Application of Complexity Theory in Organizational Change

The organizational change is an integral part of every company nowadays. All organizations should be able to adapt to the rapidly changing environment. Globalization, technologies, pluralism, and multiculturalism are factors that predetermine the need to adapt to alternations to remain competitive in the sphere constantly. Managers may utilize a complexity theory to implement organizational change. According to this theory, the organizations are characterized by non-linear relationships and lack of order. Managers should identify the connection between variables to conduct an efficient change. Still, many employees resist to changes.

Scientists and researchers have made many attempts to comprehend the way organizations function and develop. Various approaches to their understanding have been used. For instance, the organization was often compared to the machine. However, this seeing of organization is no longer relevant due to the development of other theories. The complexity theory presupposes that organizations function based on instability, entropy, nonlinearity, and non-equilibrium. Complexity theory suggests that organizational managers promote bringing their organizations to the “edge of chaos” rather than troubleshooting, to trust workers to self-organize to solve problems, to encourage rather than banish informal communications networks, to “go with the flow” rather than script procedures.

Complexity theories aim to identify the possible achievement of order in complex systems. The complexity theory is relevant when it comes to large operating systems. Such systems are continuously changing and developing. As a result, it is impossible to apply the usual cause and effect approach to them. In such systems, the order should not be understood as something definite and exact. The notion of order is connected with chaos and uncertainty. Complexity theory derives from mathematicians’ attempts to develop mathematical schemes of weather patterns. Three basic distinctive theories within complexity theories such as chaos theory, dissipative structures, and complex adaptive theories. Chaos theory presupposes that large organizations may be viewed as chaotic systems that constantly change and develop.

The primary fact is that even the slightest changes may lead to significant consequences for the whole system. Also, a complex system is often regarded as a dissipative structure that is characterized by a non-stable operation. For instance, a dissipative structure can maintain its stability under the particular extensive pressure while some small international alternations may result in drastic changes. Complex adaptive systems comprise the essential aspect of the complexity theory. The concept of complex adaptive systems tries to explain how learning and innovation happen in living systems and is used to describe “nonlinear systems” whose behavior is determined by the interaction of its adaptive parts.

Before the evaluation of the ways the complexity theory may be applied to strategic change, it is necessary to define the concepts of organizational and strategic changes. Strategic change is a crucial element of the modern business. Markets and industries are changing rapidly nowadays. Peter Drucker has identified major factors that predetermine the need to employ strategic changes. These factors include globalization, new technologies, knowledge capital, and pluralism. Thus, strategic change is the organization’s response to the changing environment.

Factors Considered by Complexity Theory in Handling Change

Complexity is a factor that measures the diversity in internal as well as external factors including customers, suppliers, employees, socio politics and technology. Complex theory set of concepts that help to explain phenomenon of complex. Along with that it is a Theory that focuses on how parts of micro as well as macro in a complex systems influence the behavior of emergent. Moreover, complexity theory helps organization to understand the newly formed organizational development. Along with that complexity theory facilitate change and innovation within an organization. Another important aspect of complexity theory is that there is no controller of any system. It is all about assumption that there are principles underlying that is emergent properties that mingle from the interaction of many various actors. The main aim of complexity theory is in business to encourage thinking of innovation and real-time responses for change. It helps out business unit to self organized. Time have changed; people prefer those things which are different from others. A new kind of company wins now. The best management models emerge in the new economy, it does not adapt by new organization. Leader of the organization should clear to employee about the vision of the company, provide attractive leadership, encourage healthy and strong values and allow employee for open communication. Complexity theory shows the common ground where theorists can research regarding physics, computer science, economics, and business behavior of complex systems along with various components.

Complexity theory is mainly focusing on 5 factors for handling the change. Change agent can use complexity theory in an organization by keeping environmental assessment. Environmental assessment represent that all levels of organization required development and ability to collect information about the external and internal environment. Complexity theory helps change agent to understand the need of emergent change. Emergent change is considered as a successful change that takes less time and it has been analyzed that emergent change does not contains detailed plans and projections. It only finds out the range of available options and move for it. It is the tool that helps change agent to analyze and develop insight. With the help of complexity theory, change agent can respond in an effective manner to the environmental uncertainty is of contemporary organization. Change agents help to remove the obstacle and manage uncertainty condition within an organization. For making an emergent change, complexity theory should be used by change agent because it is the theory which emphasizes holistic interpretation. It has been analyzed that there are three characteristics of complexity theory which can be helpful for change agent to understand the emergent change. Along with that it also helps to determine the problems that may occur in the organization. There are so many organizational phenomena for which complexity principles are necessary. The complexity principle of self organization and emergence helps to evaluation of knowledge and ideas within a group network. Chaos is considered as a another principle of complexity that helps a person for not covering a position of power rather it helps out to bring a large scale effect on the organization to bring a large scale effect on the organization. With the help of adaptive behavior change agent can force to employee or group to learn experimental learning. It would help to embed employee in an interacting network. By following the principle of revolution, change agent can enforce individual, groups and organization to share of ecosystem so that attracting each other spontaneously. Complexity theory helps change agent to follow the self similarity which help to find out the various level of Hierarchy exhibiting scale versions. Complexity theory is being used by many organizations for Organizational transformation and renewal. Along with that it provides a framework of theoretical within organizational change.

