WWWe Conference, 16-17 April 2002WWWe Conference, 16-17 April 2002

CONDITIONS FOR NEW WAYS OF ORGANIZING, CONDITIONS FOR NEW WAYS OF ORGANIZING, USING ICT: DEALING WITH PSYCHOLOGICAL USING ICT: DEALING WITH PSYCHOLOGICAL

DILEMMASDILEMMAS

Frank LambrechtsLimburgs Universitair Centrum

Diepenbeek, Belgium

Koen SipsCatholic University of Leuven,

Leuven, Belgium

IntroductionIntroduction

Technical possibilities + decentralizationTechnical possibilities + decentralization Competency networksCompetency networks Temporary collaborative networksTemporary collaborative networks Predictions of evolutionary models:Predictions of evolutionary models:

– variationvariation– selectionselection– retentionretention

Conceptualizing human coordinationConceptualizing human coordination

3 critical conditions3 critical conditions

Psychological boundariesPsychological boundaries Psychological dilemmasPsychological dilemmas Mental constructions or imagesMental constructions or images

Boundaries blurrBoundaries blurr

Boundaries become more permeableBoundaries become more permeable Reorganization & ICT (Venkatraman, 1994)Reorganization & ICT (Venkatraman, 1994)

– efficiency within functional domainsefficiency within functional domains– link between functional domainslink between functional domains– added value of primary and support activitiesadded value of primary and support activities– relationships with customers and suppliers relationships with customers and suppliers

(integration of common processes)(integration of common processes)– reconfiguration of position and ‘identity’ as reconfiguration of position and ‘identity’ as

stakeholderstakeholder

Psychological boundariesPsychological boundaries

Work by Hirschhorn & Gilmore (1992)Work by Hirschhorn & Gilmore (1992) Authority boundaryAuthority boundary Task boundaryTask boundary Political boundaryPolitical boundary Identity boundaryIdentity boundary

Authority boundaryAuthority boundary

Who’s in charge of what?Who’s in charge of what? Critical questions or tensions:Critical questions or tensions:

– leading but open to criticismleading but open to criticism– following but challenge superiorsfollowing but challenge superiors

+ room for initiative by subordinates, + room for initiative by subordinates, leaders are supported and challengedleaders are supported and challenged

- distrust, passivity, rebellion- distrust, passivity, rebellion

Task boundaryTask boundary

Who does what?Who does what? Critical questions or tensions:Critical questions or tensions:

– dependency on othersdependency on others– specialize but still understand & respect othersspecialize but still understand & respect others

+ pride, comfortable with dependencies, trust in own + pride, comfortable with dependencies, trust in own and others’ competenciesand others’ competencies

- unsure, anxious, incompetent, sometimes shame - unsure, anxious, incompetent, sometimes shame (definition of task, distribution of responsibilities, (definition of task, distribution of responsibilities, assignment of resources)assignment of resources)

Political boundaryPolitical boundary

What’s in it for us?What’s in it for us? Critical questions or tensions:Critical questions or tensions:

– defending your own interests, without defending your own interests, without undermining the wholeundermining the whole

– estimation of win-win vs win-loose situationsestimation of win-win vs win-loose situations + feel powerful, fairly treated & rewarded+ feel powerful, fairly treated & rewarded - feel powerless, denied, not represented in - feel powerless, denied, not represented in

decision making or even feel exploiteddecision making or even feel exploited

Identity boundaryIdentity boundary

Who does and who does not belong to our group?Who does and who does not belong to our group? Critical questions or tensions:Critical questions or tensions:

– be loyal without undermining outsidersbe loyal without undermining outsiders– internal cohesion without external rivalryinternal cohesion without external rivalry

+ loyal & proud to belong to own group & healthy + loyal & proud to belong to own group & healthy respect for othersrespect for others

- contempt and distrust for others (not accepting - contempt and distrust for others (not accepting differences)differences)

Psychological dilemmasPsychological dilemmas

Related to trust, loyalty and identityRelated to trust, loyalty and identity Dilemma 1: tightly vs loosely coupledDilemma 1: tightly vs loosely coupled Dilemma 2: closed vs open communicationDilemma 2: closed vs open communication Dilemma 3: continuity vs change in Dilemma 3: continuity vs change in

membershipmembership

Tightly vs loosely coupledTightly vs loosely coupled

External adaptation + internal integration External adaptation + internal integration (Schein, 1985)(Schein, 1985)

Enough cohesion in order not to fall apartEnough cohesion in order not to fall apart How tight in order to reach common groundHow tight in order to reach common ground If it takes too long, to co-created a new If it takes too long, to co-created a new

culture, the (market) opportunity might be culture, the (market) opportunity might be already gonealready gone

Closed vs open communicationClosed vs open communication

Collaborative network = new organizational Collaborative network = new organizational reality = constructed by dialogue reality = constructed by dialogue

Quality of communication processes and Quality of communication processes and relationships given temporary nature?relationships given temporary nature?

Trust needs touch (Handy, 1995)Trust needs touch (Handy, 1995) How to get back from debate to dialogueHow to get back from debate to dialogue Short messages: superficial vs deepening, Short messages: superficial vs deepening,

opportunistic vs constructiveopportunistic vs constructive

Continuity vs change in Continuity vs change in membershipmembership

A newly shared reality takes trust & timeA newly shared reality takes trust & time Is social reconstruction possible when Is social reconstruction possible when

parties can easily and frequently change?parties can easily and frequently change? Sufficient negotiation possible?Sufficient negotiation possible? Technically spoken, new constructions (and Technically spoken, new constructions (and

membership) is easy, but what about membership) is easy, but what about underlying social & psychological changes?underlying social & psychological changes?

