Strategic Choice and Determinist Theory: A Comprehensive Review

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This essay delves into the debate between strategic choice and determinist theories in organizational theory, examining how these perspectives influence our understanding of organizational success. It contrasts the strategic choice view, which posits that managers can proactively shape their organizations, with determinist theories like Resource Dependency Theory, Institutional Theory, and Population Ecology, which emphasize the constraints imposed by the external environment. The paper discusses the core tenets of each theory, including resource acquisition, structural inertia, and institutional isomorphism, and analyzes their implications for organizational behavior, stability, and change. Ultimately, it revisits the ongoing discussion concerning the extent to which organizations and their leaders can effectively navigate and adapt to environmental pressures.
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Running Head: EXPLORING THE PARADIGM WARS IN ORGANIZATION THEORY 1
Exploring the Paradigm Wars in Organization Theory
Name
Institution Affiliation:
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EXPLORING THE PARADIGM WARS IN ORGANIZATION THEORY 2
Introduction
Strategic option in organizational setting refers to manner in which process of making
choices with respects to the dynamics of politics are influenced by leaders or a cluster of leaders
in organization. Fundamental categories within this theory of strategic option comprise of
Boundaries, Domains, objective of individuals that are responsible for making decision together
with coalition that is dominant (Akellas, 2013). Furthermore, strategic option theory is utilized in
different face to face workshops of the group that deals with process of making decisions. The
theory is viewed as the ongoing process where the management plan of uncertainty performs an
essential function. However, approach for organizational theory incorporates several aspects of
strategic management, dynamic capabilities opinions, management, as well as innovation
examination. Domain in strategic choice refers to the marketplace that a corporation focuses on
competing in during their operations. Boundaries on the other side are the limits of organization
in markets (Martin, Bell, Farmer, & Henry, 2010). Moreover, dominant coalition in strategic
choice refers to the uppermost group of individuals responsible for making decisions. Prior to the
establishment of strategic option hypothesis, most people thought that organizations were always
designed concerning the external setting. The establishment of strategic choice hypothesis
enabled different individuals of the corporations together with the groups connected with them to
create choices with appropriate decisions. For complex issues with uncertainties, and sub-issues
in organization, strategic option hypothesis remain to be the best approach of addressing such
issues (Sumer & Bayraktar, 2012). Strategic choice theorists portray managers as relative agents
that are autonomous that act in proactive as well as potentially creative techniques with the aim
of altering their authoritative predeterminations.
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EXPLORING THE PARADIGM WARS IN ORGANIZATION THEORY 3
In this paper, ideas presented tend to revisit the debate that has been in existence
between strategic choice as well as determinist theory. The idea that focuses on radical change in
operations of organizations has been discussed mainly from different theoretical positions that
include Resource Dependency Theory, Institutional Theory, and Population Ecology. Strategy
choice and determinist theory argue that change in operations is possible because the
environment is not something immutable and most managers can be active agents of such issues
(Pisano, 2016). The theories further suggest that change in operations of organization is
impossible because of structural inertia that faces all organizations around global business
society (Yang, 2014). The discussion concerning what the possibilities are available to people
and organizations cope with change is the point of confrontation that exists between theories of
determinist and strategic choices. Therefore, primary of this research paper is to examine part
that strategic option and determinist theories such as Resource reliance hypothesis, Institutional
concept, and Population Ecology that make to individuals recognize organizational
accomplishment.
Determinist theory
Determinism refers to the idea that nature of human genes fixes every behaviour of
human, their beliefs, and their desires. In this hypothesis, markets remain to have a key role in
the process of shaping the actions of organizations. The corporations are then forced to focus on
different changes in operations within markets (Daft, 2015). These organizations are required to
have a constant view of what is happening in the global business society to be capable of
surviving or have profit. Unexpected shifts in tee prices of commodities and operations might be
some of the market changes. The determinists tend to have the conviction that various winning
auxiliary and ecological viewpoints seriously compel administrators and in this manner cannot
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EXPLORING THE PARADIGM WARS IN ORGANIZATION THEORY 4
substantively change course of association (Yang, 2014). Furthermore, determinist hypothesis is
examined by three different hypotheses that consist of Resource Dependency Hypothesis,
Institution theory, together with Population Ecology.
Resource Dependency Theory
This theory focuses on the examination of how exterior possessions of every corporation
impact traits of the association. Procurement of outer possessions remains as the essential
principle of both tactical together with deliberate administration of any organization. However,
this speculation implies best divisional structure of groups, process of recruiting of associates of
boards as well as workers, strategies of production, structure of contract, external connection of
organization, and several other aspects of strategy of organization (Suddaby, 2010). The theory
illustrates how the organization relies on vital resources and how it affects different operations.
