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Organizations as Brains

Organizations as Brains. Gareth Morgan. G.R. Taylor’s Opening Observations/Questions. Is it possible to design “learning organizations” that have the capacity to be as flexible, resilient, and inventive as the functioning of the brain?

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Organizations as Brains

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  1. Organizations as Brains Gareth Morgan

  2. G.R. Taylor’s Opening Observations/Questions • Is it possible to design “learning organizations” that have the capacity to be as flexible, resilient, and inventive as the functioning of the brain? • Is it possible to distribute capacities for intelligence and control throughout an enterprise so that the system as a whole can self-organize and evolve along with emerging challenges?

  3. Herbert Simon • Why did Simon argue that organizations can never be completely rational? • Because their members have limited information processing abilities. • Argued that people a) usually have to act on incomplete information; b) are able to explore on a limited number of alternatives; and c) are unable to attach accurate values to outcomes. • He concluded that individuals and organizations settle for “bounded rationality” of “good enough” decisions based on simple rules of thumb and limited search and information.

  4. Cybernetics • What is cybernetics? • The ability of a system to engage in self-regulating behaviour depending on the process of information exchange involving negative feedback.

  5. 4 Key Principles of Cybernetic Theory • Systems must have the capacity to sense, monitor, and scan significant aspects of their environment. • They must be able to relate this information to the operating norms that guide system behaviour. • They must be able to detect significant deviations from these norms. • They must be able to initiate corrective action when discrepancies are detected.

  6. Single-loop Learning

  7. Double-loop Learning

  8. Guidelines for “Learning Organizations” • Scan and anticipate change in the wider environment to detect significant variations. • Develop the ability to question, challenge, and change operating norms and assumptions. • Allow an appropriate strategic direction and pattern of organization to emerge. • Evolve designs that allow them to become skilled in the art of double-loop learning, to avoid getting trapped in single-loop learning processes.

  9. Organizations as Holographic Brains • How does Morgan describe the metaphor of the holographic brain?

  10. What are the Principles of Holographic design? • Build the “whole” into all the “parts.” • The importance of redundancy. • Requisite Variety • “Minimum Specs” • Learn to Learn • See chart in text to help discuss examples

  11. Critical Analysis • What are the strengths and weaknesses of the brain metaphor?

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