IDEAS home Printed from https://ideas.repec.org/a/bla/jomstd/v54y2017i2p182-208.html
   My bibliography  Save this article

Reducing Complexity by Creating Complexity: A Systems Theory Perspective on How Organizations Respond to Their Environments

Author

Listed:
  • Anselm Schneider
  • Christopher Wickert
  • Emilio Marti

Abstract

Organizations have to cope with the complexity of their environment in order to survive. A considerable body of research has shown that organizations may respond to environmental complexity by creating internal complexity – for example, by expanding internal structures and processes. However, researchers know less about how organizations create collaborative complexity collectively – for example, by establishing alliances or developing common standards. This paper uses social systems theory to explore how organizations collaborate in response to complexity and to analyse the conditions under which they create either internal or collaborative complexity (or both) to address environmental complexity. It also examines how these types of complexity feed back into environmental complexity. To illustrate our conceptual model, we use corporate social responsibility (CSR).

Suggested Citation

  • Anselm Schneider & Christopher Wickert & Emilio Marti, 2017. "Reducing Complexity by Creating Complexity: A Systems Theory Perspective on How Organizations Respond to Their Environments," Journal of Management Studies, Wiley Blackwell, vol. 54(2), pages 182-208, March.
  • Handle: RePEc:bla:jomstd:v:54:y:2017:i:2:p:182-208
    DOI: 10.1111/joms.12206
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/joms.12206
    Download Restriction: no

    File URL: https://libkey.io/10.1111/joms.12206?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Arya, Bindu & Salk, Jane E., 2006. "Cross-Sector Alliance Learning and Effectiveness of Voluntary Codes of Corporate Social Responsibility," Business Ethics Quarterly, Cambridge University Press, vol. 16(2), pages 211-234, April.
    2. Wenpin Tsai, 2002. "Social Structure of “Coopetition” Within a Multiunit Organization: Coordination, Competition, and Intraorganizational Knowledge Sharing," Organization Science, INFORMS, vol. 13(2), pages 179-190, April.
    3. Wilkinson, Ian & Young, Louise, 2002. "On cooperating: firms, relations and networks," Journal of Business Research, Elsevier, vol. 55(2), pages 123-132, February.
    4. Sébastien Mena & Daniel Waeger, 2014. "Activism for Corporate Responsibility: Conceptualizing Private Regulation Opportunity Structures," Journal of Management Studies, Wiley Blackwell, vol. 51(7), pages 1091-1117, November.
    5. Sumantra Ghoshal & Nitin Nohria, 1989. "Internal differentiation within multinational corporations," Strategic Management Journal, Wiley Blackwell, vol. 10(4), pages 323-337, July.
    6. Kevin J. Dooley & Andrew H. Van de Ven, 1999. "Explaining Complex Organizational Dynamics," Organization Science, INFORMS, vol. 10(3), pages 358-372, June.
    7. Cynthia Hardy & Nelson Phillips & Thomas B. Lawrence, 2003. "Resources, Knowledge and Influence: The Organizational Effects of Interorganizational Collaboration," Journal of Management Studies, Wiley Blackwell, vol. 40(2), pages 321-347, March.
    8. Gautam Ahuja, 2000. "The duality of collaboration: inducements and opportunities in the formation of interfirm linkages," Strategic Management Journal, Wiley Blackwell, vol. 21(3), pages 317-343, March.
    9. Alan D. Meyer & Vibha Gaba & Kenneth A. Colwell, 2005. "Organizing Far from Equilibrium: Nonlinear Change in Organizational Fields," Organization Science, INFORMS, vol. 16(5), pages 456-473, October.
    10. Nicolaj Siggelkow & Jan W. Rivkin, 2005. "Speed and Search: Designing Organizations for Turbulence and Complexity," Organization Science, INFORMS, vol. 16(2), pages 101-122, April.
    11. Jonatan Pinkse & Ans Kolk, 2012. "Addressing the climate change sustainable development nexus: the role of multi-stakeholder partnerships," Post-Print hal-00707337, HAL.
