universitetet i Oslo 2. Characteristics of environments Institutional foundations of material-resource environments –Technologies are shaped by social intentions and concerns –Markets are socially constructed –Rules regulate activity –Institutions shape the nature of preferences and courses of action

12. Senter for teknologi, innovasjon og kultur (TIK) - Universitetet i Oslo 2. Characteristics of environments Technical control –Output control (What you produce is important) Institutional control –Procedural and structural control (How you do it is important)

13. Senter for teknologi, innovasjon og kultur (TIK) - Universitetet i Oslo 2. Characteristics of environments Banks Hospitals Manufacturing RestaurantsSchools Stronger Weaker Institutional controls Technical controls

14. Senter for teknologi, innovasjon og kultur (TIK) - Universitetet i Oslo 3. Interdependence of Organizations and Environments Organizations interpret and choose their environments –Enactment –Attention structure (cannot attend everything) –Information systems (what you measure)

15. Senter for teknologi, innovasjon og kultur (TIK) - Universitetet i Oslo 3. Interdependence of Organizations and Environments Organizations can influence their environment –Large org –Advertising –Lobbying –PR

16. Senter for teknologi, innovasjon og kultur (TIK) - Universitetet i Oslo 3. Interdependence of Organizations and Environments Organizational boundaries may change –Expansion and contraction

17. Senter for teknologi, innovasjon og kultur (TIK) - Universitetet i Oslo 4. Buffering and bridging Technical buffering tactics –Techniques that seal off the core technology from the environment –Create stability and predictability

18. Senter for teknologi, innovasjon og kultur (TIK) - Universitetet i Oslo 4. Buffering and bridging Technical buffering tactics –Coding (controlling inputs) –Stockpiling (keeping a stock of resources) –Leveling (keeping input and output steady) –Forecasting (anticipation of demands) –Adjusting scale (keeping output at the right level)

19. Senter for teknologi, innovasjon og kultur (TIK) - Universitetet i Oslo 4. Buffering and bridging Technical bridging tactics Techniques that secure support from other organizations that are important –Bargaining –Contracting –Co-optation –Hierarchical contracts –Joint ventures –Strategic alliances –Mergers –Associations –Government connections

20. Senter for teknologi, innovasjon og kultur (TIK) - Universitetet i Oslo 4. Buffering and bridging Institutional buffering tactics Tactics that allow organizations to not really adjust to changes in institutions –Symbolic coding –Decoupling (display elements that are normatively required but have no real impact) –Avoidance (ways to not comply)

21. Senter for teknologi, innovasjon og kultur (TIK) - Universitetet i Oslo 4. Buffering and bridging Institutional bridging tactics Tactics that create conformity with environmental demands –Categorical conformity –Structural conformity –Procedural conformity –Personell conformity

22. Senter for teknologi, innovasjon og kultur (TIK) - Universitetet i Oslo 5. Change at multiple levels Two main processes: adaptation and selection –Sub-organizational level –Organizational level –Population level –Field level