Professional Documents
Culture Documents
Abstract
Royston Greenwood, Change and stability in organizations is to be understood through the twin concepts of
C. R. Hinings design archetypes and tracks. Organizations operate with structural designs which are
Department of given meaning and coherence by underlying interpretive schemes. Particular interpre-
Organizational tive schemes coupled with associated structural arrangements constitute a design
Analysis, Faculty of archetype. The temporal relationship between an organization and one or more
Business, University of
Alberta, Edmonton, archetypes defines an organization’s track. Prototypical tracks include inertia, aborted
Canada excursions, re-orientations and unresolved excursions. The particular track followed by
an organization will be a function of the degree of alignment or compatibility between
Introduction
design; and despite weaknesses (e.g., Child 1972; Schoonhoven 1980; Aldrich
et al. 1984; Tosi and Slocum 1984) the approach provided useful ideas on the
constraints operating upon organizational design and some of the possible
causes of structural change. There is, however, a growing recognition of the
need for a measure of synthesis and a more explicit understanding of the
dynamics of change. Several writers have suggested design ’archetypes’ (Miles
and Snow 1978) ’gestalts’ or ’configurations’ (Mintzberg 1979; Miller and
Friesen 1980a) in order to produce theoretical coherence. Others have begun
the search for factors explaining the ’transitions’ of organizations and/or their
’transformation’ (Kimberley and Quinn 1984; Miller and Friesen 19811a;
Pettigrew 1985). There is, in short, an emerging focus upon the incidence and
nature of design types and the dynamics that control and propel movement
from one design type to another.
Central to this emerging focus is a recognition of organizational design change
as involving a mutual penetration of contingency theories, with their essentially
294
one or more design archetypes. Tracks are maps of the extent to which
<I
.
.
Background Ideas
There are twoparticular, current, sets of ideas which are especially important
to our argument. These are the work of Miller and Friesen ( 1980a;1980b; 1984)
and those contained in Ranson et al. (1980a), Ranson et al. (1980b), Walsh et
al. (1981) and Hinings and Greenwood (1987). Initially, we will give a brief
overview of this work. As the overall framework for understanding organiza-
tional design types and tracks is developed in the paper, the relationship of
these ideas to wider organizational theorizing will also be set out.
The essential ideas taken from Miller and Friesen are those of archetypes,
inertia, momentum and quantum change. The concept of an archetype derives
from the idea that organizations operate with a limited number of configura-
tions of structure, strategy and environment:
archetype (as will become apparent later in the paper, this approach is very
much an extension of the long-term concerns of organizational analysis with
typologies). Organizations have a ’total’ design giving them an overall ’gestalt’
or ’configuration’. An understanding of the parts within an organization can be
’The structural elements and organizational processes making up the design type are
strongly underpinned by provinces of meaning and interpretive schemes which bind
them together in an institutionally derived normative order.’
Hinings and Greenwood (1987) also suggest that interpretive schemes contain
beliefs and values about three principal and constraining vectors of activity: ( 1 )
the appropriate dornain of operations i.e. the broad nature of an organization’s
raison d’etre; (2) beliefs and values about appropriate principles of organizing;
and (3) appropriate criteria that should be used for evaluating organizational
performance. A design archetype is thus a set of ideas, beliefs and values that
shape prevailing conceptions of what an organization should be doing, of how it
should be doing it and how it should be judged, combined with structures and
processes that serve to implement and reinforce those ideas.
Walsh et al. ( 1981 ), in developing Ranson et al.’s (1Y80a) argument, further
elaborate the role that power and interests can play in maintaining, as well as
changing, the structure of an organization. Organization design types establish
a particular distribution of resources and power that in turn buttresses the
coherence of that design. Miller and Friesen (1980a) also point out that vested
interests and their power base become intertwined with a particular archetype
emphasizing the process of momentum and inertia.