    12. Luigi Zingales, 2000. "In Search of New Foundations," Journal of Finance, American Finance Association, vol. 55(4), pages 1623-1653, August.
    13. Pamela S. Barr, 1998. "Adapting to Unfamiliar Environmental Events: A Look at the Evolution of Interpretation and Its Role in Strategic Change," Organization Science, INFORMS, vol. 9(6), pages 644-669, December.
    14. William Ocasio, 2011. "Attention to Attention," Organization Science, INFORMS, vol. 22(5), pages 1286-1296, October.
    15. Gary Dann & Neil Haddow, 2008. "Just Doing Business or Doing Just Business: Google, Microsoft, Yahoo! and the Business of Censoring China’s Internet," Journal of Business Ethics, Springer, vol. 79(3), pages 219-234, May.
    16. Philip Anderson, 1999. "Perspective: Complexity Theory and Organization Science," Organization Science, INFORMS, vol. 10(3), pages 216-232, June.
    17. Abagail McWilliams & David D. Van Fleet & Kenneth D. Cory, 2002. "Raising Rivals’ Costs Through Political Strategy: An Extension of Resource‐based Theory," Journal of Management Studies, Wiley Blackwell, vol. 39(5), pages 707-724, July.
    18. Max Boisot & John Child, 1999. "Organizations as Adaptive Systems in Complex Environments: The Case of China," Organization Science, INFORMS, vol. 10(3), pages 237-252, June.
    19. Andreas Rasche & Frank Bakker & Jeremy Moon, 2013. "Complete and Partial Organizing for Corporate Social Responsibility," Journal of Business Ethics, Springer, vol. 115(4), pages 651-663, July.
    20. Gnyawali, Devi R. & Park, Byung-Jin (Robert), 2011. "Co-opetition between giants: Collaboration with competitors for technological innovation," Research Policy, Elsevier, vol. 40(5), pages 650-663, June.
    21. Alfred Kieser & Lars Leiner, 2009. "Why the Rigour–Relevance Gap in Management Research Is Unbridgeable," Journal of Management Studies, Wiley Blackwell, vol. 46(3), pages 516-533, May.
    22. Richard L. Daft & Robert H. Lengel, 1986. "Organizational Information Requirements, Media Richness and Structural Design," Management Science, INFORMS, vol. 32(5), pages 554-571, May.
    23. Dorothée Baumann-Pauly & Christopher Wickert & Laura Spence & Andreas Scherer, 2013. "Organizing Corporate Social Responsibility in Small and Large Firms: Size Matters," Journal of Business Ethics, Springer, vol. 115(4), pages 693-705, July.
    24. Donald S. Siegel & Donald F. Vitaliano, 2007. "An Empirical Analysis of the Strategic Use of Corporate Social Responsibility," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 16(3), pages 773-792, September.
    25. Nicolas Dahan & Jonathan P. Doh & Jennifer Oetzel & Michael Yaziji, 2010. "Corporate-NGO Collaboration: Co-creating New Business Models for Developing Markets," Post-Print hal-00565517, HAL.
    26. Fan, Terence & Vigeant-Langlois, Laurence & Geissler, Christine & Bosler, Björn & Wilmking, Jan, 2001. "Evolution of global airline strategic alliance and consolidation in the twenty-first century," Journal of Air Transport Management, Elsevier, vol. 7(6), pages 349-360.
    27. Tim Bartley, 2003. "Certifying Forests and Factories: States, Social Movements, and the Rise of Private Regulation in the Apparel and Forest Products Fields," Politics & Society, , vol. 31(3), pages 433-464, September.
    28. Andreas Georg Scherer & Guido Palazzo, 2011. "The New Political Role of Business in a Globalized World: A Review of a New Perspective on CSR and its Implications for the Firm, Governance, and Democracy," Journal of Management Studies, Wiley Blackwell, vol. 48(4), pages 899-931, June.