Identity and IdentificationIdentity and Identification

How does a temporary network identity How does a temporary network identity emerge?emerge?

Identification of networks members with the Identification of networks members with the collaborative networkcollaborative network

Influence of network membership on Influence of network membership on individual organizationsindividual organizations

Inclusion in different networks Inclusion in different networks (multiple/simultaneous memberships)(multiple/simultaneous memberships)

New “Images of Organizations”New “Images of Organizations”

Metaphors by Gareth Morgan (1986; 1993)Metaphors by Gareth Morgan (1986; 1993) 7 new metaphors:7 new metaphors:

– organizations as ‘spaghetti’organizations as ‘spaghetti’– organizations as ‘pizzas’organizations as ‘pizzas’– organizations as ‘shamrocks’organizations as ‘shamrocks’– organizations as ‘starbursts’organizations as ‘starbursts’– organizations as ‘spider webs’organizations as ‘spider webs’– organizations as ‘bee hives’organizations as ‘bee hives’– organizations as ‘piranhas’organizations as ‘piranhas’

Organizations as SpaghettiOrganizations as Spaghetti

constantly moving, never the sameconstantly moving, never the same chaotic at first sightchaotic at first sight minimal amount of rules and proceduresminimal amount of rules and procedures

Organizations as PizzasOrganizations as Pizzas

circular form, equality of co-workerscircular form, equality of co-workers slices of salami = cross-functional teamsslices of salami = cross-functional teams melted cheese = glue that binds together melted cheese = glue that binds together

(culture)(culture)

Organizations as ShamrocksOrganizations as Shamrocks

1st leaf = core staff (partners)1st leaf = core staff (partners) 2nd leaf = contractors, external suppliers2nd leaf = contractors, external suppliers 3rd leaf = contingent labor force (temporary 3rd leaf = contingent labor force (temporary

workers)workers) 4th leaf = customers (cfr. IKEA)4th leaf = customers (cfr. IKEA)

Organizations as StarburstsOrganizations as Starbursts

newly developed products or services are newly developed products or services are split from the parent companysplit from the parent company

work independently, grow in an work independently, grow in an entrepreneurial wayentrepreneurial way

parent company leads the networkparent company leads the network

Organizations as Spider websOrganizations as Spider webs

flat organizations, little hierarchyflat organizations, little hierarchy intensive communicationintensive communication fractal structure (parts contain the whole)fractal structure (parts contain the whole) no formal authority relationshipsno formal authority relationships the center collects and transfers information the center collects and transfers information

rather than generating itrather than generating it

Organizations as Bee-hivesOrganizations as Bee-hives

multiple actors with a coordination rolemultiple actors with a coordination role not only producers, also convenersnot only producers, also conveners collective intelligencecollective intelligence high adaptability, innovation at many spotshigh adaptability, innovation at many spots sophisticated communication and coordination sophisticated communication and coordination

patternspatterns reduced role of controlled forecasting and reduced role of controlled forecasting and

planning (rationality)planning (rationality)

Organizations as PiranhasOrganizations as Piranhas

highlights the potential aggression of highly highlights the potential aggression of highly specialized individuals or organizationsspecialized individuals or organizations

react quickly and aggressively to customer react quickly and aggressively to customer needs; reform, adapt and (re-)attack quicklyneeds; reform, adapt and (re-)attack quickly

piranha companies eat substantive pieces of piranha companies eat substantive pieces of the market share of traditional companiesthe market share of traditional companies

stresses competition in networked economystresses competition in networked economy

Network ConvenerNetwork Convener

Leadership in a network?Leadership in a network? Convener, net broker, transaction brokerConvener, net broker, transaction broker Someone seen as neutral, serving an overall goal that Someone seen as neutral, serving an overall goal that

transcends individual intereststranscends individual interests Often trusted in connection with institutionOften trusted in connection with institution Catalyst for companies to make strategic Catalyst for companies to make strategic

partnerships, organizes network activities, identifies partnerships, organizes network activities, identifies business opportunities, facilitates the (search) processbusiness opportunities, facilitates the (search) process

Specific competenciesSpecific competencies

Aware of psychological boundaries and Aware of psychological boundaries and dilemmasdilemmas

Make parties aware of their ‘scripts’, stimulates Make parties aware of their ‘scripts’, stimulates & facilitates the co-creation of new scripts, & facilitates the co-creation of new scripts, suggests a ‘basic script’suggests a ‘basic script’

Buffering power differencesBuffering power differences Create a minimal structureCreate a minimal structure Construction of ground rulesConstruction of ground rules

Promotes process characteristics:Promotes process characteristics:– open communicationopen communication– mutual testing of informationmutual testing of information– bilateral definition of taskbilateral definition of task– open confrontationopen confrontation– tolerance for mistakestolerance for mistakes

Coaching rather than leading (process Coaching rather than leading (process directivity)directivity)

Communication skills, conflict handling Communication skills, conflict handling skillsskills

Time management, budgeting, fund raisingTime management, budgeting, fund raising Position power doesn’t work, technical Position power doesn’t work, technical

expertise can be valued but might also be expertise can be valued but might also be counterproductive for the convening rolecounterproductive for the convening role

ConclusionsConclusions

Technological possibilities will increase, but is Technological possibilities will increase, but is the org-ware up to follow?the org-ware up to follow?

Where do we want to go as an organization?Where do we want to go as an organization? Creativity (by safety, positive stress, play)Creativity (by safety, positive stress, play) Group is often more creative than individualGroup is often more creative than individual Opposite trend? less social contactOpposite trend? less social contact Human imagination & social interaction skills Human imagination & social interaction skills

are the limits to new, ICT based organizationsare the limits to new, ICT based organizations