296
Taken together, then, Miller and Friesen and Ranson et al. provide the basis
for a more developed theory of organizational change and stability by
suggesting (1) the importance of an organizational starting point (i.e. the
particular archetype); (2) a general outline for establishing such archetypes
(the coherence of meanings, structures and processes); (3) suggestions as to the
principles for directing change or stability (momentum, inertia and quantum
change); and (4) categories for explaining the relative causation of change and
stability (context, values, interests and power). The first three of these sets of
ideas are elaborated in turn below. The fourth, which deals with dynamics of
change is returned to at the end of the paper.
z
The work of Miller and Friesen (1984) is generally within the tradition of
searching for organizational typologies. Typologies have long been at the
basis of organizational theorizing, from Weber’s ( 1949) notions of charies-
ma, traditionalism and bureaucracy, to Burns and Stalker’s (1961) distinc-
tion between mechanistic and organic structures, and finally to Mintzberg’s
(1979) distinctions between simple structure, machine bureaucracy, profes-
sional bureaucracy, divisionalized form and adhocracy. To varying degrees,
these represent ideal-types, in that they are abstract and general, and do
not ’describe or directly represent concrete courses of action, but in-
stead... (are) representative of objectively possible modes of action’
...
for exam-
ple, the level of centralization, or standardization and
-
exploration of
their association with situational factors such as size. This approach essen-
tially misses the importance of the whole patterning of elements and of the
prevailing orientation.
McKelvey (1982) has argued that some form of classification is essential to the
development of organization theory in order to understand what kind of
organization is being dealt with, in any sphere of investigation. This involves
297
Miller and Friesen (1984) and Mintzberg ( 1979) suggest that the basis for
establishing organizational coherence, and thus producing a set of organiza-
tional design types, is the occurrence of relationships between structure,
strategy and environment. In this, they are following the general thrust of
298
processes of the organization were underpinned by, and reflexive of, a set of
values as to what ought to be.
Other examples of how ideas and values shape organizational arrangements
are provided by Burns ( 1977), Clark ( 1972), Starbuck and Dutton (1978) and
Starbuck (1983). One example of recent interest concerns the attempts to
introduce participatory work practices into U.S. industry. Cole (1982)
analyzed the dissemination and impact of ideas about worker participation in
Sweden, Japan and the United States. He indicates that although ideas to do
with participation had their origins in the U.S., the values associated with them
were not consistent with those traditionally held by senior management in the
United States. The degree of hierarchical distancc, emphasis upon respect for
authority, and the heavy reliance upon external management control systems,
,
all of which are pervasive values within U.S. organizations, prevented worker
participative practices from becoming easily assimilated. The connection of
such practices to egalitarian norms and values and their denial of specialist
expertise as a prerogative of management were more easily embraced in Japan
299
and Sweden where the new ideas about structural form were less alien.
Our investigations of 27 municipal organizations in the United Kingdom
from 1967 to 1983 identified two competing interpretive schemes -
the
professional bureaucracy model and the corporate bureaucracy model - each
of which held structural and processual implications. The corporate model
emphasized the value of analytical appraisal and rigorous assessment of
programmatic performance focussing upon the conception of a local authority
as an instrument of community governance. The professional bureaucracy
model, on the other hand, regarded the values of professional autonomy and
judgment as critical within a conception of a local authority as an administrative
vehicle for the delivery of essentially disparate services.
These alternative conceptions of domain (community governance versus local
administration) and of evaluative criteria (analytical appraisal of programmes
versus professional judgment and discretion) held implications for structural
form. Thus, the professional bureaucracy model pursued differentiation based
upon professional disciplines and had weak development of lateral devices
other than budget committees. Recruitment and career development systems
emphasised the importance of professional qualification (e.g., all department
heads would be professionals rather than general managers: ’administrators’
would be of low status and position). Compensation and appraisal systems
focussed upon performance of professional activities, and, perhaps most
important of all, the resource allocation mechanism was an incremental mode
of budgeting, a mode suited to a professional bureaucracy (Greenwood
1984).