Therefore, in wider view, it shows that the organization must perform business with other
corporation with the aim of attaining its resources. The corporation relies on different resources
such as funding of capital, raw materials, and labour among other essential aspects of operations.
Resources dependency theory is based on different principle that the organization likes business
of company need to engage in transactions with different actors and corporations with its
surrounding in order to attain resources (Junqueira, Dutra, Filho, & Gonzaga, 2016). Although
such transactions in business operations might be useful, they also develop dependencies that are
not. Besides, most vital advantage of this theory is that it illustrates the actions of organization in
detailed manner. In the research done by Gnjidic (2014), he focused on giving a clear evaluation
as to what extent the advantage of the theory is true. The researcher demonstrates that the content
of data, in theory, offer useful propositions and hence it was vital for corporations to be specific
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EXPLORING THE PARADIGM WARS IN ORGANIZATION THEORY 5
on the propositions that they create. Additionally, survey using this theory has sought to observe
adaptations of organizational to dependencies. One single adaptation comprises of process of
aligning internal elements of organizational with pressures of environment. Organization also
adapt through the process of attempting to alter their surroundings. Those strategies in play
contrast sharply with the classic concepts of corporations that treat different companies as closed
systems. Tingley (2013) explained that Resources Dependency Hypothesis largely contributes to
the discussion of behaviour, stability, organizational structure, and change of organization.
However, there exist different drawbacks to this theory as the general opinion is that the
hypothesis fails in the process of illustrating the organizational performance. Some researchers
such as Drees & Heugens (2013), have examined various drawbacks concerning this theory and
found that there is less effort in the hypothesis to differentiate between imbalances of power with
mutual dependence.
Population Ecology Theory
The theory is an empirical approach within the social sciences that is termed to be the
sub-field of studies of organizations. The theory use approaches from biology, economic,
together with sociology as well as utilizes different statistical examination to try to know
situations that make organizations to grow, appear, or pack up in market (Bouhelal &
Kerbouche, 2016). Population ecosystem hypothesis talks about same corporations that compete
with similar resources for similar clients. It focuses on diversity of organization as well as how
they could adapt within the entire population. The theory of population ecology exists in three
different levels that include population, community, and organization. Here, community level
refers to the functional system that is integrated towards interacting populations. The level of
population remains to be the set of engaged organizations in same operations (Salimath & Jones
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EXPLORING THE PARADIGM WARS IN ORGANIZATION THEORY 6
2011. Furthermore, level of organization in this theory concentrates on individual organizations.
Organizational ecology in survey is more accurately population ecology that focuses on the other
level of this theory.
Population Ecology Theory, for instance, focuses on recognizing the fundamental
milestone in the work of Hanna together with Freeman who wrote their ideas under the title
Population Ecology of Organizations.” The major components of this theory highlight the key
functions of environment towards determination of organization survival (Editors, 2014). The
process of selecting new and various organizational forms in the level of populations of
organizations happens due to the structural inertia that is proposed as the major explanation for
the lack of change. The major merit of this theory is that it helps in paving way to getting
sustainability. Different researchers that have surveyed different journals that talk about
population ecology such as Salimath & Jones (2011) have formulated different tables that are
organized in accordance with the focus of examination, author, and chronology. These
researchers have reported that population ecology remains as an essential factor to sustainability
in organization. Various shared traits could be attained amid two, and it paved the approach for
future examination to be attained on sustainability. For instance, Davis, & Cobb (2010) have
agreed with idea that population ecology has the significant future. However, there are several
demerits of population ecology illustrated by different authors over the decades. According to
Tokman, Richey, & Deitz (2016), after performing, empirical investigations criticize that
ecology of population is not the correct theory for surveying corporation. Suddaby (2010) on his
work criticizes the theory for not being able to explain every issue concerning the organizational
structure. The author concluded is work by stating that this theory was unable to offer outcomes
conducted by empirical examination from different surveyors.