    29. Fariborz Damanpour, 1996. "Organizational Complexity and Innovation: Developing and Testing Multiple Contingency Models," Management Science, INFORMS, vol. 42(5), pages 693-716, May.
    30. George Brenkert, 2009. "Google, Human Rights, and Moral Compromise," Journal of Business Ethics, Springer, vol. 85(4), pages 453-478, April.
    31. David Chandler, 2014. "Organizational Susceptibility to Institutional Complexity: Critical Events Driving the Adoption and Implementation of the Ethics and Compliance Officer Position," Organization Science, INFORMS, vol. 25(6), pages 1722-1743, December.
    32. Rasche, Andreas, 2012. "Global Policies and Local Practice: Loose and Tight Couplings in Multi-Stakeholder Initiatives," Business Ethics Quarterly, Cambridge University Press, vol. 22(4), pages 679-708, October.
    33. Robert Strand, 2014. "Strategic Leadership of Corporate Sustainability," Journal of Business Ethics, Springer, vol. 123(4), pages 687-706, September.
    34. Alexander T. Nicolai, 2004. "The Bridge to the ‘Real World’: Applied Science or a ‘Schizophrenic Tour de Force’?," Journal of Management Studies, Wiley Blackwell, vol. 41(6), pages 951-976, September.
    35. Ronald S. Burt & Marc Knez, 1995. "Kinds of Third-Party Effects on Trust," Rationality and Society, , vol. 7(3), pages 255-292, July.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Özgü Karakulak & Lea Stadtler, 2022. "Working with Complexity in the Context of the United Nations Sustainable Development Goals: A Case Study of Global Health Partnerships," Journal of Business Ethics, Springer, vol. 180(4), pages 997-1018, November.
    2. M. Hassan Awad, 2023. "Place and the Structuring of Cross-Sector Partnerships: The Moral and Material Conflicts Over Healthcare and Homelessness," Journal of Business Ethics, Springer, vol. 184(4), pages 933-955, May.
    3. Wissuwa, Florian & Durach, Christian F. & Choi, Thomas Y., 2022. "Selecting resilient suppliers: Supplier complexity and buyer disruption," International Journal of Production Economics, Elsevier, vol. 253(C).
    4. Poulis, Konstantinos, 2021. "Complexity as an empirical tendency: Promoting non-measurement as a means to enhanced understanding," European Management Journal, Elsevier, vol. 39(4), pages 487-496.
    5. Szalavetz Andrea, 2018. "Sustainability-oriented cross-functional collaboration to manage trade-offs and interdependencies," International Journal of Management and Economics, Warsaw School of Economics, Collegium of World Economy, vol. 54(1), pages 3-17, March.
    6. Christopher Wickert, 2021. "Corporate Social Responsibility Research in the Journal of Management Studies: A Shift from a Business‐Centric to a Society‐Centric Focus," Journal of Management Studies, Wiley Blackwell, vol. 58(8), pages 1-17, December.
    7. Golrizgashti, Seyedehfatemeh & Hosseini, SeyedHossein & Zhu, Qingyun & Sarkis, Joseph, 2023. "Evaluating supply chain dynamics in the presence of product deletion," International Journal of Production Economics, Elsevier, vol. 255(C).
    8. Jingling Chen & Tao Eric Hu & Rob van Tulder, 2019. "Is the Environmental Kuznets Curve Still Valid: A Perspective of Wicked Problems," Sustainability, MDPI, vol. 11(17), pages 1-17, August.
    9. Michael Grothe‐Hammer & Anders la Cour, 2020. "Organization and membership: Introduction to the Special Issue," Systems Research and Behavioral Science, Wiley Blackwell, vol. 37(3), pages 419-424, May.
    10. Christian Voegtlin & Colina Frisch & Andreas Walther & Pascale Schwab, 2020. "Theoretical Development and Empirical Examination of a Three-Roles Model of Responsible Leadership," Journal of Business Ethics, Springer, vol. 167(3), pages 411-431, December.