The corporate bureaucracy model emphasized the construction of integrative
devices such as a chief executive officer, management team, directorates of
programmes and central analytic capabilities. Recruitment at the highest levels
emphasized general management competence combined with professional
experience, and incentive systems rewarded corporate rather than professional
contribution. Career structures were altered to facilitate movements across
professional boundaries. The resource allocation system encompassed rigor-
ous programmatic (as well as professional) analysis and review. Allocations
This statement leads to the second question raised of the degree of coherence
required for an organization to be in an archetype. It is in the nature of any
typification that any particular case may be ’between’ types. Indeed this
becomes an important notion for our idea of tracks. As with any such approach,
the issue of how much coherence is needed in order to be classified as ‘coherent’
is both a theoretical and empirical one. Our approach through provinces of
meaning gives an initial primacy to values and their implications for
organizational form. This means that not all possible organizational elements
are equal. A corporate bureaucracy in local government cannot necessarily be
’Because the search for solutions to new problems does not extend much bevond already
known solutions, the organization is motivated to transform ill-definc~i problems mto a
form that can be handled with existing routines.’ (Miles and Snow 1978: 156).
Similarly,
, ... the filtered stimuli elicit responses that exploit caches of slack resources and are
constrained by hehavioural repertoires crystallized m structures.’ (Meyer 1982:
519-520).
The first explanation of design inertia assumes that organizations simply do not
recognize the need for reorientation because they are caught within the
meanings and structural form of the prevailing design archetype.
A second explanation (Miller and Friesen 19~Oa; 1984) assumes that though the
302
’potentially disruptive changes must be delayed until the costs of not restructuring
becomes high enough to justify the widespread structural modifications that may be
required to re-establish harmony among structural elements.’ (Miller and Friesen 1984:
208).
reorientations and someof which may exhibit abortive and aborted move-
ments from design archetypes, but there is no adequate language for ad-
dressing the problems of organizational change and inertia of this form. The
next section begins to develop such a language, with the central idea of
‘tracks’. -
303
Organizational Tracks
Quinn ( 984) with the life cycle metaphor and the idea of transitions. But not
all organizations pass through transitions or the same set of stages, nor do they
depart from similar positions or have common destinations. The language of
tracks has to provide for the study of organizations over time, allowing for the
possibilities not only of radical transformations but of abortive shifts between
design archetypes crnd of the absence of change. We must allow for a complex
array of tracks.
The second consideration in developing a language is the importance of
interpretive schemes as underpinning design arrangements. It is the concept of
interpretive scheme which enables the identification of directions of change
and the explanation of why organizations confronting similar contextual ’crises’
may respond by moving along different tracks. A key aspect of tracks, in other
words, is the rate at which design arrangements become de-coupled from the
prevailing interpretive scheme and become attached to suffusing ideas and
values. Tracks, we would suggest, are configurations of ititei-pretti,e de-coupling
and re-coupling. An organizational track concerns whether there is any loss of
structural coherence and any displacement of underpinning interpretive
,
schemes, over time.
~ z
~
The number and form of design archetypes within a set of organizations can be
ascertained only through close attention to the meanings which organizational
actors give to their situation and to the historical context of ideas and
(c) schizoid incoherence in which structures and processes reflect the tension
between two contradictory sets of ideas and values. In this position,
organizations show the presence of both interpretive schemes, and elements of
both organizational forms.
These analytical positions are shown diagrammatically in Figure 1.
Figure 1
Tracks
Track A: Inertia
Miller and Friesen (1984) suggest that most organizations can be expected to
gravitate towards a design archetype and remain there for a lengthy period.
Structural arrangements will develop a consistency and coherence given
meaning by a pervasive interpretive scheme. Changes will take the form of
structural adjustment to the guiding assumptions of the design archetype.
Changes inconsistent with the prevailing meanings will not exist or will be
suppressed. Over time there will be inertia. The organization demonstrates
consistent and sustained attachment to one interpretive scheme. There is no
de-coupling of structural and processual elements from the confines of the
basic interpretive assumptions.