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EXPLORING THE PARADIGM WARS IN ORGANIZATION THEORY 7
Institution Theory
This theory concentrates on the deeper as well as more elastic elements of social
arrangement. The hypothesis deliberates processes that different arrangements such as rules,
plans, customs, and standards are becoming recognized as guidelines that are reliable for social
trait. Various components of institutional hypothesis examine how these elements are developed,
put into use, and adapted over time together with space, and how they fall into disuse and decline
(Daft, 2015). The theory asserts that the environment for institution can firmly impact growth of
formal arrangements in organization, probable more intensely than demands of market. Inventive
elements that develop technological effectiveness in early implementing organizations are legal
in surrounding. Moreover, this theory comprises three different isomorphisms that include
Mimetic, Coercive, together with Normative Isomorphism (Sumer & Bayraktar, 2012). Coercive
isomorphism tends to deal with a single organization putting pressure on another while Mimetic
isomorphism is known to be the imitation of a single corporation from other. Besides, normative
isomorphism concentrates with professional connection with one another.
Population ecology together with resource dependency hypothesis proposes techniques in
which corporations can respond distinctively to cues of environment. Institutional theorists
content that the legitimacy of organization illustrates survival. This theory emphasizes the
normative effect of the surrounding on activity of organization (Drees & Heugens, 2013).
Institutional theory argues that the surrounding determines options of organization and its limit
discretion in the selected companies. Moreover, major advantage of this theory is that
organization manager that employs it can take different risks if the corporations are capable of
affording some of the vital resources. The idea leads to strong institutions that ignore pressure by
moving out of the expectations. The restriction brought by this theory enables management to
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EXPLORING THE PARADIGM WARS IN ORGANIZATION THEORY 8
stay under specific boundaries. The innovation in this theory is restrained to a given level.
However, this hypothesis is tough to adhere to in present days compared to past decades.
According to research by Martin, Bell, Farmer, & Henry (2010), the authors stated that though
this theory commenced well in past years, it has stretched far beyond its fundamental purpose.
Strategic Choice Theory against Determinist Theory
Strategic choice together with determinism theories has been investigated at the height of
organization and stage of industry. These theories are prominent as they rule different actions
and options of organizations. Pisano (2016) offered the best framework of what implications the
options determined by management will be in the surrounding. The major purpose aimed at
investigating how strategic options and determinist might be investigated as one element.
Different surveyors examining the phenomena at the level of association contend that the
predominant alliance inside organizations make choices on time with methods of rebuilding
exertion and the execution of after restructuring relies on the team of management instead of
business environment. The theorists founded on resources contend that chiefs sooner or later
create restrictive understanding bases and incomparable aptitudes that deliver unmistakable
abilities and prevalent levels of execution (Tingley, 2013). At the level of industry, the scholars
that arrangement with system contend that cooperatives of associations or semi-self-governing
partisans’ sets tend to interact with motive of modifying and constructing joint setting, policy
and options readily present within business environment through utilization of different
resources and actions.
Similar to strategic choice, theory of determinists utilize 2 different stages of examination that
include organization together with industry. Resource dependency theory examines the
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EXPLORING THE PARADIGM WARS IN ORGANIZATION THEORY 9
phenomena at the level of organization and argues that the structure of environment fits is vital to
effectiveness of organization (Pisano, 2016). Steady with that basis they remain of view that
business environment determines kind of arrangements that corporations need to create to be
great performers in marketplace. Positional set in area of strategy also obtain deterministic vision
and urges that firm performers are constrained by legal, technological, operational, together with
competitive aspects that prevail in the industry. Furthermore, determinists ate the industry level
argue that resources of environment are inadequate, and corporations require to repeatedly adapt
to take benefit of base that is changing (Davis & Cobb, 2010). Due to the fact that organization
has inertia structure, they cannot easily adapt making the environment to select different
corporations that will survive in their operations. Here again, the economist for industry was
able to posit that the structure of industry such as number together with size of the firm
ascertains inherent abundance of industries (Tingley, 2013). Therefore, at centre of this contest is
power or discretion of managers to impact results of organization.
Conclusion
This examination offers a well-illustrated summary of several organizational hypotheses
together with their essential examination supported by different researchers around the global
business community. From the above examinations, it is evident that structure of organization
plays a key role in describing the approach and responses that business takes to the market. In
conclusion, it can be stated that various members in the various corporations adopt various
strategies to attain their objectives during operations. It is tough to select a single theory as better
over the other when comparing strategic option along with determinist as both hypotheses have
enough merits and some demerits. No matter the weakness of a particular hypothesis, if they
seem to be vital for the process of making decisions, they will select it all the same. Research on
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EXPLORING THE PARADIGM WARS IN ORGANIZATION THEORY 10
organization should then no longer focus on attempts to reject or confirm determinism together
with strategic choice. The research should target at describing and understanding while
explaining why and how the interactions amid various parties evolve and impact the functioning,
structure, and performance of the resulting corporation.
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EXPLORING THE PARADIGM WARS IN ORGANIZATION THEORY 12
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