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Planners As Nonlinear and Complex Explorers

 

Planning as Adaptive Exploration of Organizational Strategies

Organizations evolve on correlated but rugged landscapes (Kauffman, 1995). Maguire (1997) understands the choice of a specific strategy, e.g., its choice of which products or services to make or offer, as correlated with a specific fitness landscape. For example, an increase in the heterogeneity of the market is equivalent to an increase in "ruggedness" on the landscape, which, in turn, means an increase in the complexity of the strategy as a design problem. The point is to envision strategy in terms of how the various combinations of organizational processes and structures which make up a strategy add to or diminish the adaptive value of specific strategies. But notice here that planning is not so much prediction, as exploration of possible scenarios. In this sense planning can be reconceptualized as exploratory searches through the "space" of modifications of a strategy. Here, the use of fitness landscapes can be applied to gain insight into which innovative organizational designs, processes, or strategies promise greater potential.


Bibliography
Maguire:
Strategy as design

Maguire has provided a kind of grid which suggests the quality, quantity and foolishness of different exploration strategies. For example, how constrained or coupled is the environment (an organizational analogue to the N/K Model). He can use this grid to classify the appropriateness of a particular business strategy, e.g., Mintzberg's (1988) strategy of quality differentiation is a relatively local search on a short distance while design differentiation strategy is a farther away search in the adaptation landscape. Furthermore, Maguire has identified exploration or search parameters: exploration rate (search activity per unit time, number of sample units per unit time); exploration distance (search distance across landscape); and exploration direction (which variables on a string to flip; or, constraining the search to a specific direction).

In the new nonlinear and complex geography of organizations, therefore, leaders as planners face a two-fold challenge: drawing useful maps of the new terrain and exploring this new terrain through the encouragement of strategies that tend toward higher fit. However, designing strategies with better fit does not always consist of climbing straight-up adaptive hills. Sometimes random searches are what's called-for, sometimes what is required is the seemingly foolish move of going down a hill, and there are still other seemingly counterproductive practices. Thus, in the nonlinear geography of complex systems, the planner also needs a bag of unusual tricks, so now we turn to the role of planner as Trickster.

 

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