Benefits of Complexity Theory for Change Agents

Company’s vision and Mission are interrelated with each other. Due to dynamic nature of world responsible for the organization long term planning. New Technologies are introducing in the world day by day, it is necessary for the organization to go with the world. With the help of complexity theory new way of Thinking on various phenomena would be enhanced that were considered also passed thinkers. There are so many advantages of complexity theory which can help you change agent for emergent change. Change agent can do easy formation within an organization and due to emergent change he can divide the risk among all the partners. Complexity theory motivate change agent for prompt decision making and keeping personal touch to business. The secret of the business should not be leaked out by anyone who is related with an organization. The Reason behind using complexity theory is that change agent sharing wisdom and resources. Complexity theory follows the narrative as well as dynamic concept within an organization. However it has various limitations such as unlimited liability, uncertainty of business, liability extended, distrust between partners and Limited availability of funds. With having lot of limitation, it is successful theory in the organization because it helps out to adapt it change with enthusiasm in the organization. Main aim of change agent is to recognize the area in which changes are needed. It is not mean that changes are done without taking a consideration of other employees. It is important for the change agent to make aware other employees about the change and enhance their productivity time to time. There are so many advantages emergent change such as suitability for online real-time experimentation, learning, former control, sensibility and sensitivity to local contingencies. It is important for a change agent to follow his role efficiently. The main role of change agent is to maintain the sharing information and trusting people.

Political behavior is the element that is used to obtain and acquire the preferred outcomes in a situation where the possibilities of uncertainty exist. Political behavior does not accept and followed by change agent but it is acknowledged in the way that is important of the life of organizational. Change agent is not able to abolish the political activities within an organization. Therefore, it is required for change agent to learn that how to deal with issues and obstacles. Apart from that change should know about the management and know that how to deal negative influence of political behavior during organizational change. To remove the negative impact of political behavior from organization due to organizational change, change agent need to be a proficient at a specific task under. It would help a change agent to learn employees about the credibility, reliability and knowledge about the certain things. It is required for the change agent to know about the performance of the employees he should aware about the accomplishment of task.

Limitations of Complexity Theory

Leadership skills are an important skill that require change agent to decrease a political behavior during organizational change. Leadership skill has the ability to reduce the impact of political behavior during organizational change. Along with that it reduces the possibilities of negotiation and conflicts among employees. Change agent builds a relationship among employees so that coordination can enhance within an organization. To help in organizational change, the behavior of leader should contain mentoring, training, counseling and providing feedback. Leadership skills in change agent can reduce the impact of political behavior within an organization. A successful leader has a skill of motivation by which he sets a good example. Motivation is a factor which reduces the negative impact of political behavior within an organization rapidly. Change agent should act as a role model for his team and should always be there when they needed most. This attitude will enhance the productivity of the employee and the influence of politics within an individual might be reduced. It should be done within an organization because coordination is must while changing management. With the help of coordination innovation of Technology can be adapted by everyone in easy manner. It is the leadership skill to have the constantly anticipate, flexible, open minded and evaluate. Change agent should motivate innovative ideas and take beneficial of changing technology for example social media. Change agents should set the organizational skills to decrease the influence of political behavior not only within an individual but also in organization. It can be done by setting expectations, common delegating task, fixing deadlines and using evaluating alternative.

Communication skill is an important element for an organizational change. There is number of obstacles can come due to innovation within an organization; in that case it is necessary that the employees of the organization should be frank about the query. It is not possible that each and every employee is aware about the new technology; there is requirement of training and development. Those who know how to adjust in organizational change can enhance the behavior of political in the organization. Change agent should focus on activities that make a healthy political environment in order to enhance the flow of knowledge and the performance of organizational. The communication skill of change agent facilitates getting employees to expose typical issues and speak out. Another skill of problem solving and decision making of change agent can reduce the impact of political behavior during the organizational change.

Leave a Reply

Your email address will not be published. Required fields are marked *