Because change has been studied, but not stability, there are few examples of
inertia in the literature. Those that do occur emphasize the importance of the
design archetype approach because they examine the failure of organizations to
change in the face of contextual pressures. For example, Burns and Stalker
(1961) show that mechanistic organizations, instead of developing new
missions and strategies (interpretive schemes), work within the assumptions
and structural patterns of the existing design archetype, adding more
mechanistic elements. Similarly, Starbuck et al. (1978) in their examination of
three formerly successful Swedish companies show how the responses to a
305
Figure 2
Configurations (Tracks)
of Interpretive De-
coupling and Re-
coupling (-denotes
one timc period)
&dquo;
,,
’.
for whatever reason, movement away from the starting archetype is rever-
sed. The fraying of the paradigm is followed by its subsequent archetype
retention; thus, the track may be labelled an aborted excursion.
There are at least two reasons for aborted excursions. One reason is a genuine
experiment with new ideas and structures, often for reasons of presumed task
efficiency. In their work on change in a puhlic accounting office, Hinings et al.
(1987) have described an attempt to re-organize on the basis of the
prescriptions of Peters and Waterman (1982), such as having ’turned-on
people’ and ’closeness to the customer’. New organizational elements were
introduced, such as new sub-units and a new authority system, which were later
recognized as being inappropriate in terms of the values espoused, and were
then withdrawn. The change was fraught with difficulties because it was unclear
’
what this meant in structural and processual terms. The fact that the link
between the prescribed ideas and the form of organizing was ambiguous was
one reason for the aborted excursion.
-
’
corporate bureaucracy model was so pervasively legitimated (Hinings and
Greenwood 1987) that certain aspects of it were grafted onto organizations that
remained quintessentially professional in character (e.g. management teams,
-
corporate planning units). However, once the ideas underlying the corporate
form began to lose their legitimacy the structural trappings were dismantled
and the professional bureaucracy reassembled in coherent form.
, The allocation of an organization to the aborted excursion track raises again the
question of the nature of coherence and its breakup. To reiterate, the key is the
relationship between interpretive schemes and the content and activities of
organizational form. In the cases cited, the relative lack of coherence rests on
certain crucial organizational values and certain crucial organizational
-
elements. In the case of the public accounting firm, the introduction of three
.
another, design
a reorientation (or transformation) has occurred. Prevailing
ideas and values have lost legitimacy and become discredited. In their place, an
307
ideas allowed further structural change and, ultimately, movement from one
archetype to another.
These descriptions of movement from one archetype to another are couched in
terms of a linear progression through the embryonic and schizoid categories.
Track C (i) of Figure 2 is drawn in this way. However, linear transition from one
archetype to another is only one of several possible reorientation tracks.
Temporary reversals of direction could occur and/or categories be omitted. It is
not difficult to envisage an organization whose reorientation track involves
oscillations, as in example C (ii). Delays, or lags, may also occur as in example
C (iii). An organization may stay for a short or long period in a particular
position. Incremental movements from one transitional position to another
may require varying amounts of time in the push towards reorientation.
An example of a non-linear reorientation is to be found in the work of Burns
(1977) on the British Broadcasting Corporation. Burns charts the change from
a ’creative’ archetype, with a highly segmented organization operated by
systems were reintroduced and reinforced and over time became the
over a ten year period. Unresolved excursions are important and as yet, largely
.
neglected tracks.
A Research Agenda
In this final section of the paper, we raise a number of questions and propose a
.
course of inquiry that might assist elaboration of the concepts of track and
design archetype and provide an assessment of their relative utility. To do this,
three questions will be examined:
1. What are the archetypes utilized by organizations?
2. What tracks do organizations follow through time, how stable are they and
what are their frequencies? . ,
One implication that has not been considered is the possibility that archetypes
may be institutionally specific. The work of Meyer and Rowan ( 1977), Meyer
>
and Scott ( 1983), DiMaggio and Powell (1983) and Zucker (1987) suggests that
the norms and values within an interpretive scheme are connected to an
institutionally derived normative order. They argue that organizations
experience pressures to conform to expectations of how certain types of
’
’
organizations should be designed and that these expectations will vary across
the boundaries of institutional ’fields’:
.’