    11. Frederic Läger & Yassin Denis Bouzzine & Rainer Lueg, 2022. "The relationship between firm complexity and corporate social responsibility: International evidence from 2010–2019," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 29(3), pages 549-560, May.
    12. Daniel E. Ufua & Odunayo P. Salau & Owais Saleem & Mercy E. Ogbari & Adewale O. Osibanjo & Evans Osabuohien & Anthonia A. Adeniji, 2022. "Systems Approach to Address Human Resource Issues: A Case in a Commercial Livestock Farm in Southern Nigeria," SAGE Open, , vol. 12(2), pages 21582440221, May.
    13. Zhao, Jianyu & Wu, Guangdong & Xi, Xi & Na, Qi & Liu, Weiwei, 2018. "How collaborative innovation system in a knowledge-intensive competitive alliance evolves? An empirical study on China, Korea and Germany," Technological Forecasting and Social Change, Elsevier, vol. 137(C), pages 128-146.
    14. Rob Tulder & Nienke Keen, 2018. "Capturing Collaborative Challenges: Designing Complexity-Sensitive Theories of Change for Cross-Sector Partnerships," Journal of Business Ethics, Springer, vol. 150(2), pages 315-332, June.
    15. Iwona Staniec, 2018. "Technological Entrepreneurship: How does Environmental Turbulence Impact upon Collaboration Risk?," Sustainability, MDPI, vol. 10(8), pages 1-18, August.
    16. Christian Voegtlin & Andreas Georg Scherer & Günter K. Stahl & Olga Hawn, 2022. "Grand Societal Challenges and Responsible Innovation," Journal of Management Studies, Wiley Blackwell, vol. 59(1), pages 1-28, January.
    17. Celo, Sokol & Lehrer, Mark, 2022. "How much lateral collaboration is optimal? Insights from computer simulations of MNEs as complex adaptive systems," Journal of World Business, Elsevier, vol. 57(3).
    18. Mette Eilstrup-Sangiovanni, 2022. "Ordering global governance complexes: The evolution of the governance complex for international civil aviation," The Review of International Organizations, Springer, vol. 17(2), pages 293-322, April.
    19. Jan Anton van Zanten & Rob van Tulder, 2018. "Multinational enterprises and the Sustainable Development Goals: An institutional approach to corporate engagement," Journal of International Business Policy, Palgrave Macmillan, vol. 1(3), pages 208-233, December.
    20. Chao Yang & Xianyin Meng, 2023. "A Fuzzy-Set Configurational Examination of Governance Capability under Certainty and Uncertainty Conditions: Evidence from the Chinese Provincial Cases of Early COVID-19 Containing Practice," Sustainability, MDPI, vol. 15(3), pages 1-20, February.
    21. Roth, Steffen & Schwede, Peter & Valentinov, Vladislav & Pérez-Valls, Miguel & Kaivo-oja, Jari, 2020. "Harnessing big data for a multifunctional theory of the firm," European Management Journal, Elsevier, vol. 38(1), pages 54-61.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Scherer, Andreas, 2013. "Legitimacy Strategies in a Globalized World: Organizing for Complex and Heterogeneous Environments," Papers 566, World Trade Institute.
    2. Andreas Georg Scherer & Andreas Rasche & Guido Palazzo & André Spicer, 2016. "Managing for Political Corporate Social Responsibility: New Challenges and Directions for PCSR 2.0," Journal of Management Studies, Wiley Blackwell, vol. 53(3), pages 273-298, May.
    3. David Risi & Christopher Wickert, 2017. "Reconsidering the ‘Symmetry’ Between Institutionalization and Professionalization: The Case of Corporate Social Responsibility Managers," Journal of Management Studies, Wiley Blackwell, vol. 54(5), pages 613-646, July.
    4. Brice Dattée & James Barlow, 2017. "Multilevel Organizational Adaptation: Scale Invariance in the Scottish Healthcare System," Organization Science, INFORMS, vol. 28(2), pages 301-319, April.
