Organizations for the 21st Century Peter J. Robertson April 23, 2004

Starting Premise: A paradigm shift is transforming the basis of Western culture reflects the integration of knowledge from many different fields of study provides new philosophical and ideological foundations for society results in the emergence of alternative institutional forms has the potential to generate different patterns of human behavior

New philosophical and ideological foundations: modern to postmodern competition to collaboration mechanistic to ecological

A comparison of two paradigms: Competition  Collaboration scientism  integralism individualism  connectivism rationality  creativity patriarchy  partnership competition  collaboration control  freedom

Characteristics of living systems: interconnected systems arranged holarchically autopoietic relationships self-organizing intrinsic capacity for self-regulation dissipative structures coevolutionary system and environment mutually adapt cognitive capacity

Emergence of alternative institutional forms: economy globalization information age positive-sum dynamics state new public management governance direct democracy

Emergence of alternative institutional forms: organizations development of strong cultures based on vision, mission, and values use of teams, alliances, and networks focus on adaptability, innovation, and continuous improvement emphasis on decentralization, participation, and empowerment

Key features of new “ideal type” organizational form: purpose design governance membership leadership rewards learning

Purpose: contribute to individual and collective well-being principle of harm minimization responsible for negative externalities responsive to interests of all stakeholders

Design: network, “cellular” form of organization minimize hierarchy with primary focus on horizontal relationships self-organizing cells that are autonomous yet interdependent normative control through strong culture based on shared mission and values

Governance: “inside-out” model of governance self-managing system reflecting principles of democracy and subsidiarity full inclusion and open participation in relevant decisions integrative, consensus-based decision processes

Membership: citizenship based on covenantal relationships egalitarian with context-specific authority individuality and creativity grounded in respect for diversity continuance dependent on mutual agreement

Leadership: distributed throughout the organization stewardship and servant leadership facilitation rather than management productive power and reciprocal influence

Rewards: explicit contracts regarding terms of exchange based on 360-degree performance evaluations collective determination of equitable distribution considerable use of intrinsic rewards

Learning: adaptability through continuous improvement and innovation critical role of individual and organizational feedback importance of regular reflection on “process” information systems that enable open access to relevant information