organized anarchies (Weick 1976; March and Olsen 1976). There is a sense in
which these ideas may appear to challenge the notion of coherence as
310
developed in this paper. However, we would argue that loosely coupled and
anarchic organizations may be design archetypes, in our terms. The essence of
coherence is the relationship between interpretive schemes, structures and
processes. The kinds of organizations described by Weick and March and
Olsen may well be coherent in the sense of having interpretive schemes which
emphasize non-specific domains, uncertainties of performance and looseness
of form, together with independent organizational units, decentralized
decision-making and professional incentive systems. In addition, they may well
be institutionally specific. While not a great deal of research has been carried
out based on their conceptualizations, what has been done has tended to be
within the educational sector. Universities are often put forward as the
paradigmatic case. We would argue that our conceptualization of design
archetype and coherence allows for the possibility of loose coupling and
organized anarchy.
The second question examines the temporal association of organizations with
: identifiable archetypes, i.e., the nature of tracks. This work has already been
.
started by Miller and Friesen (1984) who have suggested that inertia is a
.
dominant track and that organizations find it difficult to push away from the
prevailing directions of any given evolution. Empirically. there is the question
of whether organizations do usually exhibit archetype inertia, remaining within
the assumptions of a given interpretive scheme and operating with a particular
set of structural arrangements over lengthy periods. Or, do they break from a
’
design archetype and install a set of ideas and meanings holding different
structural implications? If the latter is true, what is the configuration and speed
of interpretive de-coupling and re-coupling?
Hinings and Greenwood ( 1987) have suggested that certain institutional fields
are characterized by a tighter prescription of the organizational domain,
organizational form and criteria of evaluation, and are thus less flexibly
. inclined towards change than is the case in other institutional arenas. It is from
attempts to map tracks in different institutional settings that a richer
understanding of organizational evolution and transformation will occur.
Establishing archetypes and mapping tracks inevitahly leads to the third
, question of why organizations folluw those tracks. The remainder of the paper
proposes a tentative framework for understanding the dynamics of inertia and
reorientation. The framework emanates directly from Ranson et al. (1980a)
and the way it has been developed in Ranson et al. (1980b), Walsh et al.
(1981), Greenwood (1984) and Hinings and Greenwood (1987). It is outlined
.
,
in Figure 3.
At the centre of the figure is a particular organizational design connected to
three potential dynamics of change. For purposes of exposition the structures
n and processes of the design are assumed to be an archetype. However, no
assumption is made as to whether the design archetype is actually congruent
.
The first dynamic involves the compatibility between. on the one hand,
.
contingencies such as size, technology and em/ironment. and, on the other hand,
311
Figurc 3
The Dynamics of
Organizational Change
design structures and processes. Contingency theory implies that effective task
accomplishment is a function of accommodating organization design to the
exigencies of situational constraints and concludes that changes to that design
occur wherever c01llradictions are found between the impulses of task
commitment).
4. Low commitment to prevailing and alternative interpretive schemes (an
indifferent commitment).
Where commitment is status cluo orientated the pressure is for Inertia (Track
A). Reformative commitments are liable to lead towards Reorientations
.
Starbuck et al. (1978) argue that the replacement of top managers is essential in
order to bring an organization out of crisis. Their analysis illustrates the
.
.
A dispersed power structure allows a greater interplay of competing values and
interest. This was the situation facing Iacocca in Chrysler, producing a track of
Unresolved Excursion (Track D). Again, in that example, we see the
mobilization of new interpretive schemes through hiring executives with whom
Iacocca had worked at Ford and changing the power structure by firing
313
interpretive schemes. The particular tracks followed will depend upon the
- manner in which changes occur in one or more of the dynamics and the
Conclusion ,
(1980b), Greenwood and Hinings (1987) and Hinings et al. (1987). Hopefully,
the cases and examples cited will have given some insight into this issue. Our
314
Notes *
The authors acknowledge the helpful comments of three anonymous reviewers, and the
comments and encouragement of Danny Millcr, Stewart Ranson, J. D. Stewart, Michael Tushman
and Lynne Zucker.
Hinings, Bob, and Royston Greenwood March, James G., and Johan P. Olsen
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Ranson, and Kieron Walsh
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316