    5. Robert C. Bird & Vivek Soundararajan, 2020. "The Role of Precontractual Signals in Creating Sustainable Global Supply Chains," Journal of Business Ethics, Springer, vol. 164(1), pages 81-94, June.
    6. Andreas Rasche & Frank Bakker & Jeremy Moon, 2013. "Complete and Partial Organizing for Corporate Social Responsibility," Journal of Business Ethics, Springer, vol. 115(4), pages 651-663, July.
    7. Frederic Läger & Yassin Denis Bouzzine & Rainer Lueg, 2022. "The relationship between firm complexity and corporate social responsibility: International evidence from 2010–2019," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 29(3), pages 549-560, May.
    8. Celo, Sokol & Lehrer, Mark, 2022. "How much lateral collaboration is optimal? Insights from computer simulations of MNEs as complex adaptive systems," Journal of World Business, Elsevier, vol. 57(3).
    9. Christopher Wickert & Andreas Georg Scherer & Laura J. Spence, 2016. "Walking and Talking Corporate Social Responsibility: Implications of Firm Size and Organizational Cost," Journal of Management Studies, Wiley Blackwell, vol. 53(7), pages 1169-1196, November.
    10. Verena Girschik, 2020. "Managing Legitimacy in Business‐Driven Social Change: The Role of Relational Work," Journal of Management Studies, Wiley Blackwell, vol. 57(4), pages 775-804, June.
    11. Banerjee, Shantanu & Venaik, Sunil & Brewer, Paul, 2019. "Analysing corporate political activity in MNC subsidiaries through the integration-responsiveness framework," International Business Review, Elsevier, vol. 28(5), pages 1-1.
    12. Serghei Floricel & Sorin Piperca & Richard Tee, 2018. "Strategies for Managing the Structural and Dynamic Consequences of Project Complexity," Complexity, Hindawi, vol. 2018, pages 1-17, May.
    13. Fanny Salignac & Tracy Wilcox & Axelle Marjolin & Sarah Adams, 2018. "Understanding Collective Impact in Australia: A new approach to interorganizational collaboration," Australian Journal of Management, Australian School of Business, vol. 43(1), pages 91-110, February.
    14. Massari, Giovanni Francesco & Giannoccaro, Ilaria, 2021. "Investigating the effect of horizontal coopetition on supply chain resilience in complex and turbulent environments," International Journal of Production Economics, Elsevier, vol. 237(C).
    15. Kelly Gerard, 2023. "Doing aid chains differently: Evaluating the potential of Multi‐Stakeholder Partnerships," Development Policy Review, Overseas Development Institute, vol. 41(1), January.
    16. Thomas Maak & Nicola M. Pless & Christian Voegtlin, 2016. "Business Statesman or Shareholder Advocate? CEO Responsible Leadership Styles and the Micro-Foundations of Political CSR," Journal of Management Studies, Wiley Blackwell, vol. 53(3), pages 463-493, May.
    17. Jarratt, Denise & Ceric, Arnela, 2015. "The complexity of trust in business collaborations," Australasian marketing journal, Elsevier, vol. 23(1), pages 2-12.
    18. Barron, Andrew & Pereda, Asier & Stacey, Stephen, 2017. "Exploring the performance of government affairs subsidiaries: A study of organisation design and the social capital of European government affairs managers at Toyota Motor Europe and Hyundai Motor Com," Journal of World Business, Elsevier, vol. 52(2), pages 184-196.
    19. Danny Zhao‐Xiang Huang, 2022. "An integrated theory of the firm approach to environmental, social and governance performance," Accounting and Finance, Accounting and Finance Association of Australia and New Zealand, vol. 62(S1), pages 1567-1598, April.
    20. Francesca Colli & Johan Adriaensen, 2020. "Lobbying the state or the market? A framework to study civil society organizations’ strategic behavior," Regulation & Governance, John Wiley & Sons, vol. 14(3), pages 501-513, July.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:jomstd:v:54:y:2017:i:2:p:182-208. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=0022-2380 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.